Business news from Ukraine

“Forests of Ukraine” put up surplus firewood for auctions

The State Enterprise “Forests of Ukraine” is starting to sell surplus firewood for industrial use to domestic and foreign buyers and is ready to provide additional services to non-residents, the press service of the state company reported on Facebook.

“The State Enterprise “Forests of Ukraine” is starting to hold the first auctions with additional services for non-resident companies. In particular, we offer delivery from the warehouse and loading of products into railway cars, as well as customs clearance of products,” the statement said.

According to the report, as the heating season approaches its end, state forestry enterprises have accumulated surplus fuel wood, most of which is industrial firewood. Currently, only industrial pine firewood is up for auction.

Since last year, the selling price of such firewood has fallen from UAH 1,350 per cubic meter to UAH 950 per cubic meter. The products were sold at the main and then at additional auctions. However, even with a one-third reduction in price, the Ukrainian market is not ready to consume all the resources put up for auction.

At the same time, the Forests of Ukraine noted that the volume of wood is sufficient to satisfy both Ukrainian processors and non-resident buyers.

As reported, in 2023, the volume of logging in Ukraine amounted to 15.7 million cubic meters of wood of all types of felling, 13.1 million cubic meters of which were harvested by state forestries.

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Woodworkers of Ukraine are asked not to introduce licensing for export of firewood

The Association of Woodworking Enterprises of Ukraine public union asks the government not to impose licensing and quotas on the export of fuel wood from Ukraine, as this may upset the balance in the industry and lead to attempts to manually control the work of enterprises.

The negative impact on wood processing of the possible introduction of licensing or export quotas was reported on the association’s website on Friday.

It is clarified that the organization asks the Cabinet of Ministers not to adopt the relevant changes to Decree No. 1424 of December 29, 2021 regarding exported fuel wood in the form of logs, logs, brushwood, branches, knots, wood chips or cod, sawdust, cod, shavings, debris and wood waste and scrap, agglomerated or non-agglomerated, fuel briquettes and pellets.

“While the Ukrainian economy needs to be supported like never before, the Cabinet of Ministers may adopt changes to the legislation that will actually lead to an increase in the number of corruption schemes, pressure on woodworking enterprises and a decrease in the investment attractiveness of Ukraine,” the association emphasizes.

In addition, it is noted that the adoption of this document may lead to the fact that, under the guise of providing the domestic market with fuel lumber, the process of manual control over enterprises engaged in the corresponding production will begin to be set up.

Reportedly, the activities of the industry are already controlled by authorities, including when commissioning the necessary equipment, hiring workers, obtaining environmental permits, etc. The introduction of wood processing licensing will allow these departments to openly demand funds from exporting enterprises.

“We ask the Cabinet of Ministers of Ukraine not to accept this document, to hold additional discussions on this issue with representatives of business and the public in order to make effective decisions for the industry and the country’s economy as a whole,” the association quotes its head Pavel Vasiliev.

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