Another scheme has been launched for investors interested in Irish forestry.

The Second Irish Forestry Fund aims to raise £1 million for investment in forestry land. The scheme, which has been set up by Irish Forestry Services Director, Mr Declan Kennedy, is inviting minimum subscriptions of £500 from investors offering potential returns of more than £30,000 tax free over 30 years.

EU grants are expected to cover 100 per cent of the cost of planting the trees while forest premia are to meet essential forest management fees.

Investors should take note that the projections assume that profits from commercial forestry will continue to be exempt from tax. There are also additional risks associated with investing in trees, such as the risk from fire, weather and disease.

Also as the fund is not quoted on the Irish Stock Exchange investors may find it difficult to trade their shares. Mr Declan Kennedy can be contacted at 01 284 5199.