WORLD TRADE
ORGANIZATIONG/SCM/N/95/HUN
7 May 2004
(04-2053)
Committee on Subsidies
and Countervailing MeasuresOriginal: English
SUBSIDIES
New and Full Notification Pursuant to Article XVI:1
of the GATT 1994 and Article 25 of the Agreement
on Subsidies and Countervailing Measures
HUNGARY
The following communication, dated 30 April 2004, is being circulated at the request of the
Delegation of Hungary.
_______________
INTRODUCTION
Hungary’s notification contains both industrial and agricultural assistance programmes for the
implementation of which there was legislative authority in 2002, irrespective of whether they became
operative or not. Assistance programmes for which the legislative authority has expired, but there
were payments in 2002, are also included.
The fact that an assistance programme has been notified does not, in accordance with
Article 25.7 of the Agreement on Subsidies and Countervailing Measures, prejudge its legal status
under GATT 1994 or this Agreement, nor does it prejudge its effects under the Agreement on the
nature of the measure itself. Furthermore, this does not imply in any way that any of the measures
notified, wholly or in part constitutes a specific subsidy.
In the case of previously notified programmes, only changes that occurred therein during the
period covered by this notification are indicated. Newly notified programmes are reported in full,
pursuant to the agreed format of G/SCM/6.G/SCM/N/95/HUN
Page 2
2002
1. EXPORT ENHANCEMENT PROGRAMMES ............................................................... 10
1.1 Export enhancement programme for agricultural products ........................................... 10
1.2 Export enhancement programme for apple harvested in1996 ........................................ 11
1.3 Export enhancement programme for live pig ................................................................... 11
1.4 Export enhancement programme for potatoes for human consumption. ..…………….11
1.5 Intervention assistance of financing surplus stocks of dried onion ................................. 12
1.6 Assistance to the export of seasonal milk surplus ............................................................. 12
1.7 Assistance to the export of pork and processed pork-products....................................... 12
1.8 Export enhancement programme for rabbit for slaughter.............................................. 12
1.9 Export enhancement programme for 500.000 tons of wheat for feeding purposes ....... 12
1.10 Export enhancement programme for wheat ..................................................................... 12
1.10.1 Export enhancement programme for wheat harvested in 1998....................................... 12
1.10.2 Export enhancement programme for wheat in 2002 ........................................................ 12
1.11 Export enhancement programme for milling or EURO wheat ....................................... 13
1.12 Export enhancement programme for table, regional and quality white wine in barrels13
1.13 Export enhancement programme for mushroom ............................................................. 13
1.14 Export enhancement programme for certain canned meat and meat products ........... 13
1.15 Additional export assistance for certain duck meat ......................................................... 13
1.16 Export enhancement programme for certain pork and processed pork products of
Szabolcs-Szatmár-Bereg, Borsod-Abaúj-Zemplén, Hajdú-Bihar, Jász-Nagykun
-Szolnok, Békés, Csongrád and Bács-Kiskun county ....................................................... 13
1.17 Export enhancement programme for surplus stocks of sugar......................................... 13
1.18 Export enhancement programme for maize...................................................................... 13
1.19 Export enhancement programme for wine........................................................................ 14
1.20 Additional export assistance for certain chicken meat..................................................... 14
2. PRICE-RELATED SUPPORT PROGRAMMES FOR CERTAIN
AGRICULTURAL PRODUCTS........................................................................................ 15
2.1 Support programmes for beef for slaughter...................................................................... 15
2.1.1 State purchase of beef for slaughter at guaranteed price................................................. 15
2.1.2 Intervention support for the quality production of beef for slaughter ........................... 16
2.2 Support programmes for pig for slaughter ....................................................................... 18
2.2.1 State purchase of pig for slaughter at guaranteed price .................................................. 18
2.2.2 Intervention support for the quality production of pig for slaughter............................. 19G/SCM/N/95/HUN
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2.2.3 Intervention support for pig for slaughter of large weight originating from family
farms and private producers............................................................................................... 20
2.3 Support programme for maize for feeding purposes ....................................................... 20
2.3.1 State purchase of maize for feeding purposes at guaranteed price harvested in 1998 .. 20
2.3.2 State purchase of maize for feeding purposes at guaranteed price harvested in 1999. . 20
2.3.3 State purchase of maize for feeding purposes at guaranteed price harvested in 2000 .. 20
2.3.4 State purchase of maize for feeding purposes at guaranteed price harvested in 2001 .. 20
2.3.5 State purchase of maize for feeding purposes at guaranteed price harvested in 2002 .. 20
2.4 Support programmes for wheat for human consumption ............................................... 21
2.4.1 State purchase of wheat for human consumption harvested in 1998 at guaranteed
price....................................................................................................................................... 21
2.4.2 State purchase of wheat for human consumption harvested in 1998 at guaranteed
price....................................................................................................................................... 21
2.4.3 Income support for certain producers through intervention purchase of their
wheat harvested in 1998 ...................................................................................................... 21
2.4.4 State purchase of wheat for human consumption harvested in 2000 at guaranteed
price....................................................................................................................................... 22
2.4.5 State purchase of wheat for human consumption harvested in 2001 at guaranteed
price....................................................................................................................................... 22
2.4.6 State purchase of wheat for human consumption harvested in 2002. at guaranteed
price....................................................................................................................................... 22
2.5 Support programmes for milk............................................................................................ 23
2.5.1 Regulation of the market for cow milk .............................................................................. 23
2.5.2 Quality-linked support for cow milk.................................................................................. 23
2.5.3 Assistance to the purchase of qualified sheep milk........................................................... 24
2.5.4.1 Assistance to the purchase of qualified goat milk in 2000................................................ 24
2.5.4.2 Assistance to the purchase of qualified goat milk in 2002................................................ 24
2.5.5 Guidance and intervention price for cow milk.................................................................. 25
2.6 Support programmes for apple .......................................................................................... 26
2.6.1 Intervention assistance to the processing of apple in bulk harvested in 1996 ................ 26
2.6.2 Intervention assistance to the processing of apple in bulk harvested in 1997 ................ 26
2.6.3 Intervention assistance to the purchase of apple in bulk harvested in 1998.................. 27
2.6.4 Interest subsidy on loans received for the purchase and storage of the extra and
1stclass fresh apple harvested in 1998................................................................................ 27
2.6.5 Intervention assistance to the purchase of apple in bulk produced in 1999................... 27
2.7 Support programmes for wine ........................................................................................... 27
2.7.1 Intervention assistance for the distillation of wine produced in 1997 in order to
reduce stocks ........................................................................................................................ 27G/SCM/N/95/HUN
Page 4
2.7.2 Intervention assistance for the distillation of vintage wine of 1998 in order to
reduce stocks ....................................................................................................................... 27
2.7.3 Interest subsidy for the purchase of white grapes produced in 1998 in certain regions 27
2.7.4 Intervention assistance for the distillation of vintage wine of 1999 in order to reduce
stocks..................................................................................................................................... 27
2.7.5 Intervention assistance for the distillation of wine with lees of 2001 in order to
reduce stocks ........................................................................................................................ 27
2.7.6 Intervention assistance for the the production of grape must concentrate used
for the enrichment of wine of 2001 in order to reduce stocks.......................................... 28
2.8 Support programme for barley, rye, triticale harvested in 1998..................................... 29
2.8.1 Income support for certain producers through intervention purchase of their
barley, rye, triticale harvested in 1998............................................................................... 29
2.9 Support programme for poultry......................................................................................... 29
2.9.1. Assistance to the production of quality poultry for slaughter ......................................... 29
2.10 Support programme for vegetables.................................................................................... 30
2.10.1 Quality-linked support of tomato for industrial purposes ............................................... 30
2.10.2 Quality-linked support for red pepper............................................................................... 30
2.10.3 Quality-linked support for onion........................................................................................ 30
2.10.4 Guidance price and intervention price of sugar and sugarbeet in 2001 ......................... 30
3.4 OTHER SUPPORT PROGRAMMES ............................................................................... 32
3.1 Assistance to stock-breeding .............................................................................................. 32
3.2 Assistance to fishery activities............................................................................................. 33
3.3 Assistance to agriculture and forestry ............................................................................... 34
3.3.1 Assistance to the preservation or development of biological bases and the
modernisation of related system of qualification .............................................................. 34
3.3.1.1 Assistance to genetic development...................................................................................... 34
3.3.1.2 Assistance to the purchase and changes of breeding animals and to the expansion of
their stocks............................................................................................................................ 35
3.3.2 Assistance to the utilisation of arable lands in disadvantaged producing areas ............ 36
3.3.3 Assistance to investment in, and development of, agricultural production and
processing ............................................................................................................................. 36
3.3.4 Assistance to mending, cultivating and preserving the quality and the quantity of
forests .................................................................................................................................... 36
3.4 Assistance to game husbandry............................................................................................ 38
3.5 Assistance to the protection of arable land........................................................................ 39
3.6 Assistance to the construction and the renovation of buildings....................................... 40
3.6.1 Assistance to the construction of buildings of "new type" co-operations,
fishery and forestry.............................................................................................................. 40
3.6.2 Assistance to technology investments in the food industry .............................................. 40G/SCM/N/95/HUN
Page 5
3.6.3 Assistance to the modernisation and construction of buildings of forestry, game
husbandry, fishery and agriculture, assistance to the investments of horticulture ....... 41
3.7 Assistance to the establishment of vineyards and orchards............................................. 42
3.8 Regional assistance programmes........................................................................................ 43
3.8.1 Assistance to the development of disadvantaged regions ................................................ 43
3.8.2 Assistance to the inhabitants of settlements with less than 3 000 inhabitants
living in disadvantaged regions........................................................................................... 43
3.8.3 Additional assistance to certain counties in disadvantaged areas ................................... 43
3.8.4 Assistance to the development of agro-tourism................................................................. 44
3.9 Assistance to foster co-operative integration..................................................................... 44
3.9.1 Assistance to encourage the establishment of co-operatives in the file of
production, purchase and marketing................................................................................. 44
3.9.2 Assistance to encourage the establishment of co-operatives in the field of
production and sales of fruits and vegetables.................................................................... 46
3.10 Assistance to the purchase of individual shares of members of co-operatives ............... 46
3.11 Assistance to the realisation of certain goals of the agricultural policy.......................... 47
3.11.1 Assistance to the realisation of certain goals of the agricultural policy.......................... 47
3.11.2-3.11.3 Assistance to agricultural information network and foreign training
programmes................................................................................................................ 47
3.11.4 Assistance to agricultural research and development of non-profit organisations........ 48
3.11.5 Assistance to purchasing state-of-the-art technical equipment for institutions
engaged in agricultural research and development ......................................................... 49
3.12 Assistance to common marketing in agriculture............................................................... 50
3.13 Agricultural research programmes.................................................................................... 50
3.14 Assistance to the joint establishment of wholesale markets by producers and to
investments of joint sales organisations of producers....................................................... 50
4.1 Finance subsidies.................................................................................................................. 50
4.1.1 Assistance given to further agricultural activities ............................................................ 50
4.1.2 Government guarantee........................................................................................................ 51
4.1.3-4.1.4 Assistance to the purchase and leasing of agricultural machinery ........................... 51
4.1.5 Assistance to members of co-operatives in acquiring loans ............................................. 52
4.1.6 Interest rate subsidy for bank loans for maximum one year, and for more than one
year, government guarantee ............................................................................................... 52
4.1.7 Interest subsidy for purchasing grain seed with quality assurance necessary for the
1999 sowing........................................................................................................................... 53
4.1.8 Government guarantee for a HUF 16 billion loan given to small companies in the
canning sector....................................................................................................................... 53
4.1.9 Assistance to the renewal of agricultural machinery........................................................ 53
4.1.10 Loan programme for agricultural development ............................................................... 53G/SCM/N/95/HUN
Page 6
4.1.11 Loan programmes authorised with government guarantee in 2001 and
assistance to investment in agricultural logistics in 2001 and 2002 ................................ 55
4.1.12 Assistance to the settlement of loans granted for less than one year............................... 56
4.2 Assistance to the production of certain agricultural products......................................... 57
4.3 Assistance to the restructuring of the agricultural sector ................................................ 57
4.4.1 Assistance to soil melioration and irrigation investments................................................ 58
4.4.2 Assistance to establish facilities of irrigation systems....................................................... 59
4.5 Assistance for planting and restructuring forests and afforestation............................... 60
4.6 Payments for relief from environmental degradation of forests ................................... 61
4.7 Refund of the consumption tax on diesel fuel.................................................................... 62
4.8 Assistance to the participation in insurance schemes ....................................................... 63
4.9 Payments for relief from natural disasters........................................................................ 63
4.9.1 Payments for relief from natural disasters affecting plant cultivation in 1995.............. 63
4.9.2 Payments for relief from fireblight disease........................................................................ 63
4.9.3 Payments for relief from natural disasters affecting plant cultivation in 1997.............. 64
4.9.4 Payments from relief from natural disasters not covered by insurance policies ........... 64
4.9.5 Assistance to provide relief from the damage caused by the extraordinary weather
conditions in June and July 1999........................................................................................ 64
4.9.6 Assistance to provide relief from the damage caused by flood and internal water
occurred in 1999................................................................................................................... 64
4.9.7 Assistance to the intervention of unharvested sugar beet ................................................ 64
4.9.8 Assistance to provide relief from the damage caused by flood and internal water
in 2000 ................................................................................................................................... 64
4.9.9 Assistance to land cultivation provided for the producers who incurred damage due
to the drought in 2000.......................................................................................................... 64
4.9.10 Assistance to provide relief from the damage caused by flood and internal water in
Szabolcs-Szatmár-Bereg county and Bereg region in 2001.............................................. 64
4.9.11 Assistance to provide relief from the damage caused by the frost to vineyards
and orchards that occurred in winter 2001 and in spring 2002....................................... 66
4.10 Assistance to the organisation of wine-growing communities.......................................... 67
4.11 Assistance to the utilisation of advisory and extension services ...................................... 67
4.12 Assistance to the "Borsod-Abaúj-Zemplén" region ......................................................... 68
4.13 Assistance to the maintenance of recreational and park woods ...................................... 68
4.14 Assistance to tobacco harvested in 1995 ........................................................................... 69
4.15 Assistance to potatoes harvested in 1996 ........................................................................... 70
