The ban on the export of low-grade timber has had a mixed effect on the development of forestry companies
The volume of logging has decreased over the past three years. At the same time, the volume of processed sawn timber has increased by 7.5%, which in a certain way has had a both positive and negative impact on the situation — Anatoliy Bobrakov, Deputy Minister of the Russian Federation for the Development of the Far East and the Arctic.
Indeed, over three years we completed a kind of first stage, when timber was handed over in exchange for investment, and now it is already possible to calculate economically what this led to [...] I think in the East this led to a sharp imbalance because not all the forest has been leased [...] while the forest that has been leased is also not all being used, and it’s clear that, having secured the annual allowable cutting rate, entrepreneurs are forced to choose parts and build roads in parts. These are always short-term solutions based on under market volatility — Oleg Bocharov, Deputy Minister of Industry and Trade of the Russian Federation.
It would be impossible to say unequivocally that the expectations about the threat of a ban on the export of round timber has not affected the current investment processes. Everyone knows how to count money, and everyone adapts — Oleg Bocharov, Deputy Minister of Industry and Trade of the Russian Federation.
We aren’t seeing a reduction in the labour force or a massive layoff. I wouldn’t make a tragedy out of this — Oleg Bocharov, Deputy Minister of Industry and Trade of the Russian Federation.