Andrew Doyle (Wicklow, Fine Gael)
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Question 651: To ask the Minister for Agriculture, Fisheries and Food if there are plans to introduce a structure of share farming or leasing schemes which provide tax incentives to encourage more trained young people into farming; if she proposes an increase in research and development resources into the agri-food sector; and if she proposes to provide additional resources to Teagasc Training and Advisory Services. [34127/07]

Mary Coughlan (Donegal South West, Fianna Fail)
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At present there are a number of generous schemes and reliefs aimed at encouraging land mobility and reducing the cost of transfers to young trained farmers. These include:

A rental income tax exemption of up to €20,000 for farmers over 40 years who lease out land for a period of 10 years or more.

A rental income tax exemption of up to €15,000 for farmers over 40 years who lease out land for a period of 7 years or more.

A rental income tax exemption of up to €12,000 for farmers over 40 years who lease out land for a period of 5 to 7 years.

Capital Gains Tax — Retirement Relief for farmers aged over 55 years.

A 90% Agricultural Relief from Capital Acquisitions Tax.

The provision of full Stamp Duty Relief for young trained farmers.

Stamp Duty relief for land swaps for the purpose of farm consolidation.

Farmers who are leasing out land can still, subject to certain conditions, qualify for Capital Gains Tax retirement relief.

In addition, increased support for land mobility is provided through a range of enhanced measures included in the Rural Development Plan 2007-2013. The Installation Grant Aid for young farmers is worth €15,000 and a maximum early retirement pension of €15,000 per annum is available for farmers who dispose of their land by gift, sale or lease.

To encourage research and innovation in the agri-food sector, which is an essential requirement for improving profitability and added value, more than €175m has been provided to fund research, training and advice in the 2008 budget. This comprises €42m in my Department's Research and Training Subhead, which includes €26m to fund research in the Food and Farm sectors through the FIRM and Stimulus Research Programmes. This represents an overall 12% increase in the 2007 provisions for those areas.

My Department will provide €133m to Teagasc for capital and non-capital purposes in 2008 to support its research, training and advisory services. This is a 3% increase in the provision for 2007. Teagasc has also been allowed to retain the proceeds of the sale of its lands in Athenry to fund a major programme in its research facilities. By any standards these are substantial resources and are a clear indication of the Government's continuing commitment to supporting Teagasc activities.

It is the responsibility of the Teagasc Authority to prioritise its activities and to allocate its funding accordingly. This it has done over the years in accordance with the needs of clients, EU and Government policy. I am satisfied that in doing so it has provided a first class service to Irish farmers.