M-real sees secure Finnish wood supply vs Russia
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HELSINKI (Reuters) - Finnish fine paper maker M-real (MRLBV.HE) sees its domestic wood supply countering Russia's increasing wood duties, Chief Executive Mikko Helander said on Thursday.
"I see and I feel our wood procurement is safe in Finland," he said at the Reuters Paper Summit.
"In close co-operation with Metsaliitto we are gradually reducing our consumption of Russian wood," he said at the summit, held in Helsinki.
Russia, an important source of wood for Finnish producers, raised export duties by 50 percent in April to 15 euros per cubic meter, and has said it would raise duties to 50 euros per cubic meter by 2009, which would more than double the cost of wood.
"If Russians would fully implement those export duties, it's a challenge for all Finnish and also Swedish companies and not easy also for M-real," Helander said, adding close to 10 percent of M-real's wood supply comes from Russia.
(Reporting by Tarmo Virki; Editing by Louise Ireland)
