Minister shoots down Sant's proposed tax exemption

Alfred Sant's comments on the agricultural sector were yesterday described by the agriculture minister as the words of a "drowning" and "desperate" man who was in the last stages of his career.

Ninu Zammit was reacting to the opposition leader's comments made in the morning, among them the branding of a statement sent to farmers by the government as "shameful".

Mr Zammit said the statement showed "in black and white" the funding that farmers would benefit from with the help of the EU, amounting to Lm77 million and a further Lm19 million in Rural Development Funds.

Whoever insinuated that these funds would dry up - as Dr Sant had done - should know that another Common Agricultural Policy budget would be drafted for 2007-2013, by when Malta would have a say in how the cake was to be divided, Mr Zammit said.

Farmers had already benefited from Lm3 million in pre-accession funds. Regarding the proposed income tax exemption for between five and 10 years for farmers, herdsmen and fishermen - which Dr Sant sprung yesterday - Mr Zammit said the leader of the opposition was not even sure of the exact period of time.

The scheme was not even mentioned in the MLP's electoral programme and it could only be concluded that it was a "certificate in black and white of the state of Dr Sant's desperation".

A scheme without any parameters could only led to abuse and corruption, Mr Zammit said.

The government was already working on the introduction of a more beneficial insurance scheme, which would cover produce, machinery, animals and buildings for farmers and herdsmen and, for the first time, boats and nets for fishermen.

Mr Zammit said the Lm50 for land registration criticised by Dr Sant was only an administration cost, such as of sorting out the legal title of the land on which farmers had been squatting. It was not a tax.

Through EU membership, security for fishermen would be further strengthened, Mr Zammit said.

Dr Sant had complained about having to adopt EU regulations, but Mr Zammit said the Maltese deserved these quality, international standards.

Even if Malta did not join the EU, it would have to adopt them and restructure to remain sustainable.