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Large-scale development projects in Russia – demand for forestry and woodworking solutions

Currently, over 100 forestry and woodworking projects are developed in Russia. These create an expected total investment volume of about $6 billion and the capacity to process over 80 million m³ of raw material. As a result, there is a demand for Finnish solutions.
The forestry and woodworking industry is an important sector for the Russian economy. The country has 82 billion cubic meters of forest, representing 25% of the world’s timber stock. Over 60,000 private companies, employing about 1 million people, specialize in harvesting and production of value-added products. In 2015, investments in Russia’s forestry and woodworking industry increased by 32% to about $1.52 billion.

In other words, Russia is one of the best markets for forestry and woodworking machinery manufacturers.

Forestry sector strategy sets goals

At the end of 2016, a program called the Forestry sector strategy of the Russian Federation until 2030 was developed by the request of the Ministry for Industry and Trade in Russia. The program includes several activities such as the development of domestic demand and exports, large scale technological upgrading as well as investments in production development.

According to the Ministry for Industry and Trade, 121 priority investment projects within forestry and woodworking sector are now under development. Russian producers, especially large holding companies, are thus constantly looking for modern and energy-saving equipment and solutions.

Offering with good market potential include:

  • Harvesting solutions
  • Logging technologies, storage and logistics
  • Machinery and equipment for the production and drying of sawn timber
  • Measuring and optimization systems for round wood yards and sawmills
  • Woodworking equipment, plant and accessories for the production of wood-based materials
  • Machinery and plant for the production and maintenance of machines
  • Firewood processing equipment
  • Waste wood utilization and regeneration
  • Ecological forest management
  • Consultancy

Finnish companies have a competitive advantage on this market. Finland and Russia have a long history of cooperation: Finland enjoys a good reputation in Russia and has achieved a strong position on the Russian forestry and woodworking market. In addition, the availability of Russian speaking staff in Finland and short distances boost the competitiveness of the Finns.

If you are interested in this opportunity, please contact:

Elena Kozhevnikova
Senior Advisor, Finnish-Russian Chamber of commerce – FRCC
e.kozhevnikova@eka.svkk.ru
+7 343 310 17 88

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