'Russian Market of timber & sawn wood 2016' conference - Highlights
On 3 March 2016 the 1st International conference 'Russian Market of Timber and Sawn Wood 2016' took place in Moscow.
The event gathered regulators and representatives of large, medium, and small businesses: producers, suppliers, traders, wood conversion and processing companies. Experts from Russia, Belarus, Finland, Austria, and China discussed new timber and sawn wood trading instruments, domestic market trends and timber export issues, exchange trade prospects, new environmental standards, internal processing market aspects, regulatory changes and many other questions.
Much attention was focused on how the provisions of forestry legislation have been applied since the effective date of Federal Law No. 415 of 28.12.2013 amending Forest Code. Business community thinks that main problem here is about record keeping and tracking the wood from harvesting to transportation, and it is caused by the lack of data storage rules and procedures.
Conference participants also highlighted the big problems with filling out accompanying documents, since their status is not formalized in wood-related transaction declarations.
One of the most debated topic was the application of various timber and sawn wood production trading instruments in the domestic market. Saint Petersburg International Mercantile Exchange (SPIMEX) shared their plans regarding future exchange operations. In particular, those include the increase of sawn wood sales, implementation of railway station base concept, with the organization of cargo transportation to the destination point, creation of local hubs based on traditional wood transshipment railway stations, and the expansion of trading geography.
Reviewing their experience regarding the organization of timber sales in Belarus, the representative of the Belarusian Universal Commodity Exchange suggested that there should be created a working group, to deal with pricing issues and standards of timber trading in Russia and Belarus.
According to the conference speakers, Russian deep wood-processing market has begun developing, which might contribute to the economic growth of the country. Plywood is becoming one of the most profitable sectors of the industry, and its export volumes to EU are growing.
The panel also discussed FCS and SBP certification process Russian companies have to go through, development of forestry-related environmental standards, and the prospects of intensive forest cultivation.
[Photo courtesy of MAXConference]