Out of all natural resources of BiH, its timber is best known and 53% of the country is covered in forests that can serve the wood and furniture processing industry. Forests and forest lands in Bosnia and Herzegovina is spread over an area of 2.709.800 hectares.

Given their self-regeneration, natural structure, composition and natural mixed rejuvenation, are one of the basic resources in the development of the Strategy of Bosnia and Herzegovina in the future. Given the geographical position of Bosnia and Herzegovina and the influence of the Mediterranean, sub-Mediterranean, sub-continental and mountain climate, the plains of Posavina in forest composition appears a number of forest communities with over 100 woody species.

Besides wood resources, B&H forestry has a significant number of resources for production of:

Bio-energy on the basis of forest residues, sawdust and woodchips;

Non-timber forest products (NTFP): nuts, fruit, leaves, bark and roots from forest species;  fruit, bulbs, roots, leaves and flowers from herbs and shrubs – commonly referred to as medicinal and aromatic plants (MAPs); mushrooms;

Endemic and scarce life forms;

Briquettes, pallets, etc.

Raw based on existing hundred years developed a strong wood industry with a tradition of production and a very wide range of wood products, but global recession trends significantly affected a lot of hard state BH wood industry in 2009.

Structure and range of products of wood industry are very diverse and almost everything is possible to produce  in the wood industry in the world, can be produced in Bosnia and Herzegovina. The wood industry is focused on a higher level of finalization and higher exports of finished wood products.