Address by Minister Lehtomäki at the opening of the Forest Academy of Finland

Address by Ms Paula Lehtomäki, Minister for Foreign Trade and Development, on the occasion of the opening of the Forest Academy of Finland

Helsinki
3 December, 2003




Mr Chairman, Dear Guests,
Dear Participants in the Forest Academy,

First of all I would like to express my appreciation to the organizers of this Forest Academy. This forum is taking place against a very interesting international background. Participants representing various disciplines of forestry and forest industries have come here from countries that are soon to join the European Union. It is a great pleasure for us in Finland to have you here in our country, a country whose development is much dependent on forests and their associated industries. Your programme here will take you quite close to my own home area of Northeast Finland, which is definitely a special pleasure to me.

Let me now tell you something about my own affiliation to forests. I would like to take up just one specific aspect which is not as romantic as it sounds, but is an important aspect known to many people who have lived close to forests. It is the traditional knowledge of forests and the importance of maintaining this indigenous wisdom for sustainable forest management.

For Finns, the forest is a place of recreation and peace. For me personally it means a place where, in our hectic modern world, we have the good fortune to escape from the ubiquitous mobile phone, the almighty portable computer and the demands of everyday life. I grew up surrounded by forests, just four kilometres from the Finnish-Russian border. The forest industry provided livelihood for many people in our community and I have always enjoyed outdoor pursuits: skiing, hiking and running in the woods.

With my present work these hobbies have understandably become even more important. Our own personal relationship with the forest is very important when we consider sustainable development, a theme that will be present in the next UN Forest Forum in Geneva next spring.

Ladies and Gentlemen,

European Union enlargement is a reality. We will have 10 new member countries by the 1st of May 2004 (the first of May, two thousand and four) and two more at a later date.

The enlargement process will lead to a substantial expansion of the EU's forest sector. In the EU of 25 countries, the total forest area will grow by 20 % and the number of forest holdings by 25 %. Among the main consequences of this expansion will be notable potential for employment in the forest sector, increased self-reliance for forest products and a big increase in protected forest areas.

The countries joining the EU next year will raise the Union's afforested area by 23 million hectares or by roughly one fifth. And because the forests of Eastern Europe are quite dense, the volume of wood will rise even more. And when, finally, Bulgaria and Romania join the EU the total stock of wood will be about 50 % bigger than it is today.

It is estimated that about 40 % of the forests in the new EU member states will be in private ownership. I understand that this presents a big challenge for all of us to develop institutions and legislation accordingly. Regarding the use of wood, both for wood products as well as for paper, the new EU countries have long traditions and experience. I think it is safe to say that the forest sector within the EU will be made stronger by their presence. Both the marketplace and forest policy issues will be different after enlargement.

However, the biggest impact of enlargement on the forest sector will be indirect. The political and administrative structures and habits of the EU have to be renewed. Those changes will also affect the decisions on forest policy.

Ladies and Gentlemen,

Let me now touch upon some aspects of EU forest policy.

Although the EU does not officially have a forest policy, we know that the Union still influences forest issues among its members. This influence comes through agricultural policy, environmental policy, regional policy, employment scenarios and other policies. But still - the main responsibility for forest policy lies within the Member States. The differences between various countries are big and it is important to have a flexible system in which regional conditions can be considered and dealt with through local decisions and measures.

Environmental policy has quite a strong influence on forest issues. Global commitments made in international forums and processes are turned into EU strategies and eventually into EU directives and national legislation. It is important that the forest sector takes part in the coordination of policy and in the decision-making process. In this context we need good co-operation and co-ordination both at the EU level and national level.

Furthermore, the rural development policy within the EU is important from a forest point of view. The EU has introduced several pieces of legislation to assist the development of forestry and its related activities in rural areas. These are aimed at helping rural economies and the role of the forests within them. In the current EU countries we have about 12 million private forest owners, many of them living in rural areas, who obtain a part of their livelihood from the forests.

Forests, at the same time as they fulfil other functions, also provide both wood and non-wood products for the public good. The EU's forest-based industries constitute one of Europe's largest industrial sectors, accounting for around 10% of European manufacturing industry's total value of production, value added and employment. They provide income and employment for some 2.6 million people directly, all over the EU.

The picture I have drawn here of the forest sector in the EU is quite diffuse. This places demands on you who are involved in this sector. The forest sector needs to have its own clear goals and not only be dependent on fragments of other policies. The forest sector's target should be to better evaluate and manage the effects of decisions made in other sectors on the economic, social and ecological dimensions of the forests. To achieve this balanced situation, better co-ordination is needed within the Commission.

Dear Participants,

The forests are still of very great importance for the welfare of the Finnish people and for the economic development of the country. The products of the forest industry count for over a quarter of Finland's export earnings. The whole forest cluster, which apart from the forest industry, incorporates the paper, pulp and forest machinery industry, and numerous consulting firms, generates 30 to 35 % of the country's total export earnings. The forest industry is still, along with the metal and electronics industries, one of the three supporting legs on which the Finnish economy stands and on which the welfare of decades to come can be built.

The forests are the most important part of Finland's natural environmemt and a fundamental part of the way of life and the culture of the Finnish people. Wisely managed, used and protected, the forests will provide a source of material and spiritual richness for present and future generations.

Ladies and Gentlemen,

I wonder if we are able to pass on any advice or wisdom to you your forthcoming partnership as member states of the European Union. Perhaps there is at least one relevant piece of advice, namely that forest policy in Europe has other dimensions that need to be looked at. For example, integrated water resources management and watersheds, possible land degradation, competition, legislation, law enforcement and other issues are all related to efficient and sustainable forest management. One could add many more items to the list.

Co-operation among various ministries, and also with the private sector and NGOs, is an important factor to be borne in mind within our collaboration as partners in the EU. This is also becoming important in the outreach of the EU, that is to say in co-operation with other regions and developing countries.

Our experience shows that quite a lot of effort and resources should be allocated for European Union legislative work and the preparation of common union policy. Streamlining the work of the European Union is becoming increasingly important now, when we are expanding. We have to be careful that the whole structure works finally to our benefit, not to our disadvantage.

We have also noticed that there are only a few areas in the forestry sector which actually need to be changed upon accession to the EU. Those few are, for instance, regulations concerning NATURA, directives regarding trade inputs for forestation and perhaps issues related to some endangered animal species.

Ladies and Gentlemen,
Dear Participants,

Time has allowed me to touch upon just a few of the great variety of issues which this programme will surely generate.

I wish you all a successful stay in Finland and, as I mentioned, I am particularly pleased that you will be visiting Joensuu and North Karelia. You will understand, I am sure, why I am so proud and so fond of that region.

Best wishes to you all.
Thank you.