The Tasmanian Government is committed to working with the Forest Industries Association of Tasmania to resolve their outstanding concerns and secure a long term future for the forest industry, the Premier, Lara Giddings said today.

Ms Giddings welcomed the decision by FIAT members to remain in the Tasmanian Forests Agreement process.

"This is a clear sign that FIAT members recognise the urgent need to find a solution to the challenges in the forest industry," Ms Giddings said.

"These challenges will not be solved by walking away from this process and hoping things will magically go back to the way they were.

"The only solution is to forge new markets for Tasmanian products, with our sustainable forest practices endorsed by major environmental groups.

"That's the prize that is being offered through this process but it can only be achieved by remaining around the negotiating table."

Ms Giddings said the State Government was prepared to work with the forest industry on the restructure of Forestry Tasmania.

"I understand that FIAT has concerns about the Tasmanian Government's plans to restructure Forestry Tasmania.  We are working through those concerns as part the Forestry Tasmania Transition Oversight Committee process.

"The Government has also offered to work with FIAT to ensure that legislative protection for state forest land is not weakened as a result of FT reforms."

"As the Prime Minister, Julia Gillard, said this week without an agreement 'Change will still occur in forestry it will just be change that isn't managed with a long term vision.'

"I agree with the Prime Minister - that is not a good outcome for anyone, least of all the forest industry.

"The onus is now on both sides of the debate to work together in good faith to try to achieve a lasting and durable agreement."