Talks between the IFA and Coillte to resolve a dispute over partnerships the state-owned company signed with 630 farmers began on Monday.

Both parties told the Irish Farmers Journal they welcomed a constructive engagement and talks are set to continue.

The talks follow a rowdy IFA public meeting last Thursday in Killaloe, Co Clare, where around 10 partnership farmers complained to Coillte representatives that they were missing information on the timber harvested from their plantations or the level of payments due to them under their contracts. Several said they wanted to exit their partnerships.

A forestry consultant presented the case study of a farmer who signed a contract with Coillte shortly after the scheme opened in 1993. Showing details of the case to the Irish Farmers Journal, the consultant estimated that the farmer would make a net profit of €6,950/ha from this forest while Coillte’s share would be €21,725/ha, assuming clearfell after 30 years.

Coillte’s strategy and business development director Bill Stanley cited a case showing the reverse situation, with profits of €22,000/ha going to the farmer while Coillte would receive around half as much.

Both case studies exclude Government premiums and the variations illustrate the multiple contract templates used over the 20 years of the scheme.

Stanley also said that payments front-loaded earlier under some contracts were worth more because of inflation and borrowing costs.

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