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.
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