Farmers will be urged to buy land for forestry
FARMERS cooperatives will be encouraged to buy land for forestry as the Government grapples with the fallout from Coillte’s deal with Gresham House.
The news comes as Agriculture Minister Charlie McConalogue told Coillte that it should work with farmers first, in an attempt to meet the State’s afforestation targets, before looking to private capital.
However, the Gresham House deal is set to proceed, with ministers saying the Irish Strategic Forestry Fund, run by the investment firm, was ‘one of a number of models’ Coillte would use to contribute to meeting forestry targets.
Independent TD Michael Fitzmaurice said it was a ‘sad day’ that the deal would go ahead.
He said he didn’t think it was a win for opponents of the deal that the Government had effectively told Coillte it should find ways to work with farmers first before resorting to private capital to meet its afforestation targets.
Tánaiste Micheál Martin said: ‘We want farmers to drive the bulk of the afforestation, so we must be careful about the utilisation of the terms “private” and “public”.
‘There can be no selling off of any State forests or anything like that. The State itself should be more actively involved in purchasing land too. ‘Coillte will not sell out any existing publicly owned forests to the fund, nor will any other public body sell land to the fund. Any land purchased by the fund will already be in private ownership and no private landowner will be forced to sell land to the fund.’ Agriculture committee chairman Jackie Cahill said it wouldn’t ‘rest easy’ with anyone that investment companies could draw down premiums for forestry that was intended for farmers. Cooperatives are an enterprise owned and controlled by user members and operates for the benefit of its user members. They are popular amongst the farming community.
One well-placed source said: ‘Coillte were asked to go and see how they can work more closely with farmers. Is there a role for new co-operatives or using existing co-operative models? That’s the only way you can do it [for farmers]… You will get a solid investment over a 15-20 year period.’
Minister McConalogue and Forestry Minister Pippa Hackett, met Coillte yesterday to discuss its plans to meet afforestation targets after outrage from opposition to the Gresham House deal.
The €200million fund to acquire and create new forests up to 12,000 hectares, that will be managed by Gresham House, has raised fears that the price of rural land will become too expensive for many farmers to purchase themselves.
Ms Hackett said the targets for new forests were ambitious and Coillte had committed to playing its part by delivering 100,000 hectares out of a total national target of 450,000 hectares by 2050.
‘With the Irish Strategic Forestry Fund aiming to deliver 3,500 hectares of afforestation in five years, this represents a small yet important step towards achieving the nation’s afforestation target.’
Mr McConalogue said: ‘We are encouraged by the progress Coillte is making in engaging with local authorities and State bodies to identify land that is already in public ownership and suitable for forestry.’
‘You will get a solid investment’