4.16 Assistance to stabilise the egg market ................................................................................ 70
4.17 Intervention support for quality production of game birds............................................. 71
4.18 Assistance to beekeepers...................................................................................................... 71G/SCM/N/95/HUN
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4.19 Assistance to the establishment of environmentally friendly crop structure ................. 71
4.20 Assistance to the transition to organic production (and establishment of
agro-environmental regions)............................................................................................... 71
4.21 Assistance to stabilisation of the cereal market................................................................. 72
4.22 Intervention assistance to producers of wheat for feeding purposes for selling their
crop........................................................................................................................................ 73
4.23 Assistance to the maintenance and development of the statistical data-bases of
producers’ councils .............................................................................................................. 73
4.24 Assistance to the improvement of competitiveness ........................................................... 74
4.25 Assistance to the reduction of costs relating to the rental of agricultural land.............. 74
4.26 Assistance to socially disadvantaged agricultural communities ...................................... 74
4.27 Assistance to the construction and modernisation of rural roads ................................... 75
4.28 Assistance to the service of field wardens .......................................................................... 75
4.29 Assistance to young farmers (and to employment of young agricultural experts)......... 76
4.30 Assistance to agricultural employment.............................................................................. 77
4.31 Assistance to the school milk programme.......................................................................... 77
4.32 Assistance to the purchasing of the required amount of the maize for feeding purposes77
4.33.1 Additional assistance to the storage of maize harvested in 1998 for feeding purposes in
public warehouses................................................................................................................ 78
4.33.2 Assistance to the storage of maize for feeding purposes harvested in 1999 in
public warehouses................................................................................................................ 78
4.33.3 Assistance to the storage of maize for feeding purposes harvested in 2001 in public
warehouses............................................................................................................................ 78
4.34 Wheat exchange transaction ............................................................................................... 79
4.35 Assistance to the purchase of wheat seed for the 1998 autumn sowing .......................... 79
4.36 Interest subsidy to loans received for the purchase of apple in bulk harvested in 1997
for processing purposes ....................................................................................................... 80
4.37 Interest subsidy on loans received for the purchase of apple in bulk harvested
in 1998 ................................................................................................................................... 80
4.38 Intervention assistance to the selling of wheat for feeding purposes............................... 80
4.39 Market intervention related to duck production ............................................................. 80
4.40 Quality-linked support to the production of sugar beet................................................... 80
4.41 Emergency income support to certain producers of cereals ............................................ 81
4.42 Assistance to reduce certain sanitary and phytosanitary costs........................................ 81
4.43 Assistance to the production of sowing seed...................................................................... 82
4.44 Assistance to the purchase of the required amount of cereals for feeding and of wheat
for milling purposes ............................................................................................................. 83
4.45 Assistance to the storage in public warehouse of wheat harvested in 1998 .................... 83
4.46 Assistance to introduce the HACCP system of quality management.............................. 83G/SCM/N/95/HUN
Page 8
4.47 Intervention support to maintain the EU approved level of hygiene of pig and cattle
slaughterhouses .................................................................................................................... 84
4.48 Assistance to organisations producing and selling fruit and vegetables ......................... 84
4.49 Assistance to research and development of co-operatives ............................................... 84
4.50 Assistance to programmes of agricultural structure and rural development .............. .84
4.51 Assistance to technical development .................................................................................. 84
4.52 Assistance to genetic development...................................................................................... 84
4.53 Assistance to plant protection against the damage caused by non-indigenous disease . 84
4.54 Assistance to regional development.................................................................................... 85
4.54.1 Assistance to territorial development................................................................................. 85
4.54.2 Assistance to rural development......................................................................................... 86
4.55 Payments for relief from damage caused by wild animals .............................................. 87
4.56 Assistance to the market of pig for slaughter.................................................................... 87
4.57 Assistance to the storage in public warehouse of barley, rye and triticale
harvested in 1998 ................................................................................................................. 87
4.58 Area-based payment for crop production ......................................................................... 88
4.59 Assistance to the quality control of certain foods.............................................................. 89
4.60 Assistance to the testing of agricultural machines and technology ................................. 90
4.61 Assistance to the trade of products originating from the ecological fishing of silver
carp in Lake Balaton ........................................................................................................... 91
4.62 Quality-linked support to the production of game meat .................................................. 91
4.63 Assistance to on-farm education......................................................................................... 92
4.64.1 Assistance to the storage in public warehouse of wheat harvested in 1999 .................... 93
4.64.2 Assistance to the storage in public warehouse of wheat harvested in 2001 .................... 93
4.64.3 Assistance to the storage in public warehouse of wheat harvested in 2002 .................... 94
4.65 Assistance to agricultural research institutes with research and dvelopment activities 95
4.66 Assistance to establish facilities of inland waterways....................................................... 95
4.67 Quality-linked support for maize for human consumption ............................................. 96
4.68 Assistance to maintain the quality of processed pork and beef ....................................... 97
4.69 Assistance to the production of apple in bulk delivered for processing to food
industry in 2002.................................................................................................................... 98
4.70 Assistance to the implementation of the National Agricultural Environment
Protection Programme ........................................................................................................ 98
4.71 Additional assistance for family farms............................................................................. 100
4.72 Quality-linked support of tomato for industrial purposes ............................................. 102
4.73 Quality-linked support for red pepper............................................................................. 103
4.74 Quality-linked support for onion...................................................................................... 104G/SCM/N/95/HUN
Page 9
4.75 Quality-linked support for pea ......................................................................................... 105
4.76 Quality-linked support for cucumber .............................................................................. 105
4.77 Quality-linked support for fruits...................................................................................... 106
4.77.1 Quality-linked support for cherry and sour cherry........................................................ 106
4.77.2 Quality-linked support for raspberry .............................................................................. 107
5. CORPORATE TAX CONCESSIONS TO ASSIST STRUCTURAL
ADJUSTMENT AND ECONOMIC DEVELOPMENT ................................................ 108
5.1 Corporate Tax Concession for Companies with Foreign Participation........................ 108
5.2 Tax Concession for Dividend Invested in Hungary by Foreign Shareholders............. 108
5.3 Tax Concession in Entrepreneurial Zone ........................................................................ 109
5.4 Tax Concession Related to Regional Investments........................................................... 109
5.5 Tax Concession for Investments Exceeding 1 Billion HUF............................................ 109
5.6 Tax Concession for Investments Exceeding 3 Billion HUF............................................ 110
5.7 Tax Concession for Investments Exceeding 10 Billion HUF.......................................... 110
5.8 Tax Concession to Promote Structural Adjustment....................................................... 110
5.9 Tax Concession for Bank Credits Financing Other Investments .................................. 111
5.10 Tax Rate Relief for Foreign Investors.............................................................................. 111
5.11 Tax Concession Related to Investments........................................................................... 111
5.12 Tax Concession in Regions of High Priority................................................................... 112
5.13 Tax Relief for Projects of Micro and Small Enterprises ................................................ 112
5.14 Tax Concession for Small and Medium Sized Enterprises ............................................ 112
6. CENTRAL FUND FOR TECHNICAL DEVELOPMENT ......................................... 113
7. TERRITORIAL DEVELOPMENT FUND..................................................................... 113
8. BUDGETARY SCHEME EARMARKED FOR ECONOMIC DEVELOPMENT..... 113
9. MINING CONVERSION PROGRAMME ..................................................................... 114
10. CENTRAL ENVIRONMENT PROTECTION FUND ................................................. 114
11. BUDGETARY SCHEME EARMARKED FOR THE DEVELOPMENT OF
SMALL AND MEDIUM-SIZED ENTERPRISES ......................................................... 114G/SCM/N/95/HUN
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1. EXPORT ENHANCEMENT PROGRAMMES
1.1 Export enhancement programme for agricultural products
1. Title of the subsidy programme
Export enhancement programme for agricultural products
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To help to maintain the equilibrium between domestic supply and demand and to improve the
competitiveness of the products in export markets.
4. Background and authority for the subsidy
74/1999. (IX.1.) FVM-PM-GM of the Minister for Agriculture and Regional Development,
the Minister for Finance and the Minister for Economic Affairs
29/2001. (III.29.) FVM-PM-KÜM of the Minister for Agriculture and Regional Development,
the Minister for Finance and the Minister for Economic Affairs
59/2001. (IV.21.) FVM-PM-KÜM of the Minister for Agriculture and Regional
Development, the Minister for Finance and the Minister for Economic Affairs
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Exporters
7. Subsidy per unit or the total amount
The list of products benefiting from and the corresponding per unit amount of export
subsidies for 2002 are contained in the annexes to the above Decrees.
Payments under this programme amounted to HUF 157 million
8. Duration of the subsidy
From 1 September 1999
Duration of the overall subsidy programme has not been specified.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.G/SCM/N/95/HUN
Page 11
1.2 Export enhancement programme for apple harvested in 1996
Phased out
1.3 Export enhancement programme for live pig
1. Title of the subsidy programme
Export enhancement programme for live pig
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To help to maintain the equilibrium between domestic supply and demand and to improve the
competitiveness of the products in export markets.
4. Background and authority for the subsidy
Decree 51/2002 (VI.14.) FM of the Minister for Agriculture and Regional Development as
amended by 78/2002 (VIII.23.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Exporters
7. Subsidy per unit or the total amount
HUF 27 per kg
Payments under this programme amounted to HUF 333 million during the period covered by
the notification.
8. Duration of the subsidy
From 1 June 1998 to 31 March 1999
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
1.4 Export enhancement programme for potatoes for human consumption
Phased outG/SCM/N/95/HUN
Page 12
1.5 Intervention assistance of financing surplus stocks of dried onion
Phased out
1.6 Assistance to the export of seasonal milk surplus
Phased out
1.7 Assistance to the export of pork and processed pork-products
Phased out
1.8 Export enhancement programme for rabbit for slaughter
Phased out
1.9 Export enhancement programme for 500.000 tons of wheat for feeding purposes
Phased out
1.10 Export enhancement programme for wheat
1.10.1 Export enhancement programme for wheat harvested in 1998
Phased out
1.10.2 Export enhancement programme for wheat harvested in 2002
1. Title of the subsidy programme
Export enhancement programme for wheat harvested in 2002
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsid
To help to maintain the equilibrium between domestic supply and demand and to improve the
competitiveness of the products in export markets.
4. Background and authority for the subsidy
Decree 74/2002. (VIII. 15.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
ExportersG/SCM/N/95/HUN
Page 13
7. Subsidy per unit or the total amount
HUF 1,500 per ton
Payments under this programme amounted to HUF 103 million during the period covered by
the notification.
8. Duration of the subsidy
From 18 August 2002.
Duration of the subsidy has not been specified.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N. A.
1.11 Export enhancement programme for milling or EURO wheat
Phased out
1.12 Export enhancement programme for table, regional and quality white wine in barrels
Phased out
1.13 Export enhancement programme for mushroom
Phased out
1.14 Export enhancement programme for certain canned meat and meat products
Phased out
1. 15 Additional export assistance for certain duck meat
Phased out
1.16 Export enhancement programme for certain pork and processed pork products of
Szabolcs-Szatmár-Bereg, Borsod-Abaúj-Zemplén, Hajdú-Bihar, Jász-Nagykun-Szolnok,
Békés, Csongrád and Bács-Kiskun county
Phased out
1.17 Export enhancement programme for surplus stocks of sugar
Phased out
1.18 Export enhancement programme for maize
Phased outG/SCM/N/95/HUN
Page 14
1. 19 Export enhancement programme for wine
1. Title of the subsidy programme
Additional export assistance for wine
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To improve the competitiveness of the products in export markets.
4. Background and authority for the subsidy
Decree 84/2002. (IV.20.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Exporters
7. Subsidy per unit or the total amount
HUF 28 per liter
Payments under this programme amounted to HUF 336 million during the period covered by
the notification.
8. Duration of the subsidy
From 20 April 2002.
Duration of the subsidy has not been specified.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
1.20 Additional export assistance for certain chicken meat
1. Title of the subsidy programme
Additional export assistance for chicken meat
2. Period covered by the notification
2002G/SCM/N/95/HUN
Page 15
3. Policy objective and/or purpose of the subsidy
To help to maintain the equilibrium between domestic supply and demand and to improve the
competitiveness of the products in export markets.
4. Background and authority for the subsidy
Decree 33/2002. (IV.20.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy$
Grant
6. To whom and how the subsidy is provided
Exporters
7. Subsidy per unit or the total amount
HUF 50 to 100 per kg depending on destination.
Payments under this programme amounted to HUF 358 million during the period covered by
the notification.
8. Duration of the subsidy
From 20 March 2002 to 30 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
2. PRICE-RELATED SUPPORT PROGRAMMES FOR CERTAIN AGRICULTURAL
PRODUCTS
2.1.Support programmes for beef for slaughter
2.1.1 State purchase of beef for slaughter at guaranteed price
1. Title of the subsidy programme
State purchase of beef for slaughter at guaranteed price
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To stabilise and support agricultural income and prices.G/SCM/N/95/HUN
Page 16
4. Background and authority for the subsidy
Decree 69/2001. (X. 11.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Buying-in of beef for slaughter at guaranteed prices.
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
Classification, quality standards, guaranteed prices
Definition
Cattle ClassGuaranteed
price
(HUF per kg)
1stgroup: male E and 1stclass 231
2ndgroup: male E and 1stclass 214
3rdgroup male E and 1stclass (250-450 kg) 170
more than 450 kg 160
No intervention occurred during the period covered by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
2.1.2 Intervention support for the quality production of beef for slaughter
1. Title of the subsidy programme
Intervention support for the quality production of beef for slaughter
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To ensure the equilibrium between domestic supply and demand, to support agricultural
income and encourage quality production.
4. Background and authority for the subsidy
Decree 25/2001 (III. 19.) FVM of the Minister for Agriculture and Regional DevelopmentG/SCM/N/95/HUN
Page 17
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers, processors
7. Subsidy per unit or the total amount
The amount of support depended on the purchase price :
Producers:
Class Purchase price Available support
Group 1 0-330 HUF 0-12
Group 2 0-285 HUF 0-12
Processors:
Class Purchase price Available support
Group 1 280- HUF 0-12
Group 2 235- HUF 0-12
The guidance price which indicates expected central point of the fluctuation in prices evolved
during the year as follows:
Definition: Cattle Class Guidance price, HUF per kg
1stgroup: male Group 1 310
2ndgroup: male Group 2 270
An intervention price was established based on the guidance price. When it is reached or
exceeded by the market price, the instruments of the agricultural market regime (selling of
intervention stocks or other measures) are applied. The maximum of the intervention price was
HUF 322 (1st group) and HUF 282 (2nd group).
Payments under this programme amounted to HUF 40 million during the period covered by
the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.G/SCM/N/95/HUN
Page 18
2.2 Support programmes for pig for slaughter
2.2.1 State purchase of pig for slaughter at guaranteed price
1. Title of the subsidy programme
State purchase of pig for slaughter at guaranteed price
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To stabilise and support agricultural income and prices
4. Background and authority for the subsidy
Decree 71/2001. (X. 11.) FVM of the Minister for Agriculture and Regionall Development;
Decree 72/2001. (X.311.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Buying-in of pig for slaughter at guaranteed prices.
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
Classification, quality standards, guaranteed prices
Class Guaranteed price, HUF
per kg
(carcass weight)
E and S 252
U 233
R 210
No intervention occurred during the period covered by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.G/SCM/N/95/HUN
Page 19
2.2.2 Intervention support for the quality production of pig for slaughter
1. Title of the subsidy programme
Intervention support for the quality production of pig for slaughter
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To ensure the equilibrium between domestic supply and demand, to support agricultural
income and encourage quality production.
