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SFE “Forests of Ukraine” continues its Memorial Forests initiative — a living tribute to our colleagues who gave their lives for Ukraine.
Before being mobilized, Ruslan Balia worked as a forest ranger in the Chalivske forestry in the Poltava region. He dedicated nearly 20 years to forestry. A true professional, he deeply loved his work and knew every part of the forest under his care. The forest was his calling.
In 2024, he joined the Armed Forces of Ukraine. He served as a grenadier in an assault unit and held the rank of junior sergeant. On January 8, 2025, he was killed in action.
Memorial Forests are places of silence and gratitude — living symbols of remembrance for those who fought and died for Ukraine’s independence. Every tree planted carries the memory of a person who lived for the forest and gave their life for their country.
To honour Ruslan Balia, his wife and sons, Head of SFE “Forests of Ukraine” Yurii Bolokhovets, students of Tereshky Lyceum, colleagues, demobilized employees, and representatives of the Ukrainian Foresters’ Union gathered to plant this symbolic forest.
In the Chalivske forestry, where Ruslan worked, foresters planted pine, birch, and viburnum seedlings across 1.2 hectares.
This spring, Memorial Forests are being created across all regions of Ukraine:
In the Rivne region — in Kostopil forestry — a Memorial Forest was planted in honour of fallen colleague Vadym Pliushch, who worked as a forestry engineer and was deeply dedicated to his profession.
In the Zhytomyr region, a Memorial Forest honours forester Valerii Zander. It was planted in the Zvyahel forestry — the area that suffered the greatest losses among forestry workers.
In the Chernivtsi region, a Memorial Forest was created in memory of Oleksandr Storonskyi, who defended Ukraine for two years in the most intense combat zones.
In southern Ukraine, in the Zahradiivske forestry (Kherson region), a Memorial Forest honours forester-hero Vladyslav Vasylychenko. This site has become a symbol of renewal — where there was once war, new life is now growing.
In the Chernihiv region, a Memorial Forest was dedicated to our colleague Andrii Trykhlib, who was killed in December 2023 defending Ukraine.
The planting of Memorial Forests continues, and soon the updated map of these forests will be available. More information about the project can be found on our website.
We create these forests so that memory lives not only in words, but in the land, in the trees, and in the silence of the forest. So that every seedling reminds us: the price of our freedom is the lives of people who were part of one great forestry family.
A forest restoration event took place in the Novosanzharske forestry of State Enterprise “Forests of Ukraine,” aimed at recovering areas affected by a large-scale natural disaster. The tree planting brought together company employees, the Head of the Poltava Regional Military Administration Vitalii Diakivnych, the State Emergency Service team in the Poltava region, members of the local community, and students from a school forestry unit.
During the event, participants also reviewed new specialized equipment purchased by State Enterprise “Forests of Ukraine” to strengthen wildfire protection: a new fire truck, an all-terrain pickup equipped with a firefighting module, and a tractor with a plow for creating firebreaks.
The Head of State Enterprise “Forests of Ukraine,” Yurii Bolokhovets, recognized forestry workers and firefighters who were the first to respond and defend the forest.
As a reminder, in September 2024, the Poltava region faced the most масштабний forest fire in recent years, which was classified as an emergency situation. The fire damaged 2,670 hectares of forest plantations in the Malopereshchepynske and Novosanzharske forestries. More than 430 personnel and 85 units of equipment were involved in firefighting efforts.
“We fought the fire for more than 12 days. The area of spread kept increasing and became more complicated due to weather conditions and strong winds, which caused crown fires. Thanks to the coordinated work of our rescuers and foresters, we managed to extinguish this large-scale fire,” said Serhii Slavko, Deputy Head of the State Emergency Service in the Poltava region.
Large-scale forest restoration will begin in autumn 2026 after the completion of the environmental impact assessment procedure. Currently, State Enterprise “Forests of Ukraine” is carrying out localized restoration on areas up to 1 hectare.
Instead of monocultures, participants planted a mixed forest on the site, including Scots pine seedlings with a closed root system and common oak. In the future, this will help grow forests that are more resistant to fires and pests.
Overall, full restoration of all burned areas is planned to be completed over the coming years.
This planting material was grown last year in our forest nurseries. It includes seedlings of the main forest-forming species — Scots pine, Pallas pine, pedunculate oak, as well as European larch and silver fir. All container-grown seedlings were cultivated taking into account the needs of different regions.
