Russian government will back new paper mills

Feb 20, 2009. /Lesprom Network/. President of Russia Dmitry Medvedev said the government would support the creation of pulp and paper mills close to the country's borders to export more value-added products, as The Moscow Times informed Lesprom Network. "The task of setting up new pulp mills remains a pressing issue for our country," Medvedev said during a government meeting in Chita, Russia. Last November, Russia delayed an increase in timber-export duties that were scheduled to come into effect this year. The country planned to introduce the tariffs in an effort to develop the domestic forestry industry and curtail exports of unprocessed wood. Russia, the world's biggest timber producer, imports a third of all the timber-derived products it consumes, the Economic Development Ministry said last year. The biggest producers of pulp and paper in Russia include South Africa's Mondi Group and Ilim Group, part-owned by International Paper.