The Government has again postponed a decision on whether to approve the proposed acquisition by Coillte of the Northern Ireland sawmilling company, Balcas.

The deal, which will cost the State forestry company approximately £4 million, is likely to appear on the agenda of the next Cabinet meeting scheduled for Friday.

Coillte claims the acquisition would help it expand, but it has been bitterly opposed by the Republic's sawmilling industry, represented by the Irish Timber Council, which says it would represent an abuse of a dominant position.