This study describes the methodology and the assumptions of a Russian forest sector outlook study. It start from a historical analysis of major developments in forestry and the forest industry, focusing on the collapse of the planned economy in the Russian Federation and the current indicators for recovery.The study starts from macroeconomic assumptions partly approved by the government, as a background to elaborate the three forest sector scenarios. Analysing the national and international demand the study provides forecasts for consumption, trade and production of major forest products. The authors elaborated conclusion for the forest sector stakeholders, which could be useful for further discussion about the provided forecasts and possible conclusions for policy makers.