To ensure that the seedlings grown last year reach the areas designated for afforestation this spring, they have undergone a full cultivation cycle: from sowing seeds into special trays to forming a strong root system in a nutrient-rich substrate.
First, forest seed material is processed in cone-drying facilities. The extracted seeds are then cleaned and calibrated. After that, they pass through a sowing line and are placed into trays filled with a nutrient-rich substrate.
The seeded trays are moved to greenhouses for three to four weeks, where the required temperature is maintained. To support seedling development, an automated irrigation system operates, providing mechanized watering according to a pre-set schedule.
After germination in the greenhouses, the seedlings are transferred to growing fields — specially equipped open-ground areas where they adapt further and prepare for planting directly in the forest. In autumn, foresters insulate the trays with cassettes placed outdoors using protective material around the perimeter, which stabilizes the temperature in the root zone.
Continuous and proper care allowed the planting material to be fully preserved throughout the cold winter period until spring. As a result, we obtained high-quality seedlings with improved genetic and breeding characteristics, high survival rates, and resistance to adverse weather conditions.
Transportation from forest nurseries to afforestation sites has already begun and will continue throughout the entire forest regeneration campaign.
Container-grown seedlings tolerate transportation over long distances well. The main reason is that their roots remain in a special substrate that retains moisture and protects the root system from drying out, mechanical damage, and temperature fluctuations.
This year, our forest seed and breeding centers plan to grow 13 million container-grown seedlings. Sowing takes place in several stages during the spring. Some of the seedlings will be used during the autumn planting campaign, while others will be planted in the spring of the following year. Currently, sowing and the placement of trays in greenhouses are underway in the nurseries.
Starting in 2027, the branch “Forest Reproductive Resources” plans to significantly increase the number of container-grown seedlings to 19 million, and in 2028 — to at least 25.4 million.
This will be made possible by expanding sowing areas. For this purpose, 20 growing fields and 8 greenhouses are planned to be constructed in different forest nurseries.
Thanks to this expansion, our forest nurseries will also be able to significantly broaden the range of tree species grown as container seedlings.
The winter of 2026 has been a real challenge for Ukrainians. Constant attacks by Russian forces, destroyed infrastructure, severe frosts… At moments like these, you truly realise how important it is to stand by one another and offer support.
That is why the Government of Yuliia Svyrydenko launched a targeted assistance programme for those who need it most. The largest state-owned enterprises joined the initiative — and SE “Forests of Ukraine” is among them.
The organisation of the process and the formation of the beneficiary lists were ensured by the Department of Social Protection of the Zaporizhzhia Regional State Administration, while the team of the Eastern Branch of SE “Forests of Ukraine” made sure that the warmth of these packages reached people as quickly as possible.
For us, this is not just a humanitarian initiative. It is about care. About warmth that can be passed from hand to hand. About the feeling that you are not alone.
The “warm packages” will be delivered to people with limited mobility, citizens facing difficult life circumstances, persons with disabilities, and elderly people living alone — those for whom this winter has been especially hard.
The first batch of aid has already been delivered to the residents of Zaporizhzhia — a city of strong and unbreakable people. And in every package there are not only essential items, but also a part of our gratitude, respect and sincere support.
Together we will endure. Together we will keep each other warm!
The participants of the meeting noted the successful completion of certification audits at the beginning of last year under the conditions of the reorganization of the enterprise’s structure and the full-scale war. The forest districts ensured compliance with FSC requirements in challenging circumstances.
As a result for 2025:
SE “Forests of Ukraine” managed to almost fully restore FSC certification after a large-scale structural reorganization (FSC certificates were restored for more than 97% of the previously certified areas). Preparation for the certification of some forest districts in the South was initiated for the first time.
Representatives of SE “Forests of Ukraine” actively participated in trainings, educational events, and webinars conducted by FSC Ukraine experts. Forestry professionals mastered best global environmental protection practices and learned how to apply FSC requirements in their day-to-day management activities.
Forest districts can actively apply a clear mechanism for excluding territories contaminated with explosive hazards from the scope of certification without losing certification status for the remaining areas.
A joint media tour based at the branch “Carpathian Forest Office” made it possible to demonstrate real practices of responsible forest management.
