WORLD TRADE
ORGANIZATIONG/AG/N/CAN/29
21 October 1999
(99-4557)
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 24 September 1999.G/AG/N/CAN/29
Page 2
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:
Prince Edward Island Agricultural Disaster Insurance Program
(2) Domestic legislation reference:
This programme is given effect under the Agricultural Insurance Act, R.S.P.E.I. 1994, of
Prince Edward Island
(3) Detailed description of measure with reference to criteria:
The Government of Prince Edward Island has implemented a whole farm income based safety
net for Prince Edward Island producers called the Agricultural Disaster Insurance Program
(ADIP).  This programme was carefully designed to meet the criteria of Annex 2,
paragraph 7, of the WTO Agreement on Agriculture.  It was also designed to work closelywith the Canadian farm income tax system and includes all agricultural commodities.  ADIP
provides a measure of stability against large short-term declines in a farm's programme
margin.  Programme margin is defined as the difference between allowable farm revenue and
expenses.  ADIP uses a three-year moving average to calculate eligibility for payment and
therefore will not support long term declines in farm incomes.
Only revenues associated with primary agriculture production are included as allowable
revenue.  Off-farm income is not included in allowable revenue.  Certain farm expenses are
excluded from the calculation in order to ensure that ADIP does not influence farm
production and purchase decisions.  Eligible expenses include all farm expenses eligible for
deduction under Canada's farm income tax rules except items such as interest, rent, property
taxes, machinery rental, land clearing, levelling and draining, optional inventory adjustments,mandatory inventory adjustments, allowance on eligible capital property, and capital cost
allowance.  These exclusions minimize capitalization into land and machinery values.  For
example, in order to ensure that the programme does not influence buy versus rent decisions
for farm machinery, both rental costs and depreciation are excluded from the calculation.
The first year of the programme is the 1995 tax year (defined as a financial year for a
producer that ends at any time in 1995).  Eligibility is based on the preceding three year
average (1992-1994).  In order to ensure that payments are based on all revenue and expenses
related to the producer's tax year, various adjustments are made to the programme margin.
For example, deferred income is added to the programme margin in the claim year.  Thisensures that a producer cannot increase his ADIP payment by deferring income.  Similar
adjustments for changes in inventory, accounts receivable and accounts payable are also made
to ensure that only revenues and expenses for the claim year are included in the calculation of
the programme margin.
ADIP is a voluntary programme with no premium charges.  An administration charge is
levied on all applications.G/AG/N/CAN/29
Page 3
ADIP conforms to the following basic criteria of Paragraph 1 of Annex 2 of the Agreement
on Agriculture:
(a) ADIP is provided through a publicly-funded government programme not 
involving transfers from consumers;  and
(b) ADIP does not have the effect of providing price support to producers.
In addition, it meets the policy specific criteria of Paragraph 7 of Annex 2 of the Agreement
on Agriculture, for direct payments to producers under government financial participation in
income insurance and income safety net programmes:
(a) Eligibility for payments under ADIP is based on a drastic reduction in the 
programme margin for the farm as a whole.  If an applicant's current year 
programme margin (defined as the difference between eligible farm income 
and expenses) falls below 70 per cent of the reference margin (defined as the 
average of the previous three years programme margin), the applicant is eligible for a claim.  Any producer meeting this condition is eligible to 
receive payments under ADIP.
(b) ADIP payments will always compensate for less than 70 per cent of the 
producer's income loss.  Payments are only made to bring a producer's income up to 70 per cent of his reference margin.
(c) ADIP payments relate solely to farm income.  Payments do not relate to the 
type or volume of production (including livestock units) undertaken by 
producers or to the prices, domestic or international, applying to suchproduction or to the factors of production employed.
(d) Where a producer receives in the same year payments under this paragraph 
and under paragraph 8, the total of such payments will be less than 100 per 
cent of the producer's total loss.  Canada has not claimed any programmes 
under paragraph 8.
