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and other environmental factors, of which the main component is a or a number
           of species of woody plants, bamboo, corkscrew and areca family, whose height
           is determined according to the flora on the mountain, rocky mountain, wetland,
           sandy soil, or other typical flora; the area is 0.3 hectares or more; the radio of
                        2
           canopy cover  is from 0.1 and vover.
                 By its origin, forests are divided into natural forest and planted forest;

                 Natural  forests:  forests  are  available  in  nature  or  restored  by  natural
           regeneration, including primary and secondary forests.

                 Planted forests: refer to forests which are planted by human, including: new
           plantations  on  land  without  forests;  replanted  forests  after  timber  harvest  of
           existing  planted  forests,  naturally  regenerating  forests  from  harvested  planted
           forests.

                 By purposes of use, forests are divided into protection forests, special-use
           forests and production forests.

                 Protection  forests:  forests  are  mainly  used  to  protect  water  resources,
           protect  land, prevent  erosion, combat desertification, limit  disasters,  regulate
           climate and protect the environment.
                 Special-use  forests:  forests  are  mainly  used  for  nature  conservation,  the
           standard sample of the national ecosystem, and forest genetic resources; scientific
           research; protection of historical and cultural relics, tourist attraction; serve for rest
           and tourism, combined with environmental protection.

                 Production forests: forests are mainly used for production and trading of
           timber, and non-timber forest products, combined with purposes of protection
           and environmental protection.

                 Forest area refers to the total forest area at a given time.
                 Newly concentrated forests are planted forests in the first year, meet the
           technical standards for afforestation.

                 Production  of  timber  and  non-timber  forest  products  includes
           production  of  timber,  firewood,  bamboo,  neohouzeaua,  bambusa  nutans,
           dendrocalamus  barbatus,  etc.,  and  other  products  such  as  shellac,  resins,


           2  Canopy cover is the level  of coverage of canopy trees in a vertical  direction per unit of forest area
           expressed in tenths
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