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Business insists on mandatory revision of the draft law on the timber market

21/ 10/ 2021
  On October 22, the Verkhovna Rada plans to consider the sectoral draft law on the timber market (№4197-d). The business has long been talking about the importance of adopting a comprehensive draft law that would introduce effective mechanisms to regulate the timber market. It is worth noting that the updated version of draft law 4197-d took into account certain important proposals from businesses. These are provisions that provide a mechanism for the sale of timber on the terms of the offer in parity with the auction and the restructuring of state forestry enterprises by separating the woodworking units of state forestries. At the same time, EBA experts insist on the mandatory revision of the draft law with consideration of the following business proposals. Firstly, a cascade auction should be established for the timber. In our opinion, priority access to the resource should be provided to companies that have production facilities and carry out wood processing in Ukraine. Secondly, it is necessary to significantly revise and simplify the rules for the administration of operations with wood products. According to business, they are not only excessive but also inappropriate given the specifics of the market. Businesses find it inexpedient to declare transactions related to wood products, instead of focusing on declaration of the procurement and sale (resale) of wood. Thirdly, it is worth reviewing the list of wood products that require a certificate of origin and excluding products that are not of primary wood processing from it. The EBA continues to develop proposals for the wording of the draft law, which will be provided additionally. Thus, the business community expects that its comments and suggestions will be considered in the process of further revision of the draft law. From our part, we are ready to provide our expert support to develop a document that would systematically solve the problems of the industry and give impetus to its growth.   Be the first to learn about the latest EBA news with our Telegram-channel – EBAUkraine.

On October 22, the Verkhovna Rada plans to consider the sectoral draft law on the timber market (№4197-d). The business has long been talking about the importance of adopting a comprehensive draft law that would introduce effective mechanisms to regulate the timber market. It is worth noting that the updated version of draft law 4197-d took into account certain important proposals from businesses. These are provisions that provide a mechanism for the sale of timber on the terms of the offer in parity with the auction and the restructuring of state forestry enterprises by separating the woodworking units of state forestries.

At the same time, EBA experts insist on the mandatory revision of the draft law with consideration of the following business proposals. Firstly, a cascade auction should be established for the timber. In our opinion, priority access to the resource should be provided to companies that have production facilities and carry out wood processing in Ukraine. Secondly, it is necessary to significantly revise and simplify the rules for the administration of operations with wood products. According to business, they are not only excessive but also inappropriate given the specifics of the market. Businesses find it inexpedient to declare transactions related to wood products, instead of focusing on declaration of the procurement and sale (resale) of wood. Thirdly, it is worth reviewing the list of wood products that require a certificate of origin and excluding products that are not of primary wood processing from it. The EBA continues to develop proposals for the wording of the draft law, which will be provided additionally.

Thus, the business community expects that its comments and suggestions will be considered in the process of further revision of the draft law. From our part, we are ready to provide our expert support to develop a document that would systematically solve the problems of the industry and give impetus to its growth.

 

Be the first to learn about the latest EBA news with our Telegram-channel EBAUkraine.

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