WORLD TRADE
ORGANIZATIONG/SCM/N/38/JPN
17 August 1998
(98-3202)
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 Agreement on Subsidies and Countervailing Measures
JAPAN
The following communication, dated 29 July 1998, has been received from the Permanent
Mission of Japan.
_______________
Upon instruction from my authorities, I am sending you herewith the following communication
from Japan in regard to the "New  and Full Notifications Pursuant  to Article XVI:1 of the GATT 1994
and Article 25 of the Agreement on Subsidies and Countervailing Measures
Please note that there are several items which ar e in the process of notification and which are
not indicated in the attached list.  An additional list of such items will be submitted shortly.
Japan submits this new and full notification in compliance with its obligation under
Article XVI:1 of the General Agreement on Tari ffs and Trade (GATT) 1994 and Article 25 of the
Agreement on Subsidies and Countervailing Measures ("the Agreement" hereinafter).
In this notification, Japan has included certain measures which may not constitute "subsidies"
under Article 1 of the Agreement and certain subsid ies which may not be "specific" under Article 2 of
the Agreement in order to achieve the maximum tran sparency with regard to the relevant programmes
and measures effective within its territory.
Japan recognizes that, in accordance with Articl e 25.7 of the Agreement, the notification of such
programmes and measures does not prejudge its lega l status effects or nature under GATT 1994 and the
Agreement.
Furthermore, the notification does not prej udge the non-actionable nature of certain
programmes or measures under footnote 35 to Article 10 of the Agreement, or the non-actionable status
that a programme or a measure would have under Ar ticle 8 of the Agreement, had it been notified
according to the provisions of Article 8.3.G/SCM/N/38/JPN
Page 2
TABLE OF CONTENTS
Page
1. Subsidy to Promote and Foster New Enterprises of the Research and
Development Type or Kn owledge-Intensive Type ....................................................................4
2. Support for Business Innovation .............................................................................................. ..5
3. Subsidy for Loans to the Pollution Prevention Fund................................................................6
4. Subsidy for Modernizing Chemical processes...........................................................................7
5. The Real World Computing (RWC) Programme.....................................................................9
6. Subsidy for the Development of Support System for Nuclear Electric
Power Generation ............................................................................................................... .......10
7. Subsidy of Expenses to Inv estigate the Development of Next Generation Aeroplanes .......11
8. Assistance for Promoting International C ooperative Development of Civil Aircraft .........12
9. The Commission about the Research and De velopment of Next Generation Aeroplanes ..13
10. The Commission about the Research and Development of Remote Sensing
Technology to be applied to Exploration for Oil Resources ..................................................14
11. Subsidy for the Technical Assistance to Small Sized Enterprises .........................................1512. Subsidy for the Projects to Develop New Silk Products.........................................................16
13. Equity Capital Scheme for the Advanced Promotion Facility of the Textile Industry........18
14. Subsidy for Promotion of Textile and Apparel Industry .......................................................19
15. Loan Guarantee for Promotion of Textile and Apparel Industry.........................................20
16. Subsidy for the Leather and Leather Goods Industries.........................................................2117. Subsidy for the Bekko and Ivory Industries............................................................................22
18. Equity Capital Scheme for the Prom otion of Traditional Craft Products ...........................23
19. Subsidy for Promoting the Manufacture of  Traditional Craft Products.............................24
20. Development Expenditure Subsidies for the Commercialization of
Energy-Related Technology...................................................................................................... 26
21. The Industrial Science and Technology Frontier Programme (ISTF)..................................27
22. The New Sunshine Programme ................................................................................................28
23. Capital Investment and Loan for R&D Projects concerning Key Technology....................29
24. Subsidy for Research on Technologies for Exploring Deep Seafloor
Mineral Resources .............................................................................................................. .......30
25. Subsidy for basic research on technologies for offshore oil field development ....................31
26. Contract for Technology Development of Mineral Resource Exploration...........................32
27. System Development of Energy Saving in Mines....................................................................33
28. Subsidy for Exploration of Underground Non-Ferrous Metal Resources............................34
29. Subsidy for Promotion and Guidance to Small and Medium-Sized Mine Enterprises.......35
30. Consignment Experimental and Research expenses of Survey on
Criteria of Radioactive Waste Disposal ...................................................................................37
31. Subsidy for the Rationalization of Petroleum Refinery .........................................................38
32. Subsidy for the Promotion of Gas Oil Desulfurization...........................................................39
33. Subsidy for the Promotion of Petroleum Industrial Point of Sales System..........................40
34. Interest Rate Subsidy for the Promotion of Petroleum Industrial Facilities........................41
35. Subsidy for Exploration of Natural Gas ..................................................................................4236. Support  to Structural Adjustment of the Coal Mining Industry .........................................43
37. Subsidy for Overseas Coal Development Feasibility  Survey ................................................45
38. Subsidy for the Technology Development of Integrated Coal Gasification
Combined Cycle Power Generation Plant...............................................................................46
39. Subsidy for the Cost of Development of Waste Power Generation.......................................4740. Subsidies for Small and Medium-Scale Hydropower Development......................................48
41. Subsidy for the Drilling Cost of an Exploratory Well for a Geothermal Power Plant........49
42. Interest Subsidies for Small and Medium Scale Hydropower...............................................50G/SCM/N/38/JPN
Page 3
43. Committee Verification Tests for the Coal Fired Power Generation....................................51
44. Geothermal Energy Programmes.............................................................................................52
45. Contract for Demonstration Test for New-Type Power-Generation Reactor
Technologies ................................................................................................................... ............53
46. Subsidy for the Technology Development of the Coal Fired Power Generation .................54
47. Subsidy for Development of Fuel Cells Power Generation ....................................................5548. Subsidy for Development of Fuel Cells Power Generation ....................................................56
49. Subsidy for Power Application Technology Development of Superconducting
Magnetic Technology............................................................................................................ .....58
50. Subsidy for Technology Development of High Efficiency Gas Turbine etc. (RFD).............59
51. Subsidy for Technology Development of High Efficiency Gas Turbine, etc.
(waste-fired power) ............................................................................................................ ........60
52. Subsidy for Technology Development of High Efficiency Gas Turbine, etc.
(waste power).................................................................................................................. ............61
53. Contract Concerning New Power Reactor Research and Investigation...............................62
54. Contract for Verification Tests on Decommissioning Technology for Commercial
Nuclear Power Facili ties....................................................................................................... .....63
55. Contract for the Advancement of the Light Water Reactor Technology Confirmation
Test and Others................................................................................................................ ..........64
56. Grant for the Technical Development of a Full MOX-ABWR Plant System.......................65
57. Tax Credit for the Increased Expense of Research ................................................................66
58. Tax measures to Strengthen the Management of Small and
Medium-Sized Co rporations.....................................................................................................6 7
59. Special Depreciation or Tax Credit  on the Manufacturing Machines when
Import of Products Increases................................................................................................... .69
60. Special Deduction for Expenditure on Prospecting for Domestic or
Overseas Min eral Deposit ....................................................................................................... ..70
61. Special Depreciation on Certain Machinery used for High-Technology Industries
in the Designated High-Technology Industrial Development Areas ("Technopolis") ........71
62. Special Depreciation on Machinery .........................................................................................72
63. Special Depreciation on Machinery for Business Innovation ................................................73
64. Special Depreciation on Facilities.......................................................................................... ...75
65. Special Depreciation on Machinery .........................................................................................7666. Additional Deprecia tion on Machinery ...................................................................................77
67. Additional Depreciati on of Fishing Boats................................................................................78
68. Additional Depreciation on Machiner y of Corporations which Carry Out the
Plans for Improvement of Agricultural Management............................................................79
69. Special Depreciation on the Drift for the Mining Industry....................................................81
70. Special Depreciation on the Payment to Specific Association................................................82
71. Reserve for Prevention from Min eral Pollution of Metal Mining.........................................83
72. Provision for the Disposal of the Offshore Oil and Na tural Gas Field .................................84
73. Reserve for Preventi ng Specific Disasters ...............................................................................86
74. Reserve for Searching Out New Mineral Beds in and out of Japan......................................87
75. Grants for Promoting Rationalization and Discontinuance or Change of Business
of Salt Industry............................................................................................................... ............88
76. Financial Measures for Shochu B Manufacturers..................................................................89
77. Grant for Promotion of Research and Development of Future Ships...................................90
78. Measures for Rice, Wheat and Barley .....................................................................................91
79. Measures for Soybean and Rapeseed.......................................................................................93
80. Measures for Sugar.......................................................................................................... ..........94
81. Measures for Milk and Dairy Products ...................................................................................95
82. Measures for Bovine  Meat and Pigmeat..................................................................................96
83. Measures for Eggs........................................................................................................... ...........97G/SCM/N/38/JPN
Page 4
84. Measures for Vegetables..................................................................................................... .......99
85. Measures fo r Fruits ......................................................................................................... ........100
86. Resource Propagation Programme for Salmon ....................................................................101
87. Measures for Cocoons ........................................................................................................ .....102
88. Farmers' Pension Fund Subsidy.............................................................................................10 3
89. Farming Modernization Fund Interest Subsidy ...................................................................104
90. Fisheries Modernizatio n Fund Interest Subsidy...................................................................105
91. Agriculture, Forestry and Fisheries Finance Corporation Subsidy....................................106
92. Fisheries Trust Fund Subsidy................................................................................................ .107
93. Wood Industry Upgrading Funds ..........................................................................................108
* * * * *
1. Subsidy to Promote and Foster New Enterprises of the Research and Development Type
or Knowledge-Intensive Type
1. Title of the subsidy programme
Subsidy to promote and foster new enterprises of the research and development type or
knowledge-intensive type.
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To promote venture business and knowledge-intensive business of SMEs.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
The subsidy is provided to the Venture Enterp rise Centre (VEC).  The VEC provides loan
guarantees to SMEs which conduct the business of th e R&D type or knowledge-intensive type, using the
subsidy.G/SCM/N/38/JPN
Page 5
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1995 (settlement of accounts)  ¥271 million
Fiscal year 1996 (settlement to accounts) ¥0
Fiscal year 1997 (settlement of accounts) ¥0
9. Duration of a subsidy and/or any other time limits attached to it
The subsidy was started in 1975, and no time-limit is attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy1
N.A.
2. Support for Business Innovation
1. Title of the subsidy programme
Support for Business Innovation.
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To  facilitate business innovation by enterprises in response to diverse and structural changes in
the domestic and international economic environment.
4. Background and authority for the subsidy
Competent Ministers (Minister of International Trade and Industry, Minister of Agriculture,
Forestry and Fishery and Minister of Transpor t) administer the Law on Temporary Measures to
Facilitate Business Innovation.
Enterprises which operate a business belonging to the sectors designated by a Competent
Ministers' Order and are approved by the Competen t Minister are eligible to apply to governmental
financial institutions and/or Industrial Structure Improvement Fund for certain supporting measures such
as loans and/or a loan guarantee.
5. Legislation under which it is granted
The Law on Temporary Measures to Facilitate Business Innovation.
                                                     
1Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 6
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Loan and/or Loan Guarantee.
7. To whom and how the subsidy is provided
Enterprises which operate a business belonging to the sectors designated by a Competent
Ministers' Order and are approv ed by the Competent Minister.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
(Unit:  Million yen)
1995 FY 1996 FY 1997 FY
Loan
Loan Guarantee900
7002,600
00
0
The figures in this table indicate th e total amounts loaned or guaranteed.
9. Duration of a subsidy and/or any other time limits attached to it
April 1995-June 2002
10. Statistical data permitting an assessment of the trade effects of a subsidy2
Production of main industries (Unit:  million yen)
1995 FY 1996 FY 1997 FY
ammonia industry
cement industry
scale industrywooden furniture industry
rubberbelt industry20,962
669,756
88,104
1,742,072
97,04921,486
690,666
91,830
1,731,010
97,24626,061
85,813
102,448
3. Subsidy for Loans to the Pollution Prevention Fund
1. Title of the subsidy programme
Subsidy for Loans to the Pollution Prevention Fund
2. Period covered by the notification
April 1997-March 1998.
                                                     
2Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 7
3. Policy objective and/or purpose of the subsidy
The policy objective of this programme is to prevent the pollution caused by metal mines
smoothly and effectively.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
The Law on the Metal Mining Agency of Japan.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
The subsidy is provided to owners who have mining rights, through the Metal Mining Agency
of Japan in the form of loans.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1995 (settlement of accounts) ¥ 78 million
Fiscal year 1996 (settlement of accounts) ¥66 million
Fiscal year 1997 (settlement of accounts) ¥58 million
9. Duration of a subsidy and/or any other time limits attached to it
This programme was started in April 1973, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy3
N.A.
4. Subsidy for Modernizing Chemical processes
1. Title of the subsidy programme
Subsidy for Modernizing Chemical Processes
2. Period covered by the notification
April 1997-October 1997.
                                                     
3Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 8
3. Policy objective and/or purpose of the subsidy
To promote energy saving by devel oping innovative process technology.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
The Japan Chemical Industry Association.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1995 (settlement of accounts) ¥177 million
Fiscal year 1996 (settlement of accounts) ¥232 million
Fiscal year 1997 (settlement of accounts) ¥477 million
9. Duration of a subsidy and/or any other time limits attached to it
Fiscal year 1995 - fiscal year 2004.
This programme will be included in the notification of the New Sunshine Programme from
1999 notification.
10. Statistical data permitting an assessment of the trade effects of a subsidy4
Energy consumption in Japanese chemical industry.
         (1010 kcal)
1992FY 1993FY 1994FY 1995FY 1996FY
40,743 40,746  44,756 45,930 46,785
                                                     
4Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 9
5. The Real World Computing (RWC) Programme
1. Title of the subsidy programme
The Real World Computing (RWC) Programme.
2. Period covered by the notification
April 1997-March 1998
3. Policy objective and/or purpose of the subsidy
To establish fundamental technologies for Next-Generation Information Processing.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Contract
7. To whom and how the subsidy is provided
The Real World Computing Partnership (RWCP).
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1996 (settlement of accounts) ¥4,559 million
Fiscal year 1997 (settlement of accounts) ¥ 6,735 million
Fiscal year 1998 (budget) ¥5,670 million
9. Duration of a subsidy and/or any other time limits attached to it
April 1992-March 2001
10. Statistical data permitting an assessment of the trade effects of a subsidy5
N.A.
                                                     
5Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 10
6. Subsidy for the Development of Support System for Nuclear Electric Power Generation
1. Title of the subsidy programme
Subsidy for the Development of Support Syst em for Nuclear Electric Power Generation
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To improve the safety and the reliability of nuclear power plant and promote the development
and the introduction of alternative energy source.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
Manufacturers who produce the equipm ent for nuclear power plants.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1995 (settlement of accounts) ¥530 million
Fiscal year 1996 (settlement of accounts) ¥ 494 million
Fiscal year 1997 (settlement of accounts) ¥480 million
9. Duration of a subsidy and/or any other time limits attached to it
Fiscal year  1980-fiscal year 1999.G/SCM/N/38/JPN
Page 11
10. Statistical data permitting an assessment of the trade effects of a subsidy6
Statistics on the equipment for nuclear power plant
Unit:  million Yen)
Order Export Import
866,869 (1995)
728,456 (1996)638,908 (1997)2,266 (1995)
1,821 (1996)3,765 (1997)1,865 (1995)
2,392 (1996)2,076 (1997)
7. Subsidy of Expenses to Inv estigate the Development of Next Generation Aeroplanes
1. Title of the subsidy programme
Subsidy of Expenses to Investigate the Development of Next Generation Aeroplanes
2. Period covered by the notification
April 1997-March 1998
3. Policy objective and/or purpose of the subsidy
The policy objective is to foster the global project formation capability of Japanese aircraft
industry through the development of a sm all (70-120 seat class) civil aeroplane.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
The Japan Aircraft Development Corp. (JADC)
The Japanese Aero Engines Corp. (JAEC)
                                                     
6Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 12
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1995 (settlement of accounts) ¥1,347 million
Fiscal year 1996 (settlement of accounts) ¥ 610 million
Fiscal year 1997 (settlement of accounts) ¥380 million
9. Duration of a subsidy and/or any other time limits attached to it
This programme was started in April 1991, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy7
N.A.
8. Assistance for Promoting International C ooperative Development of Civil Aircraft
1. Title of the subsidy programme
Assistance for Promoting International C ooperative Development of Civil Aircraft
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To promote the development of aircraft industry,  and to contribute to enhancement of industrial
technology and the evolution of international exch ange, through the promotion of the international
collaborative joint project for development of aircraft and aero engines.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
The Law on Aircraft Industry Promotion.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
The assistance is provided in the form of re imbursable grant only for international cooperative
development projects which involve a great amount  of risks, through the International Aircraft
Development Fund.
                                                     
7Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 13
7. To whom and how the subsidy is provided
The Japan Aircraft Development Corp. (JADC)
The Japanese Aero Engines Corp.  (JAEC)
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1995 (settlement of accounts) ¥2,976 million
Fiscal year 1996 (settlement of accounts) ¥3,934 million
Fiscal year 1997 (settlement of accounts) ¥3,798 million
9. Duration of a subsidy and/or any other time limits attached to it
This programme was started in June 1986, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy8
N.A.
9. The Commission about the Research and De velopment of Next Generation Aeroplanes
1. Title of the subsidy programme
Subsidy of Expenses to Investigate the Development of Next Generation Aeroplanes
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To implement research and development to join the international collabor ative joint project for
development of supersonic transportation in the view point of international exchange of high
technology, and contribution to international economy growth.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Contract.
                                                     
8Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 14
7. To whom and how the subsidy is provided
The Society of Japanese Aerospace Companies (SJAC).
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1995 (settlement of accounts) ¥178 million
Fiscal year 1996 (settlement of accounts) ¥ 191 million
Fiscal year 1997 (settlement of accounts) ¥298 million
9. Duration of a subsidy and/or any other time limits attached to it
This programme was started in April 1989, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy9
N.A.
10. The Commission about the Research and De velopment of Remote Sensing Technology
to be applied to Exploration for Oil Resources
1. Title of the subsidy programme
The Commission about the research and devel opment of remote sensing technology to be
applied to exploration for oil resources.
2. Period covered by the notification
January 1995-March 1999.
3. Policy objective and/or purpose of the subsidy
To implement research and about the sensor on-boarding satellite on the purpose of
improvement and accomplishment in relation to th e remote sensing technology to be applied to
exploration for oil resources.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
                                                     
9Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 15
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Contract.
7. To whom and how the subsidy is provided
Earth Remote Sensing Data Analysis Ce ntre, Japan Resources Observation System
Organization.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1995 (settlement of accounts) ¥7,113 million
Fiscal year 1996 (settlement of accounts) ¥ 6,599 million
Fiscal year 1997 (settlement of accounts) ¥6,142 million
9. Duration of a subsidy and/or any other time limits attached to it
This programme was started in April 1981, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy10
N.A.
11. Subsidy for the Technical Assistance to Small Sized Enterprises
1. Title of the subsidy programme
Subsidy for the Technical Assistance to Small Sized Enterprises.
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To strengthen the technical potential and to  improve the weak constitution of small sized
enterprises in the textile industry by technical assistance.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
                                                     
10Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 16
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
The subsidy is provided to small sized enterprise s (employees:  not more than 20) in the textile
industry through the Textile Industr y Restructuring Agency (TIRA).
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1995 (settlement of accounts) ¥17 million
Fiscal year 1996 (settlement of accounts) ¥ 17 million
Fiscal year 1997 (settlement of accounts) ¥17 million
9. Duration of a subsidy and/or any other time limits attached to it
Fiscal year 1972-Fi scal year  1998.
10. Statistical data permitting an assessment of the trade effects of a subsidy11
Statistics on the yarn used for textile products
Production Import Export Domestic consumption
1995
1996
19971,381,996 t
1,323,311 t
1,317,350 t1,369,459 t
1,457,214 t
1,428,081 t393,807 t
398,132 t
405,308 t2,373,356 t
2,419,471 t
2,327,342 t (temporary)
12. Subsidy for the Projects to Develop New Silk Products
1. Title of the subsidy programme
Subsidy for the Projects to Develop New Silk Products
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To enhance the new demand of silk products a nd to contribute the sound development of silk
goods manufacturing industry, which is facing economic difficulties such as the decrease of silk
demand.
                                                     
11Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 17
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
The subsidy is provided to associations whic h conduct the projects to develop new silk products
such as fabrics and/or clothing of Western-style clothes in the districts to produce silk, through the
Textile Industry Restructuring Agency.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
FY 1995 (budget) ¥32 million
FY 1996 (budget) ¥32 millionFY 1997 (budget) ¥32 million
9. Duration of a subsidy and/or any other time limits attached to it
1994FY-1998FY.
10. Statistical data permitting an assessment of the trade effects of a subsidy12
Statistics on silk products
Production Import Export Domestic
consumption
19951996
19973,229 t
2,579 t
1,902 t1,992 t
2,076 t
2,055 t669 t
798 t
857 t4,172 t
4,466 t
3,338 t
                                                     
12Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 18
13. Equity Capital Scheme for the Advanced Promotion Facility of the Textile Industry
1. Title of the subsidy programme
Equity Capital Scheme for the Advanced Promotion Facility of the Textile Industry
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To provide the facilities to advance the textile  industry, in order to promote the structural
improvement of the textile industry effectively.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
The Law on Extraordinary Measures for the Stru ctural Improvement of the Textile Industry.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Equity Capital Infusion.
7. To whom and how the subsidy is provided
The equity capital is provided to stock companies which are established by local governments
and/or textile companies and manage the facilities to  advance the textile industry, through the Industrial
Structural Improvement Fund.  The stock companies conduct projects such as gathering and providing
various information on the textile products, and pr oviding educational training on textile industry.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
1990FY (settlement of accounts) ¥1,750 million
1991FY (settlement of accounts) ¥650 million
1992-97FY (settlement of accounts) 0
9. Duration of a subsidy and/or any other time limits attached to it
1989FY-1998FY.G/SCM/N/38/JPN
Page 19
10. Statistical data permitting an assessment of the trade effects of a subsidy13
Statistics on the yarn used for textile products
Production Import Export Domestic consumption
1995
199619971,381,996 t
1,323,311 t1,317,350 t1,369,459 t
1,457,214 t1,428,081 t398,807 t
398,132 t405,308 t2,373,356 t
2,419,471 t2,327,342 t(temporary)
14. Subsidy for Promotion of Textile and Apparel Industry
1. Title of the subsidy programme
Subsidy for Promotion of Textile and Apparel Industry
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To promote structural improv ement of the textile industry.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
The Law on Extraordinary Measures for the Stru ctural Improvement of the Textile Industry.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
Groups of enterprises approved under the Law on Extraordinary Measures for the Structural
Improvement of the Textile Industry.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
1995FY (budget) ¥143 million
1996FY (budget) ¥70 million
1997FY (budget) ¥60 million
                                                     
 13Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 20
9. Duration of a subsidy and/or any other time limits attached to it
1994FY-1998FY
10. Statistical data permitting an assessment of the trade effects of a subsidy14
Production Import Export Domestic consumption
1995
1996
19971,381,996 t
1,323,311 t
1,317,350 t1,369,459 t
1,457,214 t
1,428,081 t398,807 t
398,132 t
405,308 t2,373,356 t
2,419,471 t
2,327,342 t(temporary)
15. Loan Guarantee for Promotion of Textile and Apparel Industry
1. Title of the subsidy programme
Loan Guarantee for Promotion of  Textile and Apparel Industry
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To promote structural improv ement of the textile industry.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
The Law on Extraordinary Measures for the Stru ctural Improvement of the Textile Industry.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Loan guarantees.
7. To whom and how the subsidy is provided
Groups of enterprises approved under the Law on Extraordinary Measures for the Structural
Improvement of the Textile Industry.
                                                     
14Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 21
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
¥243 million (total new guarantees extended during 95FY budget)
¥191 million (total new guarantees extended during 96FY budget)
¥80 million (total new guarantees extended during 97FY budget)
9. Duration of a subsidy and/or any other time limits attached to it
1967FY-1998FY.
10. Statistical data permitting an assessment of the trade effects of a subsidy15
Statistics on the yarn used for textile products:
Production Import Export Domestic consumption
1995
1996
19971,381,996 t
1,323,311 t
1,317,350 t1,369,459 t
1,457,214 t
1,428,081 t398,807 t
398,132 t
405,308 t2,373,356 t
2,419,471 t
2,327,342 (provisional
figures)
16. Subsidy for the Leather and Leather Goods Industries
1. Title of the subsidy programme
Subsidy for the Leather and Leather Goods Industries
2. Period covered by the notification
April 1997-April 1998.
3. Policy objective and/or purpose of the subsidy
To contribute to the sound development of SMEs  in the leather and leather goods industries.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
                                                     
15Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 22
7. To whom and how the subsidy is provided
The subsidy is provided to local governments or non-profit associations which conduct
consulting services or personnel training, etc. for th e leather and leather goods industries.  In addition,
the associations consist of mainly SMEs in this sector.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1995 (budget) ¥308 million
Fiscal year 1996 (budget) ¥312 million
Fiscal year 1997 (budget) ¥322 million
9. Duration of a subsidy and/or any other time limits attached to it
The subsidy was started in April 1971, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy16
Statistics on leather and leather goods.
(¥ 100 million)
1995 1996 1997
Production 10,074 9,900 N.A.
Import 2,904 3,527 3,192
Export 240 251 244
17. Subsidy for the Bekko and Ivory Industries
1. Title of the subsidy programme
Subsidy for the Bekko and Ivory Industries
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To provide relief to the bekko and ivory industries injured due to the prohibition of trade by the
Convention on International Trade in Endangered  Species of Wild Fauna and Flora (CITES).
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
                                                     
16Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 23
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
The subsidy is provided to local governments or non-profit associations which conduct
consulting services or maintaining of processing skill on bekko and ivory, etc. for the bekko and ivory
industries.  In addition, the associations consist of SMEs in this sector.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1995 (budget) ¥337 million
Fiscal year 1996 (budget) ¥337 million
Fiscal year 1997 (budget) ¥340 million
9. Duration of a subsidy and/or any other time limits attached to it
The subsidy was started in April 1991, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy17
N.A.
(Trade of these goods are prohibited by CITES.)
18. Equity Capital Scheme for the Promotion of Traditional Craft Products
1. Title of the subsidy programme
Equity Capital Scheme for the Promotion of Traditional Craft Products
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To promote Japanese traditional craft products made by traditional skills or ways.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
                                                     
17Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 24
5. Legislation under which it is granted
The Law on the Promotion for Traditional Craft Products.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Equity capital infusion.
7. To whom and how the subsidy is provided
The equity capital is provided to joint investment companies which are established by
manufacturers that approved under the Law on the Prom otion for Traditional Craft Products, through the
Industrial Structure Improvement Fund.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1995 0
Fiscal year 1996 0
Fiscal year 1997 0
9. Duration of a subsidy and/or any other time limits attached to it
The subsidy was started in April 1992, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy18
(million yen)
1994 1995 1996
Production 414,435 395,549 N.A.
Import 0 0 0
Export N.A. N.A. N.A.
These goods are produced only in Japan.  There are few exports as they are used for the
Japanese lifestyle.
19. Subsidy for Promoting the Manufacture of  Traditional Craft Products
1. Title of the subsidy programme
Subsidy for Promoting the Manufacture of Traditional Craft Products
2. Period covered by the notification
April 1997-March 1998.
                                                     
18Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 25
3. Policy objective and/or purpose of the subsidy
To promote Japanese traditional craft products made by traditional skills or ways.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
The Law on the Promotion for Traditional Craft Products.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
44 local governments (except Hokkaido, Chiba and Kumamoto)
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1995 (budget) ¥201 million
Fiscal year 1996 (budget) ¥201 million
Fiscal year 1997 (budget) ¥161 million
9. Duration of a subsidy and/or any other time limits attached to it
The subsidy was started in April 1974, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy19
(million yen)
1994 1995 1996
Production 414,435 395,549 N.A.
Import 0 0 0
Export N.A. N.A. N.A.
(These goods are produced only in Japan.  There are few exports because these are used in the
Japanese lifestyle.)
                                                     
19Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 26
20. Development Expenditure Subsidies for the Commercialization of Energy-Related
Technology
1. Title of the subsidy programme
Development expenditure subsidies for the comm ercialization of energy-related technology.
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To contribute to the establishment of the stable and rational structure in supply and demand of
energy, the reduction of the oil-dependent propor tion and the stable supply of electric power.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
The subsidies are provided in the form of reimbursable grant.
7. To whom and how the subsidy is provided
Enterprises which have the ability to carry out the R&D projects of en ergy-related technology.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1996 (settlement of accounts) ¥3,595 million
Fiscal year 1997 (settlement of accounts) ¥2,899 million
Fiscal year 1998 (budget) ¥2,880 million
9. Duration of a subsidy and/or any other time limits attached to it
April 1980-March 2000
10. Statistical data permitting an assessment of the trade effects of a subsidy20
N.A.
                                                     
20Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 27
21. The Industrial Science and Technology Frontier Programme (ISTF)
1. Title of the subsidy programme
The Industrial Science and Technology Frontier Programme (ISTF)
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To contribute to sustainable economic development and the improvement of public welfare
through fundamental and creative R&D.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Contract.
7. To whom and how the subsidy is provided
Research organizations such as companies, research associations, public corporations or
universities which are entrusted by the New Energy and Industrial Technology Development
Organization (NEDO).
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1996 (settlement of accounts) ¥24,920 million
Fiscal year 1997 (settlement of accounts) ¥29,570 million
Fiscal year 1998 (budget) ¥31,629 million
9. Duration of a subsidy and/or any other time limits attached to it
The programme was started in April 1993, and no time-limit is attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy21
N.A.
                                                     
21Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 28
22. The New Sunshine Programme
1. Title of the subsidy programme
The New Sunshine Programme.
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To promote the innovative technology deve lopment which supports sustainable economic
growth, and solves energy and environmental issues.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Contract.
7. To whom and how the subsidy is provided
Research organizations such as companies, research associations, public corporations or
universities which are entrusted by NEDO:  a public body.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1996 (settlement of accounts) ¥42,339 million
Fiscal year 1997 (settlement of accounts) ¥43,985 million
Fiscal year 1998 (budget) ¥46,173 million
9. Duration of a subsidy and/or any other time limits attached to it
The programme was started in April 1993, and no time-limit is attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy22
N.A.
                                                     
22Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 29
23. Capital Investment and Loan for R&D Projects concerning Key Technology
1. Title of the subsidy programme
Capital Investment and Loan for R&D projects concerning Key Technology.
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To facilitate R&D projects concerning key technologies in the private sector.
4. Background and authority for the subsidy
The Japan Key Technology Centre.
5. Legislation under which it is granted
Law for the Facilitation of Research in Key Technologies.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Capital investment, Loan.
7. To whom and how the subsidy is provided
Enterprises and/or non-profit organizations whic h have the ability to carry out R&D projects
concerning key technology.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
                     (million yen)
Capital
investmentLoan
1996 FY (settlement of accounts)
1997 FY (settlement of accounts)
1998 FY (budget)19,858
18,696
17,6004,486
2,400
8,600
9. Duration of a subsidy and/or any other time limits attached to it
This programme was started in October 1985, and no time-limit is attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy23
N.A.
                                                     
23Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 30
24. Subsidy for Research on Technologies for Exploring Deep Seafloor Mineral Resources
1. Title of the subsidy programme
Subsidy for research on technologies for exploring deep seafloor mineral resources.
2. Period covered by the notification
April 1996-March 1998.
3. Policy objective and/or purpose of the subsidy
To contribute to a stable self-supply of rare  metals by development of technologies for
exploring deep seafloor mineral resources.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Contract
7. To whom and how the subsidy is provided
The Metal Mining Agency of Japan (MMAJ).
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
1996 FY (settlement of accounts) ¥46 million
1997 FY (settlement of accounts) ¥31 million
9. Duration of a subsidy and/or any other time limits attached to it
1996 FY-2000FY
10. Statistical data permitting an assessment of the trade effects of a subsidy24
N.A.
                                                     
24Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 31
25. Subsidy for basic research on technologies for offshore oil field development
1. Title of the subsidy programme
Subsidy for basic research on technologies for offshore oil field development.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To promote a development of offshore structures which are built in a severe climate for offshore
oil field development by basic research on building materials.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Contract
7. To whom and how the subsidy is provided
Japan Ocean Industries Association (JOIA).
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
1994 FY (settlement of accounts) ¥510 million
1995 FY (settlement of accounts) ¥529 million
1996 FY (settlement of accounts) ¥583 million
1997 FY (settlement of accounts) ¥639 million
9. Duration of a subsidy and/or any other time limits attached to it
1993 FY-2000 FY
10. Statistical data permitting an assessment of the trade effects of a subsidy25
N.A.
                                                     
25Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 32
26. Contract for Technology Development of Mineral Resource Exploration
1. Title of the subsidy programme
Contract for technology development of mineral resource exploration.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To develop more efficient technology fo r the exploration of mineral resources.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Contract
7. To whom and how the subsidy is provided
The Metal Mining Agency of Japan (MMAJ).
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
1995 FY ¥168 million
1996 FY ¥199 million
1997 FY ¥181 million
9. Duration of a subsidy and/or any other time limits attached to it
The programme was started in April 1983, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy26
N.A.
                                                     
26Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 33
27. System Development of Energy Saving in Mines
1. Title of the subsidy programme
System development of energy saving in mines.
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To save energy on mine development.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Contract
7. To whom and how the subsidy is provided
Metal Mining Agency of Japan (MMAJ).
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
1997 FY ¥210 million
9. Duration of a subsidy and/or any other time limits attached to it
1997 FY-2001 FY.
10. Statistical data permitting an assessment of the trade effects of a subsidy27
N.A.
                                                     
27Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 34
28. Subsidy for Exploration of Underground Non-Ferrous Metal Resources
1. Title of the subsidy programme
Subsidy for Exploration of Underground Non-Ferrous Metal Resources
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To contribute to stable supply of underground non-ferrous metal resources in Japan by
exploring these resources in Japan and foreign countries.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
The subsidy is provided to the Metal Mining Agency of Japan (MMAJ).  The activity results
are made use of by the owners who have mining rights in the studied areas.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1995 (settlement of accounts) ¥829 million
Fiscal Year 1996 (settlement of accounts) ¥667 million
Fiscal Year 1997 (settlement of accounts) ¥582 million
9. Duration of a subsidy and/or any other time limits attached to it
The subsidy was started in April 1968, and there is no time-limit attached to it.G/SCM/N/38/JPN
Page 35
10. Statistical data permitting an assessment of the trade effects of a subsidy28
(Unit:  thousand tonnes)
Year
Copper ore 1994 1995 1996
Production 6 2 1
Import 1,046 1,093 1,154
Consumption 1,507 1,521 1,521
Export 0 0 0
         (Unit:  thousand tonnes)
Year
Lead ore 1994 1995 1996
Production 16 10 8
Import 185 131 123
Consumption 273 274 271
Export 0 0 0
Year
Zinc ore 1994 1995 1996
Production 101 95 80
Import 508 545 463
Consumption 609 639 616
Export 0 0 0
29. Subsidy for Promotion and Guidance to Small and Medium-Sized Mine Enterprises
1. Title of the subsidy programme
Subsidy for Promotion and Guidance to Small and Medium-Sized Mine Enterprises.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To contribute the stable supply of underground mineral resources in Japan through promoting
the exploration of these resources and improving mining technologies by small and medium-sized
mine enterprises.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
                                                     
28Statistics of production, consumption, imports and exports:
(i) For the three  most recent years for which statistics are available;(ii) For a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.
(iii) Consumption unit:  Metal thousand tonnes.G/SCM/N/38/JPN
Page 36
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
The subsidy is provided to the small and medium-sized mine enterprises whose capitals are
¥100 million or less, or whose employees at work are 1,000 or less.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1995 (settlement of accounts) ¥937 million
Fiscal Year 1996 (settlement of accounts) ¥953 millionFiscal Year 1997 (settlement of accounts) ¥880 million
9. Duration of a subsidy and/or any other time limits attached to it
The subsidy was started in April 1983, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy29
(Unit:  thousand tonnes)
Year
Copper ore 1994 1995 1996
Production 6 2 1
Import 1,046 1,093 1,154
Consumption 1,507 1,521 1,521
Export 0 0 0
Year
Lead ore 1994 1995 1996
Production 10 10 8
Import 185 130 123
Consumption 273 274 271
Export 0 0 0
                                                     
29Statistics of production, consumption, imports and exports:
(i) For the three  most recent years for which statistics are available;(ii) For a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.
(iii) Consumption unit:  Metal thousand tonnes.G/SCM/N/38/JPN
Page 37
Year
Zinc ore 1994 1995 1996
Production 101 95 80
Import 508 545 463
Consumption 609 639 616
Export 0 0 0
30. Consignment Experimental and Research expenses of Survey on Criteria of Radioactive
Waste Disposal
1. Title of the subsidy programme
Consignment experimental and research expenses of survey on criteria of radioactive waste
disposal.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To survey on criteria of radioactive waste disposal.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Contract.
7. To whom and how the subsidy is provided
Juridical person who has technological and financial capability to perform the R&D
programme.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Financial Year 1995 (settlement of accounts) ¥1,333 million
Financial Year 1996 (settlement of accounts) ¥1,519 million
Financial Year 1997 (settlement of accounts) ¥1,924 million
9. Duration of a subsidy and/or any other time limits attached to it
FY 1983-FY 2005.G/SCM/N/38/JPN
Page 38
10. Statistical data permitting an assessment of the trade effects of a subsidy30
N.A.
31. Subsidy for the Rationalization of Petroleum Refinery
1. Title of the subsidy programme
Subsidy for the Rationalization of Petroleum Refinery
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To assist the rationalization (such as closure) of refineries.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Interest rate subsidy.
7. To whom and how the subsidy is provided
Oil refining companies which have rationalized their business.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
1995 FY (settlement of accounts) ¥1,155 million
1996 FY (settlement of accounts) ¥922 million
1997 FY (settlement of accounts) ¥703 million
9. Duration of a subsidy and/or any other time limits attached to it
The subsidy was started in April 1986, and there is no time-limit attached to it.
                                                     
30 Statistics of production, consumption and exports:
(i) for the three most recent years for which statistics are available.
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 39
10. Statistical data permitting an assessment of the trade effects of a subsidy31
(1,000 kl)
Year
1994 FY 1995 FY 1996 FY
Production 225,729 223,931 221,614
Import 32,935 37,811 39,523
Consumption 239,312 245,411 245,282
Export 17,201 17,589 13,743
32. Subsidy for the Promotion of Gas Oil Desulfurization
1. Title of the subsidy programme
Subsidy for the promotion of gas oil desulfurization.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To assist the promotion of gas oil desulfurization.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Interest rate subsidy.
7. To whom and how the subsidy is provided
Oil refining companies.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1995 (settlement of accounts) ¥949 million
Fiscal Year 1996 (settlement of accounts) ¥790 million
Fiscal Year 1997 (settlement of accounts) ¥607 million
                                                     
31 Statistics of production, consumption, imports and exports:
(i) for the three most recent years for which statistics are available,
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 40
9. Duration of a subsidy and/or any other time limits attached to it
1990 FY-2016 FY.
10. Statistical data permitting an assessment of the trade effects of a subsidy32
      (Thousand KL)
Year
1994 FY 1995 FY 1996 FY
Production 225,729 223,931 221,614
Import 32,935 37,811 39,523
Consumption 239,312 245,411 245,282
Export 17,201 17,589 13,743
33. Subsidy for the Promotion of Petroleum Industrial Point of Sales System
1. Title of the subsidy programme
Subsidy for  the promotion of petroleum industrial point of sales system.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
Promotion of communication network system in the petroleum industry.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Interest rate subsidy.
7. To whom and how the subsidy is provided
Oil companies.
                                                     
32 Statistics of production, consumption, imports and exports:
(i) for the three most recent years for which statistics are available,
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 41
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1995 (settlement of accounts) ¥369 million
Fiscal Year 1996 (settlement of accounts) ¥208 million
Fiscal Year 1997 (settlement of accounts) ¥110 million
9. Duration of a subsidy and/or any other time limits attached to it
The subsidy was started in April 1989, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy33
      (Thousand KL)
Year
1994 FY 1995 FY 1996 FY
Production 225,729 223,931 221,614
Import 32,935 37,811 39,523
Consumption 239,312 245,411 245,282
Export 17,201 17,589 13,743
34. Interest Rate Subsidy for the Promotion of Petroleum Industrial Facilities
1. Title of the subsidy programme
Interest rate subsidy for the promotion of petroleum industrial facilities.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To assist the promotion of petroleum industrial facilities.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Interest rate subsidy.
                                                     
33 Statistics of production, consumption, imports and exports:
(i) for the three most recent years for which statistics are available,
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 42
7. To whom and how the subsidy is provided
Oil companies.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1995 (settlement of accounts) ¥227 million
Fiscal Year 1996 (settlement of accounts) ¥153 million
Fiscal Year 1997 (settlement of accounts) ¥79 million
9. Duration of a subsidy and/or any other time limits attached to it
1984 FY-2000 FY.
10. Statistical data permitting an assessment of the trade effects of a subsidy34
      (Thousand KL)
Year
1994 FY 1995 FY 1996 FY
Production 225,729 223,931 221,614
Import 32,935 37,811 39,523
Consumption 239,312 245,411 245,282
Export 17,201 17,589 13,743
35. Subsidy for Exploration of Natural Gas
1. Title of the subsidy programme
Subsidy for exploration of natural gas.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To promote exploration and development of Japanese natural gas resources.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
                                                     
