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How to digitize the Ukrainian forest

17/ 10/ 2017
  Recently, the President of Ukraine said that it is necessary to introduce a unified state accounting system for wood - the system of EDF - which will be distributed to all forest areas without exception. Despite the rather clear position of the head of state, it is delaying the adoption of the relevant draft decision by the government, which has been under development and approval for about two years. With this project, the Cabinet of Ministers proposes to implement a pilot project in which the system of EIA will be mandatory for all forest users. It should be noted that this system has already been introduced in forestry subordinate to the State Agency of Forestry. But it does not apply to other forest users, such as state enterprises of the Ministry of Defense, Ministry of Environmental Protection, utilities, etc. The latter harvested according to various data from 17% to 27% of the total volume of timber. The ECO system shows all the data on wood from the moment it is ready for sale, or the receipt for processing. Who and on the basis of which documents she prepared, the characteristics of wood - the breed, variety, length, diameter - who and at what price they sold it. In addition, a presentation and transfer to the National Police of Ukraine of a supplement to the EDI - Control module was held recently. With this module, the National Police will be able to quickly verify the legality of logging and timber transportation on the basis of data from the system. For example, employees of the National Police will be able to carry out inspections directly during the movement of a timber carrier. You just have to make an in-app request and enter the tag number from the batch of forest or the number of the logger. After this, the police officer immediately receives information from the system about who has been preparing timber, who has the right to carry it, where the roundwood is transported and who is the buyer of this batch of wood. In the complex, this should be a significant step towards overcoming the problem of illegal logging and illegal timber transportation. Why is it important that all forest managers join? It is critically important for the EOD system to operate more efficiently, so that it is used by all forest users, regardless of the form of subordination. The system can not work effectively if a part of the forestry company does not account for the forest in the EOD. Imagine, for example, that excise stamps are applied to alcohol products only by a part of manufacturers. This will undoubtedly lead to shadow turnover and the loss of state funds. By the way, in the alcohol industry, the basic accounting principle has been established very well - all strong alcoholic products without excise stamps are illegal. Distribution of EDF to all forest users is also necessary for sound management decisions. As for the development of the industry as a whole, both in terms of creating new woodworking enterprises, or increasing their capacity. After all, it requires precise analytical reports on the volume of procurement and availability of the resource in general in Ukraine. About true volumes of timber harvesting will probably only be the case when all forest users will provide data to the system through marking and accounting in EDI. If, however, to leave everything as it is and the users of the EOD system will be only the forestry agencies of the State Agency of Forestry, this will leave room for manipulation of the origin of wood. That is, it will give an opportunity to say that the forest is not from the forestry of the State Agency of Forestry, and therefore it should not be accounted for in the system of EDI, etc. That is why we urge all forest users to be obliged to join the JI system as soon as possible. And we hope that in the short term the government will adopt the aforementioned draft resolution of the Cabinet of Ministers of Ukraine. Source: Novoe Vremia

Recently, the President of Ukraine said that it is necessary to introduce a unified state accounting system for wood – the system of EDF – which will be distributed to all forest areas without exception.

Despite the rather clear position of the head of state, it is delaying the adoption of the relevant draft decision by the government, which has been under development and approval for about two years.

With this project, the Cabinet of Ministers proposes to implement a pilot project in which the system of EIA will be mandatory for all forest users. It should be noted that this system has already been introduced in forestry subordinate to the State Agency of Forestry. But it does not apply to other forest users, such as state enterprises of the Ministry of Defense, Ministry of Environmental Protection, utilities, etc. The latter harvested according to various data from 17% to 27% of the total volume of timber.

The ECO system shows all the data on wood from the moment it is ready for sale, or the receipt for processing. Who and on the basis of which documents she prepared, the characteristics of wood – the breed, variety, length, diameter – who and at what price they sold it.

In addition, a presentation and transfer to the National Police of Ukraine of a supplement to the EDI – Control module was held recently. With this module, the National Police will be able to quickly verify the legality of logging and timber transportation on the basis of data from the system.

For example, employees of the National Police will be able to carry out inspections directly during the movement of a timber carrier. You just have to make an in-app request and enter the tag number from the batch of forest or the number of the logger. After this, the police officer immediately receives information from the system about who has been preparing timber, who has the right to carry it, where the roundwood is transported and who is the buyer of this batch of wood.

In the complex, this should be a significant step towards overcoming the problem of illegal logging and illegal timber transportation.

Why is it important that all forest managers join? It is critically important for the EOD system to operate more efficiently, so that it is used by all forest users, regardless of the form of subordination. The system can not work effectively if a part of the forestry company does not account for the forest in the EOD.

Imagine, for example, that excise stamps are applied to alcohol products only by a part of manufacturers. This will undoubtedly lead to shadow turnover and the loss of state funds. By the way, in the alcohol industry, the basic accounting principle has been established very well – all strong alcoholic products without excise stamps are illegal.

Distribution of EDF to all forest users is also necessary for sound management decisions. As for the development of the industry as a whole, both in terms of creating new woodworking enterprises, or increasing their capacity. After all, it requires precise analytical reports on the volume of procurement and availability of the resource in general in Ukraine.

About true volumes of timber harvesting will probably only be the case when all forest users will provide data to the system through marking and accounting in EDI.

If, however, to leave everything as it is and the users of the EOD system will be only the forestry agencies of the State Agency of Forestry, this will leave room for manipulation of the origin of wood. That is, it will give an opportunity to say that the forest is not from the forestry of the State Agency of Forestry, and therefore it should not be accounted for in the system of EDI, etc.

That is why we urge all forest users to be obliged to join the JI system as soon as possible. And we hope that in the short term the government will adopt the aforementioned draft resolution of the Cabinet of Ministers of Ukraine.

Source: Novoe Vremia

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