Russian Timber Harvesting Firms Close Faster Than New Ones Open

Russian timber harvesting firms are closing faster than new ones open, with new registrations down 19.9% to 1,210 in the first eight months of the year, while liquidations rose 9.6% to 1,590, Wood Central reported (10-4-26), citing Rusprofile and Kommersant.

Industry sources said weak demand has exhausted financial reserves, particularly among contractors without their own processing operations. Rosstat reported that 59.3% of larger forestry and timber-harvesting organizations operated at a loss during the first seven months.

In Arkhangelsk, the number of forestry and harvesting organizations fell 6.8% in the first half of the year, while sole traders declined 12.2%. Regional lawmakers have sought a three-year moratorium on creditor-initiated bankruptcy cases.