(4) Cost of measure:
Payments under ADIP will not exceed $3 million in any fiscal year (1 April to 31 March).
(5) Date of entry into effect:
ADIP came into effect for the 1995 taxation year (defined as a financial year for a producer
that ends at any time in 1995).
(6) Period of application:
The first year of the programme covered the 1995 taxation year with applications submitted
by 30 September 1996.  Payments started in the 1996/97 fiscal year.  The programme is on-
going.
(7) Products to principally benefit (if any individual product(s)):
ADIP is a whole farm income safety net programme.  All producers of all agricultural
commodities are eligible.G/AG/N/CAN/29
Page 4
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:
Contributions to the Canadian Broiler Hatching Egg Producers Association
(2) Domestic legislation reference:
Department of Agricu lture and Agri-Food Act
(3) Detailed description of measure with reference to criteria:
Funds are provided to the Canadian Broiler Hatching Egg Producer Association to fund
university research on basic and applied studies with broiler breeders and incubation
management.
The programme conforms to the general criteria of Paragraph 1 of Annex 2 of the Agreement
on Agriculture:
(a) The programme is provided through a publicly funded government 
programme not involving transfers from consumers;  and
(b) The programme does not have the effect of providing price support to 
producers.
In addition, it meets the policy specific criteria of Paragraph 2(a) of Annex 2 of the
Agreement on Agriculture under the General Services category.  The programme provides
funds for research and does not involve direct payments to producers or processors.
(4) Cost of measure:
Contribution of $100,000 per year for five years.
(5) Date of entry into effect:
The programme entered into effect in fiscal year 1996/97.
(6) Period of application:
The period of application is for five years comm encing in fiscal year 1996/97 and terminating
in fiscal year 2000/01.
(7) Products to principally benefit (if any individual product(s)):
Poultry industry.G/AG/N/CAN/29
Page 5
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:
Nova Scotia Research & Development Program for Grain and Forage
(2) Domestic legislation reference:
Farm Income Protection Act, Subsection 12(5) (for federal payments)
Public Service Act (for provincial payments)
(3) Detailed description of measure with reference to criteria:
The Research and Development Program for Grai n and Forage provides financial assistance
to long term industry-supported grain and forage research.  Activities undertaken may include
general research; extension and advisory projects; and, marketing and promotion projects.
Recipients of funding typically would include research institutes and universities; consultants;and associations.
The programme conforms to the general criteria of Paragraph 1 of Annex 2 of the Agreement
on Agriculture:
(a) The programme is provided through a publicly funded government 
programme not involving transfers from consumers;  and
(b) The programme does 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 the programme do not involve direct payments to producers or
processors.
(4) Cost of measure:
The total estimated cost of the programme is $500,000.
(5) Date of entry into effect:
The programme entered into effect on 28 October 1996.
(6) Period of application:
The programme will remain in effect until 31 March 2002.
(7) Products to principally benefit (if any individual product(s)):
Grains and forages.G/AG/N/CAN/29
Page 6
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:
National Transition Scheme for Apples
(2) Domestic legislation reference:
Farm Income Protection Act, Subsection 12(5)
Department of Agriculture a nd Agri-Food Act, Subsection 4(a)
(3) Detailed description of measure with reference to criteria:
In the province of Nova Scotia the National Transition Scheme for Apples is composed of
two parts - a decoupled income support payment; and, a research and development
component.  In the province of Quebec, the National Transition Scheme for Apples is
composed solely of a decoupled income support payment.  The programme is to assist appleproducers in Nova Scotia and Quebec to adjust to the early termination of a price stabilization
programme, the National Tripartite Stabilization Program (NTSP) for apples.
The decoupled income support payment is a one-time transition payment of $7.50/tonne for
producers in Nova Scotia and $17/tonne for producers in Quebec of eligible apples marketedin 1993 and 1994 crop years.  Eligible apples were those meeting the definition of "apples"
under the NTSP apple programme.
