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Teak Price Grading System & Table
The Teak Price Grading System

The wood is evaluated for the following defects with a prescribed amount of allowable defects per board. They’re then graded by location of defects and as serious or mild, and given a rating: 1QS being the highest and RS4 the lowest grade.

Major Defects: Bee Holes, Green Band, Branch, Heart Hole, Doyo Hole, Pitch Pocket, Double Heart, Wavy, Bump, Twist, Culvature Diagonal Heart.

Minor Defects: Cup Shape, Ring Shape, Flute, In-bark, Sun Crack, Spongy, Pink-knot, Black Spot, Elephant Skin, Triangle shape, Felling crack, Elliptical shape.

Additional Defects: In-bark hole, Star crack, Waving ring, Ring close, Deform Gall-store, Heart crack, Side hole, Water stain, Flute mark, Color dark, Heart spongy, Pig eye, White spot, White band.


Pricing in the attached PDF file is based on the ITTO Tropical Timber Report published on January 15, 2008. The table projects pricing for both Rough Sawn and 1st Quality teak for 3%, 6% through 9% rates of inflation. Additionally, it forecasts the price of three grades of quality for each category. These projections are not intended for any purpose other than attempting to forecast the potential revenue generating opportunity of the Banana Bank Ranch Teak Plantation.

For Rough Sawn teak the table includes projected pricing for quality levels 1, 3 and 4 (RS1, RS3 and RS4). The table projects the price of RS3 to be at 85% of RS1 and RS4 to be at 75% of RS1. These assumptions are used in developing the Banana Bank Teak Plantation revenue projections.

For 1st Quality teak the table also includes projected pricing for quality levels 1, 3 and 4 (1Q1, 1Q3 and 1Q4).
The table projects the price of 1Q3 to be at 85% of 1Q1 and 1Q4 to be at 75% of 1Q1. Even though BBR's teak plantation is expected to have a good percentage of 1st Quality teak, no 1st Quality pricing was used in creating the Banana Bank Teak Plantation revenue projections. This table is included for informational purposes only and can be used when creating additional projections.

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