“Modern challenges facing the forestry sector and society as a whole require greater efforts and coordination in finding appropriate solutions. We value cooperation with SE ‘Forests of Ukraine’ as a reliable partner in promoting responsible forest management. We have an excellent opportunity to discuss a wide range of issues related to communicating and раскрыти values of FSC for all stakeholders while taking into account the balance of their interests,” noted Pavlo Kravets, National Representative of FSC in Ukraine.
Representatives of FSC Ukraine reminded of the Government’s decision to increase the area of certified forests by 10% in 2025–2027. Expanding certified areas will contribute to the implementation of the State Forest Management Strategy until 2035, as FSC certification ensures responsible forest use in line with environmental, social, and economic requirements.
Priority cooperation plans of SE “Forests of Ukraine” and FSC for 2026:
– Work in the field of forest certification with forest districts that have territories potentially contaminated with explosive hazards;
– Implementation of FSC certification regulatory support in the context of EUDR requirements;
– Joint dialogue with all stakeholders: environmentalists, communities, and authorities to prevent conflict situations;
– Advantages of FSC international membership for the forestry sector of Ukraine.
“I would like to sincerely thank every member of the FSC Ukraine team for promoting responsible forest management in Ukraine. Our ambitious goal is to ensure 100% certification of the enterprise’s managed areas. Everyone is committed to constructive work,” emphasized Yurii Bolokhovets, Head of SE “Forests of Ukraine”.
The government’s Made in Ukraine policy, led by Yuliia Svyrydenko, comprises around fifteen programs aimed at developing Ukrainian producers. In 2025, 72,000 Ukrainian enterprises benefited from state support.
“Forests of Ukraine” is ready to contribute to supporting domestic production.
We propose increasing the investment plan of SE “Forests of Ukraine” for 2026 to UAH 4.1 billion. Of this amount, UAH 2.1 billion is for goods and services that can be supplied by Ukrainian manufacturers. This was announced today by the company’s head, Yurii Bolokhovets.
We will start with the procurement of firefighting equipment. UAH 380 million, or 95% of the planned funds, can remain within the Ukrainian economy. Ukraine produces almost everything needed for fire prevention and response — from large fire engines and modules, video monitoring towers to water tanks, ploughs for mineralized firebreaks, and protective clothing.
Investments in reforestation equipment amount to UAH 80 million. Most of the required tools (disc harrows, mulchers, seeders, etc.) can be supplied by Ukrainian manufacturers.
Unfortunately, modern logging machinery (harvesters, forwarders, skidders, etc.) is not manufactured in Ukraine. We plan to deliver this equipment directly, without intermediaries, from manufacturing plants in European countries. At the same time, we are ready to purchase Ukrainian-made trailers and semi-trailers, as well as low-bed trailers for transporting special equipment, totaling over UAH 100 million.
More than UAH 621 million has been allocated this year for the construction of forest roads. Roads mean increased harvesting volumes, improved fire prevention, and reduced logistics costs. The work is carried out either by the enterprise’s own teams or by Ukrainian contractors using local (!) materials — crushed stone, gravel-sand mixtures, cement, and more. All of this is Ukrainian production!
An important area of the company’s development is the expansion of a network of modern forest seed centers, which enable the production of world-class seedlings and significantly improve the efficiency of reforestation efforts. The investment volume is UAH 270 million, of which 90% comprises goods and services offered by Ukrainian manufacturers.
Next month, the Procurement Department of SE “Forests of Ukraine” plans to hold a Supplier Day, presenting the company’s investment programs and planned procurements for 2026–2027 to the business community. We expect feedback on technical specifications, potential “barriers,” and the level of competition.
Our goal is maximum transparency, openness, and predictability in procurement, strengthening trust in public procurement, ensuring equal competitive conditions, and expanding the pool of potential participants.
Clearing these areas using methods applied to agricultural land is not feasible. Manual demining would take decades and require tens of billions in funding.
Janne Harjunpää, a member of the Supervisory Board of SE «Forests of Ukraine» and Chair of the Audit Committee, proposes an innovative approach to addressing this challenge.
The approach involves the use of remote-controlled harvesters to carry out forestry operations in damaged and hazardous areas, preparing the land for subsequent mechanical demining and the restoration of forest stands. The outcome would be the creation of healthy and safe forests.
