Okok.

I will try my best to explain it in detail.
In timber plantation establishment, the first thing that you have to consider is what sort of spacing that you want to use for your plot. You can either choose a close spacing such as 3x3m which has a planting density of around 1100 tree per hectare. OR you can choose a wide spacing such as 5x5m, 5x6m which has a planting density that is lower than that of the 3x3m spacing mentioned earlier.
There are pros and cons on either approach. The close spacing such as the 3x3m will need more planting material in the initial planting stage and not to mention other resources such as labour, time and modal. This spacing will encourage the tree to compete against each other especially for light (canopy establishment) so the trees will grow vertically. And as for the wide spacing mentioned earlier, there are less tree per hectare so the tree will not have to compete too much against each other compare to the tree planted in a close spacing. The tree will grow horizontally (diameter) instead of growing vertically (height).
For timber production, our priority is to grow trees that is tall and straight with less or no forking at all. It is safe to assume that it is true in agarwood production too like what Happy Farmer has mentioned earlier. BUT there is a catch in using a close spacing for plantation establishment. Sooner or later, you will run out of space for the trees to grow (when canopy establishment is achieve). The growth potential of the tree is capped by this factor and the tree will not be able to grow to its full potential.
This is where THINNING treatment comes into play. Usually 1-2 years after planting, you will have to carry out thinning or else it will not be effective. The thinning process is quite straight forward. It is as if you are playing the role of nature where you select and pick out trees that is not growing well (survival of the fittest). By doing so you will free up space for the remaining tree. If our initial planting density is 1100 tree per hectare, after thinning, we will have a density of around 500-600 tree per hectare. Of course this will add up to your management cost but you can still sell those felled tree to generate some return for the time being.
That is really a mouthful!

I will try to post something more detail when i get back to the office tomorrow.

Will try my best to answer you guys if you have any question.

Sorry for the hold up.

Will keep you guys informed if I am going to KL anytime soon.

Added on June 8, 2008, 8:52 pmYou dont need to prune your tree this early!

Wait till it has establish itself on the site and wait till it is starting to fork/branch out. Only then you should start to prune it. Doing it now might as well kill your seedling.

I will post something regarding to pruning too later.

Yes LATER... (cross my fingers)
Thanks for sharing the information. It's very helpful and really appreciate your help