Massive annual investment is needed in Russia’s forestry industry if it is to be efficient, according to the head of the country’s Federal Forestry Agency, Valery Roshchupkin.
He said the industry needs at least US$2bn investment a year – considerably more than the US$25m or less it currently receives.
Mr Roshchupkin said the new Russian Forestry Code’s provision on the long-term lease of forestland aims to encourage heavier investment in the industry.
Under the new code, forestlands will be leased out to the highest bidder chosen from those who have already passed preliminary selection, and the criteria for selection are to be clarified.
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“Our primary task is to ensure efficient use of forest resources |
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Federal Forestry Agency, Valery Roshchupkin |
Mr Roshchupkin also reported that under the new code the powers of forestry cooperatives have been revised and they will no longer have any decision-making authority – a move aimed at curbing corruption.
“Our primary task is to ensure efficient use of forest resources,” he said.
