Development of timber processing complex in Karelia Republic: tendencies and perspectives

Article is devoted to the important problem of the forest industry's functioning in the Republic of Karelia, in the context of transitional economy. The article indicates the most acute problems of the industry - drawing fixed and circulating capital investments, low profitability of the production, loss making enterprises. The increase of the rough wood export is considered to be a negative tendency. The forming of vertically-integrated structures in the industry is defined as a positive tendency. A conclusion is made about the need of strengthening the state industrial policy.