WORLD TRADE
ORGANIZATIONG/AG/N/CAN/38
15 September 2000
(00-3660)
Committee on Agriculture Original:  English/
French
NOTIFICATION
The attached notification concerning new or modified domestic support measures exempt
from reduction (Table DS:2)  was received from the delegation of Canada  on 12 September 2000.G/AG/N/CAN/38
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Table DS:2
DOMESTIC SUPPORT: CANADA
Notification under Article 18:3 of the Agreement:
New or modified domestic support me asures exempt from reduction
__________________________________________________________________________________
(1) Full title of measure:
Soil Conservation Program
(2) Domestic legislation reference:
This program is given effect under The Supplementary Appropriations Act  of Prince Edward
Island.
(3) Detailed description of measure with reference to criteria:
The Soil Conservation program is a two year program designed to assist producers in
reducing soil degradation due to erosion, while achieving compliance with any new or
existing environmental protection legislation. The program provides financial incentives to
assist farmers in adopting practices that improve agricultural production while contributing tothe protection of wetlands and water courses.
Overall, a total of $70,000 is available as an incentive to land owners so they may construct
erosion control structures and convert cultivat ion practises to strip cropping on appropriate
agricultural lands.
The Soil Conservation Program provides assistance of up to 25% of the cost of the measure or
$20 per acre to convert to strip cropping.  The maximum assistance available is $7500 per
farm.  Projects eligible include: installation of grassed waterways, shelterbelts, terraces, and
hedgerows. Shelterbelts and hedgerows qualify for assistance at the rate of $0.40 per tree to a
maximum of $1500 per farm.
The program conforms to the general criteria of Paragraph 1 of Annex 2 of the Agreement on
Agriculture:
a) The program was provided through a publicly funded government program
not involving transfers from consumers; and
b) The program did not have the effect of providing price support to producers.
In addition, it meets the policy specific criteria of Paragraph 12 of Annex 2 of the Agreement
on Agriculture regarding environmental programmes:
a) The eligibility is based on the fulfillment of the construction of erosion
control structures or the conversion of cultivation practices;
b) The amount of the payment represents a portion of the costs of implementing
the measure(s).G/AG/N/CAN/38
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(4) Cost of measure:
The cost of the program is $70,000.
(5) Date of entry into effect:
The program entered into effect during the 1997-98 fiscal year (April March).
(6) Period of application:
Payments started in 1997-98 and terminated in 1998-99.
(7) Products to principally benefit (if any individual product(s)):
No products benefit from this program.G/AG/N/CAN/38
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Table DS:2
DOMESTIC SUPPORT: CANADA
Notification under Article 18:3 of the Agreement:
New or modified domestic support me asures exempt from reduction
__________________________________________________________________________________
(1) Full title of measure:
Agriculture and Environmental Resource Conservation Program (AERC)
(2) Domestic legislation reference:
This program is given effect under The Supplementary Appropriations Act  of Prince Edward
Island.
(3) Detailed description of measure with reference to criteria:
The Agriculture and Environmental Resource Conservation Program (AERC) is a three year
program designed to assist producers to achieve compliance with new or existing
environmental protection legislation.  The program will provide financial and technical
assistance for a wide range of on-farm conservation projects.
Assistance provided is in the form of an incentive that partially offsets the cost of
implementing sustainable practices identified in the Environmental Farm Plan.  Priority
compliance issues are measures to prevent manure from leaching into groundwater or
entering a watercourse; and measures to prevent discharge of eroded soil into a watercourse.The maximum assistance is up to $30,000 in any year per applicant.  Eligibility is based on
completion of an Environmental Farm Plan, including an action plan.  Payment is made after
inspection of the implementation of the measure.
The program conforms to the general criteria of Paragraph 1 of Annex 2 of the Agreement on
Agriculture:
a) The program was provided through a publicly funded government program
not involving transfers from consumers; and
b) The program did not have the effect of providing price support to producers.
In addition, it meets the policy specific criteria of Paragraph 12 of Annex 2 of the Agreement
on Agriculture regarding environmental programmes:
a) The eligibility is based on the fulfillment of the measure(s) identified in the
Environmental Farm Plan;
b) The amount of the payment represents two-thirds of the costs of
implementing the measure.
(4) Cost of measure:
The cost of the program is $1 million per year for a total of $3 million.G/AG/N/CAN/38
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(5) Date of entry into effect:
The program entered into effect on 1 April 1999.
