DAN Tehan will use his maiden parliamentary speech today to call for managed investment schemes in forestry "to go".
In an exclusive interview, Mr Tehan told The Weekly Times MIS were a "complete disaster" and he hoped his speech would lead to a "complete overhaul (of) MIS policy".
The Liberal Member for Wannon said he would tell parliament later today that MIS had become "managed investment ponzi schemes".
Mr Tehan said MIS was a mechanism that was directed at providing a corporate tax break, but had failed to lead to sustainable production.
He said MIS companies were now insolvent, banks would not finance MIS enterprises, leading chief executive officers were calling for the scheme to be axed and timbered land in highly productive regions was lying dormant. Mr Tehan said MIS had unfairly pitted farming families against corporations seeking tax advantages.
"This is not what I would consider as good Liberal policy, and it needs to go," he said.
"We need to look at alternatives for long-term investment in forestry."
Mr Tehan's speech will highlight the collapse of several MIS companies and years of instability within the Liberal party and Coalition over their positions on MIS.
The former West Australian Member for O'Connor, Liberal Wilson Tuckey, was another staunch advocate.
But others in the Coalition, including Member for Mallee, John Forrest, have opposed MIS. Mr Forrest said agriculture pursuits should be driven by markets, not upfront tax breaks.
And Queensland's Member for Kennedy, Bob Katter, has previously called for tax incentives for managed investment schemes in the forestry industry to be banned.
Mr Tehan campaigned for the seat of Wannon with the goal of reviewing the MIS situation.
The Liberal party conflict was highlighted during this year's federal election campaign.