Applying this approach would make it possible to clear significant areas within a few years. Otherwise, mined forests will remain a constant threat to local communities and a source of large-scale forest fires.
A coordination meeting was held at Forests of Ukraine with the participation of representatives of the State Emergency Service and the State Forest Resources Agency of Ukraine to discuss a roadmap for implementing a pilot project.
Key issues included the development of a regulatory framework that would allow forestry operations in mined areas using specialized equipment, as well as the attraction of grant funding and the adaptation of harvesting machinery.
According to Janne Harjunpää, the project has strong potential for support from international donors. Global manufacturers are ready to assist with adapting the equipment, and there is support from the relevant ministry regarding the regulatory framework.
Importantly, this approach goes beyond demining alone. It represents a comprehensive solution that combines safety, cost efficiency, risk reduction, and economic value creation through the safe use of forest resources and the long-term restoration of forests. As a result, Ukraine has an opportunity to implement a project unprecedented in global practice.
We have received the financial results of SE “Forests of Ukraine” for 2025, which allow the company’s performance to be assessed on the basis of objective figures rather than subjective judgments.
As forecast, revenue reached UAH 29.9 billion, profit before tax amounted to UAH 8.4 billion, and profitability stood at 23% – several times (!) higher than in previous years. A total of UAH 15.8 billion in taxes was paid: 44% of all revenues were transferred to the state budget, the highest share in the forestry and wood-processing sector.
For perhaps the first time since independence, billions in profits from timber sales have not been dissipated through shadow schemes or divided among officials and intermediaries, but have been fully directed to the budget. This is an indisputable fact, as figures do not lie.
The growth in performance is largely the result of de-shadowing. Never before has the timber sales system in the forestry sector been so transparent. SE “Forests of Ukraine” now publicly discloses information on every (!) exchange transaction: who contracted what volume of timber and at what price. Lists of rejected contracts are also published. We are not aware of any European country with such a level of transparency.
However, the potential has not yet been exhausted – there is every chance to continue growth in 2026. We are determined to offer the market the largest volume of forest products since the start of the full-scale war.
We expect an additional one million cubic meters due to the acceleration of forest management planning approvals. Positive changes are already being felt. Another one million cubic meters is expected as a result of deregulating permitting procedures. Amendments to the regulatory framework are being prepared, but the necessary decisions have unfortunately not yet been adopted.
From a technical standpoint, the enterprise is ready to increase harvesting volumes. A process has begun to procure an unprecedented amount of specialized equipment: harvesters, forwarders, skidders, tractors, trailers, and timber transportation equipment. We are working to at least double this year’s investment plan in order to significantly accelerate harvesting operations.
Last year, the company moved 100% of harvesting service procurements to the Prozorro system. However, due to a shortage of personnel, contractors often fail to complete work on time. Therefore, across Ukraine we are forming additional in-house crews and opening hundreds of new vacancies.
At the same time, we never forget: if you take from the forest, you must invest in it. That is why no less significant investments this year are being directed toward forest protection, conservation, and reforestation.
What the enterprise inherited from former forestry units was mostly obsolete equipment – hundreds of fire stations filled with outdated scrap metal. In the south, almost nothing remained at all. We have succeeded in fully equipping all forest fire stations of SE “Forests of Ukraine” with modern tools and equipment: from protective clothing, backpack fire extinguishers, and communications equipment to mobile fire-fighting modules.
Last year, for the first time, we began purchasing modern large-scale fire-fighting vehicles that had not been renewed since Soviet times. The first nine vehicles have already been delivered, with another nine planned in the near future.
Since 2023, in the most fire-prone locations, the enterprise has created 150 (!) modern recreational sites for safe public use. In 2026, we plan to establish 50 more. This recreation program has saved the state thousands of hectares of forest. The experience of SE “Forests of Ukraine” is being adopted by foresters in other European countries, where most forest fires are also caused by human factors.
Last year, foresters completed the “Green Country” program, but the creation of new forests and the preservation of naturally regenerated forests remain our priority. Even greater attention will be paid to the care of forest plantations – this is how we will ensure the supply of high-quality commercial timber in the future.
Everything we are already doing and planning to do is aimed at maximizing the capitalization of the forestry sector. This means healthy and protected forests, modern infrastructure, an upgraded material and technical base, efficient business processes, and a professional team.