4. Background and authority for the subsidy
42/1999. (IV.23.) FVM of the Minister for Agriculture and Regional Development;
54/1999. (VI.11) FVM of the Minister for Agriculture and Regional Development;
81/1999. (IX.17.) FVM of the Minister for Agriculture and Regional Development;
49/2000. (VII. 28.) FVM of the Minister for Agriculture and Regional Development;
24/2001 (III. 19.) FVM of the Minister for Agriculture and Regional Development;
112/2001 (XII. 27.) FVM of the Minister for Agriculture and Regional Development;
47/2002 (V. 17.) FVM of the Minister for Agriculture and Regional Development;
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers, processors
7. Subsidy per unit or the total amount
Producers:
Class Purchase price Available support
E and S 0-378 HUF 0-39
U 0-361 HUF 0-39
Processors:
Class Purchase price Available support
E and S 410- HUF 0-29
U 388- HUF 0-24
The guidance price which indicates the expected central point of fluctuation in prices evolved
during the year as follows:G/SCM/N/95/HUN
Page 20
Class Guidance price, HUF per kg
E and S 284-381
U 263-367
An intervention price was established based on the guidance price. When it is reached or
exceeded by the market price, the instruments of the agricultural market regime (selling of
intervention stocks r the other measures) are applied. The maximum of the intervention price was
HUF 381 (E and S quality group) and HUF 367 (U quality group).
Payments under this programme amounted to HUF 4,957 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
2.2.3 Intervention support for pig for slaughter of large weight originating from family farms
and private producers
Phased out
2.3 Support programme for maize for feeding purposes
2.3.1 State purchase of maize for feeding purposes at guaranteed price harvested in 1998
Phased out
2.3.2 State purchase of maize for feeding purposes at guaranteed price harvested in 1999
Phased out
2.3.3 State purchase of maize for feeding purposes at guaranteed price harvested in 2000
Phased out
2.3.4 State purchase of maize for feeding purposes at guaranteed price harvested in 2001
Phased out
2.3.5 State purchase of maize for feeding purposes at guaranteed price harvested in 2002
1. Title of the subsidy programme
State purchase of maize for feeding purposes at guaranteed priceG/SCM/N/95/HUN
Page 21
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To stabilise and support agricultural income and prices.
4. Background and authority for the subsidy
17/2002. (II.22.) FVM of the Minister for Agriculture and Regional
Development
5. Form of the subsidy
Buying-in of maize for feeding purposes at guaranteed price.
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
The guaranteed price was HUF 15 000 per ton
Maximum quantity that one producer may offer for purchase 3.2 tons per ha
No payments occurred under this programme.
8. Duration of the subsidy
From 2 March 2002
Duration has not been specified.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
2.4 Support programmes for wheat for human consumption
2.4.1 State purchase of wheat for human consumption harvested in 1998 at guaranteed price
Phased out
2.4.2 State purchase of wheat for human consumption harvested in 1998 at guaranteed price
Phased out
2.4.3 Income support for certain producers through intervention purchase of their wheat
harvested in 1998
Phased outG/SCM/N/95/HUN
Page 22
2.4.4 State purchase of wheat for human consumption harvested in 2000 at guaranteed price
Phased out
2.4.5 State purchase of wheat for human consumption harvested in 2001 at guaranteed price
Phased out
2.4.6 State purchase of wheat for human consumption harvested in 2002 at guaranteed price
1. Title of the subsidy programme
State purchase of wheat for human consumption harvested in 2002 at guaranteed price
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To stabilise and support agricultural income and prices.
4. Background and authority for the subsidy
67/2001. (X.11.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Buying-in of wheat for human consumption at guaranteed price.
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
The guaranteed price was HUF 17,500 per ton
No intervention occurred under this programme.
8. Duration of the subsidy
From 19 October 2001
Duration has not been specified.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.G/SCM/N/95/HUN
Page 23
2.5 Support programmes for milk
2.5.1 Regulation of the market for cow milk
Phased out
2.5.2 Quality-linked support for cow milk
1. Title of the subsidy programme
Quality-linked support for cow milk
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To stabilise and support agricultural income.
4. Background and authority for the subsidy
Decree 3/2000 (II.11.) FVM of the Minister for Agriculture and Regional Development
Decree 103/2001. (XII.19.) FVM of the Minister for Agriculture and Regional Development
Decree 12/2002. (I.28.) FVM of the Minister for Agriculture and Regional Development
Decree 22/2002. (III.30.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers, processors
7. Subsidy per unit or the total amount
HUF 4.5-6 per l for extra high quality milk if the purchase price is at least HUF 65-72 per l.
Payments under this programme amounted to HUF 10,923 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January 2001 to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.G/SCM/N/95/HUN
Page 24
2.5.3 Assistance to the purchase of qualified sheep milk
1. Title of the subsidy programme
Assistance to the purchase of qualified sheep milk
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To stabilise and support agricultural income and to encourage quality production.
4. Background and authority for the subsidy
Decree 34/2001. (V.11.) FVM of the Minister for Agriculture and Regional Development
Decree 106/2001. (XII. 19.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Processors
7. Subsidy per unit or the total amount
HUF 25-30 per l for first class quality milk if the purchase price is at least 130-145 HUF per l
Payments under this programme amounted to HUF 35 million during the period covered by
the notification.
8. Duration of the subsidy
From 1 January 2001 to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
2.5.4.1 Assistance to the purchase of qualified goat milk in 2000
Phased out
2.5.4.2 Assistance to the purchase of qualified goat milk in 2002
1. Title of the subsidy programme
Assistance to the purchase of qualified goat milkG/SCM/N/95/HUN
Page 25
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To stabilise and support agricultural income and to encourage quality production.
4. Background and authority for the subsidy
Decree 35/2001 (V.11.) FVM of the Minister for Agriculture and Regional Development
Decree 107/2001 (XII. 19.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Processors
7. Subsidy per unit or the total amount
HUF 15-20 per l for first class quality milk if the purchase price is at least HUF 90-95 per l.
Payments under this programme amounted to HUF 24 million during the period covered by
the notification.
8. Duration of the subsidy
From 11 May to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
2.5.5 Guidance and intervention price for cow milk
1. Title of the subsidy programme
Guidance and intervention price for cow milk
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To stabilise and support agricultural income.G/SCM/N/95/HUN
Page 26
4. Background and authority for the subsidy
Decree 11/2002. (I. 28.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers, processors
7. Subsidy per unit or the total amount
The guidance price which indicates the expected central point of fluctuation in prices was
HUF 72 per l.
Apart from the guidance price, a minimum and maximum intervention prices were
established.
Producer: HUF 4.7-6.3 per l for extra high quality milk, if the purchase price falls below the
minimum intervention price.
Processor: the above-mentioned subsidy per unit, if the purchase price reaches or exceeds the
maximum intervention price.
Minimum intervention price: HUF 66.8 per l
Maximum intervention price: HUF 86.8 per l
No payments occurred under this programme during the period covered by the notification.
8. Duration of the subsidy
From 28 January 2002
Duration of the subsidy has not been specified.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
2.6. Support programmes for apple
2.6.1 Intervention assistance to the processing of apple in bulk harvested in 1996
Phased out
2.6.2 Intervention assistance to the processing of apple in bulk harvested in 1997
Phased outG/SCM/N/95/HUN
Page 27
2.6.3 Intervention assistance to the purchase of apple in bulk harvested in 1998
Phased out
2.6.4 Interest subsidy on loans received for the purchase and storage of extra and 1stclass
fresh apple harvested in 1998
Phased out
2.6.5 Intervention assistance to the purchase of apple in bulk harvested in 1999
Phased out
2.7 Support programmes for wine
2.7.1 Intervention assistance for the distillation of wine produced in 1997 in order to reduce
stocks
Phased out
2.7.2 Intervention assistance for the distillation of vintage wine of 1998 in order to reduce
stocks
Phased out
2.7.3 Interest subsidy for the purchase of white grapes produced in 1998 in certain regions
Phased out
2.7.4 Intervention assistance for the distillation of vintage wine of 1999 in order to reduce
stocks
Phased out
2.7.5 Intervention assistance for the distillation of wine with lees of 2001 in order to reduce
stocks
1. Title of the subsidy programme
Intervention assistance for the distillation of wine with lees of 2001 in order to reduce stocks
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To reduce stocks.
4. Background and authority for the subsidy
Decree 80/2001. (X.19.) FVM of the Minister for Agriculture and Regional Development
Decree 101/2001. (XII.17.) FVM of the Minister for Agriculture and Regional DevelopmentG/SCM/N/95/HUN
Page 28
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Distilleries
7. Subsidy per unit or the total amount
The maximum subsidy is HUF 34 per l if the purchase price is at least HUF 48-56 depends on
the minimum alcoholic content.
Payments under this programme amounted to HUF 431 million during the period covered by
the notification.
8. Duration of the subsidy
From 19 October 2001 to 31 Decemer 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
2.7.6 Intervention assistance for the production of grape must concentrate used for the
enrichment of wine of 2001 in order to reduce stocks
1. Title of the subsidy programme
Intervention assistance for the production of must concentrate used for the enrichment of
wine of 2001 in order to reduce stocks.
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To reduce stocks and promotion of enrichment with must concentrate.
4. Background and authority for the subsidy
Decree 81/2001. (X.19.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
ProducerG/SCM/N/95/HUN
Page 29
7. Subsidy per unit or the total amount
The maximum subsidy is HUF 60 per l must if the purchase price is at least HUF 30-38 per l
depends on the minimum alcoholic content.
Payments under this programme amounted to HUF 8 million during the period covered by the
notification.
8. Duration of the subsidy
From 19 October 2001 to 30 September 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
2.8 Support programme for barley, rye, triticale harvested in 1998
2.8.1 Income support for certain producers through intervention purchase of their barley,
rye, triticale harvested in 1998
Phased out
2.9. Support programme for poultry
2.9.1. Assistance to the production of quality poultry for slaughter
1. Title of the subsidy programme
Assistance to the production of quality poultry for slaughter
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To ensure the equilibrium between domestic supply and demand, to support agricultural
income and encourage quality production.
4. Background and authority for the subsidy
Decree 13/2000 (III.31.) FVM of the Minister for Agriculture and Regional Development
Decree 57/2000 (IX.18.) FVM of the Minister for Agriculture and Regional Development
Decree 23/2001 (III.19.) FVM of the Minister for Agriculture and Regional Development
Decree 85/2001 (X.26.) FVM of the Minister for Agriculture and Regional Development
Decree 105/2001 (XII.19.) FVM of the Minister for Agriculture and Regional Development
Decree 110/2001 (XII.27.) FVM of the Minister for Agriculture and Regional Development
Decree 55/2002 (VI.28.) FVM of the Minister for Agriculture and Regional Development
Decree 89/2002 (X.1.) FVM of the Minister for Agriculture and Regional DevelopmentG/SCM/N/95/HUN
Page 30
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers, processors
7. Subsidy per unit or the total amount
Producers:
The amount of subsidy is HUF 5.50-8.2 per kg for the first class poultry for slaughter,
HUF 11-15.8 per kg for young poultry for slaughter. If the purchase price is less than HUF 152-175.
Processors:
The amount of the subsidy is: HUF 5.50-8.2 per kg for the first class poultry for slaughter,
HUF 11-15.8 per kg for young poultry for slaughter. If the purchase price is least HUF 152-175.
Payments under this programme amounted to HUF 4,630 million during the period covered
by the notification.
8. Duration of the subsidy
From 31 March 2001 to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
2.10 Support programme for vegetables
2.10.1 Quality-linked support of tomato for industrial purposes
The description of the subsidy figures under point 4.72, as the attribution of the grant is no
longer related to the price of the product.
2.10.2 Quality-linked support for red pepper
The description of the subsidy figures under point 4.73, as the attribution of the grant is no
longer related to price of the product.
2.10.3 Quality-linked support for onion
The description of the subsidy figures under point 4.74, as the attribution of the grant is no
longer related to price of the product.
2.10.4 Guidance price and intervention price of sugar and sugarbeet in 2001
1. Title of the subsidy programme
Guidance price and intervention price of sugar and sugarbeet in 2001G/SCM/N/95/HUN
Page 31
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To stabilize and support agricultural income and prices
4. Background and authority for the subsidy
59/2002. (VII. 26.) FVM of the Minister for Agriculture and Regional Development
60/2002. (VII. 26.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Processors, producers
7. Subsidy per unit or the total amount
Producers:
Sugarbeet:
The guidance price which indicates the expected central point of fluctuation in prices was
HUF 8 800 per ton.
Apart from the guidance price, a maximum and minimum intervention price were established.
When the maximum intervention price is reached or exceeded by the market price, or when the
market price falls below the minimum intervention price, the instruments of the agricultural market
regime (state purchase, selling of intervention stocks or other measures) are applied.
minimum intervention price HUF 7 900 per ton
maximum intervention price HUF 10 100 per ton
Processors:
Sugar
The guidance price which indicates the expected central point of fluctuation in prices was
HUF 147 000 per ton.
Apart from the guidance price, a maximum and minimum intervention price were established.
When the maximum intervention price is reached or exceeded by the market price, or when the
market price falls below the minimum intervention price, the instruments of the agricultural market
regime (state purchase, selling of intervention stocks or other measures) are applied.
minimum intervention price HUF 132 000 per tonG/SCM/N/95/HUN
Page 32
maximum intervention price HUF 169 000 per ton
No payments occurred under this programme during the period covered by the notification.
8. Duration of the subsidy
From 19 October to 31 December 2001
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
3-4. OTHER SUPPORT PROGRAMMES
3.1 Assistance to stock-breeding
1. Title of the subsidy programme
Assistance to stock-breeding
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To support the operation and development of identification, registration, inspection and
information system of breeding animals.
To support genetic development aimed at enhancing the breeding and utility value of
domestic animals and to develop the genetic background aimed at producing first-rate animal products
by supporting the import of high quality sperm.
To support the employment of leading experts in the field of animal breeding
To support participation in animal breeding fairs, international conferences, organisations and
professional events and to assist the publishing of related documents
To support special stock-breeding projects during specific periods
4. Background and authority for the subsidy
Decree 102/2001 (XI.17. )FVM of the Minister of Agriculture and Regional Development,
375-383. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Stock breeders, animal breeder and inspection organisationsG/SCM/N/95/HUN
Page 33
7. Subsidy per unit or the total amount
Payments under this programme amounted to HUF 1,098 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
3.2 Assistance to fishery activities
1. Title of the subsidy programme
Assistance to fishery activities
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To facilitate the protection and preservation and replacement of fish stocks in natural waters,
to enhance the values of the fish stocks, to prevent the perishing of fish and eliminate the
consequences thereof, to promote the execution of tasks connected with water utilisation for fishing
and angling purposes, to support the participation in international fishing organisations and to support
the cost of management of fishing.
4. Background and authority for the subsidy
Decree 102/2001 (XI.16.) FVM of the Minister of Agriculture and Regional Development,
384-392. §.
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Stock breeders, research and education organisations operating in the field of fishing.
7. Subsidy per unit or the total amount
50 per cent of the costs
80 per cent of the costs for research and education activities in the field of fishery.
Payments under this programme amounted HUF 248 million during the period covered by the
notification.G/SCM/N/95/HUN
Page 34
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
3.3 Assistance to agriculture and forestry
3.3.1 Assistance to the preservation or development of biological bases and the modernisation
of related system of qualification
3.3.1.1 Assistance to genetic development
1. Title of the subsidy programme
Assistance to genetic development
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To assist the preservation or development of biological bases, the establishment of plantations
for gene- preservation, the modernisation of related systems of qualification, the establishment and
maintaining of farms for education and promotion purposes and participation of Hungary in
international scientific organisations.
