The liquidator appointed to the collapsed Christmas tree company, European Forestry Growers, is preparing to put the group's 500 contracts with growers on the market. The contracts will be advertised, possibly as early as next week, targeting potential buyers of Christmas trees in the Irish and UK market.

The liquidator, Mr Aidan O'Connell, of Deloitte & Touche, said yesterday that he will shortly be commencing the second phase of his examination of the company's affairs, looking at its activities before its voluntary liquidation last month.

His preliminary review of the company's affairs showed it has 500 outstanding contracts with growers throughout the Republic. The contracts represent trees grown over 725 acres, with around 3 million trees planted. In its statement of affairs, the company has put an estimated value of £250,000 on the contracts. Under the terms of these contracts, European Forestry Growers undertook to buy the trees when mature, usually after three to five years. However many of the trees are still unharvested. The growers however are not recognised as creditors and will only be able to redeem some value from their investment if the contracts are sold on to another company.

Mr O'Connell said the trees under contract are at various stages of maturity. Some are overgrown and will not be viable for sale. Mr O'Connell said he was not sure what proportion of the trees are now marketable. "If some were planted in 1991 or 1992, the chances are they are past maturity."

He will be hoping to attract buyers particularly in the UK market, where wholesalers will be turning their attention to buying stocks for the Christmas market.

"My main focus has been to deal with these contracts to see whether a sale is possible. Over the coming months I will be turning my attention to the company's activities, particularly in the run up to the voluntary liquidation," Mr O'Connell said.

The two directors of European Forestry Growers, Mr Conor Mohan and Mr Leo Mohan, are fully co-operating with him in his examination, he said.

Mr O'Connell, will be seeking to redeem money owed by the company to its creditors. He will be reporting to a committee of inspection, made up of growers, Irish Farmers Association representatives, and the two company directors, after an examination of its accounts.