A state forestry company with a market value of billions of euros? Yes, this is realistic. We are moving in this direction. Last year, a reorganization was carried out, the organizational structure and administrative apparatus were optimized, and we are consistently disposing of non-core assets. The last schemes through which illegal timber could systematically enter the market have been shut down.
This year, we are relaunching the implementation of an ERP system – no modern company can function without an automated management system.
We are continuing the corporatization process, which includes asset revaluation, inventory, and the preparation of transfer deeds. Registration of property rights to land is being finalized.
Last year, de-occupied forestry enterprises in Kharkiv, Donetsk, and Kherson regions joined SE “Forests of Ukraine.” Restoration, harvesting, and forest protection activities have begun. The area affected by fires has decreased several-fold. At the same time, not only frontline forestry enterprises require support. We are working on integrating other forest users that are unable to fully perform their functions.
The year has started very actively. Despite snowfall and frost, harvesting dynamics are higher than last year. Equipment is operating, forest roads are cleared, and warehouses are shipping products.
We feel a great responsibility: while other businesses are forced to stop, we continue to operate and grow, compensating for budget losses.
We are only awaiting long-planned legislative and regulatory decisions aimed at unlocking the full potential of the forestry sector.
Yurii Bolokhovets
Head of SE “Forests of Ukraine”
January 2026 marks one year since the Supervisory Board of State Enterprise “Forests of Ukraine” was established. NV journalists detailed how the board was formed, the challenges its members faced, their plans for this year, and why the supervisory board became a target of information attacks.
How the Supervisory Board Was Formed
On 8 March 2024, the Law of Ukraine on Improving Corporate Governance (No. 3587-IX) entered into force, requiring state-owned enterprises to introduce a two-tier governance structure with the establishment of a supervisory board.
On 30 April 2024, the Government included State Enterprise “Forests of Ukraine” in the list of entities of critical importance to the economy, for which the appointment of chief executives and members of supervisory boards is carried out with the participation of the Appointments Committee.
On 10 May 2024, State Forest Resources Agency of Ukraine approved the Regulation on the Supervisory Board of State Enterprise “Forests of Ukraine”.
In August 2024, Appointments Committee approved the qualification requirements for independent candidates to the Supervisory Board of State Enterprise “Forests of Ukraine” and announced an open competitive selection process.
Members were selected based on the principle of collective suitability, meaning that the Board as a whole must possess a combination of experience and competencies sufficient to ensure effective governance and oversight.
Important: Appointments Committee is composed of representatives of the Cabinet of Ministers (ministers and a state secretary) as well as independent members, including representatives of the IFC and the EBRD. Accordingly, State Enterprise “Forests of Ukraine” had no influence whatsoever over the formation of the Supervisory Board.
In January 2025, the Cabinet of Ministers approved the winners of the selection process as members of the Supervisory Board — Markiyan Vytvytskyy, Roberts Stripnieks, and Janne Harjunpää as independent members, and Oleksii Kucher as the state representative.
Is a four-member Supervisory Board sufficient?
In the initial version of the Regulation on the Supervisory Board of State Enterprise “Forests of Ukraine”, a member of the Supervisory Board was deemed appointed and the Supervisory Board considered duly constituted only upon the election of its full statutory composition. However, even before the Supervisory Board members signed their contracts and before the Board held its first meeting, this provision was removed by State Forest Resources Agency of Ukraine.
As stated in the above-mentioned Law of Ukraine No. 3587-IX, a supervisory board is not quorate and may not take decisions if the number of its members is equal to or less than one half of its prescribed composition. Accordingly, even with only three out of five members in office, the Supervisory Board of State Enterprise “Forests of Ukraine” is legally quorate.
Cabinet of Ministers Resolution No. 142 of 10 March 2017 further provides that independent members must constitute a majority of the Supervisory Board; a meeting of the Supervisory Board is quorate if more than half of its members are present; and decisions of the Supervisory Board are adopted by a simple majority of the votes of the members participating in the meeting and entitled to vote.
The formation and all subsequent activities of the Supervisory Board of State Enterprise “Forests of Ukraine” fully comply with all of the above requirements.
How is the remuneration of Supervisory Board members determined?
