WORLD TRADE
ORGANIZATIONG/SCM/N/38/TUR/Suppl.1/Rev.1
8 March 1999
(99-0929)
Committee on Subsidies
and Countervailing MeasuresOriginal:  English
SUBSIDIES
New and Full Notifications Pursuant to Article XVI:1 of
the GATT 1994 and Article 25 of the SCM Agreement
TURKEY
Revision
The following communication, dated 24 February 1999, has been received from the
Permanent Mission of Turkey.
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With reference to our letter of 26 August 1998 please find attached herewith the notification
concerning the programme of subsidies granted in 1997 for agricultural products.
This notification has been prepared in conformity with document G/SCM/6 and should
replace the document G/SCM/38/TUR/Suppl.1 dated 15 September 1998.
I. EXPORT SUBSIDY PROGRAMME FOR AGRICULTURAL PRODUCTS
(i) Title of the subsidy programme
The title of the subsidy programme is "Export Subsidy Programme for Agricultural Products"
(Decision No. 97/1).  This programme is being appl ied just for potatoes, tomatoes, onions, citrus and
apples.  The export support rates for these agricultural products were announced in the Official
Gazette dated 4 January 1997, which are valid since 1 January 1997.  This programme came into force
replacing the Decision No. 96/1.
(ii) Policy objective and/or purpose of the subsidy
The policy objective of the export subsidy programme for the agricultural products is to
develop Turkey's export potential and to channel excessive production in basic agricultural products
to exports.
(iii) Background and authority of the subsidy
Authority for the subsidy is the Money-Cred it and Coordination Council.  The Council is
comprised of the Prime Minister, Ministers of State, the Minister of Finance, the Undersecretary forState Planning Organization, the Undersecretary for Foreign Trade, the Undersecretary for Treasury
and the Head of the Central Bank.G/SCM/N/38/TUR/Suppl.1/Rev.1
Page 2
(iv) Form of the subsidy
The form of the subsidy is cash grants.  These subsidies are provided to the exporters of these
products as a fixed amount per ton in US dollars.
(v) Subsidy per unit
The subsidy per product is given below.
Product Rate (in US$/ton) Share of exported quantity
eligible to receive the subsidy
Potatoes 21 31%
Tomatoes 18 99%
Onions 21 100%
Citrus 34 67%
Apples 50 100%
The second column specifies that the subsidy will only be paid on a determined percentage of
the quantity exported.  This system has been used owing to the quantity constraint of each subsidized
product that was accepted by the Turkish Government by signifying the WTO Agreement on
Agriculture.
(vi) Statistical data permitting an assessment of the trade effects of the subsidy
No statistical data permitting an assessment of the trade effects of this subsidy is available.
II. DECREE 97/2 OF THE MONEY-CREDIT AND COORDINATION COUNCIL
(i) Title of the subsidy programme
The Decree 97/2 of the Money-Credit and Coordination Council were announced in the
Official Gazette dated 26 March 1997, which has been applied between 1 January and
31 December 1997-  The Decree 97/4 of the Money-Credit and Coordination Council were announced
in the Official Gazette dated 31 July 1997 which has been applied between 1 July and31 December 1997.
(ii) Policy objective and/or purpose of the subsidy
The policy objective of this export subsidy programme is to develop Turkey's export potential
in agricultural products.
(iii) Background and authority of the subsidy
Authority for the subsidy is the Money-Cred it and Coordination Council.  The Council is
comprised of the Prime Minister, Ministers of State, the Minister of Finance, the Undersecretary for
State Planning Organization, the Undersecretary for Foreign Trade, the Undersecretary for Treasuryand the Head of the Central Bank.G/SCM/N/38/TUR/Suppl.1/Rev.1
Page 3
(iv) Form of the subsidy
The subsidies are given to the producer/exporters or exporters by deducting their debts (taxes,
social insurance premium costs, energy costs, te lecommunication costs) to the public corporations
from the subsidy amounts they acquire.
(v) Subsidy per unit
The subsidy per product is given below.
Product Rate (in US$/ton) Share of exported quantity
eligible to receive the subsidy
97/2
Cut flowers (fresh) 310 64%
Vegetables, frozen (exc.potatoes)110 52%
Vegetables (dehydrated) 375 22%
Fruits (frozen) 96 99%
Preserves, pastes 55 85%
Homogenized fruit preparations 54 61%
Fruit Juices (concentrated) 172 38%
Olive oil 110 100%
97/4
Potatoes (frozen) 55 85%
Prepared or preserved fish 150 100%
Meat of poultry 204 33%
Milk powder 70 87%
Eggs 7$/000 pieces 69%
The second column specifies that the subsidy will only be paid on determined percentage of
the quantity exported.  This system has been used owing to the quantity constraint of each subsidizedproduct that was accepted by the Turkish Government by signifying the WTO Agreement on
Agriculture.
(vi) Statistical data permitting an assessment of the trade effects of the subsidy.
No statistical data permitting an assessment of the trade effects of this subsidy is available.
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