Olivia Mitchell (Dublin South, Fine Gael)
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Question 59: To ask the Minister for Agriculture and Food the proposals her Department intends to pursue to develop the sector following the recent Bacon review of the forestry sector, particularly in reaching the planting target set out in the programme for Government in 2002; and if she will make a statement on the matter. [17313/05]

Mary Coughlan (Donegal South West, Fianna Fail)
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The review and appraisal of Ireland's forestry development strategy undertaken by Peter Bacon and Associates is a key element of a review of the sector. The proposals in the review are being considered in conjunction with the draft EU regulation on rural development policy, which proposes reductions in EU financial support for forestry. The Bacon report reaffirmed the need for an approved planting target of 20,000 hectares per annum but commented that a lesser planting target could be a viable basis for support, providing the planting is undertaken in a manner that maximises the non-timber benefits.

Given that EU funding of forestry currently accounts for up to 60% of public investment in the sector, proposals for the further development of the sector must await the final terms of the rural development regulation and consideration of the likely impact on Irish forestry. The current availability of grant aid at 100% for planting and the annual premiums, particularly the concession obtained in the stacking entitlements vis-À-vis the single payment scheme, make forestry a very attractive land use option for farmers.

For 2005, I have made sufficient funds available to support an increased planting programme of some 15,000 hectares, which is the maximum the sector could deliver at present. However, this is a demand driven scheme and the level of planting ultimately achieved this year will depend entirely on take up from the sector, in particular from farmers.