The State Specialized Forest Enterprise “Forests of Ukraine” ranks as one of the most prominent forest users in Europe and holds the distinction of being the largest in Ukraine. It operates under the auspices of the State Forest Resources Agency of Ukraine.
This enterprise is responsible for managing approximately 6.6 million hectares of state-owned forest land.
Specializations of State Enterprise “Forests of Ukraine” include:
– forest management, protection, conservation, sustainable utilization, and restoration;
– hunting management;
– protection, conservation, and sustainable utilization of the state hunting fund within the hunting territories allocated for the enterprise’s use.
SFE “Forests of Ukraine” is not financed from the state budget, but instead provides for its own economic activities. Land plots for forestry purposes are state-owned and are transferred to SFE “Forests of Ukraine” for permanent use. SFE “Forests of Ukraine” consists of a central office, 10 regional offices with 148 branches, including 1,451 forestries.
History of the Company
The company was established as part of the second stage of the forestry reform in Ukraine. The prerequisites for the establishment of the enterprise are laid down in the Decree of the President of Ukraine No. 228/2021 dated June 7, 2021, “On some measures for the conservation and restoration of forests.
The Decree is renowned for initiating the “Large-scale afforestation of Ukraine” project, also known as the “Green Country” program. Furthermore, it includes a directive where the President mandates the Cabinet of Ministers of Ukraine to ‘”implement reforms in the forestry sector, which encompass enhancing the management systems of state-run forestry enterprises.”
In 2022, the National Security and Defense Council of Ukraine adopted a decision “On the protection, use and restoration of forests of Ukraine in a special period.” The document articulates: “…in order to increase the efficiency of the forest industry to consider the establishment of a single state-owned business entity for the protection, conservation, use and restoration of forests through the reorganization of state unitary commercial enterprises that are under the management of the State Forest Resources Agency of Ukraine.”
The Resolution of the Cabinet of Ministers of Ukraine No. 1003 dated September 7, 2022, “Some issues of reforming the management of the forest industry,”, mandates the establishment of the State Specialized Forest Enterprise “Forests of Ukraine”. This establishment involves merging existing specialized state forestry enterprises under the management of the State Forest Resources Agency of Ukraine. Subsequently, the State Specialized Forest Enterprise “Forests of Ukraine” is set to be transformed into a joint-stock company, wholly owned by the state.
Pursuant to this Resolution, the State Forest Resources Agency of Ukraine issued Order No. 804 dated October 26, 2022, “On the establishment of the State Specialized Forest Enterprise “Forests of Ukraine”.