Key risks and challenges were natural disasters, especially fires, baboons expanding into forestry plantations, reduced planting areas because of mining and environmental pressure, land security because of land claimants and community expectations, a weak residential housing market, a maturing low margin industry and a slow and uncertain economic recovery. Safcol would be engaging with the Department of Public Enterprises on the future of Komatiland Forests. It was understood that government was moving away from privatisation and was waiting on the Minister of Public Enterprises for confirmation. It needed to engage with the Department on the remaining shareholding in the four forestry packages already privatised and to consider expanding the developmental role to see if land claimants could become partners in Safcol.