Joe Sherlock (Cork East, Labour)
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Question 145: To ask the Minister for Transport if his attention has been drawn to a recent study by Irish railway news which showed that 26 rail freight flows have been lost to road since 1994 with at least ten lost during the past two years; his reaction to these findings; his proposals to halt the decline in rail freight; and if he will make a statement on the matter. [9187/06]

Martin Cullen (Waterford, Fianna Fail)
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The strategic rail review, commissioned by my Department, and published in 2003, contained a comprehensive examination of the rail freight business and its realistic potential to support economic development and contribute to a sustainable environment. Iarnród Éireann has advised me that one of the company's goals is to return the freight business to profitability and significant progress has been made recently in this regard. To help achieve this turnaround, Iarnród Éireann withdrew from loss-making groupage, palletised and single container rail transport in the recent past. However, Iarnród Éireann continues to pursue a policy of growing its rail freight business where opportunities present.

The transport of pulpwood for Coillte is on the increase and Iarnród Éireann is in negotiations regarding the transport of full trainload container traffic which is a viable business for the company.

Since 1999, Iarnród Éireann has invested over €1.5 billion in rebuilding the railways, with Government and EU support for the investment programme delivering improvements in new trains, upgraded infrastructure and customer facilities. While such investment has primarily focused on improving passenger services, the investment in improving rail infrastructure also has a direct beneficial impact on freight activities.