The research and development component in Nova Scotia provides financial assistance for
research and development projects to enhance the competitiveness of the apple industry.
Activities include marketing and promotion projects; general and specific research; extension
and advisory projects; and, training projects.  Recipients of funding typically would include
research institutes and universities; consultants; and associations.
The programme conforms to the general criteria of Paragraph 1 of Annex 2 of the Agreement
on Agriculture:
(a) The programme is provided through a publicly funded government 
programme not involving transfers from consumers;  and
(b) The programme does not have the effect of providing price support to 
producers.
The decoupled income support payment in both Nova Scotia and Quebec, meets the policy
specific criteria of Paragraph 6 of Annex 2 of the Agreement on Agriculture:
(a) The eligibility for payment is based on the tonnes of eligible apples 
marketed by each producer during the 1993 and 1994 crop years.
(b) The payment is not based on the type of volume of production in any year 
after the base period.G/AG/N/CAN/29
Page 7
(c) The payment is based on a set rate per tonne marketed in a historic 
time period and does not influence current or future prices of apples.
(d) The amount of payment cannot be influenced by the factors of production 
employed in any year after the base period.  Apples marketed outside the 
eligible period are not eligible for payment.
(e) Current production is not required in order to receive payments.
The research and development component meets the policy specific criteria under various
sub-components of Paragraph 2 of Annex 2 of the Agreement on Agriculture.  Theprogramme provides funds for activities indicated above and does not involve direct
payments to producers or processors.
(4) Cost of measure:
The total cost of the programme is up to $3.3 million with $2.7 million provided for the
income support payments and $535,000 provided for the research and development
component.
(5) Date of entry into effect:
The programme entered into effect on 1 October 1996.
(6) Period of application:
The decoupled income support payment represents a one-time direct payment to producers in
Nova Scotia and Quebec which was paid in fiscal year 1996/97.  The research and
development component will remain in effect until 31 March 2002.
(7) Products to principally benefit (if any individual product(s)):
Apples.G/AG/N/CAN/29
Page 8
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:
Ontario Research and Development Fund Program
(2) Domestic legislation reference:
Department of Agricu lture and Agri-Food Act
(3) Detailed description of measure with reference to criteria:
The programme provides assistance for research and development initiatives for emerging
primary and value added agriculture sectors in Ontario by private or public sector researchers.
Initiatives include pilot activities, research and analysis designed to reduce costs, enhance
sector diversity, increase yields, improve product quality or develop new products and
markets.  Recipients of funding typically would include research institutes and universities;consultants;  and associations.
The programme conforms to the general criteria of Paragraph 1 of Annex 2 of the Agreement
on Agriculture:
(a) The programme is provided through a publicly funded government 
programme not involving transfers from consumers;  and
(b) The programme does 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.  The
programme provides funds for research and development projects and does not involve direct
payments to producers or processors.
(4) Cost of measure:
The total estimated cost for the programme is $10 million.
(5) Date of entry into effect:
The programme entered into effect in fiscal year 1996/97.
(6) Period of application:
The programme will remain in effect for four years until 31 March 2000.
(7) Products to principally benefit (if any individual product(s)):
Emerging primary and value added agriculture sectors in Ontario.G/AG/N/CAN/29
Page 9
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:
Grow Ontario Investment Program
(2) Domestic legislation reference:
This programme is given effect under the Ministry of Agriculture and Food Act, Order-in-
Council pursuant to sections 4 and 7, of Ontario.
(3) Detailed description of measure with reference to criteria:
The purpose of the Grow Ontario Investment Program is to provide grants for approved
research, marketing and competitiveness projects related to agriculture, food and broader rural
economic sectors in order to encourage private sector investment in those projects.
The Grow Ontario Investment Program is intende d to lead to a competitive agri-food industry
and a more diversified rural sector by:
- attracting and maintaining investment in the production, food processing, and
value-added industries;
- encouraging the formation of strategic alliances between industry players; 
and
- improving access and utilization of new technologies in rural communities.
