Support measures for the forestry industry were discussed at a meeting of the SUPPORT OF RUSSIA Commission

On June 29, 2021, a meeting of the SUPPORT OF RUSSIA Commission on the timber industry and forestry was held, dedicated to measures to support the forest industry related to the implementation of the ban on the export of unprocessed and roughly processed wood of coniferous and valuable deciduous species from the Russian Federation.

The event was attended by members of the Commission - representatives of the National Association of Timber Industry «Russian Forest» and regional branches of «SUPPORT OF RUSSIA».

During the meeting of the Commission, the following proposals were voiced:

1. Provide measures to maintain the rate of timber harvesting in the constituent entities of the Russian Federation at a stable level;
2. Provide for the construction of pulp and paper mills in the regions of the Far East with state participation in order to process small-sized and pulp wood;
3. Ensure the provision of benefits and subsidies from the federal budget for loggers who, within 3 years, will make a decision on the construction of processing facilities;
4. Provide for the application of a decreasing coefficient to the rates of payment for the use of forests for tenants of forest plots, which will be subject to the law banning the export of unprocessed and roughly processed timber;
5. Provide support to domestic organizations involved in technologies and developments for the timber industry;
6. Simplify the procedure for obtaining preferential loans for the modernization of production facilities for deep processing of wood, monitor the implementation of this support measure;
7. Provide a deferral or installment plan for the payment of tax, rent, utility bills, insurance premiums and loan payments. Establish a moratorium on the accrual of penalties and a ban on restricting the provision of utilities due to late payment;
8. Ensure the provision of interest-free loans to replenish working capital;
9. Introduce a moratorium on tax audits and audits of other state bodies until July 31, 2022 (with the exception of audits for compliance with fire safety requirements);
10. Provide for temporary reduced rates of property tax and insurance premiums to state funds.

In addition, the regional branches of SUPPORT OF RUSSIA are preparing proposals for additional measures that will be included in the general list of proposals and will be sent to the Federation Council.

At the same time, the National Association of Timber Industry «Russian Forest» and «SUPPORT OF RUSSIA» continue to work to consolidate the efforts of regional business associations in the «forest» regions in order to develop a common position on the development of the forestry complex.