4. Background and authority for the subsidy
Decree 102/2002 (XI. 16.) FVM of the Minister of Agriculture and Regional Development,
15.-25. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
The amount of the subsidy is 50-100% of the costs.
Payments under this programme amounted to HUF 1,208 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002G/SCM/N/95/HUN
Page 35
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
3.3.1.2 Assistance to the purchase and changes of breeding animals and to the expansion of
their stocks
1. Title of the subsidy programme
Assistance to the purchase and changes of breeding animals and to the expansion of their
stocks
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To facilitate the acquisition of high-quality breeding animals and propagating materials.
4. Background and authority for the subsidy
Decree 102/2001 (XI. 16.) FVM of the Minister of Agriculture and Regional Development,
26.-108. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Stock breeders
7. Subsidy per unit or the total amount
For female animals
For cow service: HUF 20,000 per female
For cow with calf service: HUF 50,000 per female
For mare service HUF 10,000 per female
For registered mare service HUF 60,000 per female
For sheep and goats for service : HUF 1,500 per female
For red deer for service HUF 10,000 per female
For pig for service: HUF 10,000 to 17,000 per female
For bees:
HUF 1,500 per family
HUF 850 per queen-bee
For poultry::
For chicken and "peking" type duck HUF 60 per female
For turkey and "barbarie" type duck HUF 200 per female
Foe goose and "mulard" type duck HUF 400 per femaleG/SCM/N/95/HUN
Page 36
For male animals:
For bull for service: HUF 60,000 per male.
For boar for service: HUF 10,000 to 25,000 per male
For ram for service and he-goat for service: HUF 15,000 to 25,000
For purchasing stallion for breeding: minimum 40 maximum 60 animals, maximum amount:
HUF 35 million.
For semen of cattle, sheep, goat and hog for using is HUF 300 to 2,000.
For registration of artificial insemination of cow: HUF 65 to 125 per registered insemination
For artificial insemination of mare: HUF 30,000 per female.
Assistance for the special identification (ENAR) system of calves and horses is HUF 700 and
1,650 per head.
Maximum amount for development of registration and identification system of pigs is
HUF 120 million, of sheep is HUF 55 million per year.
Analysis of genetic performance of horses HUF 20,000 per animal
Use of breeding fish HUF 70 per kilogram
Rabbit breeding HUF 2,000 per animal
Payments under this programme amounted to HUF 5,770 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
3.3.2 Assistance to the utilisation of arable lands in disadvantaged producing areas
Phased out
3.3.3 Assistance to investment in, and development of, agricultural production and food
processing
Phased out
3.3.4 . Assistance to mending, cultivating and preserving the quality and the quantity of forests
1. Title of the subsidy programme
Assistance to mending, cultivating and preserving the quality and the quantity of forestsG/SCM/N/95/HUN
Page 37
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
- To facilitate afforestation, treatment and cultivation of young forests;
- To support the natural and artificial renewal of forests,
- To reduce costs arising from provisional utilisation of forests, from afforestation resulted
from the change in use of land;
- To re-establish the adequate structure of forests which was affected by the long land
compensation procedure;
_ To contribute to the costs of plans of forest management, the cost of forest treatment of public
interest;
_ To contribute to the cost of operation of forest protection measuring and monitoring systems
arising from international obligations;
_ To support the participation in international forest organisations;
_ To preserve the ecosystem, the ecological balance and physical condition of the forests;
_ To contribute to the cost of propagation of forest culture.
4. Background and authority for the subsidy
Decree 102/2001 (XI. 16.) FVM of the Minister of Agriculture and Regional Development,
328.-341. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Sylviculturists
7. Subsidy per unit or the total amount
Payments under this programme amounted to HUF 5,624 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.G/SCM/N/95/HUN
Page 38
3.4 Assistance to game husbandry
1. Title of the subsidy programme
Assistance to game husbandry
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
- To protect and preserve natural stocks of game species and their habitats;
- To protect and preserve natural stocks of special areas,
- To propagate hunting,
- regional game husbandry planning consistent with forestry plans;
- To contribute trophy evaluation;
- To provide services related to research and development if connected to or aiming at
achieving the objectives set out above;
- To facilitate activities in domestic or foreign markets or in the area of marketing if connected
to or aiming at achieving the objectives set out above.
4. Background and authority for the subsidy
Decree 102/2001 (XI. 16.) FVM of the Minister of Agriculture and Regional Development,
393.-403. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Hunters, Institutions, Companies operating in the field of game husbandry
7. Subsidy per unit or the total amount
The maximum amount of support eligible per applicant is HUF 5 million, but not more than
the 50 per cent of the value of the investment.
Payments under this programme amounted to HUF 856 million during the period covered by
the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.G/SCM/N/95/HUN
Page 39
3.5 Assistance to the protection of arable land
1. Title of the subsidy programme
Assistance to the protection of arable land
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To provide supplement for cultivable land to lower the unjustified decrease of land capable of
cultivation and to enhance different types of utilisation of land capable of cultivation as a sector with
constant changes.
 To facilitate utilisation of land capable of cultivation by re-utilisation of idle land, to develop
terraces for vineyards in wine-growing areas, to facilitate land concentration, elimination of
orchards and vineyards, re-cultivation of fish ponds,
- Assistance to built connecting roads and canal system against inland waters.
 Assistance to remote sensoring related to agriculture
 Assistance to improve land registration related to land quality preservation
 Assistance to research related to quantitative and qualitative protection of cropland
 Assistance to land concentration.
4. Background and authority for the subsidy
Decree 102/2001 (XI.16.) FVM of the Minister of Agriculture and Regional Development,
356.-374. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers, institutions, companies engaged in quantitative and qualitative protection of
croplands and land concentration policy
7. Subsidy per unit or the total amount
40 per cent of the costs of helping utilisation of land capable of cultivation by re-utilisation of
idle land and the elaboration of projects in this regard,
40 per cent of the costs of research related to the quantitative and qualitative protection of
croplands,
20 per cent of the cost of purchasing of land.G/SCM/N/95/HUN
Page 40
Payments under this programme amounted to HUF 2,291 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
3.6 Assistance to the construction and renovation of buildings
Phased out
3.6.1 Assistance to the construction of buildings of “new type” co-operations, fishery and
forestry
Phased out
3.6.2 Assistance to technology investments in the food industry
1. Title of the subsidy programme
Assistance to food industrial technology investments
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To assist the development of technology used in the food industry especially:
Quality improvement, development of environmentally-friendly packaging,
Fulfilment of food hygiene requirements,
Reducing energy use and environmental damage,
Production of traditional and organic products, specialities.
4. Background and authority for the subsidy
Decree 102/2001 (XI. 16..) FVM of the Minister of Agriculture and Regional Development,
257. §
5. Form of the subsidy
Grant and interest subsidy
6. To whom and how the subsidy is provided
ProcessorsG/SCM/N/95/HUN
Page 41
7. Subsidy per unit or the total amount
25 per cent of the cost of investment, maximum HUF 55 million
40 per cent of the interest on the loan, maximum loan HUF 200 million
Payments under this programme amounted to HUF 1,612 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
3.6.3 Assistance to the modernisation and construction of buildings of forestry, game
husbandry, fishery and agriculture, assistance to the investments of horticulture
1. Title of the subsidy programme
Assistance to the modernisation and construction of buildings of agriculture, forestry, game
husbandry, fishery and horticulture.
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To assist the modernisation and construction of buildings and infrastructure
4. Background and authority for the subsidy
Decree 102/2001 (XI. 16.) FVM of the Minister of Agriculture and Regional Development,
249.-254. §
5. Form of the subsidy
Grant and interest subsidy
6. To whom and how the subsidy is provided
Agricultural producers, sylviculturists, fish and horticulture producers, co-operatives,
vegetable- and fruit processors, research and education institutes.G/SCM/N/95/HUN
Page 42
7. Subsidy per unit or the total amount
Grant
25 per cent of the cost of construction, plus 10 per cent extra subsidy for modernisation of
animal breeding facilities with liquid manure.
Maximum amount of the grant is HUF 55 million.
Interest subsidy:
40 per cent of the interest on the loan for investment, maximum loan: HUF 200 million
Payments under this programme amounted to HUF 12,333 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
3.7 Assistance to the establishment of vineyards and orchards
1. Title of the subsidy programme
Assistance to the establishment of vineyards and orchards
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To establish new plantations (vineyards and orchards)
4. Background and authority for the subsidy
Decree 102/2001 (XI.16.) FVM of the Minister of Agriculture and Regional Development,
255-256. §
5. Form of the subsidy
Grant
Interest subsidy
6. To whom and how the subsidy is provided
Owners and tenants of vineyards or orchardsG/SCM/N/95/HUN
Page 43
7. Subsidy per unit or the total amount
Grants:
50 to 60 per cent of the different costs of establishment of vineyards and orchards. Maximum
amount of the grant is HUF 55 million.
Interest subsidy:
40 per cent of the interest on loans granted for maximum ten years, the maximum amount of
the loan can not exceed HUF 200 million.
Payments under this programme amounted to HUF 11,580 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
3.8 Regional assistance programmes
3.8.1 Assistance to the development of disadvantaged regions
Phased out
3.8.2 Assistance to the inhabitants of settlements with less than 3 000 inhabitants living in
disadvantaged regions
Phased out
3.8.3 Additional assistance to certain counties in disadvantaged areas
1. Title of the subsidy programme
Additional assistance to certain counties in disadvantaged areas
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To compensate for regional disadvantages.
4. Background and authority for the subsidy
Decree 44/2001 (VI.18.) as amended by 58/2001 (IX. 21) FVM of the Minister of Agriculture
and Regional DevelopmentG/SCM/N/95/HUN
Page 44
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers located in Nógrád, Szabolcs- Szatmár- Bereg, Borsod-Abaúj-Zemplén, Somogy
and Békés counties.
7. Subsidy per unit or the total amount
Supplementary grant provided under the
"3.7 Assistance to the establishment of vineyards and orchards"-programme, (plus 20 per cent
or 25 to 40 per cent of the cost of the investment )
"3.6.2 Assistance to technology investments in the food industry” programme, (plus 10 per
cent or 40 per cent of the cost of investment)
"4.1.3-4.1.4. Assistance to the purchase and leasing of agricultural machinery" programme
(plus 20 per cent of the price of new machinery or leasing fee )
“3.6.3 Assistance to the modernisation and construction of buildings of forestry ,game
husbandry, fishery and horticulture” programme, (plus 10 per cent or 40 per cent of the cost
of investment)
"4.4. Assistance to soil melioration and to irrigation investment" programme, (plus 20 per
cent or 40 per cent of the cost of investment)
“4.5.Assistance for planting and restructuring forests and afforestation” programme.
The amount of the supplementary grant can not exceed HUF 20 million per beneficiary.
Payments under this programme amounted to HUF 6 million during the period covered by the
notification.
8. Duration of the subsidy
From 21 July to 31 October 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
3.8.4 Assistance to the development of agro-tourism
Phased out
3.9 Assistance to foster co-operative integration
3.9.1 Assistance to encourage the establishment of co-operatives in the field of production,
purchase and marketing
1. Title of the subsidy programme
Assistance to encourage the establishment of co-operatives in the field of production,
purchase and marketingG/SCM/N/95/HUN
Page 45
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To encourage co-operative integration in the field of production, purchase and marketing.
4. Background and authority for the subsidy
Decree 102/2001 (XI.16.) FVM of the Minister of Agriculture and Regional Development,
165-169.§
5. Form of the subsidy
Grant, interest subsidy
6. To whom and how the subsidy is provided
Agricultural co-operatives, organisations, partnerships in the field of forestry, wholesale,
producer and marketing organisations, non-profit organisations providing machinery service to
agriculture
7. Subsidy per unit or the total amount
80 per cent of the start up cost, maximum HUF 400,000 for agricultural co-operatives.
5 per cent of the return from sales, maximum HUF 20 million, if the return from sales does
not exceed HUF 100 million per year. The maximum amount of the support is 200 per cent of the
subscribed capital.
HUF 150 000 per hectare, maximum HUF 5 million and 50 per cent of the operation costs for
partnerships in the field of forestry.
HUF 100 000 per member, maximum HUF 3 million for non-profit organisations providing
machinery service to agriculture.
HUF 10,000 per hectare, maximum HUF 10 million and 10 per cent of the returns from sales
for forest integrators.
Payments under this programme amounted to HUF 921 million during the period covered by
the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.G/SCM/N/95/HUN
Page 46
3.9.2 Assistance to encourage the establishment of co-operatives in the field of production and
sales of fruits and vegetables
1. Title of the subsidy programme
Assistance to encourage the establishment of co-operatives in the field of production and sales
of fruits and vegetables.
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To encourage co-operative integration in the field of production and sales of fruit and
vegetable.
4. Background and authority for the subsidy
Decree 102/2001 (XI.16.) FVM of the Minister of Agriculture and Regional Development,
170-173. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producing and sales co-operatives in the field of fruit and vegetable
7. Subsidy per unit or the total amount
20 per cent of the return from sales, maximum HUF 30 million for previously accredited co-
operatives,
6 per cent of the return from sales for accredited co-operations.
Payments under this programme amounted to HUF 579 million during the period covered by
the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
3.10. Assistance to the purchase of individual shares of the members of co-operatives
Phased outG/SCM/N/95/HUN
Page 47
3.11 Assistance to the realisation of certain goals of the agricultural policy
3.11.1 Assistance to the realisation of certain goals of the agricultural policy
Phased out
3.11. 2-3.11.3 Assistance to agricultural information network and foreign training programmes
1. Title of the subsidy programme
Assistance to the development of the agricultural information network and foreign training
programmes.
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To assist the development of the agricultural information network and the foreign training
programmes.
4. Background and authority for the subsidy
Decree 102/2001 (XI.16.) FVM of the Minister of Agriculture and Regional Development,
404-411. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Agricultural Research and Information Institute
Producers, book-keeping offices
Young agricultural experts
7. Subsidy per unit or the total amount
For foreign training programmes:
30 to 50 per cent of the cost of travel, visa and training programmes.
50 per cent of the cost accommodation for foreign experts participating in Hungarian training
programmes.
For agricultural information network:
HUF 70,000 to 160,000 depending on the size and category of the farm.
Payments under this programme amounted to HUF 233 million during the period covered by
the notification.G/SCM/N/95/HUN
Page 48
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
3.11.4 Assistance to agricultural research and development of non-profit organisations
1. Title of the subsidy programme
Assistance to agricultural research and development of non-profit organisations funded by the
Minister of Agriculture and Regional Development.
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
Assistance to non-profit organisations related to agricultural research and development
activities.
4. Background and authority for the subsidy
Decree 102/2001 (XI.16..) FVM of the Minister of Agriculture and Regional Development,
160.-164. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Non-profit organisations with research and development activities
7. Subsidy per unit or the total amount
50 to 100 per cent of the operation cost of non-profit organisations
Payments under this programme amounted to HUF 570 million during the period covered by
the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.G/SCM/N/95/HUN
Page 49
3.11.5 Assistance to purchasing state-of-the-art technical equipment for institution engaged in
agricultural research and development
1. Title of the subsidy programme
Assistance to purchasing state-of-the-art technical equipment for agricultural research and
development.
