Due to the export of Lithuanian timber, the local industry is experiencing an increasing shortage and price of raw materials. The deficit of Lithuanian wood raw materials is also increased by the sanctions imposed on the import of Belarusian timber, but the Lithuanian Ministry of Environment states that specific actions are planned to prevent the export of timber.
According to Valdas Kaubre, Director General of the Lithuanian State Forest Enterprise (SFE), there are several main reasons for the increase in the price of wood raw material on the market.
“Demand is influenced by the market. The need is, of course, that all wood processors compete for that amount, because wood is a limited resource, the use of which is approved by the Government and the Minister of the Environment, ”a representative of the SFE said.
According to V. Kaubre, a couple of years ago the price of wood had fallen to record lows, the rise began last year. According to the representative of the SFE, the price of wood raw material increased by 40% last year, and this year it is about one-fifth higher.
Promises to take action
The Lithuanian Ministry of Environment says the timber sector is heavily affected by the sanctions imposed on timber imports from Russia and Belarus.
“Lithuania imported timber from both Belarus and Russia. Now those imports have stopped and in fact we have a wood deficit in Lithuanian conditions, ”Danas Augutis, Deputy Minister of the Environment, said.
Raimundas Beinortas, the head of the Lithuanian Wood Association, says that when Lithuanian industry is feeling the growing shortage of local raw materials, it is necessary to address the issue of wood exports.
“For this reason, knowing what might happen, Estonians and Latvians have closed their markets in the same way. In principle, Lithuania has remained the only country in the region for many years, where anyone can buy wood, ”said R. Beinortas.
The Lithuanian Ministry of Environment says it plans to take action to prevent additional timber exports from Lithuania.
“We cannot directly restrict (exports – ELTA), because there is free trade between the countries of the European Union. However, we plan to change the trade rules and fix the amount of wood purchased according to those trade rules, ”the Deputy Minister assured.
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