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MIL OSI Translation. Region: Russian Federation –

Source: Government of the Russian Federation – An important disclaimer is at the bottom of this article.

Deputy Prime Minister and Minister of Industry and Trade Denis Manturov took part in a meeting of the Union of Timber Producers and Timber Exporters of Russia. The meeting discussed the current situation in the timber industry, the creation of conditions for attracting investment, and the technological sovereignty of the pulp and paper industry.

Denis Manturov at a meeting of the Union of Timber Producers and Timber Exporters of Russia

Deputy Prime Minister – Head of the Ministry of Industry and Trade noted that the President of Russia Vladimir Putin had given a large list of instructions. They touch upon the issues of reorientation of timber products of the North-West region to the domestic market, expansion of construction and mortgage lending in individual wooden house building, provision of benefits for logging activities and support in building new logistics flows. Implementation of these mechanisms helped to stabilize the situation at the enterprises.

“In terms of production volumes last year, the industry practically reached the pre-sanctions level – over Br3.1 trillion. This was primarily due to the growth in domestic demand. Such segments as production of wooden houses, furniture, and various board nomenclature recovered most rapidly. Import substitution also played a major role in those niches where there used to be a significant share of foreign products. After the withdrawal of foreign suppliers of packaging for milk and liquid food products, domestic enterprises launched their own production quite quickly. This made it possible to cover almost 70% of the needs of this segment. As for sanitary and hygienic products, we now almost fully meet the demands of consumers,” said Denis Manturov.

It should be noted that the high-margin segments showed much greater resilience against the background of external constraints. In addition, support continues to be provided to projects to expand capacity in high-margin industries. In this context, the number of priority investment projects (PIP) has increased. Thus, over the last two years, 26 PIPs were initiated for a total of RUB 125 billion. Thus, despite external constraints, the timber industry remains attractive for investment.

“Now it is important not to lose momentum and continue the technological renewal of the industry. This applies to import substitution in terms of forest machine building, machinery, chemical and other components. We are now forming national projects on machine tool building and chemistry, which, among other things, should also reflect the needs of the timber industry,” said Denis Manturov.

Now the industry is restoring export volumes and is primarily focused on friendly countries within the CIS, EAEU and BRICS. In addition, there is a willingness to provide financial and regulatory support to increase the share in the growing markets of Asia and Africa.

Please note; This information is raw content directly from the source of the information. It is accurate to what the source states and does not reflect the position of MIL-OSI or its customers.

Please note; This information is raw content directly from the information source. It is accurate to what the source is stating and does not reflect the position of MIL-OSI or its clients.

EDITOR’S NOTE: This article is a translation. Apologies should the grammar and or sentence structure not be perfect.

MIL OSI News (multilanguage service)