OREANDA-NEWS. January 29, 2010. Experts of the Ministry of Economic Development of Karelia have analysed implementation of the largest investment projects in Karelia with the participation of foreign capital: Swedwood Karelia, Ltd., – IKEA and Stora Enso companies including enterprises of Setles, Ltd., Ladenso, Inc., and Olonetsles, Inc.

The Ministry of Economic Development of Karelia has estimated activity of these enterprises in the republic positively. The First Deputy Minister of Economic Development Lev Shustov has noted that "foreign investments involved into forest industry in our territory have achieved positive positive results, despite of difficulties of the crisis period. These are funds which today operate for the profit, and, what is very important, introduction of new technologies, modernization of equipment, observance of international ecological norms and rules of forestry activity. In this sense work of the foreign companies may set a good example for our loggers." Lev Shustov has also emphasized, that "another parameter of efficiency of outside manufacturers for the republic is creation of new workplaces with proper working conditions and respectable wages."

The Swedwood Karelia project includes construction of a wood-processing enterprise in Kostomuksha processing 320 thousand cubic metres of raw materia, production of glued panels and construction of a furniture factory. The saw-mill was launched in 2006, the shop producing furniture panels was launched in November, 2007. In 2008 the Board of Directors of the company has made a decision to start the third phase of the investment project – construction of furniture factory. The work has begun, and the volume of investments in January, 2009 has made 190 million roubles. However, at development of the world financial crisis implementation of the project was paused. Work on support of further implementation of the project is carried out now.

Experts of the Ministry of Economic Development of Karelia observe that according to the business-plan it is planned to establish 650 workplaces both for the people logging in Kalevala region of Karelia, and engaged in woodworking in Kostomuksha. Now there are 595 employees working at the enterprise.

The enterprise of Swedwood Karelia, Ltd., corresponds to the fourth principle of the international standard of FSC (Forest Stewardship Council). It means that it corresponds to the established norms of sustainable forest management in the economic, ecological and social spheres.

The company as a timberland tenant in Karelia carries out all the duties specified in the Forest Code of Russian Federation regarding reafforestation. Today it rents timberland in territory of Kalevala and Yushkozero forestry areas.

Setles, Ltd., in Impilahti is an investment project of Stora Enso; it includes construction ow a new saw-mill in the first pjase, construction of plant producing fuel granules and a plant producing and a plant producing furniture panels in the second phase. The saw-mill was launched in 2005, the shop producing fuel granules was put in operation in 2009. Today it works on 70% of designed capacity. In 2010 the enterprise plans to increase production capacity up to 85%.

Enterprises of Ladenso, Inc., and Olonetsles, Inc., engaged in timber harvesting. Plank timber is delivered to Setles, Ltd. In 2009 enterprises of Stora Enso ahve logged 596,400 cubic meters of timber, or 136% to the level of 2008. The enterprise has accomplished modernization up-dating of logging equipment in the pre-crisis period.