asked the Minister for the Marine the plans he has to encourage Irish shipowners to buy more vessels; and if he views an increase in the percentage of cargo carried to and from Ireland by Irish flag vessels as important in the light of the impending Single European Market in 1992.

I would refer the Deputy to the package of incentives for shipping introduced last year. The Shipping Investment Grants Act, 1987, provides for grant-aid of up to 25 per cent towards the purchase of new or secondhand vessels which are not more than seven years old. To date, £1.546 million has been paid in respect of three new buildings and a fourth, already registered under the Irish flag, will be grant-aided next year. In addition, commitments in respect of two refrigerated (reefer) ships have enabled their acquisition and registration in Ireland.

In addition to direct grant-aid, access has been provided for shipowners to the business expansion scheme. To date, two vessels have been acquired with business expansion scheme funding and plans to purchase two more in this way are well advanced. Corporation tax for shipping has been reduced from 50 per cent to 10 per cent and there now exists the possibility of NADCORP assistance for viable shipping projects. In all, eight additional ships totalling 17,000 deadweight tonnes have been added to our national fleet as a result of the incentives package and approximately 120 new jobs have been created.

These measures show the real commitment of this Government to the Irish shipping industry and in the context of the impending single European market clearly reflects the high priority which the Government place on the expansion of our strategic shipping capacity.

Is the Minister aware that shipping interests are not satisfied with the funding available at the moment for the purchase of vessels? Would he not agree that it is most important that shipowners be encouraged to buy more vessels in order to improve the invisible earnings gained from cross-trading and to provide more jobs for those at sea and ashore? Have his Department any plans to introduce in the forthcoming Finance Bill a change in section 28 which defines the activities that would disqualify a ship, adjusting that to include offshore supply vessels, oceangoing tugs and lift-on lift-off vessels?

I can appreciate that those in the industry are not fully satisfied. Who is fully satisfied if he is not getting 100 per cent? We have taken steps and we have provided over the last two years £1.545 million towards this. Eight additional ships have come on stream, totalling some 17,000 deadweight tonnes. To put the matter in perspective, our merchant fleet at present amounts 167,100 tonnes deadweight. If we deduct from that 50,000 tonnes which is UK-owned, that gives a figure of approximately 118,000 tonnes. Since assuming office we have increased that tonnage by 17 per cent. We have no intention of changing the section of the Act to which the Deputy refers.

I would take this opportunity of making a plea to all those in industry where possible to use the services of Irish shipowners for the carriage of both imports and exports. I am particularly pleased that we have coming on stream for the first time two reefer boats which will be able to transport frozen fish, an area in which I am particularly interested, from here to many parts of the world.