34 Statistics of production, consumption, imports and exports:
(i) for the three most recent years for which statistics are available,
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 43
5. Legislation under which it is granted
Petroleum and Combustible Natural Gas Resources Development Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
The subsidy is provided to owners who have natural gas mining rights.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1995 (settlement of accounts) ¥3,052 million
Fiscal Year 1996 (settlement of accounts) ¥3,048 million
Fiscal Year 1997 (budget) ¥4,055 million
9. Duration of a subsidy and/or any other time limits attached to it
The subsidy was started in April 1952, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy35
(Unit:  thousand m3)
Year
1994 FY 1995 FY 1996 FY
Production 2,272 2,237 2,209
Import 59,473 61,078 65,118
Consumption 61,745 63,325 67,327
Export 0 0 0
36. Support  to Structural Adjustment of the Coal Mining Industry
1. Title of the subsidy programme
Support to Structural Adjustment of the Coal  Mining Industry.  (This programme includes
"Grants for Security of Mine", "Grants for Stabilizing Coal Indus try", "Grants for Modernizing Coal
Pits", "Subsidy for Promoting Coal Mine Restru cturing" and "Grants for Promoting Coal Mining
Company's Diversification of Management and Developing New Business Frontier", which were
already notified in past notifications).
2. Period covered by the notification
April 1997-March 1998.
                                                     
35Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 44
3. Policy objective and/or purpose of the subsidy
To promote the structural adjustment of the coal mining industry by means of assistance to
production, disaster prevention and diversification, etc.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
Owners who have coal mining rights or coal mining companies, etc., in the coal mining
industry.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1995 (settlement of accounts) ¥6,924 million
Fiscal Year 1996 (settlement of accounts) ¥6,841 million
Fiscal Year 1997 (settlement of accounts) ¥17,832 million
9. Duration of a subsidy and/or any other time limits attached to it
This support will phase out by March 2002.
10. Statistical data permitting an assessment of the trade effects of a subsidy36
(Unit:  thousand tonnes)
Year
Coal 1994 FY 1995 FY 1996 FY
Production 6,742 6,317 6,166
Import 119,765 124,170 125,322
Consumption 126,396 130,432 131,533
Export 0 0 0
                                                     
36Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 45
37. Subsidy for Overseas Coal Development Feasibility  Survey
1. Title of the subsidy programme
Subsidy for Overseas Coal Development Feasibility Survey
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
Support for exploration and development of overseas coal resources by Japanese private
companies through the New Energy and Industrial Technology  Development Organization (NEDO)in order to help secure a stable supply of coal resources for Japan's future.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Law Concerning the Promotion of Development and Introduction of Alternative Energy
Sources.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grants.
7. To whom and how the subsidy is provided
The New Energy and Industrial Technolo gy Development Organization (NEDO).
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1995 (settlement of accounts) ¥14.7 million
Fiscal Year 1996 (settlement of accounts) ¥42.6 million
Fiscal Year 1997 (settlement of accounts) ¥22.0 million
9. Duration of a subsidy and/or any other time limits attached to it
The subsidy was started in April 1980, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy37
N.A.
                                                     
37Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 46
38. Subsidy for the Technology Development of Integrated Coal Gasification Combined
Cycle Power Generation Plant
1. Title of the subsidy programme
Subsidy for the Technology Development of In tegrated Coal Gasification Combined Cycle
Power Generation Plant.
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To develop the technology for Integrated Coal Gasification Combined Cycle Power
Generation.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
The subsidy is provided to electric enterprises through the New Energy and Industrial
Technology Development Organization (NEDO).
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1996 (settlement of accounts) ¥2,240 million
Fiscal Year 1997 (settlement of accounts) ¥838 million
Fiscal Year 1998 (budget) ¥972 million
9. Duration of a subsidy and/or any other time limits attached to it
FY 1986-FY 1998.
10. Statistical data permitting an assessment of the trade effects of a subsidy38
N.A.
                                                     
38Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 47
39. Subsidy for the Cost of Development of Waste Power Generation
1. Title of the subsidy programme
Subsidy for the Cost of Development of Waste Power Generation.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To assist the construction of waste power plants for the diffusion of waste energy utilization.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
Waste power producers.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1996 (settlement of accounts) ¥39 million
Fiscal Year 1997 (settlement of accounts) ¥206 million
Fiscal Year 1998 (budget) ¥1,263 million
9. Duration of a subsidy and/or any other time limits attached to it
This programme was started in April 1995, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy39
N.A.
                                                     
39Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, which, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 48
40. Subsidies for Small and Medium-Scale Hydropower Development
1. Title of the subsidy programme
Subsidies for Small and Medium-Scale Hydropower Development.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To promote the development of small and medium-scale hydropower from the point of
effectively utilizing indigenous energy resources, reduce initial generation cost by providing subsidiesfor construction cost.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
Wholesale supplier and installer of in-house generator.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1996 (settlement of accounts) ¥2,066 million
Fiscal Year 1997 (settlement of accounts) ¥2,199 million
Fiscal Year 1998 (budget) ¥2,451 million
9. Duration of a subsidy and/or any other time limits attached to it
The subsidy was started in April 1980, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy40
N.A.
                                                     
40Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 49
41. Subsidy for the Drilling Cost of an Exploratory Well for a Geothermal Power Plant
1. Title of the subsidy programme
Subsidy for the Drilling Cost of an Exploratory Well for a Geothermal Power Plant
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To assist the construction of geothermal power plants for the diffusion of geothermal energy
utilization.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Interest rate subsidy.
7. To whom and how the subsidy is provided
Geothermal power producers.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1996 (settlement of accounts) ¥0 million
Fiscal Year 1997 (settlement of accounts) ¥0 million
Fiscal Year 1998 (budget) ¥0 million
9. Duration of a subsidy and/or any other time limits attached to it
FY 1992-FY 1997.
10. Statistical data permitting an assessment of the trade effects of a subsidy41
N.A.
                                                     
41Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 50
42. Interest Subsidies for Small and Medium Scale Hydropower
1. Title of the subsidy programme
Interest Subsidies for Small and Medium Scale Hydropower.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To subsidize interest for the construction of small and medium scale hydropower by New
Energy Foundation (NEF) for a certain period after the powerplant starts.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
New Energy Foundation (NEF).
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1996 (settlement of accounts) ¥993 million
Fiscal Year 1997 (settlement of accounts) ¥135 million
Fiscal Year 1998 (budget) ¥165 million
9. Duration of a subsidy and/or any other time limits attached to it
The subsidy was started in April 1985, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy42
N.A.
                                                     
42Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 51
43. Committee Verification Tests for the Coal Fired Power Generation
1. Title of the subsidy programme
Committee Verification Tests for the Coal Fired Power Generation
(1) Investigation of Highly Efficient Flue Gas Treatment Technology
(2) Development of Hot Gas Clean-up Technology for PFBC Plant
(3) Development of Survey of simplified Flue Gas Desulfurization (FGD) System for
High-Sulphur Coal.
2. Period covered by the notification
The sub-programme (1) is January 1995-March 1998.
The sub-programmes (2) and (3) are April 1996-March 1998.
3. Policy objective and/or purpose of the subsidy
Increasing the efficiency of environmental protection facilities of coal fired power generation
and effective use of energy resources.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Contract.
7. To whom and how the subsidy is provided
The sub-programme (1) is provided to the Institute of Applied Energy.
The sub-programmes (2) and (3) are provided to EDPC (Electric Power Development Co.
Ltd.).
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
(1) Fiscal Year 1996 (settlement of accounts) ¥55 million
Fiscal Year 1997 (settlement of accounts) ¥144 million
Fiscal Year 1998 (budget) ¥161 million
(2) Fiscal year 1996 (settlement of accounts) ¥764 million
Fiscal year 1997 (settlement of accounts) ¥1,235 million
Fiscal year 1998 (budget) ¥1,712 million
(3) Fiscal year 1996 (settlement of accounts) ¥635 million
Fiscal year 1997 (settlement of accounts) ¥753 million
Fiscal year 1998 (budget) ¥732 millionG/SCM/N/38/JPN
Page 52
9. Duration of a subsidy and/or any other time limits attached to it
The sub-programme (1) is FY 1993-FY 1998.
The sub-programme (2) is FY 1996-FY 1999.
The sub-programme (3) is FY 1996-FY 2000.
10. Statistical data permitting an assessment of the trade effects of a subsidy43
N.A.
44. Geothermal Energy Programmes
1. Title of the subsidy programme
Geothermal Energy Programmes
(i) Subsidy for the Geothermal Development Promotion Survey
(ii) Subsidy for the Drilling Cost of an Exploratory Well for a Geothermal Power Plant(iii) Subsidy for the Cost of Development of Geothermal Power Generation
2. Period covered by the notification
April 1997-March 1998
3. Policy objective and/or purpose of the subsidy
To assist the construction of geothermal power plants and the survey of geothermal
development, etc. for the diffusion of geothermal energy utilization.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
The sub-programme (i) is provided to the New Energy and Industrial Technology
Development Organization (NEDO).
The sub-programmes (ii) and (iii) are provided to geothermal power producers.
                                                     
43Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 53
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
(i) Fiscal year 1996 (settlement of accounts) ¥4,064 million
Fiscal year 1997 (settlement of accounts) ¥3,585 millionFiscal year 1998 (budget) ¥3,572 million
(ii) Fiscal year 1996 (settlement of accounts) ¥0 million
Fiscal year 1997 (settlement of accounts) ¥0 million
Fiscal year 1998 (budget) ¥210 million
(iii) Fiscal year 1996 (settlement of accounts) ¥2,056 million
Fiscal year 1997 (settlement of accounts) ¥963 million
Fiscal year 1998 (budget) ¥1,682 million
9. Duration of a subsidy and/or any other time limits attached to it
(i) and (ii) were started in April 1980, and there is no time-limit attached to them.
(iii) was started in April 1986, and there is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy44
N.A.
45. Contract for Demonstration Test for New-Type Power-Generation Reactor
Technologies
1. Title of the subsidy programme
Contract for demonstration test for new-type power generation reactor technologies
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To develop technologies for maintaining safety of the practical fast breeder reactor in Japan.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
                                                     
 44Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 54
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Contract.
7. To whom and how the subsidy is provided
Central Research Institute of Electric Power Industry.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1995 (settlement of accounts) ¥969 million
Fiscal Year 1996 (settlement of accounts) ¥964 million
Fiscal Year 1997 (settlement of accounts) ¥472 million
9. Duration of a subsidy and/or any other time limits attached to it
FY 1987-FY 2000.
10. Statistical data permitting an assessment of the trade effects of a subsidy45
N.A.
46. Subsidy for the Technology Development of the Coal Fired Power Generation
1. Title of the subsidy programme
Subsidy for the Technology Development of the Coal Fired Power Generation.
(1) Assistance for the Technology Development of the Advanced Coal Fired Power
Generation.
(2) High Sulphur Test Centre Project.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
(1) To develop the material for coal fired power generation with ultra super critical steam
condition.
                                                     
45Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 55
(2) To develop flue gas treatment technology for high sulphur coal.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
EPDC (Electric Power Development Co. Ltd.)
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
(1) Fiscal Year 1996 (settlement of accounts) ¥176 million
Fiscal Year 1997 (settlement of accounts) ¥262 millionFiscal Year 1998 (budget) ¥309 million
(2) Fiscal year 1996 (settlement of accounts) ¥17 million
Fiscal year 1997 (settlement of accounts ¥17 million
Fiscal year 1998 (budget) ¥27 million
9. Duration of a subsidy and/or any other time limits attached to it
(1) FY 1982-FY 2000
(2) FY 1990-FY 1998.
10. Statistical data permitting an assessment of the trade effects of a subsidy46
N.A.
47. Subsidy for Development of Fuel Cells Power Generation
1. Title of the subsidy programme
Subsidy for Development of Fuel Cells Power Generation.
Verification tests for establishment of the next-generation dispersed power supply system.
                                                     
46Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 56
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To promote the development and introduction technology of oil-alternative energy.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
New energy and industrial technolo gy development organization (NEDO).
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1993 (settlement of accounts) ¥135 million
Fiscal Year 1994 (settlement of accounts) ¥512 million
Fiscal Year 1995 (settlement of accounts) ¥749 million
Fiscal year 1996 (settlement of accounts) ¥602 million
Fiscal year 1997 (settlement of accounts) ¥369 million
Fiscal year 1998 (budget) ¥0
9. Duration of a subsidy and/or any other time limits attached to it
(1) FY 1993-FY 1997
10. Statistical data permitting an assessment of the trade effects of a subsidy47
N.A.
48. Subsidy for Development of Fuel Cells Power Generation
1. Title of the subsidy programme
Subsidy for Development of Fuel Cells Power Generation.
                                                     
47Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 57
Development of fuel cell power generation technology urban energy centre.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To promote the development and introduction technology of oil-alternative energy.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
New energy and industrial technolo gy development organization (NEDO).
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1991 (settlement of accounts) ¥742 million
Fiscal Year 1992 (settlement of accounts) ¥2,207 million
Fiscal Year 1993 (settlement of accounts) ¥1,257 millionFiscal year 1994 (settlement of accounts) ¥849 million
Fiscal year 1995 (settlement of accounts) ¥805 million
Fiscal year 1996 (settlement of accounts) ¥783 million
Fiscal year 1997 (settlement of accounts) ¥229
Fiscal year 1998 (budget) ¥0
9. Duration of a subsidy and/or any other time limits attached to it
FY 1991-FY 1997.
10. Statistical data permitting an assessment of the trade effects of a subsidy48
N.A.
                                                     
48Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 58
49. Subsidy for Power Application Technology Development of Superconducting Magnetic
Technology
1. Title of the subsidy programme
Subsidy for Power Application Technology Development of Superconducting Magnetic
Technology.
Development on interconnection reinforcement of remote located and varied generations.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To promote the development and introduction technology of oil-alternative energy.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
EPDC (Electric Power Development Co. Ltd.), Central Research Institute of Electric Power
Industry and Private Company.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1996 (settlement of accounts) ¥850 million
Fiscal Year 1997 (settlement of accounts) ¥965 million
Fiscal Year 1998 (budget) ¥843 million
9. Duration of a subsidy and/or any other time limits attached to it
FY 1992-FY 1999G/SCM/N/38/JPN
Page 59
10. Statistical data permitting an assessment of the trade effects of a subsidy49
N.A.
50. Subsidy for Technology Development of High Efficiency Gas Turbine etc. (RFD)
1. Title of the subsidy programme
Subsidy for Technology Development of High Efficiency Gas Turbine, etc.
Development of power generation technolo gy using new RDF (Refuse Derived Fuel).
2. Period covered by the notification
April 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To promote RDF fired power generation system by considering waste as a non-utilized form
of energy.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
EPDC (Electric Power Development Co. Ltd.)
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1996 (settlement of accounts) ¥634 million
Fiscal Year 1997 (settlement of accounts) ¥1,416 million
Fiscal Year 1998 (budget) ¥1,489 million
9. Duration of a subsidy and/or any other time limits attached to it
FY 1995-FY 1998.
                                                     
49Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 60
10. Statistical data permitting an assessment of the trade effects of a subsidy50
N.A.
51. Subsidy for Technology Development of High Efficiency Gas Turbine, etc. (waste-fired
power)
1. Title of the subsidy programme
Subsidy for Technology Development of High Efficiency Gas Turbine, etc.
Research on technology to introduce waste fired power generation.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To support the introduction of waste-fire d power generation to autonomous bodies by
preparing manuals concerning power generation with waste.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
New Energy and Industrial Technology Development Organization (NEDO).
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1996 (settlement of accounts) ¥93 million
Fiscal Year 1997 (settlement of accounts) ¥160 million
Fiscal Year 1998 (budget) ¥236 million
                                                     
50Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 61
9. Duration of a subsidy and/or any other time limits attached to it
FY 1994-FY 1998.
10. Statistical data permitting an assessment of the trade effects of a subsidy51
N.A.
52. Subsidy for Technology Development of High Efficiency Gas Turbine, etc. (Waste
power)
1. Title of the subsidy programme
Subsidy for Technology Development of High Efficiency Gas Turbine, etc.
Development of high-efficiency waste power generation technology.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To develop a new type of facility which can efficiently utilize the potential energy in waste,
this project helps development of high-efficiency waste power generation technology.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
New Energy and Industrial  Technolo gy Development Organization (NEDO).
                                                     
51Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 62
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1992 (settlement of accounts) ¥332 million
Fiscal Year 1993 (settlement of accounts) ¥522 million
Fiscal Year 1994 (settlement of accounts) ¥559 millionFiscal year 1995 (settlement of accounts) ¥563 million
Fiscal year 1996 (settlement of accounts) ¥2,487 million
Fiscal year 1997 (settlement of accounts) ¥1,808 million
Fiscal year 1998 (budget) ¥1,237 million
9. Duration of a subsidy and/or any other time limits attached to it
FY 1992-FY 2000
10. Statistical data permitting an assessment of the trade effects of a subsidy52
N.A.
53. Contract Concerning New Power Reactor Research and Investigation
1. Title of the subsidy programme
Contract concerning new power reactor research and investigation.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
Concerning the introduction of Fast Breeder Reactor to Japan, we will develop and study Fast
Breeder Reactor's element technologies which contributes to performance improvement such aseconomics, function, reliability and so on.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
                                                     
52Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 63
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Contract.
7. To whom and how the subsidy is provided
The Institute of Applied Energy.  The Institute Research and Innovation.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1995 (settlement of accounts) ¥350 million
Fiscal Year 1996 (settlement of accounts) ¥411 millionFiscal Year 1997 (settlement of accounts) ¥265 million
9. Duration of a subsidy and/or any other time limits attached to it
FY 1981-FY 2000
10. Statistical data permitting an assessment of the trade effects of a subsidy53
N.A.
54. Contract for Verification Tests on De commissioning Technology for Commercial
Nuclear Power Facilities
1. Title of the subsidy programme
Contract for Verification Tests on Decommissi oning Technology for Commercial Nuclear
Power Facilities.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
To develop techniques necessary for safe dismantling of nuclear power plants in Japan.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
                                                     
53Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 64
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Contract.
7. To whom and how the subsidy is provided
Nuclear Power Engineering  Corporation, The Institute of Applied Energy.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal Year 1995 (settlement of accounts) ¥1,365 million
Fiscal Year 1996 (settlement of accounts) ¥2,760 millionFiscal Year 1997 (settlement of accounts) ¥3,508 million
9. Duration of a subsidy and/or any other time limits attached to it
FY 1981-FY 2006
10. Statistical data permitting an assessment of the trade effects of a subsidy54
N.A.
55. Contract for the Advancement of the Light Water Reactor Technology Confirmation
Test and Others
1. Title of the subsidy programme
Contract for the advancement of the Light Water Reactor Technology Confirmation Test and
Others.
2. Period covered by the notification
January 1995-March 1998.
3. Policy objective and/or purpose of the subsidy
New technology development for the purpose of ensuring the safety of Light Water Reactors.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
5. Legislation under which it is granted
Assistance by budget.
                                                     
54Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 65
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Contract.
7. To whom and how the subsidy is provided
Nuclear Power Engineering Corporation and othe r public corporations which are entrusted by
the MITI.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Fiscal year 1995 (settlement of accounts) ¥11,901 million
Fiscal year 1996 (settlement of accounts) ¥13,284 million
Fiscal year 1997 (settlement of accounts) ¥14,550 million
9. Duration of a subsidy and/or any other time limits attached to it
FY 1981-FY 2006.
10. Statistical data permitting an assessment of the trade effects of a subsidy55
N.A.
56.  Grant for the Technical Development of a Full MOX-ABWR Plant System
1. Title of the subsidy programme
Grant for the technical development of a full MOX-ABWR plant system.
2. Period covered by the notification
April 1996-March 1998
3. Policy objective and/or purpose of the subsidy
To promote the development of a full MOX-ABWR  plant, in order to improve flexibility of
MOX fuel utilisation in LWR plants, and to contribute to keep plutonium balance according to
supply-demand relations.
4. Background and authority for the subsidy
The Ministry of International Trade and Industry.
                                                     
55Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, which, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 66
5. Legislation under which it is granted
Assistance by budget.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
Electric Power Development Co. Ltd.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Settled amount for FY 1996 ¥514 million
Settled amount for FY 1997 ¥1,105 million
9. Duration of a subsidy and/or any other time limits attached to it
FY 1996-FY 2007
10. Statistical data permitting an assessment of the trade effects of a subsidy56
N.A.
57. Tax Credit for the Increased Expense of Research
1. Title of the subsidy programme
Tax credit for the increased expense of research (related to the enterprises which operate a
business belonging to the sectors designated by a Competent Ministers' Order and are approved by the
Competent Ministers, which are legislated by the Law on the Temporary Measures to FacilitateBusiness Innovation)
2. Period covered by the notification
April 1997-March 1998
3. Policy objective and/or purpose of the subsidy
To facilitate business innovation by enterprises in response to diverse and structural changes
in the domestic and international economic environment.
4. Background and authority for the subsidy
Ministry of Finance.
                                                     
56Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 67
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Tax credit.
7. To whom and how the subsidy is provided
A person or a corporation which is in response to diverse and structural changes in domestic
and international economic environment and present the business innovation plans which are
approved by the Competent Minister.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Tax credit for 10 per cent of the increased expense of research in each business year.  The
increased expenses are determined as a difference between the expense of that year and the second-
highest one after the year that is succeeded by the year including 1 January 1995.  This tax credit is
available only in the year which includes the date of Minister's approval and the following two years.
9. Duration of a subsidy and/or any other time limits attached to it
Between 1 April 1995 and 31 March 1999.
10. Statistical data permitting an assessment of the trade effects of a subsidy57
Production of main industries
(¥ million)
1995 1996 1997
Ammonia industry 20,962 21,486 26,061
Cement industry 669,756 690,666 -
Scale industry 88,104 91,630 85,813
Wooden furniture industry 1,742,072 1,731,010 -
Rubber belt industry 97,049 96,972 102,448
58. Tax measures to Strengthen the Management of Small and Medium-Sized Corporations
1. Title of the subsidy programme
Tax measures to strengthen the management of small and medium-sized corporations.
2. Period covered by the notification
April 1997-March 1998
                                                     
57Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 68
3. Policy objective and/or purpose of the subsidy
(1) Improvement of the management of the agricultural processing business;
(2) Accumulation of creative skills in agglomerations of regional industries and to
maintain and develop accumulations of industries by promoting the advance to thenew business sectors.
(3) Smooth adaptation to the structural changes of the economy by advancing into the
new sectors.
4. Background and authority for the subsidy
Ministry of Finance.
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Tax deferral or tax credit.
7. To whom and how the subsidy is provided
(1) Small and medium-sized enterprises engaging in the agricultural processing
businesses.
(2) Small and medium-sized enterprises which operate the specific businesses in the Area
to Activate Accumulations of Creative Skills.
(3) Small and medium-sized enterprises which operate the specific businesses which are
under the influence of the structural changes of the economy.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Choice of special depreciation of 30 per cent of the acquisition cost or the tax credit of 7 per
cent of the acquisition cost on the equipment.  As for leasing, the tax credit on the 60 per cent of the
leasing fee is permitted.
9. Duration of a subsidy and/or any other time limits attached to it
Between 1 April 1987 and 31 March 1999.
10. Statistical data permitting an assessment of the trade effects of a subsidy58
Production of main industries (1)
      (thousand tons)
1994y. 1995y. 1996y. 1997y.
Cheese 103 106 - - (April-March)
                                                     
58Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 69
Polished barley 116 130 138 142 (April-March
Wheat flour 4,999 4,947 4,970 - (April-March)
Not available for (2) and (3).
59.  Special Depreciation or Tax Credit on the Manufacturing Machines when Import of
Products Increases
1. Title of the subsidy programme
Special depreciation or tax credit on the manufacturing machines when import of products
increases.
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To promote the import of products.
4. Background and authority for the subsidy
Ministry of Finance.
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Tax deferral or tax credit.
7. To whom and how the subsidy is provided
A person and a corporation mainly engaging in manufacture in Japan.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
When amount of increase on product import is more than 2 per cent, the special depreciation
of 10 per cent on the manufacturing equipment or the tax credit of 5 per cent on the amount of
increase on product import is permitted.
9. Duration of a subsidy and/or any other time limits attached to it
Between 1 April 1990 and 31 March 1998.
10. Statistical data permitting an assessment of the trade effects of a subsidy59
                                                     
59Statistics of production, consumption, imports and exports:G/SCM/N/38/JPN
Page 70
    (¥ billion)
Year Imports of manufactured products
1995 19,744
1996 23,365
1997 24,091
60. Special Deduction for Expenditure on Prospecting for Domestic or Overseas Mineral
Deposit
1. Title of the subsidy programme
Special Deduction for Expenditure on Prospecting for Domestic or Overseas Mineral
Deposit
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To ensure continuity of mining business.
4. Background and authority for the subsidy
The Ministry of Finance
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Deduction from taxable income.
7. To whom and how the subsidy is provided
A person or a corporation engaging in mining industry.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual
amount budgeted for that subsidy
The lowest of the following three amounts may be deducted from taxable income:
                                                                                                                                                                    
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 71
(i) The amount of the prospecting costs incurred, including depreciation expenses
allowed on machinery and equipment used for prospecting.
(ii) The amount added back to the taxable income from the prospecting cost reserve.(iii) The amount of corporation income for the business year.
9. Duration of a subsidy and/or any other time limits attached to it
Between 1 April 1965 and 31 March 1998.
10. Statistical data permitting an assessment of the trade effects of a subsidy60
The amount of domestic production of minerals
(thousand tons)
1994 1995 1996
Copper 6.0 (0.6%) 2.4 (0.2%) 1.1 (0.1%)
Lead 9.9 (5.1%) 9.7 (6.9%) 7.8 (5.9%)
Zinc 100.7 (16.5%) 95.3 (14.9%) 80.0 (14.7%)
61. Special Depreciation on Certain Machinery used for High-Technology Industries in the
Designated High-Technology Industrial  Development Areas ("Technopolis")
1. Title of the subsidy programme
Special Depreciation on Certain Machinery used for High-Technology Industries in the
Designated High-Technology Industrial Development Areas ("Technopolis").
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
Promotion of the industrial development in certain areas, based on the high-technology
industries.
4. Background and authority for the subsidy
Ministry of Finance.
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
                                                     
60Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 72
Tax deferral.
7. To whom and how the subsidy is provided
Corporations engaging in the qualified high-technology industries.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Special initial depreciation is granted for the high-technology machinery depending on the
time of acquisition as follows:
Years after approval of the "Technopolis" plan
~5y. 5y.-7y. 7y.-8y. 8y.-10y. 10y.-12y. 12y.-14y.
Machinery 30% 25% 20% 15% 14% 12%
Buildings etc. 15% 13% 10% 8% 7% 6%
9. Duration of a subsidy and/or any other time limits attached to it
Within 14 years after the approval of the "Technopolis" plan.
10. Statistical data permitting an assessment of the trade effects of a subsidy61
   (¥ billion)
Year Production in "Technopolis"
1991 35,854.8
1992 35,506.9
1993 34,899.6
1994 35,189.3
1995 38,165.0
62.  Special Depreciation on Machinery
1. Title of the subsidy programme
Special depreciation on machinery (related to the law of temporary measures to facilitate
business innovation)
2. Period covered by the notification
April 1997-March 1998.
                                                     
61Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 73
3. Policy objective and/or purpose of the subsidy
To facilitate business innovation by enterprises in response to diverse and structural changes
in the domestic and international economic environment.
4. Background and authority for the subsidy
Ministry of Finance.
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Tax deferral.
7. To whom and how the subsidy is provided
A person or a corporation which is in response to diverse and structural changes in domestic
and international economic environment and present the business innovation plans which are
approved by the Competent Minister.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Special initial depreciation of 25% is granted for certain machinery.
9. Duration of a subsidy and/or any other time limits attached to it
Between 1 April 1995 and 31 March 1999.
10. Statistical data permitting an assessment of the trade effects of a subsidy62
Production of main industries
(¥ million)
1995y. 1996y. 1997y.
Ammonia industry 20,962 21,486 26,061
Cement industry 669,756 690,666 -
Scale industry 88,104 91,630 85,813
Wooden furniture industry 1,742,072 1,731,010 -
Rubber belt industry 97,049 96,972 102,448
63.  Special Depreciation on Machinery for Business Innovation
1. Title of the subsidy programme
                                                     
62Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 74
Special depreciation on machinery for bu siness innovation (in the Law on Temporary
Measures for Activation of Specific Regional Industrial Agglomerations)
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To accumulate creative skills in agglomerations of regional industries and to maintain and
develop accumulations of industries by promoting the new business sectors.
4. Background and authority for the subsidy
Ministry of Finance.
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Tax deferral.
7. To whom and how the subsidy is provided
Small and medium-size enterprises which operate businesses belonging to central sectors
industry in the Area to Activate Accumulations of Creative Skills.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Special initial depreciation of 15 per cent, 20 per cent and 25 per cent on machinery for
business innovation.
9. Duration of a subsidy and/or any other time limits attached to it
Between 12 June 1997 and 31 March 1999.
10. Statistical data permitting an assessment of the trade effects of a subsidy63
  (¥ billion)
Year Industrial shipment figures
1991 27,340.4
1992 27,750.4
1993 27,889.2
1994 27,972.9
                                                     
63Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 75
1995 28,392.5
64.  Special Depreciation on Facilities
1. Title of the subsidy programme
Special depreciation on facilities (related to the Law on Temporary Measures for
Improvement of Agricultural Product Processing Industry)
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
Improvement of the management of agricultural processing enterprises.
4. Background and authority for the subsidy
Ministry of Finance.
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Tax deferral.
7. To whom and how the subsidy is provided
Corporations engaging in agricultural processing industries, whose plans to improve
management or plans for business coop eration are approved by the governor.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Special initial depreciation of 14 per cent of acquisition cost is granted for the machinery.
9. Duration of a subsidy and/or any other time limits attached to it
Between 1 April 1995 and 30 June 1998.
10. Statistical data permitting an assessment of the trade effects of a subsidy64
Production of main industries
      (thousand tons)
                                                     
64Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 76
1994y. 1995y. 1996y. 1997y.
Cheese 103 106 - - (April-March)
Polished barley 116 130 138 142 (April-March
Wheat flour 4,999 4,947 4,970 - (April-March)
65.  Special Depreciation on Machinery
1. Title of the subsidy programme
Special Depreciation on Machinery (related to the plans for structural improvement of small-
and medium-sized enterprises (SMEs) under the scheme of the Law on Promotion of Small- and
Medium-sized Enterprises Modernization)
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
Promotion of modernization of small and medium-sized enterprises.
4. Background and authority for the subsidy
Ministry of Finance.
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Tax deferral.
7. To whom and how the subsidy is provided
Small and medium-sized enterprises which meet all the following conditions:
- Membership of commercial and industrial cooperatives, etc. whose plans for structural
improvement of SMEs are approved by the Minister of International Trade and
Industry.
- Engaging in the businesses qualified as necessary for immediate structural
improvement.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Special additional depreciation of 18 per cent of ordinary depreciation allowance for the first
five years is granted for certain factory buildings and machinery.
9. Duration of a subsidy and/or any other time limits attached to itG/SCM/N/38/JPN
Page 77
For five years after the approval of the plan for structural improvement of SMEs.
10. Statistical data permitting an assessment of the trade effects of a subsidy65
Production of main industries
(¥ million)
1995 1996 1997
Concrete industry 1,632,794 1,666,660 N.A.
Lime industry 96,447 94,914 100,782
Screw industry 728,024 723,874 740,842
Gear industry 242,351 253,172 289,680
Pig-iron casting industry 859,175 840,424 848,421
Metal-press industry 1,116,004 1,195,538 1,204,341
66. Additional Depreciation on Machinery
1. Title of the subsidy programme
Additional Depreciation on Machinery (related to the plan for structural improvement of
textile industry under the scheme of the Temporary Law on the Structural Improvement of Textile
Industry)
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
Structural improvement of textile industry.
4. Background and authority for the subsidy
Ministry of Finance.
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Tax deferral.
7. To whom and how the subsidy is provided
Small and medium-sized enterprises which meet all the following conditions:
                                                     
65Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 78
- Membership of commercial and industrial cooperatives, etc. whose plans for structural
improvement of the textile industry are approved by the Minister of International Trade
and Industry.
- Engaging in the business of the textile industry.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Additional depreciation of 18 per cent is granted for certain buildings and machinery for five
years.
9. Duration of a subsidy and/or any other time limits attached to it
For five years after the approval of the plan for structural improvement of the textile industry.
10. Statistical data permitting an assessment of the trade effects of a subsidy66
1995 1996 1997
Production (t) 1,381,996 1,323,311 1,317,350
Import (t) 1,369,459 1,457,214 1,428,081
Export (t) 398,807 398,132 405,308
Domestic demand (t) 2,373,356 2,419,471 2,327,342
Import/domestic demand (%) 57.7 60.2 61.4
67.  Additional Depreciation of Fishing Boats
1. Title of the subsidy programme
Additional Depreciation on fishing boats (related to the plan for structural improvement of
small- and medium-sized fishing enterprises under the scheme of the Extraordinary Law on theReconstruction of the Fishing Industry).
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
Structural improvement of fishing industry.
4. Background and authority for the subsidy
Ministry of Finance.
                                                     
66Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 79
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Tax deferral.
7. To whom and how the subsidy is provided
Small- and medium-sized corporations which meet all the following conditions:- Membership of fishing cooperatives whose plans for structural improvement of small-
and medium-sized fishing enterprises are approved by the Minister of Agriculture,
Forestry and Fisheries.
- Engaging in certain fishing businesses.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Additional depreciation of 16 per cent is granted for fishing boats for five years.
9. Duration of a subsidy and/or any other time limits attached to it
For five years after approval of the plan for structural improvement of fishing enterprises.
10. Statistical data permitting an assessment of the trade effects of a subsidy67
(¥ million)
1993y. 1994y. 1995y. 1996y.
Medium trawl fishery 86,910 86,826 84,577 75,806
Large trawl fishery in East China Sea 22,120 20,771 14,569 11,187
Pelagic skipjack and tuna fishery 241,931 195,021 173,156 176,892
Offshore skipjack and tuna fishery 66,210 54,684 49,055 48,977
Surrounding net fishery 220,609 207,993 214,571 206,149
Medium-sized squid jigging fishery 19,415 24,444 23,228 23,785
68.  Additional Depreciation on Machinery of Corporations which Carry Out the Plans for
Improvement of Agricultural Management
1. Title of the subsidy programme
Additional Depreciation on Machinery of Corporations which carry out the plans for
Improvement of Agriculture Management.
                                                     
67Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 80
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
Strengthening of the management of forestry and improvement of number of labourers who
are engaged in forestry.
4. Background and authority for the subsidy
Ministry of Finance.
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Tax deferral.
7. To whom and how the subsidy is provided
A person and a corporation engaging in forestry on a large scale, whose plans for
improvement of forestry management are approved by the Minister of Agriculture, Forestry and
Fishery.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Additional depreciation of 15 per cent is granted for forestry machinery for five years.
9. Duration of a subsidy and/or any other time limits attached to it
For five years after approval of a plan.
10. Statistical data permitting an assessment of the trade effects of a subsidy68
Production (thousand m3)
Year 1993 1994 1995 1996 1997
Production 27,114 25,570 24,456 22,897 22,469
                                                     
68Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, whic h, where possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 81
69. Special Depreciation on the Drift for the Mining Industry
1. Title of the subsidy programme
Special depreciation on the drift for the mining industry.
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To maintain the production.
4. Background and authority for the subsidy
Ministry of Finance.
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Tax deferral.
7. To whom and how the subsidy is provided
A person or a corporation engaging in the mining industry.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
- Deduction of all the acquisition costs of th e drift for the purpose of maintaining the
production.
- Special additional depreciation of 14 per cent as for the ventilation drift.
9. Duration of a subsidy and/or any other time limits attached to it
Between 1 April 1957 and 31 March 1999.G/SCM/N/38/JPN
Page 82
10. Statistical data permitting an assessment of the trade effects of a subsidy69
The amount of domestic production of minerals
(thousand tons)
1994 1995 1996
Copper 6.0 (0.6%) 2.4 (0.2%) 1.1 (0.1%)
Lead 9.9 (5.1%) 9.7 (6.9%) 7.8 (5.9%)
Zinc 100.7 (16.5%) 95.3 (14.9%) 80.0 (14.7%)
70. Special Depreciation on the Payment to Specific Association
1. Title of the subsidy programme
Special depreciation on the payment to specific association.
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
Development of new products or new technology.
4. Background and authority for the subsidy
Ministry of Finance.
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Tax deferral.
7. To whom and how the subsidy is provided
A member of the specific association.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Deduction of the amounts which are paid by the member of the association as the acquisition
cost of assets which belong to the association.
                                                     
69 Statistics of production, consumption, imports and exports:
(i) for the three most recent years for which statistics are available;(ii) for a previous representative year, which, were possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change
in the subsidy.G/SCM/N/38/JPN
Page 83
9. Duration of a subsidy and/or any other time limits attached to it
Until 31 March 1999.
10. Statistical data permitting an assessment of the trade effects of a subsidy70
Concerning Law on Promotion of Small and Medium-Sized Enterprises Modernization.
Production of main industries.
(¥ million)
1995 1996 1997
Concrete industry 1,632,794 1,666,660 N.A.
Lime industry 96,447 94,914 100,782
Screw industry 728,024 723,874 740,842
Gear industry 242,351 253,172 289,680
Pig-iron casting industry 859,175 840,424 848,421
Metal-press industry 1,116,004 1,195,538 1,204,341
71. Reserve for Prevention from Mineral Pollution of Metal Mining.
1. Title of the subsidy programme
Reserve for Prevention from Mineral Pollution of Metal Mining.
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
Mineral pollution prevention relating to metal mining.
4. Background and authority for the subsidy
Ministry of Finance.
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Tax deferral.
                                                     
70 Statistics of production, consumption, imports and exports:
(i) for the three most recent years for which statistics are available;(ii) for a previous representative year, which, were possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change
in the subsidy.G/SCM/N/38/JPN
Page 84
7. To whom and how the subsidy is provided
A person or a corporation engaging in the mining industry.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Deduction of the amounts accumulated in the Metal Mining Agency of Japan as the reserve
for prevention of mineral pollution.  (When the expense for prevention of mineral pollution is paid,
the reserve corresponding to the cost is included in the profit).
9. Duration of a subsidy and/or any other time limits attached to it
Between 1 April 1974 and 31 March 1998.
10. Statistical data permitting an assessment of the trade effects of a subsidy71
The amount of domestic production of minerals
(thousand tons)
1994 1995 1996
Copper 6.0 (0.6%) 2.4 (0.2%) 1.1 (0.1%)
Lead 9.9 (5.1%) 9.7 (6.9%) 7.8 (5.9%)
Zinc 100.7 (16.5%) 95.3 (14.9%) 80.0 (14.7%)
72. Provision for the Disposal of the Offshore Oil and Natural Gas Field
1. Title of the subsidy programme
Provision for the disposal of the offshore oil and natural gas field.
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To dispose of the well smoothly.
4. Background and authority for the subsidy
Ministry of Finance.
                                                     
71 Statistics of production, consumption, imports and exports:
(i) for the three most recent years for which statistics are available;(ii) for a previous representative year, which, were possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change
in the subsidy.G/SCM/N/38/JPN
Page 85
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Tax deferral.
7. To whom and how the subsidy is provided
A corporation engaging in exploitation of petroleum and natural gas in Japan.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Deduction of the amounts credited to reserves for the assumed well-disposition cost
corresponding to the period of durability of well equipment.  (When the well-disposition cost is paid,
the reserve corresponding to the cost is included in the profit).
9. Duration of a subsidy and/or any other time limits attached to it
Between 1 April 1986 and 31 March 1998.
10. Statistical data permitting an assessment of the trade effects of a subsidy72
Production of natural gas
(thousand tons)
1994y. 1995y. 1996y.
Production 1,624 1,577 1,593
Import 42,166 42,758 46,409
Production of crude oil
(thousand kilolitres)
1994y. 1995y. 1996y.
Production 870 861 837
Import 270,848 266,921 263,445
                                                     
72 Statistics of production, consumption, imports and exports:
(i) for the three most recent years for which statistics are available;(ii) for a previous representative year, which, were possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change
in the subsidy.G/SCM/N/38/JPN
Page 86
73. Reserve for Preventing Specific Disasters
1. Title of the subsidy programme
Reserve for Preventing Specific Disasters.
2. Period covered by the notification
April 1997-March 1998
3. Policy objective and/or purpose of the subsidy
To prevent disasters from quarrying.
4. Background and authority for the subsidy
Ministry of Finance.
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Tax deferral.
7. To whom and how the subsidy is provided
A person and corporation in a quarrying industry or open pit coal mining company.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Deduction of the amounts credited to reserves for the expense to prevent disasters after
mining.  (When the expense is paid, the reserve corresponding to the cost is included in the profit).
9. Duration of a subsidy and/or any other time limits attached to it
Between 1 April 1991 and 31 March 1999.G/SCM/N/38/JPN
Page 87
10. Statistical data permitting an assessment of the trade effects of a subsidy73
Production of limestone ore
(thousand tons)
1994y. 1995y. 1996y.
Production 202,481 201,096 202,894
Import 0 0 0
Export 3,765 3,704 3,392
74. Reserve for Searching Out New Mineral Beds in and out of Japan
1. Title of the subsidy programme
Reserve for Searching Out New Mineral Beds in and out of Japan.
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To promote the exploitation of mineral resources.
4. Background and authority for the subsidy
Ministry of Finance.
5. Legislation under which it is granted
Special Taxation Measures Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Tax deferral.
7. To whom and how the subsidy is provided
A person and corporation engaging in mining industry.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
Deduction of the amounts credited to the reserves which correspond to 13 per cent of the sales
amount of the minerals.  (After three years follow ing the transfer to the reserves, the reserve is
included in the profit).
                                                     
