asked the Minister for Tourism, Fisheries and Forestry if he considers that it may be appropriate to clarify the details of contracts for the sale of pulpwood from State forests to two foreign companies operating in Ireland; in particular, if he will explain the inclusion of clauses in the contracts to prevent the disclosure of prices to any third party; if he considers that the disposal of the State's assets should be according to clearly defined and published criteria; and if he will make a statement on the matter.
Written Answers. - Sale of Pulpwood.
43.
In March 1981 my Department, with the approval of the Government, entered into a contract with Medite of Europe Limited for the supply of pulpwood for processing in their proposed new factory at Clonmel. A contract along similar lines was entered into in May 1984 with Finsa Forest Products Limited for the supply of pulpwood for their factory at Scarriff.
The non-disclosure clauses included in these contracts were in line with the long established practice of Government Departments in not disclosing commercial information in relation to individual firms and are, of course, designed to protect the firms concerned. Indeed it has long been the practice of my own Department for very obvious reasons not to disclose to third parties details of individual contracts whether they be long term pulpwood supply contracts or agreements for tender sales to sawmillers. This is normal commercial practice and is not just unique to my Department.
I agree that the disposal of State assets should be in accordance with clearly defined criteria and indeed this is the case with my Department's tender sales system for timber from State forests. In the case of Medite and Finsa the special supply contracts entered into by the Department were in the context of the arrangements made to attract suitable pulpwood industries to this country.