RESTRICTED
WORLD TRADE S/WPGR/W/16/Add.2
23July1997
ORGANIZATION
(97-3213)
Original: English Working Party onGATS Rules
COMMUNICATION FROM NEW ZEALAND
Response totheQuestions totheInformation Exchange Required
Under theSubsidies Negotiating Mandate
Addendum
Thefollowing communication isbeing circulated attherequest ofthedelegation ofNewZealand
toMembers oftheWorking Party onGATS Rules.
NewZealandsubmitstheattachedresponsetothequestionnairesenttoMembersbytheWorking
Party onGATS Rules indocument S/WPGR/W/16 of5February 1997. Theresponse issubmitted
without prejudice toNewZealand ’snegotiating position within theWTO. NewZealand reserves the
righttoaddtoortoamend thisresponse inthelightoffurther discussion intheWorking Party on
conceptual issues thatmayclarify thescope ofmeasures thatmembers seektoaddress.
Paragraphnumbersusedintheresponsescorrespondtothequestionnumberssetoutindocument
S/WPGR/W/16.S/WPGR/W/16/Add.2
Page2
General
This questionnaire provides information onprogrammes inNew Zealand: education,
broadcasting, filmproduction, landtransport, airtransport, business andtourism services.
9. Please indicate anysubsidy disciplines already assumed inthecontext ofregional
agreements.
Export subsidies aresubject todisciplines under Article 11oftheProtocol onTrade inServices
totheAustralia NewZealand Closer Economic Relations Trade Agreement.S/WPGR/W/16/Add.2
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Education
1. Please identify anysubsidy programmes related totrade inservices, withabriefdescription
ofeachprogramme.
TheNewZealand Government provides approximately $244million annually toprivate entities
involvedintheprovisionofpost-compulsoryeducationandtraining(PCET),ieprivatetertiaryeducation
providers, second chance education, andindustry training.
2. Please state thepolicy objectives underlying theuseofeachsubsidy.
a. TertiaryEducation:Theprovisionofmainstreampost-compulsoryeducationandtraining
isanexpected rolefortheNewZealand Government inorder toachieve employment, and
other broad economic andsocial goals.
b. Training Opportunity Programme (TOP): TOPisdesigned toprovide second chance
education. Itprovides a100% tuition subsidy toeducationally disadvantaged trainees, provided
byprivate, charitable andstateeducation providers onahighly competitive basis.
c. IndustryTraining:Industrytrainingisdesignedtoencourageindustrytodeliverrelevant
portable generic skills (asopposed tofirm-specific skills) totheworkforce. Industry training
isfunded jointly byGovernment (approximately 35%) andindustry (65%), vianon-Government
Industry Training Organisations. Funding subsidies aredelivered through abidding/purchase
system based onnational benchmarks.
3. Please indicate theavailability inthecaseofyour country, ofinformation necessary to
distinguish subsidies toservices from subsidies togoods, egwhen acompany produces bothgoods
andservices.
Funding isprovided forservices only.
4. Please indicate theform ofeachsubsidy (egtaxconcession, loan, grant etc).
Grant.
5. Unless previously indicated, please statewhich sectors areeligible under thesubsidy and/or
theestimated number ofenterprises which areeligible under thesubsidy.
Subsidiesarelimitedtotheeducationsector,includingtrainingservicesprovidedasanincidental
activity bythemanufacturing sector. Fortheyearended 31December 1996, theMinistry ofEducation
fundedapproximately530privatetrainingestablishments;54industrytrainingorganisationswereeligible
toreceive money forallocation toeither private orpublic sector organisations.
6. Please indicate theeligibility criteria forsubsidies (location, nationality, destination of
output oranyother conditions.
Entities areeligible iftheyareregistered ashaving metbaseline educational entry criteria by
theNewZealand Qualifications Authority andtheMinistry ofEducation (ortheEducation andTraining
Support Agency inthecaseofindustry training). Educational services (courses) mustalsomeetquality
criteria specified bytheNewZealand Qualifications Authority.S/WPGR/W/16/Add.2
Page4
7. Please indicate howthesubsidy iscalculated (egonproduction, onexports, onafixed
orfluctuating basis etc).
