From September 1, the procedure for terminating forest lease agreements has been improved

On September 1, 2023, amendments came into force that improved the procedure for terminating forest lease agreements. Adopted in December last year, Federal Law No. 600-FZ dated December 29, 2022 “On Amendments to the Forestry Code of the Russian Federation” prohibits the unilateral procedure for terminating a contract by decision of the authorities of the constituent entities of the Russian Federation in the field of forest relations - now this procedure is only possible through the court. The changes also specify violations that may lead to termination of the contract.

The need to clarify the grounds for termination of lease agreements and the criteria for the good faith of tenants of forest plots was discussed with the Minister of Natural Resources last year, and in July 2022, the Ministry of Natural Resources prepared a bill transferring to the federal level the authority to allocate forest plots for timber harvesting for the implementation of priority investment projects projects.

The adopted legislative changes will make the work of the forestry industry more transparent and predictable, as well as increase its investment attractiveness.