This paper describes recent developments in planning and management of designated conservation areas in Finland and Sweden with particular emphasis on the conservation priorities, ecological management practices and socio-economic ramifications. One of the main objectives of the newly reformed forest and conservation legislation is the adoption of a two-track approach - establishment of a sufficient network of nature conservation areas and an ecologically sustainable forestry. Priorities for ecological and socio-economic research in this context are suggested in the paper. The need for a proper valuation of non-wood benefits of forests is particularly emphasized.
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