Subsidy iscalculated onthebasis offull-time student numbers orproportions thereof.
8. Please specify anytimelimits attached tothesubsidies described above.
Monies arepaidinreturn forthedelivery ofservices tostudents/trainees. There isnolimit
forpayment toproviders although TOPtrainees canaccumulate onlythenumber ofcredits specified
fortheircourse.
10. Where suchinformation isavailable, Members maywishtoindicate:
a.Subsidy perunitortotalannual subsidy outlay, inrespect ofeachsubsidy granted;
Approximate totalannual subsidy: $million
Private Tertiary Education providers:
TOP:
Industry Training:
Total:7
186
57
250
b.Statistical dataindicating theimpact ofsubsidies ontrade inservices inthesectors or
activities concerned.
Total number oftrainees/students affected: 15,000 TOPtrainees
2,600 private tertiary students
30,000 industry traineesS/WPGR/W/16/Add.2
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Broadcasting
1. Please identify anysubsidy programmes related totrade inservices, withabriefdescription
ofeachprogramme.
Funding ismade available bytheBroadcasting Commission, anindependent statutory body
established under theBroadcasting Act1989, toassist withtheproduction ofradio andtelevision
programmes which:
- reflect anddevelop NewZealand identity andculture;
- promote Maori language andMaori culture;
- provide fortheinterests ofwomen, children, persons withdisabilities andminorities
inthecommunity, including ethnic minorities.
2. Please state thepolicy objectives underlying theuseofeachsubsidy.
Thepolicy objective istoensure thatprogrammes which might notbeprovided inapurely
commercial broadcasting environment willbeavailable tomeettheneeds identified intheresponse
toquestion 1above. Notethatthere arenocontent quotas forNewZealand content inbroadcasting:
theBroadcasting Actdoesnotrequire thataspecific amount ofNewZealand programming beproduced
orbroadcast.
3. Please indicate theavailability inthecaseofyour country, ofinformation necessary to
distinguish subsidies toservices from subsidies togoods, egwhen acompany produces bothgoods
andservices.
Thesubsidy applies totheproduction ofservices.
4. Please indicate theform ofeachsubsidy (egtaxconcession, loan, grant etc).
Grant. Contractual conditions apply.
5. Unless previously indicated, please statewhich sectors areeligible under thesubsidy and/or
theestimated number ofenterprises which areeligible under thesubsidy.
Producers oftelevision andradio programmes areeligible. Thisincludes television networks
andradio stations within-house production arrangements aswellasindependent producers.
6. Please indicate theeligibility criteria forsubsidies (location, nationality, destination of
output oranyother conditions.
TheBroadcasting Commission musttakeaccount oftherequirements oftheBroadcasting Act
inrelation tothetypeofprogramming funding (seeresponse toquestion 1).TheActalsorequires
account tobetaken ofthelikelihood thattheprogramme willbebroadcast. Within those broad criteria
theCommission isfreetodetermine more detailed criteria. There arenorestrictions onthenationality
oftheprogramme provider.S/WPGR/W/16/Add.2
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7. Please indicate howthesubsidy iscalculated (egonproduction, onexports, onafixed
orfluctuating basis etc).
Thenature oftheservice being supported means thatthere isnofixed unitcost. The
Broadcasting Commission determines theamount offunding tobeprovided onaproject-by-project
basis, taking intoaccount factors suchasthecostofproduction, theextent towhich therequirements
oftheBroadcasting Actaremet,theextent towhich theprogramme maybeabletoattract funding
from other sources (egjointventure, future advertising revenue oncebroadcast).
8. Please specify anytimelimits attached tothesubsidies described above.
Time limits foreachproject aredetermined bytheBroadcasting Commission innegotiation
withtheproducer andaresetdown incontract.
