Abstract: The article is devoted to the study of the forestry complex (FC) of the Russian Federation. The work analyzes the fundamentals of the FC's functioning, its current state, and development prospects. The subject of the research is the Russian forestry complex market, including the processes of creation and development, as well as the impact of export dynamics on the complex's development. Research methods include the analysis of the legal framework, statistical data, and the study of foreign market experiences. The novelty of the work lies in the comprehensive approach to studying the Russian FC, which allows for the identification of specific features of its functioning under the transition to a market economy and the determination of the main internal and external problems faced by the industry. The first section of the article examines the fundamentals of FC functioning, including the features of the processes of creation and development of the complex, as well as the impact of exports on its development. The second section analyzes the current state of the market, identifies problems, and proposes solutions, discusses the possibilities of overcoming trade restrictions, the impact of reforestation on the resource potential, and the role of the legal framework in an international context. The main conclusions of the study highlight that the Russian FC is characterized by the complexities of organizing the forest harvesting and processing system associated with the transition to a market model and the peculiarities of property rights distribution over forest resources. The complex has faced a number of internal problems, such as operating in the shadow economy and an ineffective control system. Rental relations between tenants and the state have also negatively impacted the economic efficiency of forest resource use.

Keywords: trade restrictions, shadow economy, investment attractiveness, regulatory framework, reforestation, economic analysis, export, timber market, forestry complex, Russia