Dáil Éireann debate -
Thursday, 14 Mar 1991

Vol. 406 No. 5

Written Answers. - Ringaskiddy (Cork) Industrial Development.

Ruairí Quinn

Question:

49 Mr. Quinn asked the Minister for Finance if, having regard to the substantial investment of State funds amounting to £27 million in the infrastructure for industrial development at Ringaskiddy, he is now prepared to accord the same taxation concessions to the Ringaskiddy freeport zone as is accorded to Shannon Airport; if he will outline the steps his Department, in conjunction with others, are taking to promote the location of Ringaskiddy for inward investment; and if he will make a statement on the matter.

Minister for Finance (Mr. A. Reynolds)

The main tax concession in the Shannon Customs Free Airport zone which is not available in Ringaskiddy is the 10 per cent rate of corporation tax for certain qualifying trading operations. The Ringaskiddy Freeport Advisory Committee have made representations asking if a similar tax regime could be secured for the freeport. I met representatives of the committee and explained the position to them.

Like Shannon, Ringaskiddy also has a range of VAT concessions, most particularly the facility to import goods into the free zone without payment of VAT at point of entry. The main VAT concession that was not extended to Ringaskiddy was the facility which allows domestic traders from outside the zone to supply goods at the zero rate into the zone. this decision was taken in accordance with the general policy of non-extension of VAT zero-rating.

Attracting industry to locate in Ringaskiddy is the responsibility of the IDA and Cork Harbour Commissioners. The Cork Harbour Commissioners market the portal facilities for the normal trade and traffic activities of the ferry and deep-water terminals and the IDA have primary responsibility for the attraction of port related industries to the freeport. I am informed that Ringaskiddy Freeport is being vigorously promoted and marketed. This is evidenced by the fact that in 1989-90 site visits to Ringaskiddy were undertaken by a total of 65 companies. Regrettably, to date there are only four companies and one subsidiary company operating in the freeport.