WORLD TRADE
ORGANIZATIONG/AG/N/ZAF/29
10 August 2000
(00-3286)
Committee on Agriculture Original:  English
NOTIFICATION
The attached notification concerning domestic support commitments for 1998  (Table DS:1
and the relevant Supporting Tables) was received from the delegation of South Africa  on
13 July 2000.G/AG/N/ZAF/29
Page 2Table DS:1
DOMESTIC SUPPORT:  South Africa
REPORTING PERIOD*:  1998
Current Total Aggregate Measurement of Support
Total AMS commitment level for period in question Currency Current Total AMS
(from Section 1 of Part IV of the Schedule) (from Section 1 of Part IV of the Schedule) (from attached Supporting Tables)
123
2,183.374 Million Rand 820.130
*Marketing years as indicated in Supporting Table DS:5.G/AG/N/ZAF/29
Page 3Supporting Table DS:1
DOMESTIC SUPPORT:  South Africa
REPORTING PERIOD:  1998
Measures exempt from the reduction commitment – "Green Box"
Measure Type Name and description of measure with reference to criteria in Annex 2 Monetary value of measure in
year in question
million RandData Sources
12 3 4
1.  General Services (i) Erection of waterworks (Infrastructure):
To construct approved waterworks to enable producers to utilise land more effectively.0.556 Department of
Agriculture
(ii)  Resource conservation and environmental management:To promote sustainable utilisation of the natural agricultural resources, viz, the soil, water
resources and vegetation and protect the environment.238.778 "
(iii)  Veterinary Services:
To promote animal production, animal health and the quality of the products of animalsthrough the determination of norms and standards as well as co-ordination and rendering of
services.203.861 "
(iv)  Phytosanitary Services and Quality Control:
To promote crop production and quality of plant products through the determination ofnorms and standards as well as the co-ordination and rendering of services.31.872 "
(v)  Agro-economic services:
To promote the optimum utilisation of produc tion factors, regulate and co-ordinate the
marketing of and marketing policy in respect of agricultural products, provide information
and advice on agricultural economic trends and regulate the co-operative movement.118.836 "
(vi)  Auxiliary and associated services:
To render auxiliary services associated with distribution of information, liaison betweenagricultural industries, library services and contract research by institutions, in-service
training, international liaison, government transport and contribution to soil conservation
activities.96.212 "
(vii)  Agricultural research:
Contribution towards agricultural research and the expenditure, training, depreciation,salaries and maintenance of the Agricultural Research Council with the overall purpose of
agricultural research.393.196 "
(viii)  Extension and Training:
Extension and training services rendered by provincial departments of agriculture tofarmers and personnel.288.179 "G/AG/N/ZAF/29
Page 412 3 4
(ix)  Administration:
To conduct the overall management of the Department of Agriculture and render
specialised administrative services (includes policy formulation functions, management
and advisory services, personnel and financial services and legal services).551.966 Department of
Agriculture
(x)  Agricultural Engineering Services:To promote the sustainable utilisation of natural agricultural resources, planning and
development of agricultural engineering products, provision of diptanks in rural areas,
mechanisation programme, maintenance of contours and other services.92.690 "
2.  Payment for relief from
natural disasters(i)  Subsidies for Flood disaster:
To enable producers to return to the position they held prior to flood damage.6.800 "
(ii)  Disaster Drought Aid:
Disaster aid to farmer co-operatives and farmers in disaster drought to prevent the collapseof the rural infrastructure as a result of low income and bankruptcies and to enableproducers to continue with production.14.072 "
(iii)  Stock feed purchases incentives:
To enable producers to maintain a nuclear herd during an extended drought.0"
(iv)  Transport of livestock and fodder:
To enable producers in drought stricken areas to continue to feed their livestock.0"
(v)  Transport of water:
Aid to cattle and human in drought stricken areas.0"
(vi)  Water quota subsidies:
To enable producers on irrigation schemes to survive during drought conditions to enable
them to keep their farm labourers and to prevent collapse of the infrastructure of the
region.2.580 "
(vii)  Fire damage subsidy:
Compensation for losses with disaster fire damages0"
(viii)  Subsidy for the prevention of sequestration:
To prevent the sequestration, as far as possible, of farmers with the possible ability torecover, thereby retaining them for agriculture.0"
(ix)  Co-ordinated refunding of unmanageable debt (subsidy):
If possible, to place on the road to financial recovery all farmers who followed sound and
correct farming and financial practices, but who, as a result of a combination of factorsbeyond their control, such as drought and economic down turns, have incurred too muchdebt or who experienced a continuing deteriorating debt situation.  This is to be done withthe aid of the co-ordinated action of all financiers.0"
(x) Boreholes:
Sinking of boreholes in times of drought for stock.0"G/AG/N/ZAF/29
Page 512 3 4
(xi)  Interim Natural Grazing Recovery Scheme:
This is an interim measure until a natural grazing recovery scheme comes into effect to
assist livestock farmers who, in specific areas are compelled to allow their natural grazing
that has been damaged by prolonged drought, the necessary time to recover.0 Department of
