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WhatWood Blog Forestry & Logging In the Kirov region reduced the size of the Deposit during forest auctions

In the Kirov region reduced the size of the Deposit during forest auctions

1 February 2019 ` 16:00  

Deputy Prime Minister Andrei Plitko held a working meeting with the Minister of Forestry of the region Alexei Shurgin and employees of the Ministry, during which specific measures were developed to improve the economic efficiency of forest management for small businesses, according to the press center of the government of the Kirov region. First of all, the volume of forest resources put up for auction in 2019 will be increased. The main amount of forest resources for winter harvesting will be sold at auctions in February. The next large volumes will be exhibited in August-October to ensure a comfortable entry of entrepreneurs in the autumn-winter harvesting season of 2019-2020.

In addition, in order to reduce the financial burden on entrepreneurs during the auction, it was decided to reduce the amount of the Deposit to the minimum possible during the auction for the right to conclude a contract of sale of forest plantations. If earlier the entrepreneur paid one hundred percent of the initial price of the auction item, from January 2019 the amount of the Deposit is set at least fifty percent of the initial price.

“We have taken into account the opinion of the business community about the problem related to the diversion of funds for the period of the auctions, and solved it within the framework of the legislation. With the new approach, entrepreneurs will be able to participate in more auctions with limited working capital, which will ensure timely production of the necessary forest resources and increase its efficiency”, — said Deputy Chairman of the regional government Andrey Plitko.

At the same time, Andrey Plitko stressed that reforestation measures are under special control of the regional government, the balance of disposal and restoration of forests will be strictly observed.

Recall also that for the purpose of formation of lots for the new auction, the Ministry accepts proposals from subjects of small and medium enterprises by a location of forest stands and volume intended for timber harvesting with consideration to their needs for forest resources. On the upcoming and held auctions can be found on the official website of the Russian Federation to post information about the auction (https://torgi.gov.ru/lotSearch1.html?bidKindId=7), the official websites of the government of the Kirov region and the regional Ministry of forestry.

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