The export duty increase had been expected to take hold at the beginning of 2009 but has now been delayed by nine months.

However, M-real said on Friday that the move does not mean there will be a decrease in the price of Russian wood and therefore it does not reduce the need for price increases.

It said that although the announcement gives the industry more time to adjust, it will have no significant impact on its operations.

M-real chief executive Mikko Helander said: "The price increases achieved so far are steps to the right direction. However, they are not enough to raise the profitability to acceptable levels.

"Higher prices will enable us to ensure continuous product development, which will benefit both M-real's customers and its own business."

Meanwhile, Stora Enso welcomed Russia's decision and said it is "an indication of the desire to avoid barriers to international trade" that would hamper the economies of both Finland and Russia.

Chief executive Jouko Karvinen said: "We are very pleased with the Russian decision to postpone the wood duty on Russian wood exports.

"This decision gives us more time to adjust our operations to the postponed wood duty."

Stora Enso has already considerably reduced the use of wood imported from Russia at its Finnish mills.