Farm and food sector groups, rural business groups and organizations representing the
broader rural sector are eligible to submit applications for grants.  Grants are allowed for up to
70 per cent of the eligible cost of projects having a total cost under $50,000.  For programmes
with a total cost of over $50,000 grants are allowe d for up to 50 per cent of the eligible costs.
Grants are not ordinarily approved for projects having a total cost of $500,000 or more.
The programme conforms to the general criteria of Paragraph 1 of Annex 2 of the Agreement
on Agriculture:
(a) The programme is provided through a publicly funded government 
programme not involving transfers from consumers;  and
(b) The programme does 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.  The
programme provides funds for research, marketing and competitiveness projects and does not
involve direct payments to producers or processors.G/AG/N/CAN/29
Page 10
(4) Cost of measure:
The total funding for this programme is $15 million over three years.
(5) Date of entry into effect:
The programme entered into effect on 17 June 1996.
(6) Period of application:
The period of application is between 17 June 1996 and 31 March 1999.
(7) Products to principally benefit (if any individual product(s)):
All agri-food products.G/AG/N/CAN/29
Page 11
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:
Arable Acres Supplementary Payment
(2) Domestic legislation reference:
Farm Income Protection Act, Subsection 12(5)
(3) Detailed description of measure with reference to criteria:
The Western Grain Transportation Act (WGTA) which subsidized the costs of moving
western Canadian grain to ports was eliminated effective 1 August 1995.  The Government of
Canada established the Western Grain Transition Payments Program (WGTPP)
(G/AG/N/CAN/5) for landow ners of cultivated acres producing crops that were eligible under
the Western Grain Transportation Act.  The Arable Acres Supplementary Payment Programwas established for landowners of arable acres in the province of Alberta which were not
compensated under the WGTPP for the reductio n in land values resulting from the
elimination of the WGTA subsidy.
Payments were based on the ownership of eligible acres on 27 February 1995.  Eligible acres
included cultivated acres defined for municipal assessment purposes as either irrigated arable,
dryland arable or improved pasture.  Payments were $9.56 per acre for irrigated arable land,
$6.50 per acre for dryland arable land, and $3.71 per acre for improved pasture.  Acres that
received a payment under the WGTPP were not eligible for payment.
The programme conforms to the general criteria of Paragraph 1 of Annex 2 of the Agreement
on Agriculture:
(a) The programme was provided through a publicly funded government 
programme not involving transfers from consumers;  and
(b) The programme did not have the effect of providing price support to 
producers.
In addition, it meets the policy specific criteria of Paragraph 6 of Annex 2 of the Agreement
on Agriculture:
(a) The eligibility for payment was based on the ownership of the eligible land 
on 27 February 1995.
(b) The payment was not based on the type or volume of production in any year 
after the base period.
(c) The payment was based on ownership of the eligible land in a historic time 
period and did not influence current or future prices of crops.G/AG/N/CAN/29
Page 12
(d) The amount of payment could not be influenced by the factors of production 
employed in any year after the base period.  Any land purchased after 
27 February 1995 was not eligible for payment.
(e) Payment was based on the ownership of the land and no production was 
required in order to receive payments.
(4) Cost of measure:
The total cost of the programme was $49.852 million.
(5) Date of entry into effect:
The programme entered into effect on 4 July 1996.
(6) Period of application:
The Arable Acres Supplementary Payment represented a one-time direct payment to
producers who owned eligible land on 27 February 1995.  Producers must have applied no
later than 14 February 1997 in order to receive a payment.  Payments were made in the
1996/97 fiscal year.
(7) Products to principally benefit (if any individual product(s)):
No products benefited from this payment, but owners of eligible land received the payment.G/AG/N/CAN/29
Page 13
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:
Canada-Alberta Hog Industry Development Companion Program
(2) Domestic legislation reference:
Farm Income Protection Act, Subsection 12(5) (for federal payments)
Government Reorganization Act and Financial Ad ministration Act (for provincial payments)
(3) Detailed description of measure with reference to criteria:
The Canada-Alberta Hog Industry Developmen t Companion Program is composed of two
parts - a decoupled income support payment funded under provincial legislation and a
research and development component funded under federal legislation.
