Dáil Éireann Debate, Tuesday - 16 May 2023
533. Deputy Holly Cairns asked the Minister for Agriculture, Food and the Marine to provide support to the tillage sector, including adjustments to tax-free land leases to incentivise the leasing of the land to tillage and horticulture farmers whose emissions per acre are far lower than any other food producing sector; and if he will make a statement on the matter. [22738/23]
View answerAs the Deputy is probably aware, primary responsibility for taxation policy lies with the Minister for Finance.
However, I work closely with him to ensure that the Government’s agri-food policy objectives are supported wherever possible.
Section 664 of the Taxes Consolidation Act 1997 provides for the exemption from tax of certain income earned from the long-term leasing of farmland. The relief was designed to encourage longer-term leases of farmland, with the policy objective of assisting with land mobility, while moving away from the inefficient conacre system.
The tax benefit is to the lessor of land and provides a route to retirement for older farmers and access to land for younger farmers, assisting generational renewal. It also provides security of tenure and the certainty required to encourage lessees.
A vibrant and sustainable tillage sector is central to increasing Ireland’s food and feed security while also contributing to climate change objectives.
Maintaining, firstly, and subsequently growing the area under tillage is an important strategic objective of mine and my Department. This is highlighted in the Food Vision 2030 Strategy and more recently in the Climate Action Plan where a target has been set to grow the area under tillage crops to 400,000ha by 2030.
To help achieve this objective, I recently established the Food Vision 2030 Tillage Group and I hosted its first meeting on Thursday 11th May 2023. This group will bring together all relevant stakeholders to set out a roadmap for the sustainable growth and development of the sector to 2030. I have tasked the group with providing a detailed plan and recommendations by the end of July with a final plan to be submitted during the final quarter of 2023.
