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In Vienna Russia looks for investors to timber industry

Russian Chamber of commerce press-conference

From November 30 to December 1, 2016 II International Conference “Pulp and paper industry – New Realities, New Opportunities” will be held in Vienna (Austria). The main objective of the conference is to attract investors to the industry for what is planned to provide a dialogue between business, potential investors and state structures.

On November 23, 2016 at the Chamber of Commerce of the Russian Federation press conference passed where speakers spoke in detail about the advantages and prospects of the industry and the problems it faces, and made comments about the future conference. The event was attended by the President of the Chamber of Commerce of the Russian Federation Sergey Katyrin, head of the Union of Timber manufacturers and forest exporters of Russia Miron Tatsyun and Chairman of the Board specialists’ Association of paper industry Sergey Malkov.

Speakers noted the uniqueness of the timber sector, which consists in the fact that its resources are renewed, as well as large amounts of forest reserves in Russia – on the territory is 25% of total world reserves. M. V. Tatsyun appreciated the potential of the industry to $ 1.5 trillion, provided by efficient processing of materials and improving the investment climate. He also said that timber industry and pulp and paper industries are growing in 2016, despite the difficult economic situation. According to Ministry of Economic Development in 2016-2019 years the average rate of the timber industry will be a grow at 0.7%, and for paper and paperboard can reach 3-3.2%. S. Y. Malkin noted the positive dynamics of investment activity in the industry in 2016, new investment programs and projects.

The main problems of the sector are following:

1. The lack of a unified state regulatory authority;

2. Loading of existing capacities has exceeded 80%, and large investments are needed for further development;

3. The overall decline in the industry, the difficult economic situation in the country;

4. An unfavorable investment climate;

5. The rise in price of imported equipment in connection with the fall of the ruble.

During the press conference, the speakers answered the questions of cultural and political magazine “E Vesti” about the upcoming conference and the global position of the domestic pulp and paper products:

E Vesti: What are your expectations from the upcoming exhibition?

S. N. Katyrin:: It is difficult to expect from this kind of event an instant impact, it is work for the long term. We expect the appearance of interested people, which would have come to the Russian market with its funds and put them in the timber industry.

E Vesti: How are our products perceived in the world today?

M. V. Tatsyun: As for the quality of our products – if it does not match, then no one will buy it. We have problems in the pulp and paper industry of deep processing, but not so much in quality as in volume. Production is not enough. The ratio quality / price have approached to that which is on the world markets at the moment.

Source: Russian Chamber of Commerce