73 Statistics of production, consumption, imports and exports:
(i) for the three most recent years for which statistics are available;(ii) for a previous representative year, which, were possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change
in the subsidy.G/SCM/N/38/JPN
Page 88
9. Duration of a subsidy and/or any other time limits attached to it
Between 1 April 1965 and 31 March 1998.
10. Statistical data permitting an assessment of the trade effects of a subsidy74
The amount of domestic production of minerals
(thousand tons)
1994 1995 1996
Copper 6.0 (0.6%) 2.4 (0.2%) 1.1 (0.1%)
Lead 9.9 (5.1%) 9.7 (6.9%) 7.8 (5.9%)
Zinc 100.7 (16.5%) 95.3 (14.9%) 80.0 (14.7%)
75. Grants for Promoting Rationalization and Discontinuance or Change of Business of Salt
Industry
1. Title of the subsidy programme
Grants for promoting rationalization and discontinuance or change of business of salt
industry.
2. Period covered by the notification
April 1997-March 1998.
3. Policy objective and/or purpose of the subsidy
To assist rationalization and discontinuance or change of business of salt producers and salt
wholesalers to promote structural adju stment of the domestic salt industry.
4. Background and authority for the subsidy
The Salt Industry Centre of Japan.
5. Legislation under which it is granted
Salt Business Law.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
                                                     
74 Statistics of production, consumption, imports and exports:
(i) for the three most recent years for which statistics are available;(ii) for a previous representative year, which, were possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change
in the subsidy.G/SCM/N/38/JPN
Page 89
7. To whom and how the subsidy is provided
Salt producers and salt wholesalers which have rationalized and/or have discontinued or
changed their business.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
¥902 million.
9. Duration of a subsidy and/or any other time limits attached to it
October 1996-March 2002.
10. Statistical data permitting an assessment of the trade effects of a subsidy75
(thousand tons)
Fiscal Year Production Import Export Domestic demand
1995 1,357 7,999 0 9,336
1996 1,358 7,983 0 9,156
1997 1,329 8,292 0 9,479
76. Financial Measures for Shochu B Manufacturers
1. Title of the subsidy programme
Financial Measures for Shochu B Manufacturers
2. Period covered by the notification
-
3. Policy objective and/or purpose of the subsidy
To reform the structure of Shochu B industry and to help the modernization of its
environment protection facilities.
4. Background and authority for the subsidy
Ministry of Finance.
5. Legislation under which it is granted
Special Measures Law concerning the stability of the Sake Brewing and Related Manufacture.
                                                     
75 Statistics of production, consumption, imports and exports:
(i) for the three most recent years for which statistics are available;(ii) for a previous representative year, which, were possible and meaningful, should be
the latest period preceding the introduction of the subsidy or preceding the last major change
in the subsidy.G/SCM/N/38/JPN
Page 90
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Interest-free loan to "the Shochu B Manufactures Industry Funds" and Grants
7. To whom and how the subsidy is provided
Japan Brewers Association.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
- The Funds' running profit: ¥1.27 billion
- Grants from the State budget: ¥0.30 billion
9. Duration of a subsidy and/or any other time limits attached to it
Duration of the interest-free loan is limited to ten years.
10. Statistical data permitting an assessment of the trade effects of a subsidy76
Quantity of Shipment of Shochu B
(kl)
Year 1995 1996 1997
Domestic 296,621 318,023 330,297
Import 42 537 477
Total 296,663 318,560 330,774
77. Grant for Promotion of Research and Development of Future Ships
1. Title of the subsidy programme
Grant for Promotion of Research and Development of Future Ships.
2. Period covered by the notification
April 1997-March 1998
3. Policy objective and/or purpose of the subsidy
To promote the research and development of future ships.
                                                     
