The world and Europe face interlinked challenges that will intensify in the coming decades: increasing demand for food, water, materials and energy while mitigating and adapting to climate change and reversing environmental degradation, including biodiversity loss, nutrient emissions and land degradation. Although forest resources in Serbia are an important resource for economic growth, especially in rural areas, the traditional approach to their management and utilization is still predominant. This approach is characterized by its reliance on timber as the primary forest product, while other forest products are largely neglected and their economic valuation is often non-existent. In addition, a certain amount of wood biomass is left in the forest even though it could be economically exploited or offered to the market with minimal investment in infrastructure and technological solutions that would allow it to be used more effectively. Tackling these major challenges while promoting social, economic and environmental prosperity requires an innovative approach. Continuous transfer of know-how methods, capacity building in the field of forest management through the application of GIS and remote sensing technologies, climate smart forestry and the concept of circular bioeconomy is a possible way to improve the current situation in forestry and achieve some of the sustainable development goals.