Forests, which occupy 18921.8 thousand hectares or only 8.1 percent of the whole territory of Mongolia, are situated along the watershed of the three big basins. The forest is very important, and rich in natural and ecological wealth, which keeps the rivers' water resources, protects soil from erosion, softens the climate, absorbs greenhouse gas, establishes a favourable living environment for animals, plant and microorganisms, and holds down the permafrost. The forest reserve is made up of about 140 varieties of trees and shrubs. Coniferous and broad-leaved forests occupy 84 percent of the forest reserve, and Haloxylon Ammodendron accounts for 16 percent. Coniferous and broad-leaved forests make up 10465.3 thousand hectares and Haloxylon Ammodendron are in 2040.9 thousand hectares of woodland.
Larch accounts for 58.8 per cent. Cembrapine 5.2 per cent, birch 8.8 per cent, pine 7.7 per cent and Haloxylon 16 per cent of all woods. Spruce, fir, poplar, aspen and willow grow on a small scale. Mongolian forests grow in an extreme climate. The woods are very susceptible to fire, harmful insects and the influences of adverse human activity. Forest fires have burnt about 70 percent of the famous Tujiin nars (Pine forest) in the territory of Selenge aimag since 1996. A reforestation campaign was started in 2002, and the Mongolian government pays for the protection of Tujiin nars. In 2002 pine trees were replanted in over 900 hectares of the area and 85 per cent of these were able to grow. Mongolia will replant 150 hectares of pine trees in 2004, and 200 hectares in 2005.
