Ukraine’s Ambitious Bid to Dominate World Timber Market, Ousting Russia and Belarus

"Ukraine set to dominate global timber market as Russia and Belarus falter, says Deputy Head of Ukrainian President's Office"

In recent years, Russia and Belarus have dominated the global timber market. However, Ukraine is now positioning itself to take over as a major player in the industry. Rostyslav Shurma, Deputy Head of the Ukrainian President’s Office, emphasized the significance of Ukraine’s potential in the timber market during a meeting of the working group focused on reforming the forest industry.

Shurma expressed Ukraine’s aspirations to develop a large and efficient wood products industry, with a focus on increasing the production of various wooden goods such as furniture components, MDF, parquet, timber, construction materials, cellulose, paper, and more. This move is part of the country’s ongoing efforts to boost economic growth and create new job opportunities for its citizens.

Ukraine is home to vast forests that cover almost 16 million hectares of land. This makes the country one of the largest forested areas in Europe. Despite this, the country has not fully capitalized on its timber resources, mainly due to a lack of investment in the sector and outdated forest management practices.

However, with the government’s renewed focus on reforming the forest industry and attracting foreign investment, Ukraine is poised to become a major timber supplier in the global market. The country’s strategic location also makes it an attractive destination for timber exporters, with easy access to major waterways and transportation networks.

The Ukrainian government has already taken steps to attract foreign investors to the timber sector. In 2019, the country launched a new electronic auction system for the sale of timber. This new system aims to increase transparency and competition in the industry, while also providing a more efficient way for investors to access timber resources in the country.

The government has also introduced a number of incentives for investors, including tax breaks and subsidies for the construction of new wood processing facilities. These measures are designed to encourage investment in the sector and create new jobs for Ukrainians.

The potential benefits of Ukraine’s timber industry are not limited to the domestic economy. With the global demand for wood products on the rise, Ukraine’s emergence as a major timber supplier could have a significant impact on world markets. As Russia and Belarus face increasing competition from Ukraine, the global timber market could see a shift in supply and demand.

In conclusion, Ukraine’s timber industry has the potential to become a major driver of economic growth and job creation in the country. With the government’s renewed focus on reforming the sector and attracting foreign investment, Ukraine is well-positioned to become a major player in the global timber market. As the country continues to develop its wood products industry, the world will be watching to see how this emerging market evolves in the years to come.

John O Mahony

John O Mahony

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