10. Where suchinformation isavailable, Members maywishtoindicate:
a.Subsidy perunitortotalannual subsidy outlay, inrespect ofeachsubsidy granted;
Thesource offunding dispensed bytheBroadcasting Commission isthepublic broadcasting
fee.ThisisataxofNZ$110 perannum required tobepaidbyanyperson whoowns, operates
orusesatelevision set.
Thetotalamount ofpublic broadcasting feerevenue collected bytheBroadcasting Commission
isaround NZ$87 million, netofcollection costs andprovision forbaddebts. Ofthistotal,
about 50%isspent ontelevision programming (theremaining funding isallocated toanumber
ofother non-programming statutory functions (egarchiving ofprogrammes, assistance with
extending radio andtelevision transmission coverage).
Asdiscussed above, there isnostandard unitcost.
b.Statistical dataindicating theimpact ofsubsidies ontrade inservices inthesectors or
activities concerned.
Radio andtelevision programming funded bytheBroadcasting Commission isintended tomeet
theneeds ofNewZealand audiences, ietheprogrammes areaimed primarily atthedomestic
market, notforexport. Relatively littleprogramming issoldoverseas. Where suchsalesare
made,theBroadcastingCommissionrequiresthataproportionofthefundingoriginallyprovided
forproduction berebated totheCommission. Accordingly, theeffect ofBroadcasting
Commission funding, where anoverseas saleismade, isrelatively revenue neutral: theseller
oftheprogramme cannot therefore exploit thegrant forthepurposes ofobtaining amore
favourable export position.S/WPGR/W/16/Add.2
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Film Production
1. Please identify anysubsidy programmes related totrade inservices, withabriefdescription
ofeachprogramme.
Promotion andSupport ofNewZealand Films. TheNewZealand Government appropriates
funding totheNewZealand FilmCommission, aCrown entity. TheNewZealand FilmCommission
supports theproduction offilmthrough investment, marketing, industry support andother activities.
2. Please state thepolicy objectives underlying theuseofeachsubsidy.
Thepolicy objectives underlying theuseofthissubsidy are:
-toencourage creative andsustainable production ofquality NewZealand feature films;
-toencourage thedevelopment ofcreative talent, andfacilitate adynamic filmenvironment
inNewZealand;
-tostimulatelocalandinternationalmarketintersession,andtoattractinvestmentto,NewZealand
film.
3. Please indicate theavailability inthecaseofyour country, ofinformation necessary to
distinguish subsidies toservices from subsidies togoods, egwhen acompany produces bothgoods
andservices.
Theprogramme isidentifiably fortheproduction offilms.
4. Please indicate theform ofeachsubsidy (egtaxconcession, loan, grant etc).
Grant. Funding isallocated asanannual appropriation bywayofVote: Cultural Affairs.
Itshould benoted thattheNewZealand FilmCommission alsoreceives afurther grantof6.5%
ofthelottery funds available fordistribution bytheNewZealand Lottery Grants Board. Inthe1996/97
financial year, thisamounted to$9.872 million.
5. Unless previously indicated, please statewhich sectors areeligible under thesubsidy and/or
theestimated number ofenterprises which areeligible under thesubsidy.
Approximately 50filmproducers andwriters were eligible forassistance in1995/96.
6. Please indicate theeligibility criteria forsubsidies (location, nationality, destination of
output oranyother conditions.
Incarrying outitsfunctions, theCommission maynotmake financial assistance available in
respect ofafilmunless itisdeemed tohaveasignificant NewZealand content asdefined under Section
18(2) oftheNewZealand FilmCommission Act1978. Films made pursuant toanagreement made
between theNewZealand Government ortheNewZealand Film Commission andtheGovernment
ofanother country orrelevant public authority aredeemed tohaveasignificant NewZealand content.
Whereco-productionagreementsareenteredintobetweenNewZealandandothernations,theagreements
generally provide forco-production films toenjoy allbenefits which areormaybeaccorded ineach
country tonational films.S/WPGR/W/16/Add.2
Page8
7. Please indicate howthesubsidy iscalculated (egonproduction, onexports, onafixed
orfluctuating basis etc).
