In Serbia, as in other European countries, small and medium enterprises are recognized as a pillar of economic development. At the same time, a clear need for support to those enterprises and entrepreneurship, both in urban and rural areas, is emphasized in national strategic documents. In forestry, small and medium enterprises are of special importance for sector development. However, in Serbia, there is a lack of knowledge about them, and particularly about small and medium enterprises whose business is based on non-wood forest products. Bearing in mind the importance of these enterprises for development of private forestry sector and rural areas, research aiming to determine their characteristics and types is needed. Door-to-door survey was conducted with 91 representatives of non-wood forest products based small and medium enterprises in Central Serbia. Results of cluster analysis showed there were three types of non-wood forest products based small and medium enterprises, in regard to their characteristics. The same number of types was distinguished, in regard to business activities. Results of this research can be used for further detailed study on types of forest-based small and medium enterprises and as a basis for formulation of support measures and, thus, improvement of the entrepreneurship in non-wood forest products sector in Serbia.

UDK: 630*93:630*68(497.6) Illegal logging and related trade represent one of the most important forest-related issues at international policy scene. In 2002, the European Union had initiated establishment of regional initiatives on preventing trade of illegally harvested wood, well known as FLEGT process. Other important segment of European Union efforts is adoption of legally-binding Regulation No. 995/2010 - EU Timber Regulation (EUTR) that prohibits import of illegally harvested wood and their products into EU. Bosnia-Herzegovina is country with economy in transition and with relatively slow progress toward EU integration process, while rising of awareness on need for prevention and combat with illegal activities and corruption represent one of the mayor challenges for its society. This paper analyse forestry professionals’ awareness of the EU Timber Regulation in the Federation of Bosnia-Herzegovina as precondition for planning further steps on improving human and institutional capacities in forest sector to prevent and combat with illegal activities. In order to conduct the analysis of forestry professionals’ awareness on EUTR, survey was conducted among currently employed forestry professionals in forest sector of the FB-H. Results revealed that employed forestry professionals in the FB-H have different level of awareness on EUTR. Therefore, creation and consistent implementation of informational forest policy instruments are needed in order to increase capacities of forestry professionals related to elements of EUTR implementation process. Efforts on prevention and combat with illegal activities in forest sector should involve implementation of mix of forest policy instruments directed toward harmonization of forest policy in the FB-H with EUTR requirements based on active participation of forestry professionals that are aware of EUTR implementation process and its potential influences on forest and wood-processing sectors of the FB-H.

At the global level, due to the negative effects of over-exploitation of natural resources, numerous processes and initiatives for their conservation and sustainable governance have started. The beginning of the transition process, as well as political and economic changes that followed in the countries in transition, were in line with the new orientation of the international forest and nature protection policy. The transition process has caused, among other things, a redefinition of the role of government in managing natural resources. This meant a shift from “government” to “governance” concept. This concept refers to the change from the classical approach of “command and control” to active participation of all involved parties and establishing rules for the division of responsibilities and benefits. The aim of the paper is to identify, analyze and systematise the current concepts of sustainable governance in forestry and nature protection, their characteristics and the principles on which they are based, with a main purpose of preparation of a research platform for more detailed research in this area. The paper gives recommendations for the application of the principles of governance in forestry and nature protection, as well as recommendations for future research in this area.

UDK 630*6:630*43(497.6 Prozor-Rama)          630*43:630*6(497.6 Prozor-Rama Despite of the significant activities on the forest fires prevention, number of forest fires is constantly growing worldwide causing tremendous direct and indirect damages. Direct damages are referring to the losses on timber and other forest products, fire fighting and remediation costs as well as costs of fire sites restoration. Indirect damages are referring to the negative impacts of forest fires on various ecosystem services and overall conditions of environment. Despite of the fact that indirect damages could be far greater than direct ones, in most of the cases in Bosnia- Herzegovina, they are not included in the assessment of the damages and methodology for their calculation is not developed yet. The goal of this paper is to conduct the economic valorisation of direct and indirect damages from forest fires at the territory of Prozor-Rama municipality in 10-years period in which the scope and frequency of the forest fires were determined. The methodology that is used in this paper is developed by European experts on assessment of socio-economic damages from forest fires in Europe (PETTENELLA et al, 2008). Formula for calculation of damages of some functions and values of forests are partially modified due to the specific conditions of forest management practice and characteristics of forest stands, while some of them were excluded from assessment since they required additional research for their valuation. Calculated values of the damages are 11 times greater than those that are presented in the Register of the damages from forest fires of the Public Forest Enterprise „Šume Herceg-Bosne“. Modified method could be a sound basis for development of methodology for assessment of the damages from forest fires and total economic valuation of forest ecosystems in Bosnia-Herzegovina.

