Charlie McConalogue (Donegal North East, Fianna Fail)
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To ask the Minister for Agriculture, Food and the Marine the position regarding the proposed sale of the Coillte forest crop; and if he will make a statement on the matter. [55980/12]

Simon Coveney (Cork South Central, Fine Gael)
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The Deputy's question concerns the current position with regard to Coillte. Deputies will know that the Government made a decision in principle to move ahead with preparing for and investigating the possibility of a sale of Coillte forests. Essentially this involves selling the harvesting rights to commercial Coillte forests and the investigative and preparatory process is under way. Work is ongoing between Coillte, NewEra - which is managing this process - and my Department. Consultants have also been brought in to do specific work around valuations and managing how the sales process may proceed, with the aim of maximising the value to the State, if value is to be found, as well as taking account of the other sectors that may be impacted by such a sale, such as the sawmill sector and timber supply generally, which is totally dominated by Coillte at the moment. This is a very complex process which we are in the middle of at the moment but I assure Deputies that the Government will act with caution. We will not do anything that will undermine or significantly damage the timber or sawmill sectors in Ireland. Effectively, we have a monopoly in Coillte at the moment. Most sawmills take more than 80% of their timber from Coillte forests. If we proceed with this, we will do so with caution to try to protect other sectors that will be affected by any sale, while at the same time trying to maximise value for the State.

Séamus Kirk (Louth, Fianna Fail)
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Are we to deduce from what the Minister has said that no decision has been taken yet as to what will happen with Coillte?

I assume that the decision on selling it has not been taken and that the process of assessment is continuing. I ask the Minister to clarify that issue.

Simon Coveney (Cork South Central, Fine Gael)
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The Government decision was straightforward. We are not selling the company or the land. The principal decision was to investigate and, if it makes sense to do so, proceed with the sale of harvesting rights for Coillte forests. This would involve selling crops early, just like farmers might sell 30% of their barley crops before they are mature. This is one option for realising the value of State assets, that is, the standing timber on State-owned land managed by Coillte, at a time when we need cashflow. In the context of that sale, a range of complex issues arise which need to be addressed if we are to proceed with our plans. The only decision that the Government has taken is that we will prepare for the sales process with a view to making a decision in the new year on whether it makes sense to continue the process in terms of realising value for the State without compromising strategic assets.

Séamus Kirk (Louth, Fianna Fail)
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The sale of immature timber will have profound implications for the saw milling sector, which employs a significant number despite the recession. I understand the downturn in the economy has had a minimal effect on the numbers employed in the sector thanks to the flexibility of both employers and employees. I ask the Minister for his assurance that the employment prospects and long-term viability of the saw milling sector will be borne in mind in any decision taken.

John Browne (Wexford, Fianna Fail)
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I get the impression that the Minister is not jumping over the moon about selling Coillte. The timber industry is very important for the saw milling sector but I am sure he will accept that the 18 million people who visit Coillte forests every year are also important in terms of recreation and environmental matters. Does he agree that the proposal to sell the forest assets owned by Coillte presents a serious threat to the use of forests by the people? It is an issue about which we are all concerned and I have received a considerable number of e-mails from groups which use Coillte forests for recreation and environmental matters.

Simon Coveney (Cork South Central, Fine Gael)
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As I noted earlier, if we proceed with the sales process, we intend to protect the State assets, in other words, the common good element of State-owned forests in terms of the land on which they sit. That includes public access. Most of the forests to which there is public access are not commercial crops. At least 25% of Coillte's estate comprises mature broadleaf forest primarily used for recreation. That will remain the case. These forests will remain in the ownership of the State and under the management of Coillte. The sale will involve standing commercial timber and we will proceed with caution and in a way that is consistent with the Government's decision.