Business news from Ukraine

Business news from Ukraine

State company “Forests of Ukraine” to supply Slovakia with more than 100 thousand pine and spruce seedlings

The state enterprise “Forests of Ukraine” has signed an agreement to supply 110,000 pine and spruce seedlings with a closed root system (CRS) to Slovakia, said the company’s CEO Yuriy Bolokhovets.

“We are replacing raw material exports with products of our own production. (…) We are negotiating the purchase of seedlings with a number of clients. Not only European ones,” he wrote on Facebook.

Bolokhovets recalled that for the first time, the Lviv Seed Breeding Center of the State Enterprise “Forests of Ukraine” exported seedlings in 2022. The feedback from European customers was positive. Therefore, in 2023, the state-owned enterprise again received a large contract.

The CEO of the state-owned enterprise noted that one of the advantages of planting material from the SCA is the ability to plant it almost all year round, which greatly simplifies the work of foresters. At the same time, the cost of creating a forest is reduced by 35%. After all, modern plants require much less seeds, fertilizers, space, and post-planting maintenance, as seedlings with SCA have more growth energy.

Currently, forest seed plants of the State Enterprise “Forests of Ukraine” operate in Zhytomyr, Ternopil, Khmelnytsky, Lviv, and Kirovohrad regions. This year, another center in Ivano-Frankivsk region has already been launched.

“Our goal is to produce 40 million seedlings per year with SCA. Most of them are intended for Ukraine, but we plan to increase exports as well,” summarized the CEO of the State Enterprise “Forests of Ukraine”.

As reported, Ukraine launched a forestry reform in 2016. As part of it, the sale of raw wood at electronic auctions has already been introduced. Since 2021, an interactive map of wood processing facilities has been operating in a test mode in a number of regions.

The industry has implemented the Forest in a Smartphone project, which contains a list of logging tickets for timber harvesting and allows you to check the legality of logging on the agency’s online map.

On June 1, 2023, Ukraine launched a pilot for the electronic issuance of logging tickets and certificates of origin of timber. In addition, the State Enterprise “Forests of Ukraine” has launched a pilot project to procure timber harvesting services through the electronic platform Prozorro.

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