Russian Timber Journal 03-2018: Russia reduces logging volumes, introduces quotas for the export of birch veneer logs and tightens requirements for new priority forest investment projects

In 2017, the harvesting volume in Russia amounted to 212.4 million m3, which is 0.65% less than in 2016. In the regional context, the greatest decrease in harvesting occurred in the regions of the Volga Federal District (-8%, YoY). In the regions of the North-West of Russia, volumes fell by 3% (YoY), and by 5% (YoY) in Central Russia. In Siberia, the harvesting volumes increased by 5%.

Wood harvesting increased due to the implementation of priority investment projects in forest sector: from 31.6 million m3 in 2016 to 35 million m3 in 2017, but decreased due to harvesting by citizens for their own needs: -4.7% (YoY) to 14.1 million m3 and other types of forest usage. The number of forest area lease agreements concluded by type of forest use is currently about 13,400 (13,379).

In March 2018, the Ministry of Industry and Trade of Russia hosted a meeting of the subcommittee on custom tariff, non-tariff regulation and protective measures in foreign trade, at which it was decided to impose temporary restrictions on the export of veneer logs for a period of two years. It is expected that the corresponding Government Decree will be approved in 2018 and will provide a system for quoting exports of birch veneer logs. The quota will be set at the level of 2014, in which, in the opinion of the Ministry of Industry and Trade, there was a balanced level of export and domestic consumption of veneer logs.

On March 26, 2018, the Ministry of Justice of Russia registered order No. 567 of the Ministry of Natural Resources and the Environment of Russia of October 17, 2017 “On Approval of the Model Contract for Sale and Purchase of Forest Vegetations” and order No. 693 of the Ministry of Natural Resources and the Environment of Russia of December 20, 2017 “On Approval of Model Lease Contracts for Forest Areas”.

The quota’s volume for the export of veneer logs; outlook of creating a state corporation that will harvest and sell logs to the privite timber industry companies; new typical contracts for lease of forest areas; sales of sawnwood timber to Japan, China and Germany – read in the latest issue of the analytical Journal of Russian Timber Journal №03-2018.