The present study describes the situation in the Slovak forestry sector comparing innovation activity in two different periods (2002 and 2009). The ownership type appeared to be important for the innovation activity of forest holdings. Higher innovation activity was reported by state-owned enterprises, contradicting the hypothesis based on the theory of property rights, according to which the highest entrepreneurial and innovation activity could be observed in private holdings. Instead, innovation correlated positively with the holding size. The results concerning fostering factors for forest holdings to introduce successful innovations indicate the necessity of cooperation, information exchange and the support of public and EU sources. The main obstacles for adoption and application of innovation are lack of finances, tax load and environmental legislation. The comparison between the two periods shows that innovation activity has increased from technological innovation to products and services. Wood still remains the main product of forest holdings. In comparison with 2002, in present the importance of bio energy becomes visible.