The decoupled income support payment is to assist hog producers in Alberta to adjust to the
termination of the National Tripartite Stabilization Program (NTSP) for hogs, a price
stabilization programme, which ended on 2 July 1994.  It is a one-time transition payment of
$1.50 per eligible hog marketed by NTSP participants during the period of 3 April 1994
through to 31 December 1994.  Eligible hogs were those meeting the definition of "hogs"under the NTSP programme.
The programme conforms to the general criteria of Paragraph 1 of Annex 2 of the Agreement
on Agriculture:
(a) The programme is provided through a publicly funded government 
programme not involving transfers from consumers;  and
(b) The programme does not have the effect of providing price support to 
producers.
The decoupled income support payment component meets the policy specific criteria of
Paragraph 6 of Annex 2 of the Agreement on Agriculture:
(a) The eligibility for payment is based on the number of eligible hogs marketed 
by each producer between 3 April 1994 and 31 December 1994.
(b) The payment is not based on the type or volume of production in any year 
after the base period.
(c) The payment is based on a set rate per hog marketed in a historic time period 
and does not influence current or future prices of hogs.
(d) The amount of payment is not related to or based on the factors of production
employed in any year after the base period.  Hogs marketed outside the 
eligible period are not eligible for payment.G/AG/N/CAN/29
Page 14
(e) Current production is not required in order to receive payments.
The research and development component meets the policy specific criteria under various
sub-components of Paragraph 2 of Annex 2 of the Agreement on Agriculture under theGeneral Services category.  Expenditures under the programme do not involve direct
payments to producers or processors.  It provides assistance for research and development
projects that enhance the competitiveness of the hog industry.  Activities include marketing
and promotion projects; general and specific research; and, extension and advisory projects.
Recipients of the funding typically would include research institutes and universities;
consultants;  and associations.
(4) Cost of measure:
The total cost of the programme is up to $5.6 million, with $2.8 million provided for the
decoupled income support payment and $2.8 million provided for the research and
development component.
(5) Date of entry into effect:
The programme entered into effect on 16 April 1997, however, governments charged some
expenditures against the 1996/97 fiscal year (April-March).
(6) Period of application:
The decoupled income support payment represents a one-time direct payment to producers
which was paid in the 1996/97 fiscal year.
The research and development component will remain in effect for five years until
31 March 2002.
(7) Products to principally benefit (if any individual product(s)):
Hogs.G/AG/N/CAN/29
Page 15
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:
Sheep Development Fund
(2) Domestic legislation reference:
Department of Agriculture and Agri-Food Act (for federal payments)
Government Reorganization Act and Financial Administration Act  (for provincial payments)
(3) Detailed description of measure with reference to criteria:
A grant was provided to the Alberta Sheep and Wool Commission for research and
development purposes.  Activities undertaken may include marketing and promotion
projects, research in connection with environmental issues, and product development.
The programme conforms to the general criteria of Paragraph 1 of Annex 2 of the Agreement
on Agriculture:
(a) The programme is provided through a publicly funded government 
programme not involving transfers from consumers;  and
(b) The programme does 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.  The
programme provides funds for research and development projects and does not involve directpayments to producers or processors.
(4) Cost of measure:
The federal government and the provincial government in Alberta each contributed a one-
time payment of $56,000 for a total contribution of $108,000.
(5) Date of entry into effect:
The programme entered into effect on 4 July 1996.
(6) Period of application:
This is a one-time grant made in fiscal year 1996/97.