76 Statistics of production, consumption, imports and exports:
(i) for the three  most recent years for which statistics are available;
(ii) for a previous representative year, which, wh ere possible and meaningful, should be the latest
period preceding the introduction of the subsidy or preceding the last major change in the subsidy.G/SCM/N/38/JPN
Page 91
4. Background and authority for the subsidy
Ministry of Transport.
5. Legislation under which it is granted
The Law for the Association for Structural Improvement of the Shipbuilding Industry.
6. Form of the subsidy (i.e. grant, loan, tax concession, etc.)
Grant.
7. To whom and how the subsidy is provided
The grant is provided within a budget for those who conduct research and development on
higher technologies for ships in the private sector.
8. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount
budgeted for that subsidy
1995 1996 1997
839 750 430 (¥ million)
9. Duration of a subsidy and/or any other time limits attached to it
There is no time-limit attached to it.
10. Statistical data permitting an assessment of the trade effects of a subsidy
The know-how from the subsidized R&D projects has not produced commercial products.
Thus, no trade effects of this grant have appeared as yet.
78. Measures for Rice, Wheat and Barley
1. Title of the subsidy programme
Measures for Rice, Wheat and Barley
2. Period covered by the notification
Fiscal year 1996 (April 1996-March 1997).
3. Policy objective and/or purpose of the subsidy
The purposes of the programme are to ensure stable supply-demand and price of staple food
(rice, wheat and barley) so as to stabilize national life and economy.
4. Background and authority for the subsidy
Ministry of Agriculture, Forestry and Fisheries.G/SCM/N/38/JPN
Page 92
5. Legislation under which it is granted
The Law for Stabilization of Supply-Demand and Price of Staple Food.
6. Form of the subsidy/To whom and how  the subsidy is provided
The Government purchases rice from the producers conducting production adjustment, and
wheat and barley from producers at the determined pu rchasing prices (Government Purchasing Prices)
and sells them at the determined selling prices (Government Selling Prices).  The Government
Purchasing Prices are determined with a view to ensuring reproduction, reflecting supply-demand
situation and taking account of the production conditions, commodity prices and other economic
conditions.  The Government Selling Prices are to be set based on the standard selling prices which
are determined so as to stabilize the consumers' household economy, taking into account factors suchas supply-demand situation, cost of household, commodity prices and other economic conditions.
As for rice, the Government provides a subsidy for producers commensurate with the volume
distributed by the producers, in order to promote orderly and stable delivery and distribution of
private voluntarily marketed rice.
As for barley for feed, the Government provid es a compensatory payment for producers.  A
certain portion of producers' income is provided through producers' associations in order to encourage
production and ensure effective distribution of barley for feed.
7. Amount of the subsidy
¥177.9 billion (which includes the amount allocated from the General Account to the Food
Control Special Account for the Fiscal Year 1996).
8. Duration of the subsidy and/or any other time-limits attached to it
Duration of the subsidy is not clearly specified, since the subsidy is determined and provided
based on a fiscal year.
9. Statistical data
(Unit:  thousand tons)
Item Fiscal year Production Consumption Import Export
Rice1994
1995
199611,981
10,748
10,34410,022
10,485
10,1891,835
495
6340
581
6
Wheat1994
19951996565
4444786,415
6,3556,4016,044
5,7505,9070
00
Barley1994
1995
1996225
219
2342,821
2,744
2,7192,619
2,640
2,4550
0
0G/SCM/N/38/JPN
Page 93
79. Measures for Soybean and Rapeseed
1. Title of the subsidy programme
Measures for Soybean and Rapeseed.
2. Period covered by the notification
Fiscal year 1996 (April 1996-March 1997).
3. Policy objective and/or purpose of the subsidy
The purposes of the programmes are to maintain soybean and rapeseed production and to
stabilize farmers' income.
4. Background and authority for the subsidy
Ministry of Agriculture, Forestry and Fisheries.
5. Legislation under which it is granted
Temporary Measure Act for Subsidizing Producers of Soybeans and Rapeseed.
6. Form of the subsidy/To whom and how the subsidy is provided
The Government provides a subsidy for producers of soybean and rapeseed through the
producers' associations, if the standard selling price is below the base price.  Producers are paid the
difference between the standard selling price and the base price.  The standard selling price is
determined based on the average selling price of producers' associations, deducting marketing costs.The base price is determined with a view to ensuring reproduction, taking account of the production
cost, other production conditions, supply and demand situation and other economic situations.
7. Amount of the subsidy
¥2,637 million.
8. Duration of the subsidy and/or any other time-limits attached to it
Duration of the subsidy is not clearly specified, since the subsidy is determined and provided
based on a fiscal year.
9. Statistical data
(Unit:  thousand tonnes)
Item Fiscal year Production Consumption Import Export
Soybeans1994
1995
199699
119
1484,694
4,739
4,7184,731
4,813
4,8700
0
0
Rapeseed1994
199519962
111,893
1,8731,9191,924
1,8731,9220
00G/SCM/N/38/JPN
Page 94
80. Measures for Sugar
1. Title of the subsidy programme
Measures for Sugar.
2. Period covered by the notification
Fiscal year 1996 (April 1996-March 1997).
3. Policy objective and/or purpose of the subsidy
The purposes of the programme are to safeguard sweetening resource crops farmers' income
and to contribute to stabilizing national living conditions through stabilizing the price of domesticsugar.
4. Background and authority for the subsidy
Ministry of Agriculture, Forestry and Fisheries.
Japan Raw Silk and Sugar Price Stabilization Agency.  (Since October 1996, the organization
has changed its name to the Agriculture and Livestock Industries Corporation.)
5. Legislation under which it is granted
Sugar Price Stabilization Law.
Agriculture and Livestock Industries Corporation Law
(Japan Raw Silk and Sugar Price Stabilization Agency Law)
6. Form of the subsidy/To whom and how the subsidy is provided
The Agriculture and Livestock Industries Corporation is involved in selling and purchasing
the sugar made of sugar beet and sugar cane produced in specified areas.  The Government provides a
compensatory payment for sugar producers.  The sugar producers are paid the difference between
selling price and purchasing price of the sugar.
7. Amount of the subsidy
¥15,011 million.
8. Duration of the subsidy and/or any other time-limits attached to it
Duration of the subsidy is not clearly specified, since the subsidy is determined and provided
based on a fiscal year.
9. Statistical data
(Unit:  thousand tonnes)
Item Calendar year Production Consumption Import Export
Sugar1994
1995
1996826
870
8822,657
2,600
2,5791,700
1,789
1,7081
2
6G/SCM/N/38/JPN
Page 95
81. Measures for Milk and Dairy Products
1. Title of the subsidy programme
Measures for Milk and Dairy Products.
2. Period covered by the notification
Fiscal year 1996 (April 1996-March 1997).
3. Policy objective and/or purpose of the subsidy
The purposes of the programmes are to promote sound development of dairy farming and
related industries and to contribute to improvement of the nation's dietary life, through stabilizing
prices of milk and dairy products.
4. Background and authority for the subsidy
Ministry of Agriculture, Forestry and Fisheries.
5. Legislation under which it is granted
Livestock Products Prices Stabilization Law.
Manufacturing Milk Producer Compensation Temporary Law.
6. Form of the subsidy/To whom and how the subsidy is provided
In order to maintain production of milk for manufacturing, whose price condition is inferior to
that of drinking milk, the Government provides producers with a subsidy for milk for manufacturing.
Producers are paid the difference between the guaranteed Price (the producer price which guarantees
the reproduction of milk) and the Standard Transact ion Price (the price payable by manufacturers).
In order to promote supply of the manufacturing milk for cheese by productive farmers the
Government provides a certain amount of premium fo r producers.  The Government also provides a
certain amount of premium for manufacturing milk producers for cream, concentrated milk and
skimmed concentrated milk to promote demand and production of fresh liquid milk products which
are unlikely to compete with imported products.
The Government also provides a certain amount of premium for manufacturing milk
producers, so as to meet various changes in the situation surrounding dairy farming.
7. Amount of the subsidy
¥38,173 million.
8. Duration of the subsidy and/or any other time-limits attached to it
Duration of the subsidy is not clearly specified, since the subsidy is determined and provided
based on a fiscal year.G/SCM/N/38/JPN
Page 96
9. Statistical data
(Unit:  thousand tonnes)
Item Fiscal year Production Consumption Import Export
Fresh milk1994
1995
19968,388
8,467
8,6598,388
8,467
8,6590
0
00
0
0
Butterand
butter oil1994
1995
199676
83
8691
92
890
1
10
0
0
Skimmedmilkpowder1994
19951996181
190200230
23123123
41380
00
Sweetenedcondensed
skimmed
milk1994
1995
199611
10
911
10
80
0
00
0
0
Sweetened
condensed
milk1994
1995
199646
44
4150
40
450
0
00
0
0
Cheese1994
1995
199631
31
33176
190
201145
159
1680
0
0
82. Measures for Bovine Meat and Pigmeat
1. Title of the subsidy programme
Measures for Bovine Meat and Pigmeat
2. Period covered by the notification
Fiscal year 1996 (April 1996-March 1997).
3. Policy objective and/or purpose of the subsidy
The purpose of the programme is to ensure stable supply of bovine meat and pigmeat, and
stable development of cattle and pig farm management.
4. Background and authority for the subsidy
Ministry of Agriculture, Forestry and Fisheries.
Livestock Industry Promotion Corporation.  (Since October 1996, the organization has
changed its name to the Agriculture and Livestock Industries Corporation.)
5. Legislation under which it is granted
Livestock Products Price Stabilization Law
Special Measures Law on Beef Calves Production StabilizationG/SCM/N/38/JPN
Page 97
6. Form of the subsidy/To whom and how the subsidy is provided
The Agriculture and Livestock Industries Corporation contributes to stabilizing the price of
bovine meat and pigmeat.
- In case wholesale prices fall below the Standard Stabilization price, the Corporation
takes measures to stabilize prices of bovine meat and pigmeat by withdrawing
domestic bovine meat and domestic pigmeat from the markets.
- In case wholesale prices exceed the Upper Stabilization price, the Corporation takes
measures to stabilize prices of bovine meat and pigmeat by increasing sales of
domestic bovine meat and domestic pigmeat.
When the calf price falls below the guaranteed  base price, the Government provides calf
producers with a compensatory payment per head, and ensures stable production of calves.
The Government provides beef cattle producers with a subsidy per head, in order to prevent
worsening their return and stagnating domestic bovine meat production.
7. Amount of the subsidy
¥67,879 million.
8. Duration of the subsidy and/or any other time-limits attached to it
Duration of the subsidy is not clearly specified, since the subsidy is determined and provided
based on a fiscal year.
9. Statistical data
(Unit:  thousand tonnes)
Item Fiscal year Production Consumption Import Export
Bovine meat1994
1995
1996424
413
3831,018
1,068
990584
658
6110
0
0
Pigmeat1994
1995
1996964
910
8841,468
1,461
1,481503
535
6630
0
0
Note: The amounts are converted to those of cut meat.
83. Measures for Eggs
1. Title of the subsidy programme
Measures for Eggs.
2. Period covered by the notification
Fiscal year 1996 (April 1996-March 1997).G/SCM/N/38/JPN
Page 98
3. Policy objective and/or purpose of the subsidy
The purpose of the programme is to contribute to developing a sound management of poultry
farms, through planned production and stabilizing egg prices.
4. Background and authority for the subsidy
Ministry of Agriculture, Forestry and Fisheries.
Egg Price Stabilizing Fund.
5. Legislation under which it is granted
None (assistance by budget).
6. Form of the subsidy/To whom and how the subsidy is provided
Revenue for compensation in the Egg Price Stabilizing Fund (EPSF) consists of:
(i) that paid by producers and producer organizations who make compensation contracts
with the EPSF;  and
(ii) a government subsidy.
When the average transaction price falls belo w the standard price, the EPSF provides a
compensatory payment for producers.  Producers are paid 90 per cent of the difference between the
two prices.
7. Amount of the subsidy
¥1,597 million.
8. Duration of the subsidy and/or any other time-limits attached to it
Duration of the subsidy is not clearly specified, since the subsidy is determined and provided
based on a fiscal year.
9. Statistical data
(Unit:  thousand tonnes)
Item Fiscal year Production Consumption Import Export
Eggs1994
1995
19962,563
2,549
2,5622,667
2,659
2,672104
110
1100
0
0
Note: The amounts in import and export are converted to those of shell eggs.G/SCM/N/38/JPN
Page 99
84. Measures for Vegetables
1. Title of the subsidy programme
Measures for Vegetables
2. Period covered by the notification
Fiscal year 1996 (April 1996-March 1997).
3. Policy objective and/or purpose of the subsidy
The purpose of the programme is to contribute to a sound development of vegetable farming
and a stable life with respect to consumption, through stabilizing production of major vegetables.
4. Background and authority for the subsidy
Ministry of Agriculture, Forestry and Fisheries.
Vegetable Supply Stabilization FundNational Federation of Agricultural Cooperatives
Central Union of Agricultural Cooperatives
5. Legislation under which it is granted
Vegetable Production and Marketing Stabilization Law
6. Form of the subsidy/To whom and how the subsidy is provided
The Vegetable Supply Stabilization Fund is financed through a contribution from the
registered marketing associations and a subsidy from the Government.  When the market prices fall
below the guaranteed base prices, the Fund provides a compensatory payment for producers through
the registered marketing associations.  The Government supports the Fund's purchase and stock of
major vegetables in case of a sudden rise in vegetable prices.
7. Amount of the subsidy
¥8,873 million.
8. Duration of the subsidy and/or any other time-limits attached to it
Duration of the subsidy is not clearly specified, since the subsidy is determined and provided
based on a fiscal year.
9. Statistical data
(Unit:  thousand tonnes)
Item Fiscal year Production Consumption Import Export
Vegetables1994
1995
199614,546
14,608
14,61516,877
17,236
17,0782,331
2,628
2,4640
0
1
Note: Provisional in 1996.G/SCM/N/38/JPN
Page 100
85. Measures for Fruits
1. Title of the subsidy programme
Measures for Fruits.
2. Period covered by the notification
Fiscal year 1996 (April 1996-March 1997).
3. Policy objective and/or purpose of the subsidy
The purpose of the programme is to contribute to a stable development of fruit agriculture,
through stabilizing transaction of fruits for processing and a management of fruit farm.
4. Background and authority for the subsidy
Ministry of Agriculture, Forestry and Fisheries.
Japan Fruit Foundation
5. Legislation under which it is granted
Special Measure Law on Fruit-Growing Industry Promotion.
6. Form of the subsidy/To whom and how the subsidy is provided
The Government provides a certain amount of payments for the fruit-growing farmers who
sell fruit for processing or convert to superior variety.  Payment is made through the Japan FruitFoundation.
7. Amount of the subsidy
¥877 million.
8. Duration of the subsidy and/or any other time-limits attached to it
Duration of the subsidy is not clearly specified, since the subsidy is determined and provided
based on a fiscal year.
9. Statistical data
(Unit:  thousand tonnes)
Item Fiscal year Production Consumption Import Export
Fruits1994
1995
19964,267
4,242
3,8929,167
8,656
8,2984,792
4,547
4,38619
16
14
Note: The amounts include those of fruits for processing converted to fresh fruits.G/SCM/N/38/JPN
Page 101
86. Resource Propagation Programme for Salmon
1. Title of the subsidy programme
Resource Propagation Programme for Salmon.
2. Period covered by the notification
Fiscal year 1997 (April 1997-March 1998).
3. Policy objective and/or purpose of the subsidy
The purpose of the programme is a stable maintenance of salmon resources
4. Background and authority for the subsidy
Ministry of Agriculture, Forestry and Fisheries.
5. Legislation under which it is granted
Preservation of Marine Resources Law.
6. Form of the subsidy/To whom and how the subsidy is provided
The Government assists to develop hatching and breeding facilities of the Fisheries
Cooperatives and the Fishery Production Cooperatives and to promote public activities for preventing
illegal fishing, etc.
7. Amount of the subsidy
¥479 million.
8. Duration of the subsidy and/or any other time-limits attached to it
Duration of the subsidy is not clearly specified, since the subsidy is determined and provided
based on a fiscal year.
9. Statistical data
(Unit:  thousand tonnes)
Item Fiscal year Production Consumption Import Export
Salmon1995
19961997314
349306497
544481203
23220920
3734
Note: The amount of consumption is estimated by Production, Import and Export.G/SCM/N/38/JPN
Page 102
87. Measures for Cocoons
1. Title of the subsidy programme
Measures for Cocoons
2. Period covered by the notification
Fiscal year 1996 (April 1996 to March 1997).
3. Policy objective and/or purpose of the subsidy
The purpose of the programme is to contribute to stable management of sericultural farms and
filature industry through facilitating the distribution of cocoons for ensuring income of sericultural
farmers.
4. Background and authority for the subsidy
Ministry of Agriculture, Forestry and Fisheries.
Japan Raw Silk and Sugar Price Stabilization Agency (since October 1996, the organization
has changed its name to the Agriculture and Livestock Industries Corporation.)
5. Legislation under which it is granted
Agriculture and Livestock Industries Corporation Law
(Japan Raw Silk and Sugar Price Stabilization Agency Law)
6. Form of the subsidy /To whom and how the subsidy is provided
The Agriculture and Livestock Industries Corporation provides incentive subsidy to filature
industry depending on the level of raw silk market price for the purpose of facilitating distribution of
cocoons.
7. Amount of the subsidy
¥1,369 million.
8. Duration of the subsidy and/or any other time-limits attached to it
Duration of the subsidy is not clearly specified, since the subsidy is determined and provided
based on a fiscal year.
9. Statistical data
(Unit:  tonnes)
Item Fiscal year Production Consumption Import Export
Cocoons1994
1995
19963,090
2,140
1,2088,556
6,895
5,7315,097
2,613
2,2240
0
0
Note: The amounts are converted to those of dried cocoons.G/SCM/N/38/JPN
Page 103
88. Farmers' Pension Fund Subsidy
1. Title of the subsidy programme
Farmers' Pension Fund Subsidy.
2. Period covered by the notification
Fiscal year 1996 (April 1996 to March 1997).
3. Policy objective and/or purpose of the subsidy
This programme covers part of expenses of pension for farmers who have retired from the
farm management totally and permanently.
4. Background and authority for the subsidy
Ministry of Agriculture, Forestry and Fisheries.
Ministry of Welfare.
5. Legislation under which it is granted
Farmers' Pension Fund Law.
6. Form of the subsidy/To whom and how the subsidy is provided
Pension is provided for farmers who have paid the premium and have retired from the farm
management totally and permanently.
7. Amount of the subsidy
¥98,404 million.
8. Duration of the subsidy and/or any other time-limits attached to it
Duration of the subsidy is not clearly specified, since the subsidy is determined and provided
based on a fiscal year.
9. Statistical data
N.A.G/SCM/N/38/JPN
Page 104
89. Farming Modernization Fund Interest Subsidy
1. Title of the subsidy programme
Farming Modernization Fund Interest Subsidy.
2. Period covered by the notification
Fiscal year 1996 (April 1996 to March 1997).
3. Policy objective and/or purpose of the subsidy
The purpose of the programme is to contribute to introduce advanced agricultural
management for improvement of agricultural structure.
4. Background and authority for the subsidy
Ministry of Agriculture, Forestry and Fisheries.
5. Legislation under which it is granted
Agricultural Modernization Fund Law.
6. Form of the subsidy/To whom and how the subsidy is provided
In order to contribute to facilitate farmers to make investments for introducing more advanced
agricultural management, the prefectural governments provide interest subsidy to finance
organizations including agricultural cooperatives and the Government provides part of necessaryexpenses to the prefectural governments.
7. Amount of the subsidy
¥50,662 million.
8. Duration of the subsidy and/or any other time-limits attached to it
Duration of the subsidy is not clearly specified, since the subsidy is determined and provided
based on a fiscal year.
9. Statistical data
N.A.G/SCM/N/38/JPN
Page 105
90. Fisheries Modernization Fund Interest Subsidy
1. Title of the subsidy programme
Fisheries Modernization Fund Interest Subsidy.
2. Period covered by the notification
Fiscal year 1996 (April 1996 to March 1997).
3. Policy objective and/or purpose of the subsidy
The purpose of the programme is to contribute to modernization of fisheries' management.
4. Background and authority for the subsidy
Ministry of Agriculture, Forestry and Fisheries.
5. Legislation under which it is granted
Fisheries Modernization Fund Law.
6. Form of the subsidy/To whom and how the subsidy is provided
In order to contribute to facilitate fishermen to make investments for introducing more
advanced fishery management, the prefectural governments provide interest subsidy to finance
organizations including fishery cooperatives and th e Government provides part of necessary expenses
to the prefectural governments.
7. Amount of the subsidy
¥2,815 million.
8. Duration of the subsidy and/or any other time-limits attached to it
Duration of the subsidy is not clearly specified, since the subsidy is determined and provided
based on a fiscal year.
9. Statistical data
N.A.G/SCM/N/38/JPN
Page 106
91. Agriculture, Forestry and Fisheries Finance Corporation Subsidy
1. Title of the subsidy programme
Agriculture, Forestry and Fisheries Finance Corporation Subsidy.
2. Period covered by the notification
Fiscal year 1996 (April 1996 to March 1997).
3. Policy objective and/or purpose of the subsidy
The purpose of the programme is to contribute to improvement of agricultural structure.
4. Background and authority for the subsidy
Ministry of Agriculture, Forestry and Fisheries.
5. Legislation under which it is granted
Agriculture Forestry and Fisheries Finance Corporation Law.
6. Form of the subsidy/To whom and how the subsidy is provided
This subsidy is provided to the Agriculture, Forestry and Fisheries Financial Corporation,
which furnishes farmers with a long-term loan at preferred rate in order to improve agricultural
structure including land improvement, acquisition of farm land and agricultural mechanization.
7. Amount of the subsidy
¥55,878 million.
8. Duration of the subsidy and/or any other time-limits attached to it
Duration of the subsidy is not clearly specified, since the subsidy is determined and provided
based on a fiscal year.
9. Statistical data
N.A:G/SCM/N/38/JPN
Page 107
92. Fisheries Trust Fund Subsidy
1. Title of the subsidy programme
Fisheries Trust Fund Subsidy.
2. Period covered by the notification
Fiscal year 1996 (April 1996 to March 1997).
3. Policy objective and/or purpose of the subsidy
The purpose of the programme is to contribute to the management of natural disaster
compensation system for fisheries.
4. Background and authority for the subsidy
Ministry of Agriculture, Forestry and Fisheries.
5. Legislation under which it is granted
None (assistance by budget).
6. Form of the subsidy/To whom and how the subsidy is provided
This programme covers part of expenses borne by the Agriculture, Forestry and Fisheries
Trust Fund which is necessary for activities of fisheries mutual release associations.
7. Amount of the subsidy
¥144 million.
8. Duration of the subsidy and/or any other time-limits attached to it
Duration of the subsidy is not clearly specified, since the subsidy is determined and provided
based on a fiscal year.
9. Statistical data
N.A.G/SCM/N/38/JPN
Page 108
93. Wood Industry Upgrading Funds
1. Title of the subsidy programme
Wood Industry Upgrading Funds.
2. Period covered by the notification
Fiscal year 1996 (April 1996 to March 1997).
3. Policy objective and/or purpose of the subsidy
The purpose of the programme is to contribute to rationalization and improvement of wood
production and distribution.
4. Background and authority for the subsidy
Hokkaido prefecture.
5. Legislation under which it is granted
None (assistance by budget)
6. Form of the subsidy/To whom and how the subsidy is provided
This programme provides loans at preferred rates for forestry cooperatives, forest owners,
timber loggers, wood products manufacturers and wood products wholesalers.
7. Amount of the subsidy
¥3,500 million (budget for the programme).
8. Duration of the subsidy and/or any other time-limits attached to it
Duration of the subsidy is not clearly specified, since the subsidy is determined and provided
based on a fiscal year.
9. Statistical data
N.A.
__________