The imports of timber goods with high added value to Russia will exceed $2 billion in 2005: expert

Nov 16, 2004. /Lesprom Network/. The imports of timber goods with high added value to Russia are expected to exceed $2 billion. Advanced procession of Russian round timber and semi-finished products is carried out in neighboring countries – Finland, Germany and Italy. The following announcement was made by Titan group of companies director on development Irina Pinyagina during the press conference titled ‘The problems of Russian timber sector economic development’. According to Irina Pinyagina, in order to fulfill the intensive growth of production that may possibly increase 3 times compared to the present volumes, the enterprise should at least double the production at present. Most companies operating in the timber sector are stock-exchange companies, and their activity is regulated in accordance with the tax, tariff and legal legislation in force. However the drawbacks of the normative and legal system have a negative effect on the operation of timber industry companies. ‘Russia has no leading institution that would bear the responsibility and coordinate the activity of all the branches of power, as well as all the participants of forest industry relations’ Natalya Pinyagina said. ‘A respectable public organization should be established for these purposes. However the conflicts between the governmental agencies and departments, as well as corporate wars make it impossible to create such an organization at the present stage.’ According to Pinyagina, the cooperation between Russian authorities and major timber companies should be based on the long-term strategic agreements, defining the ways, terms and conditions of the fulfillment of socially-directed initiatives, as well as special agreements regulating foreign investments, land and forest usage special privileges.