(6) Period of application:
Payments started in the 1999-2000 fiscal year (April-March) and will terminate in 2001/02.
(7) Products to principally benefit (if any individual product(s)):
No products benefit from this program.G/AG/N/CAN/38
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Table DS:2
DOMESTIC SUPPORT: CANADA
Notification under Article 18:3 of the Agreement:
New or modified domestic support me asures exempt from reduction
__________________________________________________________________________________
(1) Full title of measure:
Programme d'appui à la concertation
(2) Domestic legislation reference:
Loi sur  le ministère de l'Agriculture, des Pêcheries et de l'Alimentation du Québec
(3) Detailed description of measure with reference to criteria:
This program provides for cooperative and collaborative market development initiatives  in
the agri-food sector in the province of Quebec.  It is comprised of four components:
1) Support for the Autonomy and Self-sufficiency of Collaborative Organizations;
2) Support for Projects Aimed at Encouraging Stakeholders to Work Together to
Achieve Common Goals;
3) Support for Partnership Agreements; and
4) Support for Implementation of Major Job Creation Projects.
The objectives of "Support for the Autonomy and Self-sufficiency of Collaborative
Organizations" (component 1) is to facilitate the creation, operation and autonomy of
collaborative organizations; to develop a common vision through strategic planning; and, to
distribute information relating to projects of the organization.  Financial assistance is
available up to 70% of the eligible expenditures of the project(s) or a maximum of $50,000
per year per organization.  (Annex 2, paragraph 2(d)).
The objective of "Support for Projects to Encourage Stakeholders to Work Together to
Achieve Common Goals" (component 2) is to enable the operation of projects aimed at
encouraging stakeholders to work together in order to incite and sustain discussion.  This
would include covering the costs of consultant s and studies aimed at developing domestic and
international markets and improving competitiveness.  Financial assistance would be up to
70% of the expenses associated with the hiring of qualified staff and of the expensesassociated with any other activity, to a maximum of $50,000 per project.  (Annex 2,
paragraph 2(f)).
The objective of "Support for Partnership Agreements" (component 3) is to enable
organizations to implement projects resulting from their strategic plans through a partnershipwith the ministère de l'Agriculture, des Pêcheries et de l'Alimentation du Québec (MAPAQ)
to facilitate research and development projects, training initiatives, technological innovation
projects, etc.  MAPAQ's participation cannot ex ceed 70% of the total project cost.  (Annex 2,
paragraph (a, c)).
The objective of "Support for Implementation of Major Job Creation Projects" (component 4)
is to assist the implementation of major job-creation projects which result from the
collaborative organizations' strategic plans for market development.   There are three sub-
components: sub-component 4.1 consists of inve stment projects, sub-component 4.2 includesG/AG/N/CAN/38
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market development initiatives, and sub-component 4.3 is intended for information-sharing
projects.  Financial assistance cannot exceed 70% of eligible expenditures, up to a maximum
of $250,000 per project.  (Annex 2, paragraph 2(d)).
The program conforms to the general criteria of Paragraph 1 of Annex 2 of the Agreement on
Agriculture:
a) The program was provided through a publicly funded government program not
involving transfers from consumers; and
b) The program did not have the effect of providing price support to producers.
In addition, it meets the policy specific criteria under various sub-components of Paragraph 2
of Annex 2 of the Agreement on Agriculture under the General Services category.
Expenditures under components 1, 2, 3 and sub-components 4.2 and 4.3 do not involve direct
payments to producers or processors.  Only those payments under component 4.1 involve
direct payments to producers or processors and have been included in the AggregateMeasurement of Support (AMS).
(4) Cost of measure:
The total cost of the program is $15 million.
(5) Date of entry into effect:
1 April 1997
(6) Period of application:
Three years
(7) Products to principally benefit (if any individual products(s)):
All agri-food products.G/AG/N/CAN/38
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Table DS:2
DOMESTIC SUPPORT: CANADA
Notification under Article 18:3 of the Agreement:
New or modified domestic support me asures exempt from reduction
__________________________________________________________________________________
(1) Complete designation of measure:
Funding of the Institut de recherche en agroenvironnement  (IRDA)
This organization is a nonprofit corporation.
(2) National reference legislation:
Act respecting the Ministère de l'Agriculture, des Pêcheries et de l'Alimentation du Québec
(3) Detailed description of measure relative to criteria
The founding members of the Institut are the Quebec Department of Agriculture, Fisheries
and Food, Quebec Department of Environm ent, Quebec Department of Industry and
Commerce, Quebec Department of Science and Technology, and the Union des producteurs
agricoles .