The remuneration paid to independent members of the Supervisory Board is determined in accordance with the Law of Ukraine “On the Management of State-Owned Property” and the resolutions of the Cabinet of Ministers of Ukraine dated 3 September 2008 No. 777, 10 March 2017 No. 142, 10 March 2017 No. 143, 29 November 2024 No. 1369, and 4 July 2017 No. 668.
A civil-law contract has been concluded between the enterprise and each member of the Supervisory Board, the terms of which have been approved by an order of the State Forest Resources Agency of Ukraine.
The level of remuneration of the Supervisory Board members of State Enterprise “Forests of Ukraine” is aligned with that of other state-owned companies with comparable annual revenues.
How the Supervisory Board strengthened oversight of business processes
The Supervisory Board adopted a series of decisions aimed at conducting a comprehensive review of the enterprise.
In particular, it initiated independent external audits for the financial years 2022–2024 and 2025.
Formal requests were submitted to the Antimonopoly Committee of Ukraine to review public procurement procedures for indications of violations of competition law.
A request was also sent to State Audit Service of Ukraine to initiate a review of the 2025 public procurement of State Enterprise “Forests of Ukraine”, focusing on compliance with legal requirements, justification of expected values, lawfulness of the selected procurement procedures, and efficiency of the use of funds.
Petitions were filed with all law enforcement authorities (the National Police, the State Bureau of Investigation, the Bureau of Economic Security, the National Anti-Corruption Bureau of Ukraine, and the Office of the Prosecutor General) concerning criminal proceedings involving the top management of State Enterprise “Forests of Ukraine”.
An HR audit was initiated, providing for an independent and comprehensive assessment of the company’s top management in terms of professional competence, effectiveness, and business ethics.
The Supervisory Board approved the establishment of an Internal Control Service reporting directly to the Supervisory Board, comprising internal audit, compliance (monitoring compliance with laws, regulations, and internal policies), and risk management functions.
The Supervisory Board also required State Enterprise “Forests of Ukraine” to submit, on a monthly basis by the 10th day of each month, information on the implementation of the annual investment plan, production of forest management materials, the status of registration of property rights to land plots, the progress of the corporatization process, key performance indicators, the register of HR-related orders, contracts exceeding UAH 1 million, and other relevant data.
Adopted and approved documents
The Anti-Corruption Policy and the Code of Business Ethics of the enterprise were approved. These documents were developed jointly with the Basel Institute on Governance in line with international best practices.
Interim reports on the execution of the financial plan and on the achievement of performance targets were approved, and the CEO’s report was reviewed and taken note of.
The quarterly action plan for achieving the performance targets set out in the 2026 Letter of Expectations was approved.
The Enterprise Development Strategy through 2030 was adopted.
Among other matters, the Supervisory Board considered such key issues as the implementation of an automated ERP management system and an innovative forest demining concept involving specially developed equipment.
Overall, during the year the Supervisory Board held 10 formal meetings and more than 30 working meetings and briefings. Three committees were established, which held nine meetings. The Office of the Corporate Secretary was also created.
An analysis of the full volume of decisions and initiatives undertaken shows that the Supervisory Board of State Enterprise “Forests of Ukraine” has proven to be one of the most proactive and productive supervisory boards in Ukraine’s public sector.
The Supervisory Board and the management of State Enterprise “Forests of Ukraine”
In 2025, State Enterprise “Forests of Ukraine” went through a period of turbulence, during which the Supervisory Board had to determine who should remain at the helm of the company.
Referrals to law enforcement authorities did not provide sufficient grounds for replacing the CEO. At the same time, improving financial and operational indicators demonstrated the effectiveness of the company’s management and the soundness of the chosen strategy.
Accordingly, key staffing decisions were deferred pending the completion of multiple audits, inspections, and comprehensive independent assessments.
Information attacks against the Supervisory Board
Prior to the 2022 forestry reform, the state forestry sector was, in effect, financially dependent on the state. By contrast, last year State Enterprise “Forests of Ukraine” generated a profit of UAH 8 billion (approximately EUR 180 million). It is therefore hardly surprising that the shadow economy is attempting to regain lost cash flows, having spent almost three years discrediting the reform and exerting constant pressure on State Enterprise “Forests of Ukraine”, State Forest Resources Agency of Ukraine, and the Cabinet of Ministers.