(7) Products to principally benefit (if any individual product(s)):
Sheep and wool.G/AG/N/CAN/29
Page 16
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:
Canada-Alberta Beef Industry Development Fund
(2) Domestic legislation reference:
Farm Income Protection Act, Subsection 12(5) (for federal payments)
Government Reorganization Act and Financial Administration Act  (for provincial payments)
(3) Detailed description of measure with reference to criteria:
The Canada-Alberta Beef Industry Development Fund (BIDF) is a joint federal-provincial
programme that provides funds for research and development activities to promote and
enhance the competitiveness of the beef industry in Alberta.  Activities undertaken may
include marketing and promotion projects; general and specific research; extension and
advisory projects; training projects; and, projects related to biotechnology and ruraldevelopment.  Recipients of funding may include research institutes and universities,
consultants and associations.
The programme conforms to the general criteria of Paragraph 1 of Annex 2 of the Agreement
on Agriculture:
(a) The programme is provided through a publicly funded government 
programme not involving transfers from consumers;  and
(b) The programme does 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 the programme do not involve direct payments to producers or
processors.
(4) Cost of measure:
The total estimated cost of the programme is $16.4 million.
(5) Date of entry into effect:
The programme entered into effect on 16 April 1997, however, governments charged some
expenditures against the 1996/97 fiscal year (April-March).
(6) Period of application:
The programme will remain in effect for five years until 31 March 2002.  Projects approved
by 31 March 2000 would be funded until 31 March 2002.
(7) Products to principally benefit (if any individual product(s)):
Beef cattle.G/AG/N/CAN/29
Page 17
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:
Canada-Alberta Sugar Beet Development Companion Program
(2) Domestic legislation reference:
Farm Income Protection Act, Subsection 12(5) (for federal payments)
Government Reorganization Act and Financial Administration Act  (for provincial payments)
(3) Detailed description of measure with reference to criteria:
The Canada-Alberta Sugar Beet Development Fund provides for research and development
activities with the objective of promoting and enhancing the competitiveness of the sugar beet
industry in Alberta.  Activities undertaken may include marketing and promotion projects;
general and specific research; extension and advisory projects; projects related to
biotechnology; value-added initiatives;  and, rural development that benefit the Alberta sugar
beet industry.  Recipients of funding typically would include research institutes and
universities; consultants; and, associations.
The programme conforms to the general criteria of Paragraph 1 of Annex 2 of the Agreement
on Agriculture:
(a) The programme is provided through a publicly funded government 
programme not involving transfers from consumers;  and
(b) The programme does 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 the programme do not involve direct payments to producers or
processors.
(4) Cost of measure:
The total estimated cost of the programme is $1.5 million.
(5) Date of entry into effect:
The programme entered into effect on 14 August 1997, however, governments charged some
expenditures against the 1996/97 fiscal year (April-March).
(6) Period of application:
The programme will remain in effect for five years until 31 March 2002.
(7) Products to principally benefit (if any individual product(s)):
Sugar beets.G/AG/N/CAN/29
Page 18
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 Investment Agriculture Fund
(2) Domestic legislation reference:
Department of Agricu lture and Agri-Food Act
(3) Detailed description of measure with reference to criteria:
The programme provides assistance for research and development initiatives for primary and
value added agriculture sectors in British Columbia by private or public sector researchers.
Activities undertaken may include marketing and promotion projects; general and specific
research;  extension and advisory projects; and, value-added initiatives.  Recipients of funding
typically would include research institutes and universities;  consultants; and associations.
The programme conforms to the general criteria of Paragraph 1 of Annex 2 of the Agreement
on Agriculture:
(a) The programme is provided through a publicly funded government 
programme not involving transfers from consumers; and
(b) The programme does 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.  The
programme provides funds for research and development projects and does not involve directpayments to producers or processors.
(4) Cost of measure:
The total estimated cost for the programme is $22 million.
(5) Date of entry into effect:
The programme entered into effect on 4 March 1997.
(6) Period of application:
The programme commenced in fiscal year 1996/97 and will terminate after four years in
fiscal year 1999/00.