Thenature oftheservices being supported means thatthere isnofixed unitcost. TheFilm
Commission determines theamount offunding tobeprovided onaproject-by-project basis, taking
intoaccount funding suchasthecostofproduction, theextent towhich therequirements oftheFilm
Commission Actaremet,andtheextent towhich theprojects maybeabletoattract funding from
other sources suchasjointventures.
10. Where suchinformation isavailable, Members maywishtoindicate:
a.Subsidy perunitortotalannual subsidy outlay, inrespect ofeachsubsidy granted;
b.Statistical dataindicating theimpact ofsubsidies ontrade inservices inthesectors or
activities concerned.
Intheyearended 30June1996, theGovernment provided grant monies of$1.25 million in
1996/97 financial yearandtheNewZealand Lottery Grants Board provided $9.872 million.S/WPGR/W/16/Add.2
Page9
Land Transport
1. Please identify anysubsidy programmes related totrade inservices, withabriefdescription
ofeachprogramme.
Public Passenger Transport.
2. Please state thepolicy objectives underlying theuseofeachsubsidy.
Thepolicy justification fortheNational Roads Account providing some support forpublic
passenger transport isasfollows:
- some roadusers choose private transport because theyarenotrequired tobearthe
fullcoststhatthisformoftransport imposes onthecommunity, including externalities
suchasenvironmental, congestion andsafety costs. Because ofthis,encouraging more
people tousepublic transport, which hasfewer such costs, mayresult inanet
improvement innational welfare.
- public transport provides asocial service tothetransport disadvantaged, iepeople who
donothaveaccess toprivate transport, forreasons suchasage,infirmity andlow
income.
3 Please indicate theavailability inthecaseofyour country, ofinformation necessary to
distinguish subsidies toservices from subsidies togoods, egwhen acompany produces bothgoods
andservices.
Funding isprovided forservices only.
4. Please indicate theform ofeachsubsidy (egtaxconcession, loan, grant etc).
Grant.
5. Unless previously indicated, please statewhich sectors areeligible under thesubsidy and/or
theestimated number ofenterprises which areeligible under thesubsidy.
Land transport sector.
6. Please indicate theeligibility criteria forsubsidies (location, nationality, destination of
output oranyother conditions.
Anyfirmmaysubmit atender, provided itisalicensed vehicle service operator. There is
norestriction onnationality orownership. Theservice must, however, beprovided intheplace and
manner specified bytherelevant Regional Council.
7. Please indicate howthesubsidy iscalculated (egonproduction, onexports, onafixed
orfluctuating basis etc).
Transfund NewZealand allocates funds fromtheNational Roads Account toRegional Councils
tosupport public passenger transport. Thefunding fortheNational Roads Account comes fromexcise
dutyonpetrol, roadusercharges andmotor vehicle licensing fees. Theservices tobesupported by
thepassenger transport funding provided byTransfund areidentified bytheregional Councils, which
allocate thebusiness toparticular transport firms bycompetitive tender, iethefirms bidalevelofsubsidyS/WPGR/W/16/Add.2
Page10
thattheybelieve willenable themtooperate theservices concerned commercially. Thelowest tender
wins thebusiness. Ifatransport firmbelieves itcanoperate aparticular service profitably, and
consequently submits azerosubsidy bid,nosubsidy willbeprovided.
8. Please specify anytimelimits attached tothesubsidies described above.
Thecontract between thetransport operator andtheRegional Council willbeforaspecific
period, usually oneyear. Thesubsidy applies forthisperiod.
10. Where suchinformation isavailable, Members maywishtoindicate:
a.Subsidy perunitortotalannual subsidy outlay, inrespect ofeachsubsidy granted;
Annual costisestimated atNZ$30 million.
b.Statistical dataindicating theimpact ofsubsidies ontrade inservices inthesectors or
activities concerned.
Nodataisavailable.S/WPGR/W/16/Add.2
Page11
AirTransport
1. Please identify anysubsidy programmes related totrade inservices.
Subsidies toAirports.
