Donal Carey
Question:13 Mr. Carey asked the Minister for Energy if, in view of the sluggish nature of the semi-mature forest market, he will have discussions with the Minister for Finance in order that these sales would be exempt from stamp duty.
Ceisteanna—Questions. Oral Answers. - Semi-Mature Forests.
Given the relatively recent development of forestry in Ireland and, more particularly, the minor role played by the private sector until the last few years, it is scarcely surprising that the market for semi-mature forests is not yet fully developed. While I have yet to be convinced that stamp duty is a major dis-incentive for the sale of semi-mature forest, a number of people have approached me on the matter expressing their concern.
I am, therefore, examining the matter and would welcome any evidence which the Deputy or others may have of the adverse effects of stamp duty on this market.
I am happy with the Minister's reply. At least an examination on the effect of stamp duty will be undertaken. It is a major inhibition to the establishment of the semi-mature market to which more farmers could be attracted. Would the Minister not agree that there is a need to expand this area of planting rapidly?
There is an ever-growing interest on the part of farmers in participating in the private planting of trees. That is generously supported now by the State through forest premium payments to farmers on an annual basis and through the generous planting grants. I am anxious to achieve the Government's planting targets and I support the Deputy's point of view that to achieve that it is important that a market in semi-mature trees should flourish here so that those in the private sector who invested in forestry could see that they had an asset which could be traded when the plantation came to its semi-mature state. If there are any matters in the taxation field which would seriously inhibit the development of that market, as I said in my reply I will be very happy to look at them.
May I ask a brief supplementary?
I am sorry, we must move on to the next question.