Forestry sector of Ukraine in transition to market economy

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

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

4
Forestry background information Ukraine

• Total area of forest lands -10.8 mln. ha
• Forests covered area - 9.4 mln. ha
• Per cent of forest covered 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
5
Forests ownership
Source SFCU-2003
6
Main relative forestry indicators
Source TBFRA-2000
7
Forest area
Source TBFRA-2000
8
Total growing stock
Source TBFRA-2000
9
Average growing stock
Source TBFRA-2000
10
Annual wood increment use
Source TBFRA-2000
11
Volume of commercial wood logging
Source SFCU
12
Main impacts of transition processes on Ukrainian
Forestry

• Transition from command to market economy - state
  forest enterprises became the subjects of market
  economy
• Decreasing of state budget financing for forestry
  sector
• Unconformity of 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 information
  system 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)

13
Financing of forestry
Source SFCU
14
Total wood export by enterprises of SFCU, thous.
m3
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).
• Presidents Decree aimed to reform forestry of
  Ukraine (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

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.

18
Ukrainian NFP outputs
Source M.J. Schelhaas, M. Cerny, I.F. Buksha et.
all., 2003
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

20
Presidents 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 prepare in 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

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 MCPFE at the
  Vienna Summit in 2003
• Ukraine has began to participate in the United
  Nations Forum on Forests in 2003
• Ukraine became 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

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 ).

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
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)

25
Strategic plan of Ukrainian forest sector
development (2001-2004) lt1gt

• Donor Sweden International Development Agency
  (SIDA)
• Recipient Ukrainian State Committee of Forestry
  
• Partner (Ukraine) - Research Informational Centre
  
• Partner (Sweden) - Scandiaconsult AB

26
Strategic plan of Ukrainian forest sector
development (2001-2004) lt2gt

• 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.

27
Development and testing of the national forest
certification standards (2003-2004) lt1gt

• 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

28
Development and testing of the national forest
certification standards (2003-2004) lt2gt

• 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

29
Swiss-Ukrainian Forest Development Project in
Transcarpathian FOR-ZA (2003-2005) lt1gt

• 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)

30
Swiss-Ukrainian Forest Development Project in
Transcarpathian FOR-ZA (2003-2005) lt2gt

• 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

31
Creating of web-page about Ukrainian Forestry for
EFI Forest Information Service (2002-2004) lt1gt

• 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)

32
Creating of web-page about Ukrainian Forestry for
EFI Forest Information Service (2002-2004) lt2gt

• 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 EFIs Forestry Law
  Database

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

34
The priorities in international co-operation for
Ukrainian forestry are lt2gt

• 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.

35
Thank you for attention !

• Igor Buksha, PhD
• Ukrainian Research Institute of Forestry
  Agroforestry
• Pushkinska str., 86
• Ukraine 61024, Kharkiv, URIFFM
• Tel [phone]
• Fax. [phone]
• E-mail buksha_at_uriffm.com.ua