Indufor Advices Romanian State and Private Forest Organisations
02/02/2006
The Ministry of Agriculture, Forests and Rural Development of Romania has received a loan from the International Bank for Reconstruction and Development (IBRD) for a comprehensive Forest Development Project. The objective of the FDP is to increase the contribution to the national economy from sustainable management of Romania’s forest resources by establishing effective institutional arrangements and capacity to support sustainable forest management on public and private lands, mitigating the impact of land restitution on the National Forest Authority (NFA), and supporting the development of local private forest owners associations, and building public awareness and support for sustainable management of forest resources.
The Ministry contracted Indufor to implement two of the projects: Support for the Development of National and Local Associations of Private Forest Owners, and consulting services for The Strategic Development Of National Forest Administration – Romsilva. The total value of the projects is EUR 550 000 and they will be implemented over a period of 18 months.
The challenge is to design strategies and models for the state sector and the private sector to cope with the changes in the ownership structure. It is estimated that 2 million hectares currently under the state management will move under private management through the restitution process. Indufor will also design a timber auctioning system for NFA. In order to maximize the financial returns and use the forest resources in an optimal way it is important that the NFA is able to gain the full market prices of the products as well as apply market mechanisms whenever possible in commercial activities. The auctioning mechanisms of timber sales will be linked with NFA business strategies.
Further information: Petri Lehtonen