The share of the forest, woodworking, and pulp and paper industry of the republic in 2000 was: by the number of employed workers 1.0%; by product output — 0.6%; by the value of fixed assets — 0.7%. Despite this, the industry is of great importance as it provides the population with essential items made from wood, widely used in everyday life.
For the Kyrgyz, wood has been valued since ancient times. It was processed, and items for everyday use were made from it, convenient for application in a nomadic lifestyle. During the Soviet era, the forest, woodworking, and pulp and paper industry, along with other sectors, was nationalized. Specialized enterprises were established, the largest of which were built in the 1960s.
After gaining state independence, the enterprises in the industry were privatized and began operating in a market economy. As a result, enterprises of various forms of ownership emerged (state, joint-stock, private, etc.). In 1991, the number of such enterprises was 110, of which 16 operated independently, while the others were part of other enterprises and were small workshops and shops producing wooden products. A large portion of such products (in 1999 — 50.6%) was produced by 16 enterprises that were on an independent balance. In 2000, they employed 831 people and produced goods worth 248.6 million soms. This industry is characterized by its multifunctionality.
Among the sectors of this industry, woodworking occupies a primary place. In 2000, this sector produced goods worth 210.1 million soms or 84.5% of the total volume. It employed 72.1% of the personnel (1120 people), accounted for 96.1%, 199.8 million soms of production fixed assets, as well as 85.0% of enterprises (50 enterprises, of which 14 were on an independent balance). Major enterprises in the sector include JSC: "Kyrgyzmebel," "Emerek," "Ak-Kayin," "Kerege" (Bishkek); "Emerek" (Jalal-Abad); "Chynar" (Osh); and the Kansk Industrial Combine (Batken region). In 1999, they produced 85.0% of the output and employed 74.5% of the workers. Their main products include: furniture (produced worth 195.3 million soms in 2000), window fittings (9.8 thousand m²), door fittings (10.6 thousand mg), and other everyday items.
The second most significant sector is the harvesting of firewood and wood raw materials: in 2000, it produced 14.3% of the total output, employed 10.9% of the workers, and accounted for 4.8% of fixed assets. This sector includes enterprises of various forms of ownership. Among them are 7 small workshops and shops and about 50 forestry enterprises that engage in the harvesting of firewood and wood raw materials and forest cultivation.
The third sector of this industry is the production of paper and cardboard, which has 3 enterprises. In 2000, they produced 1.2% of the total output, employed 7.6% of the workers, and accounted for 2.2% of fixed assets. The main enterprise is JSC "Kartoon" (Tokmok), which produces cardboard and various products from it. It produced goods worth 801.5 thousand soms (75%) and employed 47 people.
As in the entire industry of the republic, there has also been a sharp decline in production in this area. The main reasons are its low quality and marketability. The produced goods did not find a market, and most enterprises operated at a loss. It remained impossible to work under market conditions, resulting in some enterprises being closed, while others operated below capacity. In recent years, some enterprises of various forms of ownership, having restructured, began to produce cheap, high-quality, and competitive products.
The production of goods in the forest, woodworking, and pulp and paper industry is unevenly developed across various regions. The majority of enterprises, especially significantly large ones, are located in Bishkek and the Chui region.
Efforts are being made to develop the industry in the republic. Together with specialists from Switzerland, measures have been taken for forest reproduction, especially of rare and endangered species, for the harvesting of wood raw materials, and for environmental protection. To develop the processing of walnut and other valuable local wood species, it is necessary to strive for the production of high-quality, competitive products in the global market, especially furniture. Under an agreement with the PRC, the construction of a factory for producing paper from reeds has begun in Tokmok.