Background and purpose: Caused by appearance of new stakeholders and diversification of their interests towards forests, different forest-related conflicts emerged worldwide. As a country with economy in transition and relatively young democracy, Bosnia-Herzegovina might be suitable for understanding the roots, actors and varieties of these conflicts. This paper deals with the most frequent forest-related conflicts, main actors involved as well as undertaken actions in order to manage them in Bosnia-Herzegovina. Materials and methods: The theoretical framework is based on the Conflict Management Progress Triangle consisting of three dimensions of conflict: substance, process and relations. As particular focus in this paper is given to conflicts between forestry and wood-processing industry, the primary parties in this study were public forestry companies and wood processing companies. For the purpose of this survey a special questionnaire has been designed. The survey population included the most important actors of forest and wood-processing industry as follows: ministries of forestry, nature protection and physical planning at all levels, managers/owners of wood-processing companies, managers of public forest companies and public forest administration, representatives of the most important environmental NGOs and professional associations, managers of protected areas and water management authorities, heads of forest research institutions, economy of chambers and international institutions. In total 136 questionnaires were collected, out of which 68 respondents identified conflicts between forestry and wood-processing industry as the most important ones. Discussion and conclusions: The results show that the main causes of these conflicts are: differences in demand and supply of wood assortments, way of selling of wood assortments (including quantities and delivery dynamics) as well as wood assortments prices. As the most prominent action among the undertaken ones to manage the conflicts, the respondents underlined adoption of criteria for transparent selling of wood assortments. The results of this paper might be useful for both, public forest companies and wood-processing companies. Timely identification and implementation of possible solutions in order to overcome the most pronounced conflicts would increase competitive advantages for both sides.

UDK 630*93:502(497) Within last few years, all Western Balkan countries have adopted new forest legislation aiming to introduce internationally accepted concepts of forest management. Due to specific social, political and economical realities that these countries have passed through, a number of nature protection regulations have been integrated into forest legislation. This paper compares nature protection regulations in Laws on Forests in Croatia (2005), Federation of Bosnia and Herzegovina (2002) and Serbia (2010). It examines differences and commonalities in above mentioned Laws. Furthermore, the paper analyzes the level of consistencies between Laws on Forests and Laws on Nature Protection in Croatia (2005), Federation of Bosnia and Herzegovina (2003) and Serbia (2009) in terms of “openness” and “greening” of forest related legislation. The results show that protection regulations within forest legislation, particularly those referring to forests with special management regime, can be strengthened by introducing the concept of high conservation value forests (HCVF). This concept includes also strategic changing of forestry sector position - from an inferior towards more proactive role in nature protection dialogue. The results of this paper can contribute to further improvements of current countries’ forest related legislation in domain of analyzed issues as well as creation of consistent forest and nature protection policies aimed at fostering cross-sectoral dialogue and cooperation.

UDK 630*92:519.237.8(497.6) According to FAO, the total forest area in Bosnia-Herzegovina amounts 2.709.769 ha or 53,4% of overall state territory. While the total area of private forests is 523.437 ha, private forest ownership is characterized by huge number of small-scale and fragmented individual estates. The aim of this research is to examine how the groups of private forest owners can be created with different clustering methods, regarding different criteria. The data presented in this paper are obtained from PRIFORT project (Research into the Organizations of Private Forest Owners Associations in the Western Balkan Region). Results show that private forest owners in Bosnia- Herzegovina can be grouped in three clusters by using different clustering methods, based on criteria defined in advance. Significant differences in willingness of private forest owners (PFO) to join to their interest associations are noticed for identified clusters. From forest policy aspect, the clusters gathering homogenous groups of private forest owners should be treated by different policy instruments (regulatory, economical or informational) in order to ensure better contribution of private forests to overall economical, ecological and social outcomes expected from forests as the most important natural resources in Bosnia-Herzegovina.