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
Assistance to purchasing technical equipment for agricultural research and development
4. Background and authority for the subsidy
Decree 102/2001 (XI.16.) FVM of the Minister of Agriculture and Regional Development,
259.-260. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Agricultural research institutes and owners of pilot farms
7. Subsidy per unit or the total amount
80 per cent of the cost of genetical improvement of species, experiments, furthering the
registration of Hungarian species, reducing of biotechnological risks,
50 per cent of the cost, maximum HUF 15 million for pilot projects and utilisation of new
technology with special regard to technologies reducing the pollution of the environment,
50 per cent of the cost for cultivation competition,
80 per cent of the cost of research, technological developments, investments of agricultural
research institutes
Payments under this programme amounted to HUF 993 million during the period covered by
the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.G/SCM/N/95/HUN
Page 50
3.12 Assistance to common marketing in agriculture
1. Title of the subsidy programme
Assistance to common marketing in agriculture
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To co-finance the participation in international fairs.
Promotion of Hungarian agricultural products.
Assistance to market research with advanced methods.
4. Background and authority for the subsidy
Decree 102/2001 (XII.16.) § 183 FVM of the Minister for Agriculture and Regional
Development
7. Subsidy per unit or the total amount
Up to 100 per cent of the costs
Payments under this programme amounted to HUF 1,597 million during the period covered
by the notification.
8. Duration of the subsidy
From 16 December 2000 to 23 January 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
3.13 Agricultural research programmes
Phased out
3.14 Assistance to the joint establishment of wholesale markets by producers and to
investment of joint sales organisations and producers
Phased out
4.1 Finance subsidies
4.1.1 Assistance given to further agricultural activities
Phased outG/SCM/N/95/HUN
Page 51
4.1.2 Government guarantee
Phased out
4.1.3-4.1.4 Assistance to the purchase and leasing of agricultural machinery
1. Title of the subsidy programme
Assistance to the purchase and leasing of agricultural machinery
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To assist the producers in financing their purchase or leasing of agricultural machinery.
4. Background and authority for the subsidy
Decree 102/2001 ( XI.16.) FVM of the Minister of Agriculture and Regional Development,
269.-277. §
5. Form of the subsidy
Grant and interest subsidy
6. To whom and how the subsidy is provided
Producers, leasing companies and entrepreneurs performing hired labour service with
agricultural machinery
7. Subsidy per unit or the total amount
25 per cent of the list price of agricultural machinery,
maximum amount of grant: HUF 50 million
40 per cent of the interest on related bank loan up to HUF 200 million, granted for more than
one year,
requirement: minimum 25 per cent own capital of the investment cost
The same amount of subsidy is granted in case of a leasing contract concerning machinery
and technological equipment contracted for minimum 36 months.
Payments under this programme amounted to HUF 32,291 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002G/SCM/N/95/HUN
Page 52
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.1.5 Assistance to members of co-operatives in acquiring loans
Phased out
4.1.6 Interest subsidy for bank loans for maximum one year, and for more than one year,
government guarantee
1. Title of the subsidy programme
Interest subsidy for loans of current assets and state credit guarantee programmes
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To assist producers in financing their costs of input materials.
4. Background and authority for the subsidy
Decree 102/2001 (XI.16.) FVM of the Minister for Agriculture and Regional Development,
109.-129. §
5. Form of the subsidy
Interest subsidy
Government guarantee
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
Interest rate subsidy for bank loans for maximum one year:
The interest rate subsidy is 40 per cent for loans given in HUF for cereals storage in public
warehouse.
The interest rate subsidy is 25 per cent for loans given in foreign currency.
In case of a natural disaster extra interest rate subsidy of 25 per cent is granted for loans in
HUF, 15 per cent for loans in foreign currency.
Government guarantee :
Producers of wheat, maize, rye, barley are entitled to claim Government guarantee up to 70
per cent of loans or maximum HUF 30,000 per hectare.G/SCM/N/95/HUN
Page 53
Interest rate subsidy of the bank loans for at least three years but maximum six years:
The interest rate subsidy is 40 per cent.
Government guarantee:
80 per cent for loans up to HUF 5 million.
60 to 70 per cent for loans over HUF 5 million
Grant for the guarantee fee: 50 per cent of the guarantee fee.
The guarantee fee is 1 per cent per year up to HUF 10 million.
Over HUF 10 million:
Up to 50 per cent of guarantee rate 1 per cent of the fee
51 to 60 per cent of guarantee rate 1.2 per cent of the fee
61 to 80 per cent of guarantee rate 1.5 per cent of the fee
Payments under this programme amounted to HUF 12,283 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.1.7 Interest subsidy for purchasing grain seed with quality assurance necessary for the 1999
sowing
Phased out
4.1.8 Government guarantee for HUF 16 billion loan given to small companies in the canning
sector
Phased out
4.1.9 Assistance to the renewal of agricultural machinery
Phased out
4.1.10 Loan programme for agricultural development
1. Title of the subsidy programme
Loan programme for agricultural development
2. Period covered by the notification
2002G/SCM/N/95/HUN
Page 54
3. Policy objective and/or purpose of the subsidy
To finance loans of agricultural production
4. Background and authority for the subsidy
Decree 30/2000 (III. 10.) Korm. of the Government as amended by 85/2001 (V.30.) Korm. of
Government.
5. Form of the subsidy
Government guarantee
Interest subsidy
Grant
6. To whom and how the subsidy is provided
In development loan programme:
Agricultural producers
In farmer credit programme:
Producers cultivating maximum 300 hectares, with income up to HUF 50 million, employing
maximum 10 persons,
Fruit and vegetable producer, wholesale, processing and marketing co-operations which did
not receive state support
In programme for improving quality production:
Seed producers and traders
Producers of fertiliser
Producers cultivating 1 to 300 hectares
Wholesale, processing and marketing co-operations
7. Subsidy per unit or the total amount
In development loan programme:
50 per cent of the interest on loans, granted for three years, government guarantee for 80 per
cent of the loan
In farmer credit programme::
100 per cent of the interest on loans granted for maximum ten years
Government guarantee for 80 per cent of the loan,
In programme for improving quality production:
100 per cent of the interest on loans granted for maximum one year Government guarantee for
80 per cent on the loan,
The interest rate subsidy is 100 per cent on loan for seed and fertiliser purchase, maximum
HUF 10,000 per hectare for fertiliser, HUF 10,000 per hectare for seed.
Payments under this programme amounted to HUF 7,700 million during the period covered
by the notification.G/SCM/N/95/HUN
Page 55
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.1.11 Loan programmes authorised with government guarantee in 2001 and assistance to
investment in agricultural logistics in 2001 and 2002
1. Title of the subsidy programme
Loan programmes authorised with government guarantee in 2001 and assistance to
investment in agricultural logistics in 2001 and 2002.
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
Assistance to the development of agricultural technologies, purchasing new equipment, state
guarantee and credit support for long-term liabilities when invested in purchasing of food-processing
plant under reorganisation schemes, investments of food processing and to agricultural logistic
programmes.
4. Background and authority for the subsidy
Decree 57/2001 (IX. 21.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
For agricultural development programmes:
Government guarantee
Interest subsidy
For agricultural logistic programmes:
Grant,
Interest subsidy
Government guarantee
6. To whom and how the subsidy is provided
Producers cultivating maximum 300 hectares, with income up to HUF 50 million, employing
maximum 10 persons,
Fruit and vegetable producer, wholesale, processing and marketing co-operations,
Food processor companies, with turnover up to HUF 4 billion per year, employing maximum
250 persons, working in the field of meat, poultry, fish, potato, fruit and vegetable, milk, flour-mill
products, feeding-stuffs, spices, honey, wine processing.G/SCM/N/95/HUN
Page 56
7. Subsidy per unit or the total amount
For agricultural development programmes:
Government guarantee for 80 per cent on the loan
The interest rate subsidy is 60 per cent on the loan
For agricultural logistic programmes:
30 per cent of the cost of the investment
60 per cent of the interest on loan up to HUF 1 billion, granted for more than five but less
than ten years, government guarantee for 50 per cent of the loan
Payments under this programme amounted to HUF 27 million during the period covered by
the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.1.12 Assistance to the settlement of loans granted for less than one year
1. Title of the subsidy programme
Assistance to the settlement of loans granted for less than one year
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To assist to repayment of loans in relation to damage caused by natural disasters
4. Background and authority for the subsidy
Decree 215/2002 (X. 17.) Korm of Government as amended by Decree 243/2002 (XI. 16.)
Korm. of Government.
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
40 per cent of the arithmetical average of the loans from 31 May 2000 to 31 May 2002.G/SCM/N/95/HUN
Page 57
90 to 100 per cent refund of loans granted for producers who suffered damages caused by
drought and flood.
Additional support for producers who suffered damaged caused by drought:
Rate of the losses: Grant:
25.01-35.00 per cent: 20 per cent of the losses
35.01 –per cent: 32 per cent of the losses
100 per cent of the loans granted by the integrated agricultural organisations.
Payments under this programme amounted to HUF 59,948 million during the period covered
by the notification.
8. Duration of the subsidy
From 16 October to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.2 Assistance to the production of certain agricultural products
Phased out
4.3 Assistance to the restructuring of the agricultural sector
1. Title of the subsidy programme
Assistance to the restructuring of the agricultural sector
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
(A) To facilitate the organisational and structural adaptation of the agricultural sector.
(1) To provide investment loans by banks for the purchase of assets of agricultural co-
operatives or companies provided that these goods are used by the economic operator
for agricultural or forestry production or for processing or services related to
agriculture and forestry;
(2) To provide investment loans by banks for the purchase of assets of companies
established as a result of transformation of state farms, agricultural complexes or
forest exploitations provided that these goods are used for agricultural or forestry
production and that no privatisation loan or other advantage is available for
subsidising the interest;G/SCM/N/95/HUN
Page 58
(3) To provide loans of more than one year for the operation of assets referred to under
items 1) and 2) above.
Assets referred to above include the followings: real estates (excluding arable lands and
residential real estates) equipment, machinery, lorries and trucks and other equipment.
(B) To provide additional assistance:
(1) To individual producers that have started their enterprises not earlier than one year
before the application for the support under (A) above;
(2) to producers operating in economically underdeveloped regions to the financing of
their development projects.
4. Background and authority for the subsidy
Decree 102/2001 (XI. 16.) FVM of the Minister of Agriculture and Regional Development,
130.-134. §
5. Form of the subsidy
Grant
Interest subsidy
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
Payments under this programme amounted to HUF 22 million during the period covered by
the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.4.1 Assistance to soil melioration and irrigation investments
1. Title of the subsidy programme
Assistance to soil melioration and to irrigation investment
2. Period covered by the notification
2002G/SCM/N/95/HUN
Page 59
3. Policy objective and/or purpose of the subsidy
To help maintain and improve the fertility of arable lands and facilitate the security of
production by the establishment of irrigation equipment.
4. Background and authority for the subsidy
Decree 102/2001 (XI. 16.) FVM of the Minister of Agriculture and Regional Development,
294.-306. §
5. Form of the subsidy
Grants
Interest subsidy
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
40 per cent of the cost of investment
40 per cent of the interest on loan granted for more than one year
requirement: minimum 25 per cent of own capital of the investment cost
Payments under this programme amounted to HUF 1,448 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.4.2 Assistance to establish facilities of irrigation systems
1. Title of the subsidy programme
Assistance to irrigation investments
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
Assistance to the establishment and modernisation of irrigationG/SCM/N/95/HUN
Page 60
4. Background and authority for the subsidy
Decree 15/2001 (III.3.) FVM. of the Minister of Agriculture and Regional Development,
248.-258 §
5. Form of the subsidy
Grant
Interest subsidy
6. To whom and how the subsidy is provided
Producers, organisations working in the field of irrigation
7. Subsidy per unit or the total amount
40 per cent of the cost of investment,
75 per cent of the cost of state investment
Payments under this programme amounted to HUF 1,500 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.5 Assistance for planting and restructuring forests and afforestation
1. Title of the subsidy programme
Assistance for planting and restructuring forests and afforestation
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To provide assistance to planting and restructuring forests and afforestation.
4. Background and authority for the subsidy
Decree 102/2001 (XI. 16.) FVM of the Minister of Agriculture and Regional Development,
316.-321. §
5. Form of the subsidy
GrantG/SCM/N/95/HUN
Page 61
6. To whom and how the subsidy is provided
Sylviculturists
7. Subsidy per unit or the total amount
Payments under this programme amounted to HUF 5,704 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2001
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.6 Payments for relief from environmental degradation of forests
1. Title of the subsidy programme
Payments for relief from environmental degradation of forests
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To compensate for income losses due to the environmental degradation of forests.
4. Background and authority for the subsidy
Decree 102/2001 (XI. 16.) FVM of the Minister of Agriculture and Regional Development,
352.-355. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Owners and tenants of forests
7. Subsidy per unit or the total amount
HUF 800 per gross cubic metre of timber
Payments under this programme amounted to HUF 316 million during the period covered by
the notification.G/SCM/N/95/HUN
Page 62
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.7 Refund of the consumption tax on diesel fuel
1. Title of the subsidy programme
Consumption tax refund on diesel fuel
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To reduce the tax burden of producers.
4. Background and authority for the subsidy
Decree 216/1997 (XII. 1) Korm of the Government
5. Form of the subsidy
Tax refund
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
Refund of 70 per cent of the consumption tax on diesel fuel..
Payments under this programme amounted to HUF 18,300 million during the period covered
by the notification.
8. Duration of the subsidy
Starting date: 1 January 1998
Duration has not been specified.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.G/SCM/N/95/HUN
Page 63
4.8 Assistance to the participation in insurance schemes
1. Title of the subsidy programme
Assistance to the participation in insurance schemes
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To promote the enrolment of producers in insurance schemes.
4. Background and authority for the subsidy
Decree 102/2001 (XI. 16.) FVM of the Minister of Agriculture and Regional Development,
177.-181. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
30 per cent of the insurance premium.
Payments under this programme amounted to HUF 3,354 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.9 Payments for relief from natural disasters
4.9.1 Payments for relief from natural disasters affecting plant cultivation in 1995
Phased out
4.9.2 Payments for relief from fireblight disease
Phased outG/SCM/N/95/HUN
Page 64
4.9.3 Payments for relief from natural disasters affecting plant cultivation in 1997
Phased out
4.9.4 Payments for relief from natural disasters not covered by insurance policies
Phased out
4.9.5 Assistance to provide relief from the damage caused by the extraordinary weather
conditions in June and July 1999
Phased out
4.9.6 Assistance to provide relief from the damage caused by flood and internal water
occurred in 1999
Phased out
4.9.7 Assistance to the intervention of unharvested sugar beet
Phased out
4.9.8 Assistance to provide relief from the damage caused by flood and internal water in 2000
Phased out
4.9.9 Assistance to land cultivation provided for the producers who incurred damage due to
the drought in 2000
Phased out
4.9.10 Assistance to provide relief from the damage caused by flood and internal water in
Szabolcs-Szatmár-Bereg county and Bereg region in 2001
1. Title of the subsidy programme
Assistance to provide relief from the damage caused by flood and internal water in Szabolcs-
Szatmár-Bereg county and Bereg region in 2001
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To provide relief from damage of natural disasters occurred in spring 2001
4. Background and authority for the subsidy
Decree 38/2001 (V. 14.) and 49/2001 (VII. 20.) FVM of the Minister of Agriculture and
Regional DevelopmentG/SCM/N/95/HUN
Page 65
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers located in Szabolcs-Szatmár-Bereg county and Bereg region.
