Irish forestry is in a “state of crisis and the sector is losing confidence,” Senator Victor Boyhan has warned.
The senator believes there is an urgent need for the European Commission’s “criticism and disapproval” of Ireland’s proposed €1.3 billion Forestry Programme to be made public.
The proposed €1.3 billion Forestry Programme 2023-2027 is subject to state aid approval by the European Commission (EC)before it can be implemented in Ireland.
The senator says that the EC “needs to come clean on its criticism of the Irish governments forestry policy”.
According to Senator Boyhan the clarification is needed “so that we can get down to business and get the necessary state aid approval over the line and get all aspects of forestry full back to business”.
He claims that the forestry planting targets “will not be delivered” this year because of the “procrastination” over the deal by the commission and the government.
Senator Boyhan said: “Six months into this year and we are still awaiting EU approval for the country’s forestry strategy.
“it’s simple a crazy situation to be in and a cause of concern to those actively involved in the forestry sector, which is fast losing confidence and viability of the sector.”
According to the senator, the Department of Agriculture, Food and the Marine Forest Strategy 2023-2030 will be “100% exchequer funded”, with state aid approval “expected” from the European Commission.
He added: “Yet no one truly knows the extent of the issues holding up formal EU approval.”
Senator Boyhan also said a controversial collaboration between Coillte and Gresham House should “also be shelved”.
He said that the collaboration between Coillte and Gresham House has “left a lot of people angry with Coillte because of how the transaction was carried out”.
“Coillte forestry farm partnership model also needs to be re-examined given recent disclosures by participants of the scheme to the Oireachtas Committee of Agriculture,” Boyhan said.
Coillte
In January, the Minister for Agriculture, Food and the Marine Charlie McConalogue confirmed that Coillte did not require ministerial approval for the new collaboration.
London-headquartered Gresham House launched its new €200 million Irish forestry fund – The Irish Strategic Forestry Fund – at the start of the year.
The fund, which is aiming for a portfolio of around 12,000ha of new and existing forests, is supported by the Ireland Strategic Investment Fund (ISIF) which is managed and controlled by the National Treasury Management Agency (NTMA).
Many of the forestry organisations “strongly opposed” the tie up between Coillte and Gresham House.
They have warned it could remove land from rural ownership which they claim could be equivalent to 1,500 average family farms.
Forestry groups have also warned that the collaboration could give venture capitalists an “unfair advantage” over existing, young and new farmers and push them off the land.