China is well known for her forest reserves. Cedarwood trees can be found in Jiangxi, Sichuan and other provinces in Figure:1-4:Field Crude oil Distillation

China. In the early 1960's, people there began using cedarwood roots to distill crude oil, which is the raw material of MCK, CME and its derivatives.

In order to maintain a stable supply of crude oil, we have invested in our own forest covering an area of more than 6 million square meters in Jiangxi, Sichuan and Guizhou where local farmers still practice the traditional way of oil distillation. They heat the cedarwood chips in a boiler, and collect the oil after condensation.

The forest is a natural treasure and all cuttings should be carried out under stringent control and be properly regulated. When farmers cut the trees to retrieve oil, they are required to plant new trees at the same time. This policy enables us to secure our long term supply of cedarwood oil.