NO UPSIDE: Federal Environment Minister Tony Burke and Deputy Premier Bryan Green talk to the media about the imminent failure of the forestry peace deal in Tasmania. Picture: MATT THOMPSON
THE future of what was once one of Tasmania's most thriving industries was in tatters yesterday, after marathon forestry peace talks were finally felled by warring parties.
Even a $120 million assistance package to be used for industry restructuring and economic diversification, that was still sitting on the table, could not induce co-operation between forestry and conservation groups.
The breakdown left a weary and visibly upset federal Environment Minister Tony Burke with the task of telling Tasmanians there would be no end to the decades-long conflict over the forests.
"Signatories could not reach agreement between the conservation reserves and a minimum sawlog volume," Mr Burke said.
Predictions of a dire economic downturn were put into stark perspective by rumours of Malaysian veneer company Ta Ann's potential withdrawal from the state, with the collapse of the peace talks now leaving thousands of forestry jobs and contracts in limbo.
An industry source said Ta Ann, which employs 160 workers at its Smithton and Huon Valley mills, had warned the Government that the mills would close if the talks failed because it was not willing to operate in an environment of controversy and conflict.
Dr Jonathan West, the head of the six-member scientific panel that advised signatories, said the failure of the talks was "a tragic and disastrous outcome for Tasmania".
"This agreement made it possible to protect the forests and industry; both sides could win, now both sides will lose everything because of a stubborn refusal to budge," Dr West said.
The loss of Ta Ann would cost the state millions, with the Malaysian timber giant last year injecting $45 million into the Tasmanian economy.
Mr Burke and Deputy Premier Bryan Green said they were "deeply pessimistic" about any resolution in the near future.
"No amount of goodwill can bridge the gap between the signatories," Mr Burke said. "I looked around the table and I looked at each party and I couldn't see an upside to any of them."
Premier Lara Giddings refused to comment on the collapse of the peace talks, but Mr Green put it in perspective.
"They have represented their constituents the best they possibly can," he said. "We can't see how there could possibly be agreement between them."
After the talks broke down, it didn't take long for the knives to come out.
The collapse of the IGA, established in August last year, was welcomed by pro-industry lobby group Give It Back.
"The Tasmanian Government now needs to legislate, if need be, to allow Tasmanians to work without the threat and danger of radical groups coming into their workplace and disrupting it," Give It Back spokeswoman Dimity Hirst said.
"We now need to rally together and support what is left of our timber industry and mining industry and allow them to rebuild and get Tasmanians working again."
Forestry Industries Association chief Terry Edwards yesterday claimed he was bullied by the state and federal ministers to lower the industry resource quota.
Mr Edwards said that the sticking point was the incompatibility between the claimed forest reserves and industry resource volumes.
"Conservation groups have consistently refused to meet resource guarantees that were given at the outset by both the federal and state governments," Mr Edwards said.
Wilderness Society boss Vica Bayley blamed the collapse solely on FIAT and old-growth sawmillers who refused to stop logging World Heritage forests.
Mr Bayley said that products sourced from old-growth and high conservation-value forests were no longer acceptable in today's market.
He said conservation groups would concentrate their efforts on the domestic markets to convince the timber industry of the need to change.
jennifer.crawley.news.net.au
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