Standard rates will now apply for all the land classification areas in the country. ÒAs a result of this levelling up, higher premium levels, previously paid for non-disadvantaged areas only, will now also be paid for new planting in severely handicapped areas. This means larger increases in these severely handicapped areasÓ, according to the Minister.

In response to a call from farmers, in particular, who have planted during previous seasons, the Minister said that he and his department will shortly pursue adequate increases for those who planted in earlier years.

Following the announcement of the new measures a spokesperson for the Society of Irish Foresters said that Irish foresters are now in a much better position to promote and develop forestry on the ground. ÒThey have a huge role to play in the achievement of the ambitious planting targets and now that the forestry package is attractive again they will be in a position to make a real impresssion on the 20,000 hectares annual programme.Ó the SIF spokesperson said.

In a statement to the press, the Irish Forest Industry Chain has also welcomed the new grants and premia. Pat Ivory, Director is quoted in that statement as follows: ÒWe have frequently complained of the delay in getting Brussels agreement, but we have always been conscious of the determination of Minister Byrne and his Forest Service team to keep pushing for a solution. Let us now welcome the new rates for what they are - a very substantial and important increase averaging up to 33% in the money payable to farmers.Ó

Donal Magner, Chairman of the IFIC is also quoted in that press statement. About the government announcement he says: ÒIt is a real response to industry demands. The Minister and his team have had their critics but like the Irish rugby team they have turned the game around and we have a result. We are now asking for an adjustment to the rates applicable to those people who planted between 1993 and 1998 and we know this is the next priority for the Irish negotiators. It would simplify the system for everybody if Brussels could be persuaded to agree index linking for grants and premia for the future. At long last we can look into the 1996 Strategy Document which asks for 20,000 ha. planted each year and we can see our way to reaching those targets.Ó Mr Magner concludes the IFIC statement on a very optimistic note: ÒMy hope now is that we may do even better than that and regain some of the ground lost through reduced planting in the past three years.Ó

Meanwhile, Tony Mannion who is President of the Society of Irish Foresters said that the restructuring and simplification of payment categories will mean that participants in forestry, regardless of location, are all considered on an equitable basis. ÒThis is a very positive development which will greatly boost forestry planting in areas where it is most suited,Ó Mr Mannion claimed. He went on to say that those who had already committed themselves to forestry by planting during recent years should, in the interest of fairness, also receive increased premia payments. ÒThere are a lot of farmers out there who are genuinely interested in forestry. However, they will be cautious about getting involved in a scheme which may lock them into fixed premia payments for the next 20 years with no review. This would not be a good message to send out,Ó according to Mr Mannion.

Coillte has responded to the new grants and premia by announcing new options for farmers in its Farm Forestry Partnership. The company says that this scheme has been very successful with almost 300 farmers having planted a total of more than 6,000 hectares since it was introduced in 1993. See a separate report on page 6 for full details of CoillteÕs new Scheme options.