Business news from Ukraine

Business news from Ukraine

Lesy Ukrainy State Enterprise earned more than UAH 8 bln in profits and paid UAH 15 bln in taxes in 2025

In 2025, the state-owned enterprise Lesy Ukrainy earned more than UAH 8 billion in profits, paid more than UAH 15 billion in taxes, and invested about UAH 2 billion in its restoration and development, according to the company’s CEO Yuriy Bolokhovets on Facebook.

He also noted that during the war, foresters were able to implement the president’s “Green Country” program and planted 1 billion trees, saved tens of thousands of hectares of self-seeded and undistributed forests, and reduced the area of fires by four times despite constant shelling.

“The company’s performance is not a coincidence or a gift of fate. It is the result of a consistent policy of strong centralized management and control, transparent procurement, and open and competitive sales,” Bolokhovets emphasized.

At the same time, he noted that “the pre-reform fragmented and corrupt system did not achieve even a tenth of the results of the Lesy Ukrainy state enterprise, but remained a source of enrichment for the select few.” That is why, according to the head of the state-owned enterprise, forest reform still faces fierce resistance, as shadow schemes and profits always find supporters. The remnants of the old system are finding new allies, he explained.

“The pressure and persecution that continued this year are not about me personally. These are attempts to stop the changes that, for the first time since independence, have made forests a truly state resource,” emphasized the CEO of Lesy Ukrainy, thanking the team of foresters who have come through this year with dignity, maintained unity, and delivered results.

Among the plans for 2026, Bolokhovets mentioned the digitization of management, new global control systems, mechanization and increased harvesting, and large-scale demining projects.

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State Enterprise “Forests of Ukraine” sold 17,000 Christmas trees and intensifies raids

Since the end of November, State Enterprise “Forests of Ukraine” has sold over 17,000 Christmas trees worth UAH 3.5 million and has begun raids to detect illegal logging, with fines tripled ahead of the New Year holidays, the state enterprise’s press service reported on Telegram.

According to the report, the largest number of Christmas trees were sold in the branches of the Central Forest Office (6,900), the Northern Forest Office (3,700), and the Polissya Forest Office (3,400).

The average price of one Christmas tree sold is UAH 202 including VAT. In total, the state-owned enterprise plans to sell about 140,000 coniferous trees based on the experience of the previous Christmas and New Year season.

“Forests of Ukraine” reminded that branches of the state-owned enterprise organize retail trade at more than 300 trading sites: in forestry enterprises, fairs, and markets in populated areas. Information about the places of sale and contacts of responsible persons is posted on the website of the state-owned enterprise “Forests of Ukraine.”

In addition, Christmas trees can be pre-ordered by calling the nearest forestry office that sells them. After that, you can come, pay (payment can be made through a terminal in the forestry office/forestry department, at a bank branch, or through online banking), and pick up your New Year’s tree.

Prices for New Year’s conifers have remained almost unchanged compared to last year, averaging between 210 and 250 UAH. Spruce/fir trees cost between 240 and 280 UAH. The cheapest Christmas trees are offered by foresters in the wooded areas of the North and Polissya. For example, in Volyn, a 1.5-meter pine tree costs 180 UAH, and in Sumy and Chernihiv regions, 170 UAH. Prices are slightly higher in low-resource regions in the east and south and near large cities.

Some branches of the State Enterprise “Forests of Ukraine” offer Christmas trees in containers. Prices start at 500 UAH, depending on size.
At the same time, to protect coniferous plantations during the Christmas and New Year period, branches of the State Enterprise “Forests of Ukraine” have formed 295 mobile raid groups, comprising almost 1,000 people.

The raid groups conducted 385 joint raids, during which they detected 34 cases of illegal felling of coniferous trees and drew up 28 administrative reports totaling more than UAH 14,000.

The amount of the fine depends on the location of the illegally cut Christmas tree and its diameter at the root collar for trees up to 41 years old: up to 10 cm – 893 UAH (in nature reserves – 7,600 UAH); 10.1-14 cm – 1,500 UAH (13,300 UAH); 14.1-18 cm – over 4,000 UAH (34,700 UAH).

“In December and January, fines are three times higher! In case of significant damage (from 30,200 UAH) from the felling and sale of illegally felled trees, criminal punishment is provided!” – warned the state-owned enterprise.

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State Enterprise “Forests of Ukraine” to become joint-stock company

The Cabinet of Ministers is transferring State Enterprise “Forests of Ukraine” to the status of a joint-stock company, but 100% of the shares will remain in state ownership, Prime Minister Yulia Svyrydenko announced.

“Today, at a government meeting, a number of decisions were made that are important for the stability and development of the forestry industry. State Enterprise ”Forests of Ukraine” is transitioning to the status of a joint-stock company. We are doing this to ensure a more effective corporate governance model with transparent reporting and to increase the competitiveness of the enterprise,” Svyrydenko wrote on Telegram following the results of Friday’s government meeting.

According to her, the transformation of the enterprise into a joint-stock company does not imply privatization—100% of the shares remain in state ownership.

Subsequently, the prime minister’s message was edited, and information about this decision was removed.

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“Forests of Ukraine” saved UAH 700 mln on Prozorro tenders in 2025

In 2025, the state-owned enterprise “Forests of Ukraine” held tenders for the purchase of goods and services worth over UAH 10 billion, as a result of which it was able to save UAH 700 million, the press service of the state-owned enterprise reported on Tuesday.

