THE ROLE OF THE FINANCIAL AUDITOR FOR THE PARTICIPATION OF FORESTRY ENTERPRISES IN GLOBAL VALUE CHAINS

The independent external financial audit is of fundamental importance in the management of any sector, including forestry. Economic theories argue that evidence from external sources is considered more reliable. In addition, external financial auditors have an important role in terms of the strategic development of the entity, the disclosure of data in the financial statements, and managerial decisions. However, the forestry sector in Bulgaria is very conservative and closed to effective collaboration with foreign partners. In this respect, the financial auditors can have an important role as a factor for forestry enterprises' participation in global value chains (GVC). The paper's main goal is to outline the role of external financial auditors in the participation of Bulgarian forestry enterprises in GVCs. For this purpose, the authors present summarized data from interviews conducted with representatives of the financial audit sector in the Republic of Bulgaria. In conclusion, it can be stated that auditors do not have the right to influence management decisions and processes related to GVCs, but at the same time, part of the analysis of risk factors such as foreign suppliers and customers are taken into account by the management who directly or indirectly relays on auditors' opinions and even seeks consultations and advice from them. In addition, based on the procedures the financial auditors perform, they analyze and evaluate the business as a whole, with which they consciously or unconsciously evaluate the influence of global chains on the activities of their clients.