2. Please state thepolicy objectives underlying theuseofeachsubsidy.
Thereisnoexplicitsubsidypolicy.However,asmallnumberofdomesticairportswhichoperate
indeficit, areassisted toassure theircontinued viability. Other domestic airports andallinternational
airports arerunonapurely commercial basis, including therequirement topaytaxes andlocalbody
ratesandtoreturn adividend toshareholders.
3. Please indicate theavailability inthecaseofyour country, ofinformation necessary to
distinguish subsidies toservices from subsidies togoods, egwhen acompany produces bothgoods
andservices.
Funding isprovided tomaintain services only.
4. Please indicate theform ofeachsubsidy (egtaxconcession, loan, grant etc).
Thesupport takes theform ofdeficit funding bylocalauthorities.
5. Unless previously indicated, please statewhich sectors areeligible under thesubsidy and/or
theestimated number ofenterprises which areeligible under thesubsidy.
Airservices sector. About 7airports, outof24,receive deficit funding.
6. Please indicate theeligibility criteria forsubsidies (location, nationality, destination of
output oranyother conditions.
Small domestic airports thatarenotcommercially viable receive deficit funding from local
authorities.
7. Please indicate howthesubsidy iscalculated.
Thesubsidy isnotcalculated, butisdirectly related totheindividual airport ’soperating deficit.
8. Please specify anytimelimits attached tothesubsidies described above.
Theroleofcentral Government injointairport ownership isunder review.
10. Where suchinformation isavailable, Members maywishtoindicate:
a.Subsidy perunitortotalannual subsidy outlay, inrespect ofeachsubsidy granted;
Fortheyearended 30June1996, totalfunding was$156,000.
b.Statistical dataindicating theimpact ofsubsidies ontrade inservices inthesectors or
activities concerned.
Nodataisavailable.S/WPGR/W/16/Add.2
Page12
Business Development
1. Please identify anysubsidy programmes related totrade inservices, withabriefdescription
ofeachprogramme.
TheMinistry ofCommerce Business Development Programme includes agrant scheme which
canassist aqualifying business to:
- determine itsstrategic goals andobjectives insuchareas asbusiness planning, quality
andenvironmental management; and
- develop aproduct orservice newtoitsregion, orintroduce newtechnology intoan
existing product orservice; andparticipate intrade fair,protect intellectual property
anddevelop newmarkets.
2. Please state thepolicy objectives underlying theuseofeachsubsidy.
Theprogramme aimstoassist small tomedium-sized businesses access theinformation and
skills tocompete effectively. Itprovides inter-linked elements; thegrant element isdesigned toenable
qualifyingbusinessestotestandapplycapabilitiesandskillsgainedintheProgramme’straining/educative
element; andtheinnovation, research anddevelopment andimplementation elements enable businesses
totesttheirstrategic focus.
3. Please indicate theavailability inthecaseofyour country, ofinformation necessary to
distinguish subsidies toservices from subsidies togoods, egwhen acompany produces bothgoods
andservices.
Theprogramme applies equally tobusinesses producing goods andservices. Statistics compiled
inrelation tothegrants make nodistinction.
4. Please indicate theform ofeachsubsidy (egtaxconcession, loan, grant etc).
Grant.
5. Unless previously indicated, please statewhich sectors areeligible under thesubsidy and/or
theestimated number ofenterprises which areeligible under thesubsidy.
Allsectors.
6. Please indicate theeligibility criteria forsubsidies (location, nationality, destination of
output oranyother conditions.
TheProgramme isopentoanyindividual orbusiness based inNewZealand forthepurposes
oftax,butapplicants employing more thanfiftyfull-time equivalent employees arenoteligible toapply
forgrants. (Although thisrestriction excludes onlyasmall proportion ofallNewZealand enterprises
itexcludes those enterprises which areinfactresponsible formost NewZealand exports.)