It is thus entirely expected that the Supervisory Board of State Enterprise “Forests of Ukraine”, as one of the key elements of sector governance, has also become a target of coordinated attacks. These attempts at discreditation follow the same pattern, use the same channels, and involve the same individuals.
The key narratives promoted by opponents are that “the Supervisory Board is illegitimate” and that “its remuneration is unlawful”. However, as explained above, these claims have no legal basis. The initial draft regulation issued by State Forest Resources Agency of Ukraine — which the authors of complaints to law enforcement agencies rely upon — was amended in due time and explicitly allows the Supervisory Board to operate with a reduced number of members.
“The Supervisory Board maintains an open, professional and impartial position in the interests of the state. Attempts to exert pressure in order to pull us to one side or another are futile,” said Oleksii Kucher.
Plans for 2026: digitalization, increased harvesting, and oversight of record profits
State Enterprise “Forests of Ukraine” closed 2025 with record-high financial and economic results, and it is already clear that growth will continue. Demand for timber and market prices remain at exceptionally high levels. According to Oleksii Kucher, the Supervisory Board’s key priority is to ensure strict control over the use of windfall profits. These funds must either be reinvested in the company’s development in line with the Strategic Plan or transferred to the state budget. At the same time, “Forests of Ukraine” must not rest on its laurels but continue to expand harvesting volumes and the supply of timber to the market.
As noted by Markiyan Vytvytskyy, it is absolutely essential this year to relaunch the implementation of the Enterprise Resource Planning (ERP) system, which will significantly enhance the efficiency and transparency of all business processes.
Roberts Stripnieks also highlighted the importance of a redesigned strategic planning process that ensures meaningful involvement of key stakeholders at the planning stage, a clear focus of investment policies during implementation, and more structured and transparent reporting throughout the strategic review cycle.
According to Janne Harjunpää, the corporatization process and the strategic issue of forest demining will remain at the core of the Supervisory Board’s agenda. At the same time, the Board sees continuous improvements in operational efficiency, governance standards, and transparency as a key foundation for positioning “Forests of Ukraine” as an attractive partner for international industrial operators and long-term investors.
State Enterprise “Forests of Ukraine” has signed an agreement for the delivery of 11 skidders. This new machinery will be deployed in the forestries of the Carpathian Forest Office branch, where timber harvesting takes place in the challenging conditions of high-altitude terrain.
This year, Slovak-made skidders will be delivered to the following forestry management units: Brusturyanske, Brodivske, Rakhivske, Uzhhorodske, Bolekhivske, Nadvirnyanske, Kolomyiske, Ivano-Frankivske, Vyhodske, Osmolodske, and Verkhovynske.
This marks the enterprise’s first-ever procurement of specialized machinery of this caliber.
A skidder is a specialized forestry vehicle used to transport felled trees from the cutting site to a landing area (upper warehouse).
The Carpathian Forest Office currently operates 350 tractors for timber skidding. However, 285 of these are largely obsolete machines manufactured in the 1980s and 90s. They require constant repair as their service life has long expired. Spare parts for these models are scarce – they are either unavailable or must be imported from distant countries at high costs.
Furthermore, most existing skidding equipment consists of repurposed agricultural tractors. They have limited power for high-altitude operations, capable of transporting only 2–3 cubic meters of wood per trip. This leads to longer harvesting timelines and significantly higher fuel consumption.
Key Advantages of the New Skidders:
Superior Maneuverability and Off-road Performance: Featuring reinforced frames, all-wheel drive, high ground clearance, and powerful engines, these skidders ensure efficient and safe operation in trackless, marshy, rocky, and mountainous areas. Most modern skidders are equipped with articulated frames, which greatly improve maneuverability in dense stands.
Increased Operational Efficiency: The winches on these skidders far outperform the mounted winches on conventional tractors. They provide greater tractive effort, faster log retrieval, and a more robust frame attachment to minimize breakdowns. Many are dual-drum models, doubling productivity. A single skidder can transport up to 12 cubic meters of timber per trip, drastically accelerating harvesting operations and reducing fuel costs.
Operator Safety and Comfort: Modern skidder winches are equipped with remote control systems and smooth speed adjustment for safer operations.
The new skidders will not require significant maintenance costs and will provide stable performance from day one.
Moving forward, we plan to procure additional batches of this equipment, replacing outdated machinery with modern, reliable units that meet the actual demands of forest operations.