(7) Products to principally benefit (if any individual product(s)):
Primary and value added agriculture sectors in British Columbia.G/AG/N/CAN/29
Page 19
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:
Canada-British Columbia Peace River Agriculture Development Program
(2) Domestic legislation reference:
Farm Income Protection Act, Subsection 12(5) (for federal contributions)
British Columbia Farming and Fishing Industries Development Act (for provincial
contributions)
(3) Detailed description of measure with reference to criteria:
The programme will provide financial contributions to fund marketing and promotion
projects; general research; extension and advisory projects;  training projects; projects related
to biotechnology adoption; diversification; value-added initiatives; and, rural development
that benefit the Peace River agriculture and food industry.  Recipients of funding typicallywould include research institutes and universities; consultants;  and, associations.
The programme conforms to the general criteria of Paragraph 1 of Annex 2 of the Agreement
on Agriculture:
(a) The programme is provided through a publicly funded government 
programme not involving transfers from consumers;  and
(b) The programme does 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 the programme do not involve direct payments to producers or
processors.
(4) Cost of measure:
The total estimated cost of the programme is $2,400,000.
(5) Date of entry into effect:
The programme entered into effect in fiscal year 1996/97.
(6) Period of application:
The programme will remain in effect for six years until 31 March 2002.
(7) Products to principally benefit (if any individual product(s)):
Agricultural products produced in the Peace River region.G/AG/N/CAN/29
Page 20
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:
Non-Traditional Livestock Extension
(2) Domestic legislation reference:
The Livestock Diversification Act
(3) Detailed description of measure with reference to criteria:
The purpose of the Non-Traditional Livestock Extension is to develop and provide a
production information base through extension activities, including written material, fact
sheets and industry contacts, for non-traditional livestock production in the province of
Manitoba.  "Non-traditional livestock" refers to animals not traditionally raised in production
agriculture.  Animals included in this category are bison, ratites (ostriches, emus and rheas),rabbits, wild boar, and elk.
The programme conforms to the general criteria of Paragraph 1 of Annex 2 of the Agreement
on Agriculture:
(a) The programme is provided through a publicly funded government 
programme not involving transfers from consumers;  and
(b) The programme does not have the effect of providing price support to 
producers.
In addition, it meets the policy specific criteria of Paragraph 2(d) of Annex 2 of the
Agreement on Agriculture regarding extension and advisory services under the General
Services category.
(4) Cost of measure:
In fiscal year 1996/97 (April-March), expenditures were approximately $287,000.
(5) Date of entry into effect:
The programme entered into effect on 1 February 1997.
(6) Period of application:
The period of application is indefinite.
(7) Products to principally benefit (if any individual product(s)):
All non-traditional livestock producers are e ligible to participate in the programme.G/AG/N/CAN/29
Page 21
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:
Surplus Water Irrigation Initiative
(2) Domestic legislation reference:
Executive Government Organization Act, Section 16 (provincial legislation)
(3) Detailed description of measure with reference to criteria:
The purpose of the Surplus Water Irrigation Initiative is to provide financial assistance to
irrigation associations and other organizations to plan and develop environmentally
sustainable irrigation projects in the province of Manitoba.
The programme conforms to the general criteria of Paragraph 1 of Annex 2 of the Agreement
on Agriculture:
(a) The programme is provided through a publicly funded government 
programme not involving transfers from consumers;  and
(b) The programme does 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.  The
programme provides funds for projects involving infrastructure support; area management;
applied research; demonstration and technology transfer; environmental monitoring; public
awareness; education; and communication.  It does not involve direct payments to producers
or processors.  It does not provide assistance regarding the irrigation of land on producersfarms.
(4) Cost of measure:
The cost of this programme is approximately $1.5 million over 3 years.
(5) Date of entry into effect:
The programme entered into effect on 1 July 1996.
(6) Period of application:
The period of application is approximat ely five years commencing 1 July 1996 and
terminating on 31 March 2001.
(7) Products to principally benefit (if any individual product(s)):
All crops.
__________