Togainentry tothegrant scheme applicants havetoshow theirBusiness Development Board
thattheyareatastage where theywishtotestorapply askillthattheyhaveacquired orhavehad
access tothrough either theProgramme ’straining/educative element orthrough some other means.S/WPGR/W/16/Add.2
Page13
Assistance formarket development isavailable onlywhere thebusiness hasnotpreviously
solditsgoods/services intheproposed newmarket.
Target groups areMaori, Pacific Island people andwomen.
7. Please indicate howthesubsidy iscalculated (egonproduction, onexports, onafixed
orfluctuating basis etc).
ThemaximumavailableisNZ$20,000perapplicantperannumandthereisanall-timemaximum
ofNZ$50,000 perapplicant. Thegrants arenotlinked totheapplicant ’slevelofproduction orexports.
Thegrants arepaidasa50%reimbursement onqualifying expenditure.
8. Please specify anytimelimits attached tothesubsidies described above.
Anapplication foragrant mustbemade before anycostshavebeenincurred, andtheapplicant
mustthenuplift thegrant within twelve months ofapproval. Where therehasbeendelay incompleting
anapproved project anextension ofuptothree months isavailable.
10. Where suchinformation isavailable, Members maywishtoindicate:
a.Subsidy perunitortotalannual subsidy outlay, inrespect ofeachsubsidy granted;
From 1July1996 to28February 1997 atotalof2,657 projects wereapproved toatotalof
NZ$8.6 million. During thesame period NZ$4.3 million waspaidoutingrants.
b.Statistical dataindicating theimpact ofsubsidies ontrade inservices inthesectors or
activities concerned.
Nodataisavailable.S/WPGR/W/16/Add.2
Page14
Tourism
1. Please identify anysubsidy programmes related totrade inservices, withabriefdescription
ofeachprogramme.
Tourism Marketing JointVenture FundProjects. Thisallows theNewZealand Tourism Board
tocarry outjointmarketing projects withtheprivate sector where atleast50%ofthecostismetby
theprivate sector.
2. Please state thepolicy objectives underlying theuseofeachsubsidy.
Theobjective istocarry outadditional jointadvertising, promotional andresearch projects
which addvalue tothemarketing ofNewZealand asaninternational tourism destination andgenerate
additional visitor arrivals, person nights andgeneral tourism spending.
3. Please indicate theavailability inthecaseofyour country, ofinformation necessary to
distinguish subsidies toservices from subsidies togoods, egwhen acompany produces bothgoods
andservices.
Funding isallocated toservices only.
4. Please indicate theform ofeachsubsidy (egtaxconcession, loan, grant etc).
Theprogramme doesnotprovide anydirect grants orloans. Thewaythesubsidy works is
thatbefore aproject begins itstotalcostiscalculated andboththeprivate sector ’sandtheBoard ’s
contribution isdetermined. TheBoard ’sfinancial contribution isspent alongside oraftertheprivate
sector ’sfinancial contribution inmatching instalments.
5. Unless previously indicated, please statewhich sectors areeligible under thesubsidy and/or
theestimated number ofenterprises which areeligible under thesubsidy.
Tourismsector.Privatesectorpartnersmayincludethefollowingtypesoforganisationsinvolved
inmarketing atourism product overseas:
a. anycompanyorcommercialundertakingwhetherregisteredinNewZealandoroverseas;
b. anystate-owned enterprise;
c. anyregional, localauthority orregional tourism organisation;
d. anyorganisation thatisnotdirectly funded bytheNewZealand Government.
6. Please indicate theeligibility criteria forsubsidies (location, nationality, destination of
output oranyother conditions.
There aretwotypes ofeligible projects:
a. offshore advertising, and/or promotion;
b. market research.S/WPGR/W/16/Add.2
Page15
Theproject mustinvolve anewactivity fortheprivate sector partner -toensure thattheprogramme
isnotusedasawayofdiverting thepartner ’sexisting promotional funds.
7. Please indicate howthesubsidy iscalculated (egonproduction, onexports, onafixed
orfluctuating basis etc).
Thesubsidy isnegotiated between theBoard andtheprivate sector partner. Thisisbased on
awritten contract between theBoard andthepartner. Therateofthesubsidy isnever more than50%
ofthetotalcostoftheproject -theactual rateisamatter fornegotiation between theBoard andthe
partner.
