asked the Minister for Tourism, Fisheries and Forestry the reason long term contracts entered into by his Department for the supply of pulpwood tie reviews of the prices agreement to the attainment of profit levels by the companies which are not sustainable by the international leaders in the forest products industry; the reason for the poor relations said by the trade to exist between them and his Department; and if he will make a statement on the 21st report of the Committee on Public Expenditure.
Written Answers. - Pulpwood Contracts.
92.
Two commercial long-term contracts for the sale of pulpwood have been entered into by my Department. These contracts, including the pricing arrangements set out therein, were negotiated and approved by the Government of the day as part of a package to attract suitable pulpwood industries to this country, which involved large-scale capital investment and which would provide long-term employment opportunities and guaranteed outlets which were then not available in this country. As the Deputy is, I understand, already aware, both contracts contain binding contractual non-disclosure provisions and in those circumstances I do not propose to comment on particular aspects of them.
I do not accept the allegation that relations between members of the timber trade and my Department are poor; on the contrary, there is regular and close liaison between the Forest and Wildlife Service of my Department and members of the timber trade and meetings frequently take place between them in a harmonious and constructive manner. In order to further improve that liaison, I propose to set up a standing consultative committee in the near future to advise on matters in relation to development, research, promotion and marketing of Irish timber and timber products on which the various interests of the trade will be represented.
As regards the 21st report of the Committee on Public Expenditure, I would refer the Deputy to my reply to a similar question by him yesterday.