The strategy will not change anywhere

The moratorium on the increasing of the export duties on the round wood was extended till 2010 due to a sharp decline in Russian timber industry, Vladimir Putin said at the Third Russo-Finnish Forest Summit in St. Petersburg.

"I think it is possible to extend the moratorium till 2011, - said Vladimir Putin, but he stressed that Russia was not going to change fundamentally the strategy of the forest sector development up to 2020, which assumes a gradual significant increase of wood processing in the country. "Russia as any other major country could not suit the role of supplier of raw materials on the world stage. It considers any types of raw materials, including hydrocarbons " - Putin stressed. He also pointed that foreign partners knew well that Russian Government planned to raise export duties on round wood 3 years ago, and they had enough time to prepare the relocation of their woodworking plants in Russia.

Putin noticed that so far there were approved only 75 priority projects in Russia's forest sector with investments of 430 billion rubles with the volumes of processing of raw materials at about 68 million cubic meters. "We do not believe the existing problems are an excuse to refuse to modernize the industry, - said Putin. - I want all to hear: we are not going to change the strategy".

Also, Vladimir Putin noticed that the government of Russia had no plans to revise the rules of the impossibility of the privatization of forests. According to the Forest Code the possibility of privatization of forest areas is replaced by the long-term lease with the right of its extension.

Vladimir Putin will commission the first Vice-Prime Minister Viktor Zubkov to consider the possibility of increasing the list of wood, which can be exported duty free. At the moment, there can be duty-free export from Russia of roundwood diameter less than 15 cm

However, the main topic of the Forest Summit was improving the investment climate in the forest industry in Russia. Co-Chairs of the Forest Summit became the first Vice-Prime Minister of Russia Viktor Zubkov and Economic Development Minister of Finland Mauri Pekkarinen. The speakers at the plenary meeting were the Minister of Trade and Industry Minister Viktor Khristenko and Agriculture Minister Elena Skrynnik.

Problems of cooperation between the two neighboring countries in the forest area were also discussed at the round tables on themes - innovation, human and scientific potential of forestry and resources, and others.

Previous Russo-Finnish forest summits were held in 2002 and 2004. in Moscow and Helsinki.

Informational resources: LesPromInform, Russian Forestry Review