Finland says Russia cancels wood duty meeting

HELSINKI, July 23 (Reuters) - Finland said on Wednesday Russia's trade minister had cancelled a meeting over wood duties and cross-border transport problems scheduled for this weekend, citing other work, at the time of a major trade battle.

Russia, an important source of wood for Finnish paper producers, has raised export duties and said it would raise them further to 50 euros per cubic metre by 2009, which would more than double the cost of wood.

Finland plans to impose a new tariff on goods transported across Finland to Russia and compensate paper makers for higher costs.

Both issues would have been talked about at the meeting, a ministry official said.

The trade battle between the two threatens to delay both Russia's WTO membership and a partnership deal with the European Union.

Finland is home to top paper makers Stora Enso (STERV.HE), UPM-Kymmene (UPM1V.HE) and M-real MRLBV.HE. (Reporting by Tarmo Virki)