8. Please specify anytimelimits attached tothesubsidies described above.
Eachcontract (referred toin7above) mustspecify atimeframe forexpenditure, including instalment
payment dates where appropriate.
10. Where suchinformation isavailable, Members maywishtoindicate:
a.Subsidy perunitortotalannual subsidy outlay, inrespect ofeachsubsidy granted;
Theamount allocated tothisprogramme fortheyearended 30June1997 isNZ$20 million.
b.Statistical dataindicating theimpact ofsubsidies ontrade inservices inthesectors or
activities concerned.
Nodataisavailable.S/WPGR/W/16/Add.2
Page16
Tradenz Joint Action Group (JAG) Funding
1. Please identify anysubsidy programmes related totrade inservices.
Theprogramme directs funding towards collective generic activities suchasindustry strategic
development.
2. Please state thepolicy objectives underlying theuseofeachsubsidy.
Theprogramme isdesigned toenhance industry positioning andtheselection andtargeting
offoreign markets, including intheservices sector.
3. Please indicate theavailability inthecaseofyour country, ofinformation necessary to
distinguish subsidies toservices from subsidies togoods, egwhen acompany produces bothgoods
andservices.
Theprogramme applies equally tobusinesses producing goods andservices.
4. Please indicate theform ofeachsubsidy (egtaxconcession, loan, grant etc).
Grant.
5. Unless previously indicated, please statewhich sectors areeligible under thesubsidy and/or
theestimated number ofenterprises which areeligible under thesubsidy.
Thecurrentfocusisonthefollowingsectors:consultancyservices,publishingservices,aviation
services andaudio-visual (film andtelevision) services.
6. Please indicate theeligibility criteria forsubsidies.
Funding isgiven toindustry groups andnottoindividual companies. Tobeeligible anindustry
must haveacohesive industry unitthatTradenz canwork through, particularly ingeneric funding.
Processes arerestricted toNewZealand companies which arecurrently orpotentially earners offoreign
exchange.
7. Please indicate howthesubsidy iscalculated.
Funding isallocated onacase-by-case basiswithamaximum of50%forapproved activities.
8. Please specify anytimelimits attached tothesubsidies described above.
There arenoprescribed timelimits, although allfunding isdependent onannual budgetary
allocations made bytheGovernment.
10. Where suchinformation isavailable, Members maywishtoindicate:
a.Subsidy perunitortotalannual subsidy outlay, inrespect ofeachsubsidy granted;
Total funding fortheservices sector fortheyearended 30June1997isapproximately $400,000.
b.Statistical dataindicating theimpact ofsubsidies ontrade inservices inthesectors or
activities concerned.
Nodataisavailable.S/WPGR/W/16/Add.2
Page17
Other
Astheconceptual scope ofthequestionnaire doesnotyetappear tobefullydefined, there
maybeother aspects ofsubsidisation inneedoffurther consideration. Atthispoint, NewZealand
would draw attention tothefollowing points:
Anumber ofprogrammes relating toscientific research arecurrently awaiting Cabinet approval.
Until thatapproval isobtained, itisnotfeasible toprovide anyinformation, should thatbenecessary,
onsuchprogrammes.
NewZealand maintains anumber ofmeasures ofapublic goodnature -including animal welfare
services, border inspection andquarantine, pestanddisease surveillance, emergency response, pest
control, research, irrigation andflood control, adverse events, erosion control andsoilconservation
-which arenotified under theWTO Agreement onAgriculture asexempt fromreduction commitments
inthe“General Services ”category ofAnnex 2(the“Green Box”).
There areinaddition anumber ofissues relating toassistance available fromlocalauthorities,
suchasratesrelief, which could beobtained onlybysurveying localauthorities butnotinthetime
frame stipulated. NewZealand iswilling toenter intodiscussions onanyoftheabove issues should
other members regard these matters asfalling within thescope ofthequestionnaire.