Kyiv, April 25 - It is well-known that the forestry sector’s input into a country’s economy is determined by the degree to which its forestry industry is developed. A round table meeting, which will be held on April 29, 2014 in the Kyiv World Bank Country Office, will be devoted to the analysis of the current state, dynamics and problems of the wood processing industry in Ukraine.
Representatives of line state authorities, members of the Parliament, businessmen, scientists and experts will have the possibility to consider two reports: “Analysis of the woodworking potential of Ukraine and factors that hinder its innovation development” (presented by Sergey Sagal, president of the association for the furniture and woodworking enterprises of Ukraine “Mebelderevprom”) and “Top-priority measures to improve round wood sales conditions in the forestry market of Ukraine” (presented by Valeriy Podkorytov, director of “Vanessa” Ltd.).
The first report will be based on the analysis of the production dynamics, domestic consumption, export and import of timber products will address questions requiring answers in order to be able to build an effective national industrial policy in the forest sector. Why has the production of the main types of timber products in Ukraine stagnated or fallen over the past 6-7 years? What is the reason for the outflow of investment into timber processing development? Can an increase in the export of round wood from the sparsely forested Ukraine be considered the reliable state of things? Does the statement about priority attached to supplying domestic producers with raw material correspond with reality? To what extent do statements about the growing illegality and corruption in the forest sector correspond to the reality? These and related issues will be brought up for a discussion with the meeting participants in order to jointly identify factors hampering forest industry development, and to find solutions which will help improve the situation.
The second report will be an extension of the discussion regarding improving ways to trade in round wood, which was initiated under FLEG I. It will touch upon:
Recommendations for improving trade in round wood, developed under the EU funded FLEG program, will be brought up for discussion. These recommendations include simultaneously using several forms of trade in the domestic market: direct contracts, auctions, retail sales; tracking the history of purchases, investment and logistics when concluding direct contracts; holding auctions for timber importers; changing approaches to pricing and determining the validity period for purchase-sales contracts and other recommendations.