Russia Turns to Timber to Ease Reliance on Oil and Natural Gas Exports

Russia is looking for a way to lower its economic reliance on oil and natural gas exports, which currently makes up almost 50% of the country’s total export volume. It is also looking for a way to improve its environmental image in the world as well. Russian timber is preparing to take the lead on both the economic and environmental fronts. Russia’s forest makes up one-fifth of the world’ total forests. Russia’s environmental image is also improved as wood is a much greener construction material than concrete, which releases significant amounts of carbon into the atmosphere during its production. And trees can be replanted. In Vologda, a region 310 miles northeast of Moscow, forests of birch and pine stretch as far as the eye can see. Tracked vehicles equipped with booms that can grab and cut trees are used by the Segezha group, which turns the wood into planks at a nearby factory. For Segezha vice president Dmitry Rudenko, the scene illustrates a turning point for Russia’s timber sector. “What we’re seeing today is the rise of the timber construction industry. It is Russia’s future without a doubt,” he told AFP at the Moscow offices of the Sistema holding firm, of which Segezha is a subsidiary. Segezha has recently launched its first CLT factory in Russia and hopes to win European approval for use of the CLT in their construction projects. Until that happens, Segezha will continue to export lumber products to Germany, Austria, Italy, and Japan.