Controversial new legislation which could lead to the privatisation of Russia’s forests is due to be approved by September, according to the UK Timber Trade Federation‘s latest “Timber Topics” report.
The Forestry Code would alter the way the country’s forests are managed, while providing less public access and more building in protected areas.
Powers currently held by regional forestry commissions would be centralised to Moscow and forest leases would be extended from 49 year periods to 99 years.
The government believes the code will make the forest resource more productive and profitable, as well as reducing the export of raw timber and encouraging domestic processing for manufacture of value-added products.
However, conservation groups fear the code’s emphasis on maximising profits will be to the detriment of the environment.
Russia possesses around 25% of the world’s timber resources but accounts for only 3% of the global market. It currently produces about 150 million m3 of timber annually worth £2.5bn but has the potential to produce an estimated 550 million m3 worth £55bn.