7. Subsidy per unit or the total amount
Grant for damage caused by flood or inland water:
For cereals and feeding plants HUF 60 000 per hectare
For vegetables HUF 150 000 per hectare
For grassland with 25 per cent of losses HUF 40 000 per hectare
For area ploughed preceding fall HUF 15 000 per hectare
For area ploughed, fertilised but not sowed HUF 30 000 per hectare
For area prepared for spring sowing HUF 45 000 per hectare
For forest 50 per cent of the cost
For losses of new planted orchards
and vineyards HUF 500 000 per hectare
For losses of orchards and vineyards HUF 500 000 per hectare
For breeding animals:
HUF 120 000 per animal for cattle
HUF 50 000 for pig
HUF 30 000 per animal for sheep and goat
HUF 1 000 per animal for poultry
HUF 2 000 per animal for rabbit
HUF 100 000 pet animal for donkey
HUF 20 000 per family for bee
For losses of feed stocks:
For cattle HUF 410/animal/day
For pig HUF 100/animal/day
For poultry HUF 7/animal/day
For sheep, goat HUF 60/animal/day
For other small animals HUF 10/animal/day
For losses of game stocks:
100 per cent of the losses.
For damage of fish-pools:
80 per cent of the losses.
For area with canal system HUF 120 000 per hectare
For area suffered physical damage HUF 55 000 per hectare
For canal system HUF 2000 per meter
For area suffered water damage HUF 25 000 per hectare
For losses of the missed cultivation
because of the flood HUF 2 500 per hectareG/SCM/N/95/HUN
Page 66
Payments under this programme amounted to HUF 4 million during the period covered by the
notification.
8. Duration of the subsidy
From 14 May to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.9.11 Assistance to provide relief from the damage caused by frost to vineyards and orchards
that occurred in winter 2001 and in spring 2002
1. Title of the subsidy programme
Assistance to provide relief from the damage caused by frost in winter 2001 and in spring
2002 to vineyards and orchards
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To mitigate the damage caused to vineyards and orchards by frost in winter 2001 and in
spring 2002
4. Background and authority for the subsidy
Decree 53/2002 (VI. 25.) FVM of the Minister of Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
50 per cent of damage caused by the frost
Payments under this programme amounted to HUF 2,493 million during the period covered
by the notification.
8. Duration of the subsidy
From 25 June to 31 December 2002G/SCM/N/95/HUN
Page 67
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.10 Assistance to the organisation of wine-growing communities
Phased out
4.11 Assistance to the utilisation of advisory and extension services
1. Title of the subsidy programme
Assistance to the utilisation of advisory and extension services, training programs
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To promote the use of advisory and extension services, training programs
4. Background and authority for the subsidy
Decree 102/2001 (XI. 16.) FVM of the Minister of Agriculture and Regional Development,
144.-158. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers, sylviculturists
7. Subsidy per unit or the total amount
100 per cent of the fee of collective advisory service for producers with returns up to
HUF 1 million.
25 to 75 per cent of advisory fee based on the turnover of producers with returns over
HUF 1 million.
75 per cent for young farmers (aged under 40)
50 per cent of advisory fee for sylviculturists
maximum grant: the amount of the minimum wage effectual at the time of the contract
maximum 50 per cent of the costs of training, expert meetings, publishing, maximum
HUF 3 million,
up to 100 per cent of the costs of the education of advisory experts and development of
advisory information technology.
Payments under this programme amounted to HUF 964 million during the period covered by
the notification.G/SCM/N/95/HUN
Page 68
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.12 Assistance to the “Borsod-Abaúj-Zemplén” region
Phased out
4.13 Assistance to the maintenance of recreational and park woods
1. Title of the subsidy programme
Assistance to the maintenance of recreational and park woods
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To co-finance the costs of maintaining forest facilities such as botanical gardens, parking lots,
green corridors and hiking paths.
4. Background and authority for the subsidy
Decree 102/2001 (XI.16.) FVM of the Minister of Agriculture and Regional Development,
346.-351. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Operator of forest facilities
7. Subsidy per unit or the total amount
10 per cent of the investment costs.
Payments under this programme amounted to HUF 262 million during the period covered by
the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002G/SCM/N/95/HUN
Page 69
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.14 Assistance to tobacco harvested in 1995
1. Title of the subsidy programme
Assistance to the production of tobacco
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To encourage quality production
4. Background and authority for the subsidy
16/2002 (II.16.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
HUF 56 000 per ton for the group of Virginia
AV-BV
HUF 46 000 per ton for the group of Virginia BI-Anya
HUF 35 000 per ton for the group of Kállói-Pallagi "A"
HUF 30 000 per ton for the group of Kállói-Pallagi "B"
Payments under this programme amounted to HUF 277 million during the period covered by
the notification.
8. Duration of the subsidy
From 3 March 2002 to 7 April 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.G/SCM/N/95/HUN
Page 70
4.15 Assistance to potatoes harvested in 1996
1. Title of the subsidy programme
Assistance to the production of potato for human consumption
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To encourage quality production
4. Background and authority for the subsidy
15/2001 (III.3.) §210 FVM of the Minister for Agriculture and Regional Development
102/2001 (XII.16.) §234 FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
HUF 28 000-40 000 per ha
The maximum subidised area: 4000-6000 ha
Payments under this programme amounted to HUF 299 million during the period covered by
the notification.
8. Duration of the subsidy
From 3 March 2001 to 23 January 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.16 Assistance to stabilise the egg market
1. Title of the subsidy programme
Assistance to stabilise the egg market
2. Period covered by the notification
2002G/SCM/N/95/HUN
Page 71
3. Policy objective and/or purpose of the subsidy
To re-establish the equilibrium between domestic supply and demand
4. Background and authority for the subsidy
102/2001 (XII.16.) §192 FVM of the Minister for Agriculture and Regional Development
88/2002 (X.1.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
HUF 20 per kg hen (live weight)
From 9 October 2002 extra HUF 4 per egg.
Payments under this programme amounted to HUF 115 million during the period covered by
the notification.
8. Duration of the subsidy
From 16 December 2001
Duration of the subsidy has not been specified.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.17 Intervention support for quality production of game birds
Phased out
4.18 Assistance to beekeepers
The description of the measure can be found under 4.42.
4.19 Assistance to the establishment of environmentally friendly crop structure
Phased out
4.20 Assistance to the transition to organic production (and establishment of agro-
environmetal regions)
1. Title of the subsidy programme
Assistance to the transition to organic production and to the establishment of agro-
environmental regionsG/SCM/N/95/HUN
Page 72
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To promote organic production and environment friendly agricultural production
4. Background and authority for the subsidy
Decree 15/2001 ( III. 3.) FVM of the Minister of Agriculture and Rural Development, 109.-
115. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
Grant for the period of transition, maximum three years.
75 per cent of the cost of plant and soil test, quality control
40 per cent of the cost of organic fertiliser, special plant protection chemicals, quality seeds
Maximum HUF 8 million grant for establishment of environment protection pilot projects
Payments under this programme amounted to HUF 73 million during the period covered by
the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.21 Assistance to stabilisation of the cereal market
1. Title of the subsidy programme
Assistance to stabilisation of the cereal market
2. Period covered by the notification
2002G/SCM/N/95/HUN
Page 73
3. Policy objective and/or purpose of the subsidy
To prolong the period of sale in order to establish better market conditions and prices, to
facilitate access to bank loans.
4. Background and authority for the subsidy
Decree 46/1997 (VI. 25.) FM of the Minister of Agriculture
5. Form of the subsidy
Grant
Interest subsidy
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
Interest subsidy to cover 70 per cent of the cost for producers who placed their crop in public
storage.
Storage support: HUF 10 per ton per week
Payments under this programme amounted to HUF 51 million during the period covered by
the notification.
8. Duration of the subsidy
1 January 1998 to 19 January 1999
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.22 Intervention assistance to producers of wheat for feeding purposes for selling their crop
Phased out
4.23 Assistance to the maintenance and development of the statistical data-bases of
producers’ councils
1. Title of the subsidy programme
Assistance to the maintenance and development of the statistical data-bases of producers’
councils
2. Period covered by the notification
2002G/SCM/N/95/HUN
Page 74
3. Policy objective and/or purpose of the subsidy
Statistical monitoring of the agricultural sector.
4. Background and authority for the subsidy
Decree 102/2001 (XII.16.) 185. § FVM of the Minister of Agriculture and Regional
Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers’ councils
7. Subsidy per unit or the total amount
Payments under this programme amounted to HUF 117 million during the period covered by
the notification.
8. Duration of the subsidy
From 16 December 2001 to 23 January 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.24 Assistance to the improvement of competitiveness
Phased out.
4.25 Assistance to the reduction of costs relating to the rental of agricultural land
Phased out
4.26 Assistance to socially disadvantaged agricultural communities
1. Title of the subsidy programme
Assistance to socially disadvantaged agricultural communities
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To provide assistance to socially disadvantaged agricultural communities for local family
farming.G/SCM/N/95/HUN
Page 75
4. Background and authority for the subsidy
Decree 102/2001 (XI. 16.) FVM of the Minister of Agriculture and Regional Development,
174.-176. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Local governments
7. Subsidy per unit or the total amount
50 per cent of the cost of purchasing seed, breeding animals, propagating material and
agricultural services.
Payments under this programme amounted to HUF 56 million during the period covered by
the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.27 Assistance to the construction and modernisation of rural roads
Phased out
4.28 Assistance to the service of field wardens
1. Title of the subsidy programme
Assistance to the establishment of field warden services
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To ensure the establishment and efficient operation of field wardens.
4. Background and authority for the subsidy
Decree 13/2001 (II. 23.) FVM and PM of the Minister of Agriculture and Regional
Development and Minister of FinanceG/SCM/N/95/HUN
Page 76
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Local governments
7. Subsidy per unit or the total amount
Grant for establishment: 50 per cent of the cost of establishment and operation of field warden
service.
Payments under this programme amounted to HUF 377 million during the period covered by
the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.29 Assistance to young farmers (and to the employment of young agricultural experts)
1. Title of the subsidy programme
Assistance to young farmers and to the employment of young agricultural experts
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To encourage the agricultural activities of young farmers and the employment of young
agricultural experts.
4. Background and authority for the subsidy
Decree 102/2001 (XI. 16.) FVM of the Minister of Agriculture and Regional Development,
279-293. §
5. Form of the subsidy
Grant
Interest subsidy
6. To whom and how the subsidy is provided
Producers under the age of 40 cultivating maximum 300 hectares,G/SCM/N/95/HUN
Page 77
Agricultural firms with returns over HUF 30 million per year, purchasing and sales co-
operatives with more than 20 members, producing and sales co-operatives, non-profit organisations
providing machinery service to agriculture with more than 50 members employing young agricultural
experts.
7. Subsidy per unit or the total amount
Assistance to young farmers:
Grant :30 per cent of the purchase price or investment cost of buying land, on-farm facilities,
animals, feed stuffs, fertilisers.
The maximum amount of grant per farmer is HUF 15 million.
Interest subsidy: 80 per cent of the basic interest rate of the National Bank of Hungary on
loans up to HUF 22,5 million, maximum 45 per cent of the cost of the investment received for the
above-mentioned purposes for maximum ten years.
For employing young agricultural experts:
Grant, minimum wage for 36 months
One organisation can apply only for the employment of one expert
Payments under this programme amounted to HUF 385 million during the period covered by
the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.30 Assistance to agricultural employment
Phased out
4.31 Assistance to the school milk programme
Phased out
4.32 Assistance to the purchasing of the required amount of the maize for feeding purposes
1. Title of the subsidy programme
Assistance to the purchasing of the required amount of maize for feeding purposes
2. Period covered by the notification
2002G/SCM/N/95/HUN
Page 78
3. Policy objective and/or purpose of the subsidy
To ensure an adequate supply of maize for feeding purposes
4. Background and authority for the subsidy
Decree 100/1999 (XI. 14.) FVM of the Minister of Agriculture and Regional Development
5. Form of the subsidy
Grant
Interest subsidy
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
Interest subsidy of 100 per cent of the basic interest rate of the National Bank of Hungary.
Storage support: HUF 15 per ton per week
Payments under this programme amounted to HUF 2.4 million during the period covered by
the notification.
8. Duration of the subsidy
From 4 November 1998 to 30 September 2000
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.33.1 Additional assistance to the storage of maize harvested in 1998 for feeding purposes in
public warehouses
Phased out
4.33.2 Assistance to the storage of maize for feeding purposes harvested in 1999 in public
warehouses
Phased out
4.33.3 Assistance to the storage of maize for feeding purposes harvested in 2001 in public
warehouses
1. Title of the subsidy programme
Additional assistance to the storage of maize for feeding purposes harvested in 2001 in public
warehousesG/SCM/N/95/HUN
Page 79
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To provide assistance to the storage of maize harvested in 2001 in public warehouses.
4. Background and authority for the subsidy
Decree 74/2001 (X. 11.) FVM of the Minister of Agriculture and Regional Development
5. Form of the subsidy
Interest subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
Interest subsidy of 100 per cent of the basic interest rate of the National Bank of Hungary on
loans which have the stored commodity as collateral.
Storage support: HUF 15 per ton per week, for a period of maximum one year.
Payments under this programme amounted to HUF 1333 million during the period covered by
the notification.
8. Duration of the subsidy
From 11 October 2001
Duration has not been specified.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.34.Wheat exchange transaction
Phased out.
4. 35 Assistance to the purchase of wheat seed for the 1998 autumn sowing
Phased outG/SCM/N/95/HUN
Page 80
4.36 Interest subsidy to loans received for the purchase of apple in bulk harvested in 1997 for
processing purposes
Phased out
4.37 Interest subsidy on loans received for the purchase of apple in bulk harvested in 1998
Phased out
4.38 Intervention assistance to the selling of wheat for feeding purposes
Phased out
4.39 Market intervention related to the duck production
Phased out.
4.40 Quality-linked support to the production of sugar beet
1. Title of the subsidy programme
Quality-linked support to the production of sugar beet
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To encourage quality production
4. Background and authority for the subsidy
15/2001. (III. 3.) FVM of the Minister for Agriculture and Regional Development
5 Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
HUF 25 000 per ha
Payment under this programme amounted to HUF 310 million during the period covered by
the notification.
8. Duration of the subsidy
From 3 March to 31 December 2001G/SCM/N/95/HUN
Page 81
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.41 Emergency income support to certain producers of cereals
Phased out
4.42 Assistance to reduce certain sanitary and phytosanitary costs
1. Title of the subsidy programme
Assistance to reduce the sanitary- and phytosanitary costs.
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To reduce the sanitary and phytosanitary costs.
