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Forestry sector of Ukraine in transition to market economy

Forestry sector of Ukraine in transition to market economy. Igor Buksha, Ukrainian Research Institute of Forestry & Agroforestry. Context. Background Characteristic of forestry and timber logging Impacts of transition processes on forestry Recent changes in the legislative frameworks

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Forestry sector of Ukraine in transition to market economy

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  1. Forestry sector of Ukraine in transition to market economy Igor Buksha, Ukrainian Research Institute of Forestry & Agroforestry

  2. Context • Background • Characteristic of forestry and timber logging • Impacts of transition processes on forestry • Recent changes in the legislative frameworks • Projects in line with Resolution H3 • The role of UN-ECE/FAO ToS • The priorities in international co-operation UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  3. General background information: Ukraine • Area - 603,500 km2 • Population (January 1, 2001) - 49.3 million • Over 100 nationalities and ethnic groups (of which 73% are Ukrainian). • Climate - temperate continental (excluding of subtropical climate on the Crimean South Coast) • 5 different eco-zones - Mixed forests, Forest-Steppe, Steppe, Carpathians and Crimea Mountains. • A big difference in condition of forests growth between different eco-zones UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  4. Forestry background information: Ukraine • Total area of forest lands -10.8 mln. ha • Forests covered area - 9.4 mln. ha • Per cent of forestcovered lands - 15.6% (in Steppe zone - lower then 5%, Forest Steppe -16%), Mixed forests - 30% and Carpathians - around 70%) • Coniferous forests - 42%, hardwood forests - 43%, 15% - softwood broadleaves and shrubs • Average growing stock - 186 m3 / ha • Average change of stock - 3.8 m3 / ha • Total growing stock - 1.7 billion m3 Source: SFCU-2003 UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  5. Forests ownership Source: SFCU-2003 UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  6. Main relativeforestry indicators UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004) Source: TBFRA-2000

  7. Forest area Source: TBFRA-2000 UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  8. Total growing stock UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004) Source: TBFRA-2000

  9. Average growing stock UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004) Source: TBFRA-2000

  10. Annual wood increment use UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004) Source: TBFRA-2000

  11. Volume of commercial wood logging UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004) Source: SFCU

  12. Main impacts of transition processes on Ukrainian Forestry • Transition from command to market economy - state forestenterprises became the subjects of market economy • Decreasingof state budget financing for forestry sector • Unconformityof national forest legislation to socio-economics and market transformations • Deteriorated of wood-processing sector, sharp reduction of consumer demand on internal market of wood • Harvested timber decreasing and simultaneous increasing of the growing stock (using of increment is 30-40%) • Discrepancy of forest management informationsystem to the modern requirements • Increasing of volume of wood export (in 6-7 times for 5 last years) • Contamination of forests (about 3,5 mln. ha is contaminated after Chernobyl disaster) UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  13. Financing of forestry UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004) Source: SFCU

  14. Total wood export by enterprises of SFCU, thous. m3 UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004) Source: SFCU

