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MIL OSI Translation. Region: Russian Federation –

On January 1, 2021, an experiment on traceability of timber turnover starts in Russia. It will run until June 30, 2021. From July 1, 2021, the system of traceability of wood and transactions with it (LesEGAIS), modernized as a result of the experiment, will begin to work on an ongoing basis throughout the country. This was announced by Deputy Prime Minister Victoria Abramchenko.

The experiment is being carried out in pursuance of the instructions of the President of Russia on the development and decriminalization of the forestry complex, as well as in the framework of the implementation of the corresponding “road map” approved by the Deputy Prime Minister Victoria Abramchenko. In the pilot mode, the first participants in the experiment will be timber merchants working in the Vologda, Arkhangelsk, Tver and Irkutsk regions. Large and medium-sized businesses, in particular, Segezha Group, the ULC group of companies, will join the testing. The work will be analyzed by Roslesinforg.

Due to the lack of proper control and accounting of logging, annually in Russia, according to expert estimates, from 10 to 30 million cubic meters of timber is illegally cut down. Today, any volume can be sold without confirming the legality of its origin. To change this situation, it is necessary to link all chains of timber movement in a single state information system – from harvesting at a logging site, fixing in a warehouse, to processing or to export outside the Russian Federation. Due to the modernization of LesEGAIS, all information on the movement of wood will be available to regulatory authorities, which will ensure the transparency of the industry. All the necessary guidelines for the participants in the experiment have already been developed. The evaluation of its results will be carried out in stages.

“We are creating in LesEGAIS an opportunity to trace the entire wood supply chain, regulations and guidelines for the experiment participants are already ready. We will follow the wood at all the main points of its movement. First, we fix the amount of wood that is allowed to be cut and actually cut down in the cutting area. At the stages of timber movement, accompanying documents must be created, which will also be mandatory recorded in LesEGAIS. If at any subsequent step the system does not have confirmation of the required amount of balances in warehouses, the ability to sign transaction reports will be blocked. In other words, if the legality is not confirmed, the sale of timber is impossible, ”said Deputy Prime Minister Viktoria Abramchenko.

In the modernized system, the algorithm for controlling the conduct of timber transactions has been adjusted in such a way that when the signing of the transaction report is blocked, the possibility of creating an electronic accompanying document is also blocked. And this actually stops the deal until the seller provides all the necessary documents of title for the volume of timber. The corresponding blocking rule will be enshrined in the Forestry Code.

After the modernized timber traceability system and transactions with it begins to operate on an ongoing basis throughout the country, the transparency of timber origin will be ensured by fixing the balance of timber at key points of its location, movement and processing.

Firstly, at felling areas: for this, the Forest Code clarifies the need to include in the taxation description of a felling area information about the coordinates of its boundaries in the coordinate system established for maintaining the USRN.

Secondly, at all storage locations. A new article will appear in the Forestry Code, which will oblige the owners of warehouses to enter information about the locations of warehouses in LesEGAIS. They will also be required to enter traffic information through the appropriate timber volume warehouse. The balance will be kept up to date automatically, based on the data of the electronic accompanying documents.

Thirdly, timber processing enterprises will also fix the balance. Their owners, as well as the owners of the warehouses, will be obliged to enter information about their objects and the volumes of the arrived and removed wood and products from it in LesEGAIS.

EDITOR’S NOTE: This article is a translation. Apologies should the grammar and or sentence structure not be perfect.

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