4. Background and authority for the subsidy
Decree 6/2000. (II.26.) FVM, § 182, 186 § 189, §190; §191, §192, FVM of the Minister of
Agriculture and Regional Development
Decree 15/2001 (III.3.) FVM §181, §186; §372, § 373, §200 § 190, §193, §196, §199,-201,
FVM of the Minister of Agriculture and Regional Development
Decree 89/2001 (X.29.) FVM of the Minister of Agriculture and Regional Development
Decree 92/2001 (XI.7.) FVM of the Minister of Agriculture and Regional Development
Decree 102/2001 (XII. 16.) §196, §199, §200, §203, §209, §210-213, §215-222, §232, FVM of the
Minister of Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
Sanitary cost compensation:
medical costs of bee colonies Maximum HUF 1000 per colony
vaccination for pig for slaughter HUF 1300-1500 per animal
pig for slaughter HUF 100-227 per animal
cattle for slaughter HUF 350-500 per animal
poultry for slaughter HUF 2.2 per kg
rabbit for slaughter HUF 2.2 per kg
HUF 12 per animal (veterinary control)
game HUF 120 per kgG/SCM/N/95/HUN
Page 82
duck HUF 20-22 per animal
goose HUF 33 per animal
medical costs of bee colonies Maximum HUF 500 per colony
waste management :
pig HUF 26 per kg
cattle HUF 26 per kg
poultry HUF 26 per kg
rabbit HUF 26 per kg
medical control for sheep and
goat for slaughter HUF 40 per animal
Phytosanitary cost compensation
seed production 50 per cent of the phytosanitary costs
grain, maize, flour and feed stuffs 75-90 per cent of the phytosanitary costs
arable and horticultural areas
and nurseries 50 per cent of the phytosanitary costs
propagating material of forestry tree
species 70 per cent of the phytosanitary costs
herbaceous plants and spice crops 50 per cent of phytosanitary costs
Payments under this programme amounted to HUF 8,549 million during the period covered
by the notification.
8. Duration of the subsidy
From 26 February 2000 to 23 January 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.43 Assistance to the production of sowing seed
1. Title of the subsidy programme
Assistance to the production of sowing seed
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To reduce the cost of the sowing seed production.G/SCM/N/95/HUN
Page 83
4. Background and authority for the subsidy
Decree 102/2001 (XII. 16.) FM of the Minister of Agriculture
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
50 per cent of the cost of qualification
Payments under this programme amounted to HUF 90.5 million during the period covered by
the notification.
8. Duration of the subsidy
From 16 December 2001 to 23 January 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.44 Assistance to the purchase of the required amount of cereals for feeding and of wheat
for milling purposes
Phased out
4.45 Assistance to the storage in public warehouse of wheat harvested in 1998
Phased out
4.46 Assistance to introduce the HACCP system of quality management
1. Title of the subsidy programme
Assistance to introduce the HACCP system of quality management and food safety
2. Period covered by the notification
2002
4. Background and authority for the subsidy
Decree 6/2000 §169 FVM Minister of Agriculture and Regional Development
Decree 15/2001 §177 FVM Minister of Agriculture and Regional Development
Decree 102/2001 §187 FVM Minister of Agriculture and Regional DevelopmentG/SCM/N/95/HUN
Page 84
6. To whom and how the subsidy is provided
Companies dealing with retail or wholesale business
7. Subsidy per unit or the total amount
Maximum 50 per cent of the costs.
Payments under this programme amounted to HUF 133 million during the period covered by
the notification.
8. Duration of the subsidy
From 26 February 2000 to 23 January 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.47 Intervention support to maintain the EU approved level of hygiene of pig and cattle
slaughterhouses
Phased out
4.48 Assistance to organisations producing and selling fruit and vegetables
Phased out
4.49 Assistance to research and development of co-operatives
Phased out
4.50 Assistance to programmes of agricultural structure and rural development
Phased out
4.51 Assistance to technical development
Phased out
4.52 Assistance to genetic development
Phased out
4.53 Assistance to plant protection against the damage caused by non-indigenous disease
1. Title of the subsidy programme
Assistance to plant protection against non-indigenous disease
2. Period covered by the notification
2002G/SCM/N/95/HUN
Page 85
3. Policy objective and/or purpose of the subsidy
Assistance to the additional plant protection costs caused by non-indigenous disease
4. Background and authority for the subsidy
Decree 102/2001 (XI. 16.) FVM of the Minister of Agriculture and Regional Development,
412.-416. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Organisations, producers
7. Subsidy per unit or the total amount
100 per cent of the costs of chemicals used for plant protection against non-indigenous
disease.
Payments under this programme amounted to HUF 76 million during the period covered by
the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.54 Assistance to regional development
4.54.1 Assistance to territorial development
1. Title of the subsidy programme
Assistance to regional (territorial) development
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
Assistance to regional development, especially:
Investments creating new employment opportunities
Investment for keeping labour in regions with high unemployment rateG/SCM/N/95/HUN
Page 86
Preparing researches, programmes for developing of local social organisations and
economical development
Development of infrastructure (energy, transportation, sewage disposal, canalisation, dam, in-
land waterway, establishment of fish ponds etc.)
Innovation and logistic centres, industrial parks
Development of human resources
Preparing regional development programmes for Roma population
Development of tourism in villages and recreation areas
Research and development programmes related to regional programmes
Handling of problems arising form closing carbon mines
Development of utilisation of agricultural products for non-food purposes
4. Background and authority for the subsidy
Decree 89/2001 (VI. 15.) Korm. of the Government
5. Form of the subsidy
Grant
Interest subsidy
6. To whom and how the subsidy is provided
Inhabitants, organisations
7. Subsidy per unit or the total amount
The amount of grant is 30 to 70 per cent of the cost of investment
Payments under this programme amounted to HUF 13,863 million during the period covered
by the notification.
8. Duration of the subsidy
From 18 June to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.54.2 Assistance to rural development
1. Title of the subsidy programme
Assistance to rural development
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
Assistance to regional development, especially:G/SCM/N/95/HUN
Page 87
Development programmes for changing the agricultural structure, developing the region
Sustainable development in regions with special ecological advantages
Diversification and development of alternative activities in order to increase the income of the
inhabitants
Saving the natural and artificial environment
Environment protective, ecological development programmes
Development of agri-tourism,
Saving traditional handmade works
Development of production and processing of foods based on local traditions,
Development of agricultural productions for non-food utilisation
Development of villages, preservation the rural traditions
4. Background and authority for the subsidy
Decree 104/2001 (VI. 21.) Korm. of Government and 50/2001 (VII. 21) FVM of the Minister
of Agriculture and Regional Development.
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Inhabitants, organisations
7. Subsidy per unit or the total amount
Payments under this programme amounted to HUF 6,955 million during the period covered
by the notification.
8. Duration of the subsidy
From 29 June to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.55 Payments for relief from damage caused by wild animals
Phased out
4.56 Assistance to the market of pig for slaughter
Phased out
4.57 Assistance to the storage in public warehouse of barley, rye and triticale harvested in
1998
Phased out.G/SCM/N/95/HUN
Page 88
4.58 Area-based payment for crop production
1. Title of the subsidy programme
Area based payment for crop production
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To assist the crop production, to increase the income potential of small farms, to moderate the
disadvantage of small-scale farming.
4. Background and authority for the subsidy
Decree 102/2001 (XI.16.) FVM of the Minister of Agriculture and Regional Development, 4.-
14. §
5. Form of the subsidy
Grant
Interest subsidy:
Government guarantee
6. To whom and how the subsidy is provided
Producers
Payments per hectare of arable crops, grassland, orchards and vineyards to all farms from 1 to
10 hectares.
Payments per hectare of cereals, maize, protein feeding crops and oilseeds to all farms from
10 to 300 hectares.
Payments per hectare of rice, hemp and oil seeds for organic energy production without
limitation on farm size.
7. Subsidy per unit or the total amount
Grant:
1,00 to 20,00 hectares HUF 12 000 per hectare
1.00 to 10.00 hectares HUF 12,000 per hectare
10.01 to 300.0 hectares HUF 8,000 per hectare
Rice: HUF 35,000 per hectare
Hemp: HUF 8,000 per hectare
Organic energy oil
produced from oilseeds HUF 30 per litre
Interest subsidy:
For producers cultivating 1.00 to 300.00 hectares, for the purposes of buying quality seeds
and fertiliser:G/SCM/N/95/HUN
Page 89
100 per cent of the interest on loan granted for maximum one year,
government guarantee for 80 per cent of the loan,
maximum HUF 15,000 per hectare.
Payments under this programme amounted to HUF 19,851 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4. 59 Assistance to the quality control of certain foods
1. Title of the subsidy programme
Assistance to quality control of certain foods
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To provide assistance to the quality control of certain foods
4. Background and authority for the subsidy
Decree 6/2000 (II.26.) §196-197; FVM Minister of Agriculture and Regional Development
Decree 15/2001 (III.3.) §190, 203-206, 208, FVM Minister of Agriculture and Regional
Development
Decree 102/2001 (XII.16.) §223, 224, 226, 228, 204-206, 208 FVM Minister of Agriculture
and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
50 per cent of the costs of the quality control
Payments under this programme amounted to HUF 667 million during the period covered by
the notification.G/SCM/N/95/HUN
Page 90
8. Duration of the subsidy
From 26 February 2000 to 23 January 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.60 Assistance to the testing of agricultural machines and technology
1. Title of the subsidy programme
Assistance to testing of agricultural machines and technological equipment
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
Assistance to testing of agricultural machines and technological equipment
4. Background and authority for the subsidy
Decree 102/2001 (XI.16.) FVM. of the Minister of Agriculture and Regional Development,
278. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Technical Development Institute of the Ministry of Agriculture and Regional Development
7. Subsidy per unit or the total amount
90 per cent of the cost
No payments occurred under this programme during the period covered by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.G/SCM/N/95/HUN
Page 91
4.61 Assistance to the trade of products originating from the ecological fishing of silver carp
in Lake Balaton
1. Title of the subsidy programme
Assistance to the trade of products originating from the ecological fishing of silver carp in
Lake Balaton.
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To support the ecological fishing of silver carp.
4. Background and authority for the subsidy
15/2001 (III.3.) §185 FVM of the Minister for Agriculture and Regional Development
102/2001 (XII.16.) §231 FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
HUF 250 per kg
Payments under this programme amounted to HUF 47 million during the period covered by
the notification.
8. Duration of the subsidy
From 3 March 2001 to 23 January 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.62 Quality-linked support to the production of game meat
1. Title of the subsidy programme
Quality-linked support to the production of game meat
2. Period covered by the notification
2002G/SCM/N/95/HUN
Page 92
3. Policy objective and/or purpose of the subsidy
To encourage quality production.
4. Background and authority for the subsidy
102/2001 (XII.26.) §246 FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
big wild animals: HUF 90 per kg
small wild animals: HUF 70 per animals
Payments under this programme amounted to HUF 105 during the period covered by the
notification.
8. Duration of the subsidy
From 1 January 2002 to 23 January 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.63 Assistance to on-farm education
1. Title of the subsidy programme
Assistance to the investments of on-farm education, pilot projects, extension service centres.
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
Assistance to the investments of on-farm education, pilot projects and extension service
centres.
4. Background and authority for the subsidy
Decree 102/2001 (XI.16.) FVM. of the Minister of Agriculture and Regional Development,
266.-267. §G/SCM/N/95/HUN
Page 93
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Farms of educational organisations
Producers entitled to operate pilot project
7. Subsidy per unit or the total amount
Maximum amount of the grant per project is
For on-farm education of universities HUF 30 to 60 million
For pilot projects HUF 5 million
For on-farm education of secondary schools founded
by the Ministry of Agriculture and Regional Development HUF 30 million
The maximum amount of the grant is:
90 per cent of the operation cost of secondary schools not founded by the Ministry
50 per cent of the operation cost of pilot projects
Payments under this programme amounted to HUF 730 million during the period covered by
the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.64.1 Assistance to the storage in public warehouse of wheat harvested in 1999
Phased out
4.64.2 Assistance to the storage in public warehouse of wheat harvested in 2001
1. Title of the subsidy programme
Assistance to the storage in public warehouse of wheat harvested in 2001.
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To ensure an adequate level of supply.G/SCM/N/95/HUN
Page 94
4. Background and authority for the subsidy
Decree 46/2001 (VI. 25.) §3 FVM of the Minister of Agriculture and Regional Development
5. Form of the subsidy
Grant
Interest subsidy
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
Interest subsidy:
100 per cent
Storage support: HUF 15 per ton per week
Payments under this programme amounted to HUF 1707 million during the period covered by
the notification.
8. Duration of the subsidy
From 25 June 2001
Duration of the subsidy has not been specified.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.64.3 Assistance to the storage in public warehouse of wheat harvested in 2002
1. Title of the subsidy programme
Assistance to the storage in public warehouse of wheat harvested in 2002.
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To ensure an adequate level of supply.
4. Background and authority for the subsidy
Decree 56/2002 (VII. 17.) FVM of the Minister of Agriculture and Regional Development
5. Form of the subsidy
Grant
Interest subsidyG/SCM/N/95/HUN
Page 95
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
Interest subsidy:
100 per cent
Storage support: HUF 15-20 per ton per week
Payments under this programme amounted to HUF 182 million during the period covered by
the notification.
8. Duration of the subsidy
From 17 June 2002.
Duration of the subsidy has not been specified.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.65 Assistance to agricultural research institutes with research and development activities
Phased out
4.66 Assistance to establish facilities of inland waterways
1. Title of the subsidy programme
Assistance to establish of facilities of inland waterways on arable land
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
Assistance to modernisation, operation of facilities of inland waterways on arable land.
4. Background and authority for the subsidy
Decree 102/2001 (XI.16.) FVM. of the Minister of Agriculture and Regional Development,
307.-315 §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Local governments, water associationsG/SCM/N/95/HUN
Page 96
7. Subsidy per unit or the total amount
75 per cent of the cost of investment for associations
100 per cent of the cost of investment for local governments
Payments under this programme amounted to HUF 4,457 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.67 Quality-linked support for maize for human consumption
1. Title of the subsidy programme
Quality-linked support for maize for human consumption
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To provide assistance to the quality production of maize for human consumption.
4. Background and authority for the subsidy
15/2001 (III. 3.) §210 FVM of the Minister for Agriculture and Regional Development
102/2001 (XII. 16.) §234 FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
HUF 5 per kg. The maximum eligible quantity is 400 000 tons
Payment under this programme amounted to HUF 2,348 million during the period covered by
the notification.G/SCM/N/95/HUN
Page 97
8. Duration of the subsidy
From 3 March 2001 to 23 January 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.68 Assistance to maintain the quality of processed pork and beef
1. Title of the subsidy programme
Assistance to maintain the quality of processed pork and beef
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
Assistance to compensate the cost of packaging, hygienic control and refrigeration
4. Background and authority for the subsidy
80/2002 (VIII.30.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
100 per cent of the costs
The maximum eligible amount is HUF 1500 million
Payments under this programme amounted to HUF 1,232 million during the period covered
by the notification.
