«Russian Forest» association initiated measures to support the timber industry in Russia in the face of sanctions

The SUPPORT RUSSIA Commission for the Timber Industry and Forestry has drawn up proposals to support enterprises of the RF timber complex. The list of initiatives was discussed under the chairmanship of Andrey Goncharov, a member of the Presidium of the Management Board of the NP SUPPORT Association, First Vice President of the National Association of Timber Industry «Russian Forest».

Based on the results of the work of the Commission on Timber Industry and Forestry, more than 20 proposals were developed to support timber industry enterprises under the sanctions of unfriendly countries.

Key proposals include:

  1. Introduction of a moratorium on the termination of forest lease agreements until 12/31/2022;
  2. Consideration of the possibility of introducing a deferment on the payment of lease payments for the use of forests for the purpose of logging;
  3. Solving the issue of a shortage of rolling stock on the network of Russian Railways for the transportation of wood products with a high share of value added;
  4. Providing priority access to the railway infrastructure of the Eastern Landfill for high value-added wood products in order to redirect them from traditional export markets to Asian destinations;
  5. Working out by embassies and trade missions of the Russian Federation in countries that are not unfriendly, the issue of lowering the threshold for entry into these markets, as well as the search for counterparties;
  6. Support for the creation and development of engineering centers on the basis of leading universities, as well as in the form of priority investment projects and public-private partnerships to stimulate the forest machine and machine tool industry.

A package of proposals to support the industry will be sent to the Government of the Russian Federation for consideration.

«Significant progress has already been made on a number of the considered initiatives. In particular, the Government of the Russian Federation approved a moratorium on business inspections until the end of 2022. However, in the current situation, the forest industry needs comprehensive support on a wide range of issues. The priority is the material and technical support of the timber industry enterprises and the development of new sales markets. The Association aims to work in an enhanced mode. We are also open to feedback from industry participants: a detailed understanding of the difficulties and bottlenecks will allow us to develop a common position and put forward appropriate proposals for support measures. Right now, more than ever, the timber industry of Russia needs unity», — said Andrey Goncharov, First Vice President of the National Association of Timber Industry «Russian Forest».