  15. Recent changes in the legislative frameworks • New Land Code of Ukraine (adopted by the Parliament, 2001) • State Programme “Forests of Ukraine 2002-2015” (Government resolution №581 on 29.04.2002). • President’s Decree aimed to reform forestry of Ukraine (2004) UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  16. The new Land Code of Ukraine • Has established a legal basis for private land property • Provides equality of state, municipal and private property on forests • Forest plots with area less than 5 ha which located into private lands can become private status • Private forests can be planted on the former agricultural lands which are not used for conducting of agriculture UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  17. Objectives of State Programme “Forests of Ukraine 2002-2015” • to extend forest covered territory to the optimal level; • to improve the productivity of forest; • to conserve biological diversity in forests; • to increase forest ecosystems resistance to negative impacts and climate change; • to improve forest management legislation according to international principles of SFM; • to intensify state control for protection, conservation, exploitation and regeneration of forests; • to encourage the development of forest research and education; • to improve social protection of forestry workers. UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  18. Ukrainian NFP outputs Source: M.J. Schelhaas, M. Cerny, I.F. Buksha et. all., 2003 UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  19. The main disadvantage on transition process The State Committee of Forestry and state forestry enterprises fulfill combined functions of the control, administration, legislation with functions of forest management and commercial activities UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  20. President’s Decree aimed to reform forestry of Ukraine (2004) • To divide function of state control and state management, to create two independent institutions - forest inspection and forest administration • To preparein 2004 of new Forest Code according to changed socio-economics conditions • To lead State Forest Inventory for all forests in Ukraine • To harmonize national forest statistics with the requirements of the EU UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  21. Backgrounds for international cooperation of Ukrainian Forestry • Ukraine has joined to the process of implementation of the MCPFE resolutions: S1-S4, H1-H4, L1, L2, V1-V5 (except resolution S5) • Ukraine has signed resolution S1 of MCPFEat the Vienna Summit in 2003 • Ukraine has began to participate in the United Nations Forum on Forests in 2003 • Ukrainebecame a member of FAO in 2003 • Ukraine has ratified Kyoto Protocol on the UN Framework Convention on Climate Change in 2004 • Ukraine has joined to the Convention on Biodiversity UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  22. Cooperation under ToS umbrella helped of Ukraine: • to compare the national forest management of Ukraine with the other European countries and to determine its adequacy to pan-European criteria of sustainable forest management; • to find out compatibility of Ukrainian forestry strategies to European ones; • to start the activity on harmonisation of the national forest statistics with the international requirements; • to develop modern forestry normative base with the attention to the international experience; • to start exchange of knowledge and technologies (e.g. information on forest inventory and monitoring ). UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  23. Projects in line with Resolution H3 • UN-ECE ICP Forests (ongoing from 1989) • UN-ECE/FAO TBFRA-2000 (completed) • EU INCO-Copernicus “SCEFORMA” (completed) • IPGRI-EUFORGEN (completed) • UN-ECE/FAO EFSOS (completed) Source: Romanovskyy V., Buksha I., Kravets P., 2002 UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  24. Recent projects in line with Resolution H3 • Strategic plan of Ukrainian forest sector development (2001-2004) • Development and testing of the national forest certification standards in Ukraine (2003-2004) • Swiss-Ukrainian Forest Development Project in Transcarpathian, “FOR-ZA” (2003-2005) • Creating of web-page about Ukrainian Forestry for Forest Information Service of EFI (2002-2004) UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  25. Strategic plan of Ukrainian forest sector development (2001-2004) <1> • Donor – Sweden International Development Agency (SIDA) • Recipient – Ukrainian State Committee of Forestry • Partner (Ukraine) - Research Informational Centre • Partner (Sweden) - Scandiaconsult AB UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  26. Strategic plan of Ukrainian forest sector development (2001-2004) <2> Project content: Development of the strategic plan of forest sector development in Ukraine. Expected results: • Proposals of changes in forest legislation • Proposals on forest sector institutional structure improvement • Proposals of strategic and technical decisions on timber trade development at the local and international market • To test methods of forest management and planning, oriented towards income increase, which observe environmental aspects. UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  27. Development and testing of the national forest certification standards (2003-2004) <1> • Donor – Alliance of World Bank and WWF • Recipient – National Agricultural University of Ukraine • Partner (Ukraine) – National Agricultural University of Ukraine • Partner (Germany) – GFA Terra Systems GmbH UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  28. Development and testing of the national forest certification standards (2003-2004) <2> Project content: to establish of the national initiative and to compete of working group for developing and testing of the national forest certification standards in Ukraine (coordinated with FSC guidance) Expected results: the Ukrainian national forest certification standards UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  29. Swiss-Ukrainian Forest Development Project in Transcarpathian “FOR-ZA” (2003-2005) <1> Donor – Swiss Agency for Development and Cooperation (SDC) Recipient – Ukrainian State Committee of Forestry Partner (Ukraine) - Transcarpathian Forest Administration Partner (Switzerland) – Swiss Organization for Development and Cooperation (Intercooperation) UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  30. Swiss-Ukrainian Forest Development Project in Transcarpathian “FOR-ZA” (2003-2005) <2> Project content: project addresses the need for the forestry of Transcarpathian to adapt to the new socio-economic environment, takes a landscape approach to sustainable management of forest resources and conservation. Expected results: • To diversify and further strengthen multi-purpose forest management planning and close-to-nature silviculture, in order to sustain forest functions and enhance productivity of forests goods and services. • To strengthen forest policy in order to enhance the contribution of forests to socio-economic development and to landscape protection, particularly in relation to natural disasters. • To valorize forest products and forest services for the economic benefits of the local population UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  31. Creating of web-page about Ukrainian Forestry for EFI Forest Information Service (2002-2004) <1> Donor – European Forest Institute (EFI) Recipient – Ukrainian State Committee of Forestry Partner (Ukraine) - Ukrainian Research Institute of Forestry and Forest Melioration (URIFFM) Partner (Finland) - European Forest Institute (EFI) UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  32. Creating of web-page about Ukrainian Forestry for EFI Forest Information Service (2002-2004) <2> Project content: Creation of a web-page “Forests and Forest Management in Ukraine”, in the format proposed of EFI (under requirement of FINE project). Expected results: • creating web pages with regional information about Ukrainian forestry • compiling a links on timber and wood products companies, small and medium forest-related enterprises etc. • Ukrainian contribution to the EFI’s ‘Forestry Law Database’ UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  33. The priorities in international co-operation for Ukrainian forestry are: • To level up forestry information exchange, to improve the system of collecting, analysis and distribution of forest information, to create electronic data bases and sources in Internet; • To develop forest policy tools, to improve forest legislation and to harmonize forestry normative base according to European standards; • To broaden the practice of research institutions co-operation in sustainable forest management and improvement of forest management systems, • To develop the modern modelling and prediction methods of forest dynamics under environmental change, monitoring and forest certification implementation, improvement of ecological, economical and social forest resources assessment; UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  34. The priorities in international co-operation for Ukrainian forestry are <2>: • To implement experience and technologies exchange programmes and specialists training; • To receive a technical support for the implementation of pan-European programmes (e.g. UN-ECE ICP Forests); • To develop modern technologies of forest inventory, integrated forest monitoring, GIS-systems; • To promote co-operative international projects on carbon sequestration and climate change mitigation (joint implementation projects); • To develop programmes of forest products using as a renewable energy source. UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

  35. Thank you for attention ! Igor Buksha, PhD Ukrainian Research Institute of Forestry & Agroforestry Pushkinska str., 86 Ukraine 61024, Kharkiv, URIFFM Tel: + 00 380 57 7078049 Fax. + 00 380 57 7041009 E-mail: buksha@uriffm.com.ua UNECE/FAO - 6th meeting of the ToS (Warsaw, 3-6 March 2004)

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