Application. Yields of 1,8-cineole and total monoterpenes (as a fraction of leaf weight) from the leaves of 3.75-year-old open-pollinated progeny of Petford E. camaldulensis were highly heritable. Through individual tree selection, substantial improvements in 1,8-cineole yield, the essential oil trait of most commercial interest, and growth rates can be achieved concurrently thus enhancing the economics of growing Petford E. camaldulensis for wood and oil.Abstract. Genetic parameters were estimated for yield of 1,8-cineole and total monoterpenes as a fraction of leaf weight in nineteen open-pollinated families of Petford origin at 3.75 years in two progeny/provenance trials of E. camaldulensis in Zimbabwe. Both traits appear to be highly heritable and, as expected, were strongly genetically correlated, with narrow-sense individual heritabilities near 0.50. Expected gain in the first generation following individual selection in the trials of one tree in 10 for either trait is about 25--32%.Genetic correlations between growth traits and 1,8-cineole yield were small. This indicates that both traits might be improved concurrently thus enhancing the economics of growing Petford E. camaldulensis for wood and medicinal oil. However, the presence of moderate and unfavourable genetic correlations between growth traits and total yield of monoterpenes warrants further study. It was not possible to gauge the significance of apparent family × site interaction for 1,8-cineole yield in this study. However, a test of rank correlation showed an association (Ip < 0.01) between family rankings on each site and the highest-yielding trees on both sites came from the same families. This raises the possibility of being able to select individuals for cloning that yield well over a range of site conditions.