The objective of the Institut  is to support the development of environmental protection
know-how and technologies in a context of business competitiveness and profitability.
Institut research activities consist mainly of precompetitive research projects of a public
nature.
The program meets the following basic criteria set out in paragraph 1 of Annex 2 of the
Agreement on Agriculture:
(a) the support is provided through a publicly funded government program not involving
transfers from consumers;
(b) the support does not have the effect of providing price support to producers.In addition, the program meets the policy-specific criteria relating to research set out in
paragraph 2(a) of Annex 2 of the Agreement on Ag riculture.  There is no transfer to producers
or processors.
(4) Cost of measure:
The total cost of the program is $6.3 million.
(5) Effective date:
March 1998 - March 2001.
(6) Term:
Three yearsG/AG/N/CAN/38
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(7) Major benefiting products (where applicable, specific product(s)):
All agri-food products.G/AG/N/CAN/38
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Table DS:2
DOMESTIC SUPPORT: CANADA
Notification under Article 18:3 of the Agreement:
New or modified domestic support me asures exempt from reduction
__________________________________________________________________________________
(1) Full title of measure:
British Columbia Grazing Enhancement Fund Program
(2) Domestic legislation reference:
Grazing Enhancement Special Account (British Columbia) Act
(3) Detailed Description of Measure with reference to criteria.
The notified measure is a new program that conforms to the general criteria of Paragraph 1 of
Annex 2 of the Agreement on Agriculture:
a) the program is provided through a publicly funded government program not involving
transfers from consumers; and
b) the program does not have the effect of providing price support to producers.In addition, the new program meets the policy specific criteria under several sub-components
of Paragraph 2 of Annex 2 of the Agreement on Agriculture, "General Service Programmes";
in particular:
Paragraph 2 (a) - "research in connection with environmental programs";
Paragraph 2 (d) - "extension and advisory services, including … the transfer of
… the results of research to producers"; and
Paragraph 2 (g) - "infrastructural services, including … infrastructural works
associated with environmental programs."
There are no payments to producers or processors.The notified measure is a new initiative to mitigate the impact on the ranching industry of
new comprehensive regional land use plans and resource conservation requirements adoptedby the Government of the Province of British Columbia.  These measures involved the
establishment of new Protected Areas and Special Resource Development Areas (i.e., "parks"
and conservation areas) where commercial resource use of public lands, including grazing, is
now banned or restricted, and a new Forest Practices Code strengthening
environmental/conservation restrictions on the commercial use of public lands, including foranimal grazing.
The objectives of the notified program are two-fold.  First, consistent with requirements of
Paragraphs 2 (a) and 2(d), the program funds some of the costs of research and extension
related to improving the environmental sustainability of using public land for ranchingpurposes.  Second, consistent with the requirements of Paragraph 2(g), the program funds
costs of infrastructural works (i.e., primarily fencing) to restrict animal access to protected
land, water, or other protected environmental values, and to maintain or enhance forageG/AG/N/CAN/38
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production on public lands that remain open to grazing to mitigate the reduction in the
availability of  other public land for grazing.
Consistent with the requirements of paragraph 2(g), the program does "not include subsidies
to inputs or operating costs, or preferential user charges."  It is a fundamental principle of theprogram that the funds must only be used for developments which directly maintain/enhance
the value of  publicly-owned resources.  Infrastructure improvement related to private land is
funded only in the rare instance where an investment is the only means of maintaining or
enhancing the public resource.  (For example, if the only water development available to
positively address/change a degrading publicly-owned habitat is located on private land then
an expenditure could be made on privately held land to protect the publicly-owned habitat.)
All infrastructure improvements under the program belong to the government and, once theimprovements are created, any lessee is required to maintain them at his or her own expense.
Any maintained or increased grazing valu e of the public land, resulting from the
improvements, is captured by the government which, separate from this program and its
administration, rents public lands for grazing on an animal-unit-month ( AUM) basis to private
users.
(4) Cost of measure:
Total maximum cost is C$2.5 million per year (including administration) to FY2004/05.
(5) Date of entry into effect:
September 1995 and subsequently as each regional land use plans is implemented.
(6) Period of application:
Fiscal year 1995/96 - fiscal year 2004/05
(7) Products to principally benefit:
Cattle; Sheep; Horses (and wildlife).
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