Wood processing enterprises of Ukraine do not plan to buy wood in the second and subsequent quarters of 2024 due to the long-term blocking of the border and non-market prices for raw materials. Therefore, almost all woodworking production will stop.
This is stated in the letters of the Association of woodworkers and loggers of the Lviv Region to the Office of the President and the Cabinet of Ministers, the website "Open Forest" reports.
"The association expresses serious concern about the current situation related to the blockade of borders, which leads to serious problems for Ukrainian processors and exporters of products. Ukrainian woodworkers are already facing great difficulties due to the war and unreasonably high prices for wood. Currently, businesses are forced to suspend or reduce production, a large number of jobs are frozen, which leads to the impossibility of paying salaries to employees," the letter states.
According to representatives of the Association, the consequences of such border blockades have already become a disaster for Ukrainian enterprises.
"A vivid example of the crisis in the woodworking industry is the fact that processors almost did not buy wood in the first quarter of 2024 due to the border blockade that began last year, as well as due to the monopoly setting of high prices for raw materials," the Association emphasizes.
Now, although there is an increase in the displayed volumes of raw materials for the second quarter of 2024 due to the fact that the volumes of the first quarter were not purchased, woodworking enterprises of Ukraine still do not have the opportunity to buy wood in the second and subsequent quarters of 2024.
"Unfortunately, however, as during the recent border blockade, the Ministry of Environmental Protection and Natural Resources of Ukraine, the State Agency of Forest Resources of Ukraine and the State Enterprise "Forests of Ukraine" are not trying to help Ukrainian processors in any way. Prices for raw materials remain too high and uncompetitive, auctions with wood sales are carried out manually," the letter emphasizes.
The association appealed to the Government to take urgent measures to ensure the stability and continuation of export activities of Ukrainian product exporters. Joint action in this direction is critically important for saving jobs, stability in the economy and ensuring the long-term development of a number of branches of the economy, in particular, woodworking.