Agriculture
3. Structural adjustment:
resource programmes(i)  Conversion of marginal lands:
To enable producers to reduce marginal ploughed lands where crop production is risky and
to convert it into more suitable pastures (a lthough lower income potential) for the specific
climate (normally drier areas).5.000 "
4. Environmental
programmes(i)  Soil conservation works:
The financing of essential soil conservation works to improve and protect the soil.50.950 "
5. Regional assistance
programmes(i)  Development aid:
To assist producers in undeveloped and disadvantaged areas with development aid toencourage agricultural and rural development as an integral part of the developmentprogramme.399.344 "
6.  Other (i)  Aid to Farmer Co-operatives:
Aid to Farmer Co-operatives in financial difficulty caused by drought and economic downturns. The purpose for the aid is to retain the infrastructure in the rural economy in
designated areas.0"
(ii)  Subsidies for a special assistance scheme for beekeepers:
To compensate beekeepers who suffered losse s as a result of the infiltration of Cape
intruder bees, for expenses incurred in the re-establishment of bee colonies.0
GRAND TOTAL 2,494.892G/AG/N/ZAF/29
Page 6 Supporting Table DS:4
DOMESTIC SUPPORT:  South Africa
REPORTING PERIOD:  1998
Calculation of the Current Total Aggregate Measurement of Support
Description of basic products
(including non-product specific
AMS)Product specific AMS (from Supporting
Tables DS:5 to DS:7 below)
million RandProduct-specific measurements of
support (from Supporting Table DS:8
below)
million RandCurrent Total AMS (aggregate)
million Rand
12 3 4
Sugar 805.67 805.67
Tea 14.46 14.46
Cotton -4.81 -4.81
Total non-product-specific AMS (from Supporting Table DS:9 below) de minimis
TOTAL:  Current Total AMS 820.13G/AG/N/ZAF/29
Page 7Supporting Table DS:5
DOMESTIC SUPPORT:  South Africa
REPORTING PERIOD:  1998
Product-Specific Aggregate Measurements  of Support:  Market Price Support
Description of basic
productsMarketing year
beginning …Measure type(s) Applied
administered
price
Rand/tonneExternal
reference
price (from
G/AG/W/30)
Rand/tonneEligible
production
'000 tonnesAssociated
fees/levies
million RandTotal market
price support
million RandData sources
12 3 4 5 * 6 7 8
((4-5*6)-7)9
Sugar** 1 April 1998 Price support 2,309.00 1,120.26 1,129.67 0 805.67 Department of Agriculture
Tea 1 July 1998 " 12,500.00 11,123.02 10.50 0 14.46 "
Cotton*** 1 April 1998 " 8,100.00 8,110.83 38.25 4.40 -4.81
_________
820.13"
* Exchange Rates of Rand to the US Dollar were used to calculate the external reference price: 1986-88:  2.1973
1998:       5.5316
** Sugar support was multiplied with a factor of 0.6 to convert the industry support to a cane growers proportion (60%) of supp ort. In calculating the AMS, quality
differences have not been taken into account in comparing the "A dministered Price" (Refined sugar) and the External Reference P rice in the base period (mainly Raw
sugar).
***The negative support measure for cotton is not included in the Total market price support.G/AG/N/ZAF/29
Page 8Supporting Table DS:6
DOMESTIC SUPPORT:  South Africa
REPORTING PERIOD:  1998
Product-Specific Aggregate Measurements of  Support:  Non-Exempt Direct Payments
Description of
basic productMarketing
year
beginning…Measure type(s) Applied
administered
price
Rand/tonneExternal
reference
price (from
G/AG/W/30)
Rand/tonneEligible
production
'000 tonnesTotal price-
related direct
paymentsOther non-
exempt direct
payments
million RandAssociated
fees/leviesTotal direct
payments
million RandData
sources
12 34 5 6 7
((4-5)*6))89 1 0
(7+8-9)11
No Non-Exempt Direct Payments were made to the industries.   Dept. of 
AgricultureG/AG/N/ZAF/29
Page 9Supporting Table DS:7
DOMESTIC SUPPORT:  South Africa
REPORTING PERIOD:  1998
Product-Specific Aggregate Measurements of Support:  Other Product-Specific Support and Total Product-Specific AMS
Description of
basic productMarketing year
beginning…Measurement
type(s)Other
product-
specific
budgetary
outlaysOther product
specific support
(include
calculation
details)Associated
fees/leviesTotal other
product-
specific
supportMarket price
support
(Supporting
Table DS:5)
million RandNon-exempt
direct
payments
(Supporting
Table DS:6)
million RandTotal AMS
million RandData sources
123 4 5 6 7
(4+5-6)89 1 0
(7+8-9)11
Sugar 1 April 1998 Price support 805.67 0 805.67 Department of
Agriculture
Tea 1 July 1998 " 14.46 0 14.46 "
Cotton* 1 April 1998 " -4.81 0 -4.81 "
820.13
*Negative support for cotton has not been included in the Total AMS calculation.G/AG/N/ZAF/29
Page 10Supporting Table DS:9
DOMESTIC SUPPORT:  South Africa
REPORTING PERIOD:  1998
Non-Product-Specific AMS
Measure type(s) Financial year
1998/99Non-product-
specific budgetary
outlays
million RandOther non-product
specific support
(include calculation
details)Associated fees/levies Total non-product-
specific support
million RandData sources
12 3 4 5 6
(3+4-5)7
1.Fuel and administrative cost
to co-operatives0 0 Department of Agriculture
2. State Guaranteed Scheme
(Land and Agricultural Bank)00 "
3. Interest Subsidy to Co-
operatives00 "
4. Interest Subsidies to
producers18.537 18.537 "
5. Fuel subsidy 0 0 "
6. Resource Allocation 22.00 22.00 "7. Farm labourer housing 0 0 "
Total Non-Product-Specific AMS: 40.538
(de minimis)
Total value of agricultural production (Economic Review of the SA Agriculture, Department of Agriculture,
Directorate:   Statistical Information): 42,702.00
Non-product-specific domestic support as percentage of total value of production: 0.09%
__________