8. Duration of the subsidy
From 30 August 2002 to 14 May 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.G/SCM/N/95/HUN
Page 98
4.69 Assistance to the production of apple in bulk delivered for processing to food industry in
2002
1. Title of the subsidy programme
Assistance to the production of apple in bulk delivered for processing to the food industry in
2002.
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To stabilise and support the agricultural income and prices
4. Background and authority for the subsidy
Decree 94/2002 (X.7.) FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
HUF 5/per kg
Payments under this programme amounted to HUF 1,130 million during the period covered
by the notification.
8. Duration of the subsidy
From 12 October 2002
Duration of the subsidy has not been specified.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.70 Assistance to the implementation of the National Agricultural Environment Protection
Programme
1. Title of the subsidy programme
Assistance to the implementation of the National Agricultural Environment Protection
ProgrammeG/SCM/N/95/HUN
Page 99
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
Assistance to the environment protection in agriculture
4. Background and authority for the subsidy
Decree 102/2001 (XI. 16.) FVM of the Minister of Agriculture and Regional Development,
135.-143. §
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers, organisations engaged to fulfil the requirements of the Program for at least five
years.
7. Subsidy per unit or the total amount
For Agricultural Environment Protection Basic Programme
(soil protecting cultivation): HUF 18,000 per hectare
For integrated crop production:
For field vegetables: HUF 30,000 per hectare
For pomaceous fruits: HUF 50,000 per hectare
For drupe and berry fruits: HUF 40,000 per hectare
For grape (vineyard): HUF 40,000 per hectare
For organic production:
For the transition period:
For field crops: HUF 25,000 per hectare
For vegetable: HUF 30,000 per hectare
For orchard: HUF 40,000 per hectare
For vineyard: HUF 40,000 per hectare
For grassland: HUF 10,000 per hectare
For transited area:
For field crops: HUF 15,000 per hectare
For vegetable: HUF 18,000 per hectare
For orchard: HUF 20,000 per hectare
For vineyard: HUF 20,000 per hectare
For grassland: HUF 8,000 per hectare
For grassland programme: HUF 8,000 per hectare
For wetland programme: HUF 8,000 per hectareG/SCM/N/95/HUN
Page 100
For zonal agricultural environment protection
programmes: HUF 10,000 to 40,000 per hectare
For grassland, organic production and zonal agricultural environment protection
programme:
For cattle: HUF 6,000 to 10,000 per animal
For sheep: HUF 1,000 to 2,000 per animal
For pig: HUF 2,000 per animal
For preparing agricultural environment protective production plans:
Farm size:
Up to 10.00 hectares: 90 per cent of the cost, maximum HUF 50,000
10.01-100.00 hectares: 90 per cent of the cost, maximum HUF 70,000
Over 100.00 hectares: 90 per cent of the cost, maximum HUF 100,000
For training programmes connected to agricultural environment protection:
HUF 400,000 per training programme
For pilot projects connected to agricultural environment protection:
Maximum HUF 8 million
Payments under this programme amounted to HUF 1,116 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.71 Additional assistance for family farms
1. Title of the subsidy programme
Additional assistance for family farms
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To foster family farms with additional supportG/SCM/N/95/HUN
Page 101
4. Background and authority for the subsidy
Decree 102/2001 (XI. 16.) FVM of the Minister of Agriculture and Regional Development,
417. §, Decree 317/2001 (XII. 29) Korm. of Government and Decree 326/2001 (XII. 30) Korm. of
Government.
5. Form of the subsidy
Grant
Interest subsidy
6. To whom and how the subsidy is provided
Family farms (farms up to 300 hectares)
7. Subsidy per unit or the total amount
Additional grant connected to other programmes:
Plus 10 per cent of the cost of investment
“Assistance to the purchase and leasing of agricultural machinery” 4.1.3-4.1.4
“Assistance to the establishment of vineyards and orchards” 3.7
“Assistance to the modernisation and construction of buildings of forestry, game husbandry,
fishery and agriculture” 3.6.3
“Assistance to the investments of horticulture”
Additional grant connected to the program of “Area-based payment for crop production”
For vineyards and orchards,
0.5 to 10.00 hectares
(if the producers has maximum
10.00 hectares arable land): Plus HUF 8,000 per hectare
For cereals and oilseeds,
10.01 to 300.00 hectares: Plus HUF 8,000 per hectare
For protein feeding crops,
10.01 to 300 hectares: Plus HUF 12,000 per hectare
Interest subsidy:
For purchasing land up to 300 hectares:
Up to 100 hectares: 100 per cent of the interest rate for the loan granted for at least 10,
maximum 20 years.
Over 100 hectares: 50 per cent of the interest rate for the loan granted for at least 10,
maximum 20 years.
The maximum amount of the loan is 100 per cent of the cost, HUF 1 to 300 million.G/SCM/N/95/HUN
Page 102
For purchasing or development of premises, establishment of vineyards and orchards,
purchasing of agricultural machinery:
50 per cent of the interest rate for the loan granted for maximum 15 years.
The maximum amount of the loan is 50 to 75 per cent of the cost, HUF 10 to 300 million.
For current assets:
75 per cent of the interest rate for the loan up to HUF 10 million.
50 per cent of the interest rate for the loan over HUF 10 million
Payments under this programme amounted to HUF 7,992 million during the period covered
by the notification.
8. Duration of the subsidy
From 1 January to 31 December 2002
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.72 Quality-linked support of tomato for industrial purposes
1. Title of the subsidy programme¨
Quality-linked support for tomato for industrial purposes
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To provide assistance to the quality production of tomato
4. Background and authority for the subsidy
15/2001 (III. 3..) §134 FVM of the Minister for Agriculture and Regional Development
102/2001 (XII. 16.) §234 FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
ProducersG/SCM/N/95/HUN
Page 103
7. Subsidy per unit or the total amount
HUF 12 per kg for tomato destinated for the refrigeration industry, HUF 8 per kg for tomato
destined for the canning industry.
Payments under this programme amounted to HUF 1,794 million during the period covered
by the notification.
8. Duration of the subsidy
From 3 March 2001 to 23 January 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.73 Quality-linked support for red pepper
1. Title of the subsidy programme
Quality-linked support for red pepper
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To provide assistance to the quality production of red pepper.
4. Background and authority for the subsidy
15/2001 (III. 3.) §210 FVM of the Minister for Agriculture and Regional Development
102/2001 (XII.16.) §234 FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
HUF 7-11 per kg.
The maximum eligible quantity is 40 000 t
Payments under this programme amounted to HUF 515 million during the period covered by
the notification.G/SCM/N/95/HUN
Page 104
8. Duration of the subsidy
From 3 March 2001 to 23 January 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.74 Quality-linked support for onion
1. Title of the subsidy programme
Quality-linked support for onion
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To provide assistance to the quality production of onion
4. Background and authority for the subsidy
15/2001 (III. 3.) §210 FVM of the Minister for Agriculture and Regional Development
102/2001 (XII.16.) §234 FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
Producers: HUF 7-7.7 per kg
The maximum eligible quantity is 40 000 tons
Payments under this programme amounted to HUF 446 million during the period covered by
the notification.
8. Duration of the subsidy
From 3 March 2001 to 23 January 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.G/SCM/N/95/HUN
Page 105
4.75 Quality-linked support for pea
1. Title of the subsidy programme
Quality-linked support for pea
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To provide assistance to the quality production of pea
4. Background and authority for the subsidy
102/2001 (XII. 16) §234 FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
HUF 10-11 per kg.
Payment under this programme amounted to HUF 602 million during the period covered by
the notification.
8. Duration of the subsidy
From 16 December 2001 to 23 January 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.76 Quality-linked support for cucumber
1. Title of the subsidy programme
Quality-linked support for cucumber
2. Period covered by the notification
2002G/SCM/N/95/HUN
Page 106
3. Policy objective and/or purpose of the subsidy
To provide assistance to the quality production of cucumber
4. Background and authority for the subsidy
102/2001 (XII. 16) §234 FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
HUF 25-27.5 per kg . The maximum eligible quantity is 50 000 tons
Payment under this programme amounted to HUF 1252 million during the period covered by
the notification.
8. Duration of the subsidy
From 16 December 2001 to 23 January 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A
4.77 Quality-linked support for fruits
4.77.1 Quality-linked support for cherry and sour cherry
1. Title of the subsidy programme
Quality-linked support for cherry and sour cherry
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To provide assistance to the quality production of cherry and sour cherry
4. Background and authority for the subsidy
102/2001 (XII. 16) §234 FVM of the Minister for Agriculture and Regional DevelopmentG/SCM/N/95/HUN
Page 107
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
HUF 10-11 per kg. The maximum eligible quantity is 20 000 tons
Payment under this programme amounted to HUF 1575 million during the period covered by
the notification.
8. Duration of the subsidy
From 16 December 2001 to 23 January 2003
9., Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
4.77.2 Quality-linked support for raspberry
1. Title of the subsidy programme
Quality-linked support for raspberry
2. Period covered by the notification
2002
3. Policy objective and/or purpose of the subsidy
To provide assistance to the quality production of raspberry.
4. Background and authority for the subsidy
102/2001 (XII. 16) §234 FVM of the Minister for Agriculture and Regional Development
5. Form of the subsidy
Grant
6. To whom and how the subsidy is provided
Producers
7. Subsidy per unit or the total amount
HUF 35-38.5 per kg . The maximum eligible quantity is 6 000 tonsG/SCM/N/95/HUN
Page 108
Payment under this programme amounted to HUF 94 million during the period covered by the
notification.
8. Duration of the subsidy
From 16 December 2001 to 23 January 2003
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
5. CORPORATE TAX CONCESSIONS TO ASSIST STRUCTURAL ADJUSTMENT
AND ECONOMIC DEVELOPMENT
5.1 Corporate Tax Concession for Companies with Foreign Participation
1. Title of the subsidy programme
Corporate tax concession for companies with foreign participation
2. Period covered by the notification
2002
7. Subsidy per unit or the total amount
The support, including that granted under 5.2, amounted to HUF 17,1 billion.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
5.2. Tax Concession for Dividend Invested in Hungary by Foreign Shareholders
1. Title of the subsidy programme
Tax concession for dividend invested in Hungary by foreign shareholders.
2. Period covered by the notification
2002
7. Subsidy per unit or the total amount
See under 5.1
This tax benefit may be applied for the last time to dividends due from the 1993 profit.
9. Statistical data permitting an assessment of the trade effects of the subsidy.
N.A.G/SCM/N/95/HUN
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5.3 Tax Concession in Entrepreneurial Zone
1. Title of the subsidy programme
Tax concession in entrepreneurial zone
2. Period covered by the notification
2002
7. Subsidy per unit or the total amount
The tax concession, including that under 5.12, was HUF 1,1 billion.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
5.4 Tax Concession Related to Regional Investments
1. Title of the subsidy programme
Tax concession related to regional investments
2. Period covered by the notification
2002
7. Subsidy per unit or the total amount
The concession accounted for HUF 5 billion.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
5.5 Tax Concession for Investments Exceeding 1 Billion HUF
1. Title of the subsidy programme
Tax concession for investments exceeding 1 billion HUF
2. Period covered by the notification
2002
7. Subsidy per unit or the total amount
HUF 11,7 billion.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.G/SCM/N/95/HUN
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5.6 Tax Concession for Investments Exceeding 3 Billion HUF
1. Title of the subsidy programme
Tax concession for investments exceeding 3 billion HUF
2. Period covered by the notification
2002
7. Subsidy per unit or the total amount
HUF 8,1 billion
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
5.7 Tax Concession for Investments Exceeding 10 Billion HUF
1. Title of the subsidy programme
Tax concession for investments exceeding 10 billion HUF
2. Period covered by the notification
2002
7. Subsidy per unit or the total amount
HUF 20,5 billion.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
5.8 Tax Concession to Promote Structural Adjustment
1. Title of the subsidy programme
Tax concession to promote structural adjustment
2. Period covered by the notification
2002
7. Subsidy per unit or the total amount
The tax concession, including that under 5,9, amounted to HUF 25,6 million.G/SCM/N/95/HUN
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9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
5.9 Tax Concession for Bank Credits Financing Other Investments
1. Title of the subsidy programme
Tax concession for bank credits financing other investments
2. Period covered by the notification
2002
7. Subsidy per unit or the total amount
See 5.8.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
5.10 Tax Rate Relief for Foreign Investors
1. Title of the subsidy programme
Tax rate relief for foreign investors
2. Period covered by the notification
2002
7. Subsidy per unit or the total amount
The foreign investor may take advantage of a preferential 3 per cent tax rate.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
5.11 Tax Concession Related to Investments
1. Title of the subsidy programme
Tax concession related to investments
2. Period covered by the notification
2002
7. Subsidy per unit or the total amount
HUF 2,6 billion.G/SCM/N/95/HUN
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9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
5.12 Tax Concession in Regions of High Priority
1. Title of the subsidy programme
Tax concession in regions of high priority
2. Period covered by the notification
2002
7. Subsidy per unit or the total amount
See 5.3
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
5.13 Tax Relief for Projects of Micro and Small Enterprises
1. Title of the subsidy programme
Tax relief for projects of micro and small enterprises
2., Period covered by the notification
2002
7. Subsidy per unit or the total amount
The tax relief is equal to the total amount of the project costs, but may not be higher than
HUF 30 million.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
5.14 Tax Concession for Small and Medium Sized Enterprises
1. Title of the subsidy programme
Tax concession for small and medium sized enterprises
2. Period covered by the notification
2002G/SCM/N/95/HUN
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7. Subsidy per unit or the total amount
HUF 1,8 billion.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
6. CENTRAL FUND FOR TECHNICAL DEVELOPMENT
1. Title of the subsidy programme
Central fund for technical development
2. Period covered by the notification
2002
7. Subsidy per unit or the total amount
HUF 10,2 billion.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
7. TERRITORIAL DEVELOPMENT FUND
1. Title of the subsidy programme
Territorial development fund
2. Period covered by the notification
2002
7. Subsidy per unit or the total amount
HUF 19,- billion.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
8. BUDGETARY SCHEME EARMARKED FOR ECONOMIC DEVELOPMENT
1. Title of the subsidy programme
Budgetary scheme earmarked for economic development
2. Period covered by the notification
2002G/SCM/N/95/HUN
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7. Subsidy per unit or the total amount
HUF 21,8 billion
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
9. MINING CONVERSION PROGRAMME
1. Title of the subsidy programme
Mining conversion programme
2. Period covered by the notification
2002
7. Subsidy per unit or the total amount
HUF 2,7 billion.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
10. CENTRAL ENVIRONMENT PROTECTION FUND
1. Title of the subsidy programme
Central environment protection fund
2. Period covered by the notification
2002
7. Subsidy per unit or the total amount
HUF 32,8 billion
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
11. BUDGETARY SCHEME EARMARKED FOR THE DEVELOPMENT OF SMALL
AND MEDIUM SIZED ENTERPRISES
1. Title of the subsidy programme
Budgetary scheme earmarked for the development of small and medium sized enterprises.G/SCM/N/95/HUN
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2. Period covered by the notification
2002
7. Subsidy per unit or the total amount
HUF 17,2 billion.
9. Statistical data permitting an assessment of the trade effects of the subsidy
N.A.
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