According to the report, the top three categories of purchases were: logging and related services; fuel; vehicles, equipment, spare parts, and related services.

“97% of the procurement budget is directed through tenders on Prozorro. This is the highest figure not only since the establishment of the enterprise, but also in the entire history of Ukrainian state forestry,” the state-owned enterprise emphasized.

Lisy Ukrainy noted that the most revolutionary changes took place in the procurement of logging services, where traditionally contractors harvest about 80% of the timber, and the remaining 20% is harvested by the enterprise’s own teams. Prior to the reform, state forestry enterprises entered into direct contracts for harvesting without conducting a competitive procedure. Currently, 100% of logging services are procured through Prozorro.

The state-owned enterprise stated that since the beginning of the year, more than 2,000 tenders have been announced, and more than 1,500 procedures have been successfully completed for a total of UAH 2.7 billion.

At the same time, Lisy Ukrainy has centralized and demonopolized fuel purchases and now has several suppliers selected through tenders. The enterprise was able to save up to UAH 12 on each liter of fuel.

The state-owned enterprise added that it was able to achieve high results thanks to well-established communication with businesses, distributors, and manufacturers. This helped to adapt the terms of tenders to market realities and attract the widest possible range of participants to the tenders.

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“Forests of Ukraine” sold 100% of lot at forward trading for 2026

For the third time, the state-owned enterprise “Forests of Ukraine” held an exchange auction with the possibility of concluding forward contracts for the first half of 2026 for a period of six months at a fixed price for the purchase of forest products, as a result of which 100% of the volume put up for auction was contracted, the press service of the state-owned enterprise reported.

“Forests of Ukraine” recalled that it put up for auction 465 lots with a volume of 1.4 million cubic meters of forest products (35% of the planned volume of half-yearly timber harvesting for commercial sale) and informed market participants in advance about the volume and structure of the lots.

“Both firewood and roundwood were sold at 100% of the volumes put up for auction,” the statement said.

The company set the starting prices at the auction at the level of the starting prices for the fourth quarter of 2025, which turned out to be significantly lower than the current sales prices. The average selling price for commercial pine in the fourth quarter was UAH 5,900/cubic meter, while the starting price for forward trading was UAH 3,900/cubic meter. Industrial firewood (PV) from coniferous species was sold for UAH 2.3 thousand/cubic meter, while the starting price was UAH 1.3 thousand/cubic meter.

During the auction, commercial pine rose in price to UAH 6.2 thousand/cubic meter, and PV firewood from coniferous species rose to UAH 2.4 thousand/cubic meter. Compared to the general auction in the fourth quarter, beech rose the most in price, to almost UAH 7 thousand/cubic meter (+52%).

The State Enterprise “Forests of Ukraine” assured that it would ensure the delivery of all timber sold under forward contracts. As of November 17, the fulfillment of forward contracts for the second half of 2025 is 75% and corresponds to the planned indicator.

As for supplying firewood to energy companies, the state-owned enterprise is a regular participant in tender procedures for the purchase of wood for state customers in accordance with the Law “On Public Procurement.”

Lesy Ukrainy has attracted the attention of energy-generating enterprises, as foresters are ready to supply more than 1 million cubic meters of logging residues for their needs.

The state-owned enterprise added that more than 40% of the firewood has already been sold to the population and social facilities at fixed prices for the heating period.

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State Enterprise “Forests of Ukraine” launches autumn forestry campaign, “Green Country” program comes to end

State Enterprise “Forests of Ukraine” has launched an autumn forestry campaign, which will see the completion of the President’s “Green Country” program to plant a billion trees. The billionth tree is planned to be planted in a month. According to the head of the enterprise, Yuriy Bolokhovets, the main goal of the initiative is not only to achieve a quantitative indicator, but also to restore ecosystems and form a culture of responsible attitude towards nature.

“The restoration of Ukrainian forests and the increase in the area of forest reserves should unite Ukrainian society and draw attention to the problems of ecology and biodiversity conservation. Forest restoration is part of the restoration of our country,” Bolokhovets said.

During the final stage of Green Country, special attention is being paid to creating new forests in regions where they did not previously exist, or restoring areas destroyed by military operations, fires, or illegal logging.

The first autumn planting took place in the Kyiv region, in the Khotianiv Forestry (Dymerske Forestry) near the village of Nyzhnia Dubechnya. Last year, almost a hectare of young forest burned down in this area after a rocket strike. In total, since the beginning of the year, more than 60 hectares of forest have been destroyed in the Dymer Forestry due to UAV and rocket strikes.

Pupils from the Vyshedubechansky school forestry, students from the National University of Life and Environmental Sciences of Ukraine, and children of forestry workers joined in the restoration efforts.
“We are creating new forests for future generations of Ukrainians, so it is very important to instill in our children and young people a love for the forest and a responsible attitude towards it,” emphasized the head of the State Enterprise “Forests of Ukraine.”

The restoration of the destroyed area is being carried out using modern technology: rowan, birch, and viburnum are being planted along with pine trees. This combination of species promotes better seedling survival, maintains biodiversity, and reduces the risk of fires.

Pine seedlings with a closed root system are grown at the selection and seed center in Zhytomyr region.
Over the next few weeks, the autumn forestry campaign will start in all of the company’s forestry operations.

According to Bolokhovets, “Green Country” is a joint project that symbolizes the future: “We are restoring forests together with children, schoolchildren, and students — after all, this is the country in which they will live and work.”

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