THE AGRICULTURE MINISTER has said Coillte’s deal with British investment fund Gresham House is “not the government’s preferred option” for its forestry strategy but that it will support the semi-state in its plan.

It involves the purchase of land from private landowners, including both planted and unplanted land, to increase forestry cover. 

But it has been roundly condemned by opposition parties and some government TDs.

It has been described as a “land grab” by some, while also receiving criticism from forestry groups and farmers organisations.

Speaking this morning, Minister Charlie McConalogue argued that due to strict rules on state aid, Coillte had to explore options for private investment and one of these was the arrangement it has come to with Greshsam House.

“Myself and Minister (Pippa) Hackett have met with them to discuss that it is not our preferred option from a government point of view as to how we would enable Coillte to contribute to forestry investment,” he told RTÉ Radio One’s Morning Ireland.

But he added: “We will now engage directly to see how state can support Coillte and work with farmers to do that.” 

He said the strategy has the advantage of putting “family farmers at the centre of it, gives farmer longer premia than non-farmers”, to make forestry a more attractive option.

“We’re working very closely with them and we’ll be looking at every way we can support them from a state point of view, but also also support them in terms of they can work directly with farmers,” the Donegal TD added. 

Currently forest cover in Ireland is 11.6% compared to an EU average of 40%.

It is part of the Government’s national afforestation target of planting 8,000 hectares per annum with the long-term target 18% forest cover.

One forestry group opposing the deal, the Woodland League, said there is “no clarity” as to how it will achieve the 50-50 mix of native woodland and commercial forestry as proposed.

It said it will also see a “public funds grab” which will only benefit overseas investors, with Coillte  acting as a “sub-contractor with no tangible benefits to the Irish people, farmers or nature”.