WORLD TRADE
ORGANIZATIONG/AG/N/CYP/10
6 February 2001
(01-0581)
Committee on Agriculture Original:  English
NOTIFICATION
The attached notification concerning domestic support measures for the calendar year 1999
(Table DS:1  and the relevant supporting tables) was received from the delegation of Cyprus  on
6 December 2000.G/AG/N/CYP/10
Page 2Table DS:1
DOMESTIC SUPPORT:  Cyprus
REPORTING PERIOD:  Calendar year 1999
Current Total Aggregate Measurement of Support
Total AMS commitment level for period in
questionCurrency Current Total AMS
(from Section 1 of Part IV of the Schedule) (from Section 1 of Part IV of the Schedule) (from attached Supporting Tables)
123
54.5 Million £C 28.99G/AG/N/CYP/10
Page 3Supporting Table DS:1
DOMESTIC SUPPORT:  Cyprus
REPORTING PERIOD:  Calendar year 1999
Measures exempt from the reduction commitment - "Green Box"
Measure type Name and description of measure with reference to criteria in Annex 2 Monetary value of measure
in year in question
(£C)Data sources
123 4
(a) Total general services 73,310,664
(i) Research services
Research including general research, research in connection with environmental
programmes, and research programmes relating to particular products.2,993,277 Budgets
(ii) Pest and disease control services
Pest and disease control, including general and product-specific pest and disease controlmeasures, such as early warning systems, quarantine and eradication.154,717
(iii) Training services
Agricultural training services provided by the Ministry of Agriculture and NaturalResources to all farmers.51,406
(iv) Extension and advisory services
Extension and advisory services, provided by the Ministry of Agriculture to all farmers.9,093,989
(v) Inspection services
Inspection of agricultural produce including general inspection services and theinspection of particular products for health, safety, grading or standardization purposes.519,933
(vi) Veterinary services
Veterinary services including veterinary public health, extension services, diseasecontrol, veterinary inspection services, quarantine services, etc.3,449,791
(vii) Marketing and promotion  services
- Expenses for providing general marketing and promotion services by the Ministry of
Commerce, Industry and Tourism
- Expenses for providing marketing and promotion services by the Vine ProductsCommission.1,021,317
1,058,548G/AG/N/CYP/10
Page 4123 4
(viii) Infrastructural services
Capital expenses for providing for:- Rural development- Water development (dams, water treatment works, water supply, etc.)
- Land consolidation works
- Development of livestock areas and zones and other infrastructural works forlivestock (including works for environmental protection such as treatment of waste, etc.).54,967,686 Budgets
(b) Public stockholdings for food security purposes 6,565,023
Cyprus Grain Commission Services  (operational expenses)
The Cyprus Grain Commission among other things also fulfils a public stockholding rolefor food security purposes by managing and controlling the import, storage anddistribution of grains.Cyprus Grain
Commission
(c) Payments for relief from natural disasters 5,533,927
(i)  Compensation through the Ag ricultural Insurance Organization
Compensation paid by the Government for the exceptional drought conditions and othernatural disasters which prevailed in 1998.  The compensation includes a) the contribution
of the Government to the Agricultural Insurance Scheme and b) the additional
compensation which was paid to farmers due to exceptional drought conditions, hailstorms, frost, etc.  For the additional compensation, the Agricultural InsuranceOrganisation borrowed from the Cooperation Central Bank and the Government
undertook loan repayments.Budget
Department of
Agriculture
(ii)  Loans
In the case of damages caused to crops and livestock by natural calamities,  not coveredby the Agricultural Insurance Organization, the Government issued loans with subsidized
interest rate.  The total amount of loans issued during 1999 was £C 45,442.
(d) Structural adjustment assistance conforming to Annex 2, paragraph 10 of the Agreement on Agriculture and
production-limiting programme under Article 6.5 of the Agreement1,636,144 Department of
Agriculture
. Package of measures to limit/stabilize dairy and beef production
Cyprus Notification on package of measures  to limit/stabilize dairy and beef production
is relevant. (G/AG/N/CYP/2 refers)
(e) Regional assistance programmes 2,596,969
Wine grapes area subsidy
An area subsidy is paid annually on a per hectare basis to all vine growers, based on the
age of vineyard as well as on geographical considerations.  In these areas we have almosta monoculture.Vine Products
Commission
Total for all exempt measures of Supporting Table DS:1 89,642,727G/AG/N/CYP/10
Page 5Supporting Table DS:2
DOMESTIC SUPPORT:  Cyprus
REPORTING PERIOD:  Calendar year 1999
Measures exempt from the reduction commitment Special and Differential Treatment – "Development Programmes"
Measure type Name and description of measure with reference to criteria in Article 6:2 Monetary value of
measure in year in
question
(£C)Data sources
12 3 4
(a)  Total investment subsidies generally available to agriculture 2,431,923
(i) Subsidies for piping, irrigation equipment and installation of improved irrigations
systems.
Provision by the Department of Agriculture, of financial support, to farmers of
mountainous and semi-mountainous areas for piping, irrigation equipment andinstallation of improved irrigation systems.24,986 Department of
Agriculture
(ii) Subsidies for soil conservation works
Provision of financial assistance by the Department of Agriculture for the
construction of soil conservation works.202,245
(iii) Subsidies for Citrus and Deciduous Replanting.
Provision of financial support, by the Department of Agriculture, for the
restructuring of agricultural crops.1,225,547
(iv) Purchase of animals
Subsidization of the purchase of selected breeding stock for livestock improvementand conservation of rare breeds of farm animals.
Subsidization of  the purchase of genetically improved sows (hybrits) in order to
encourage the genetic improvement of the swine population.47,229
(v) Subsidies for integrated livestock development
Payments to livestock keepers for the relo cation of livestock units from residential
areas to livestock areas/zones.
Subsidization of interest on loans made for the relocation and modernization oflivestock units.Subsidization of expenditure for the establishment of units for the
treatment/utilization of swinery waste/effluent.416,930G/AG/N/CYP/10
Page 612 3 4
(vi) Subsidies for the modernization and improvement of production of agricultural
unitsProvision of financial support, by the Department of Agriculture, in order toencourage the modernization and improvement of production of Agricultural Units
for crop production and for the technological upgrading of the units.514,986 Department of
Agriculture
(vii) Interest on loans subsidy, as a difference between the maximum legal lending rate
in Cyprus and subsidized interest rate of agricultural loans issued by Government.
Cash subsidies are included in subsidies for integrated livestock development.
Agricultural loans were medium-term and long-term loans issued to farmers at asubsidized interest rate of 6%, as from 1994.  (It was 7% before).  The maximumlegal lending rate in Cyprus is 9%).n.a. Loan Commissioners
Cooperative Central Bank
In 1999, total loans disbursed through agricultural development projects were
£C 298,115.  Subsidized credit was available through the following agriculturaldevelopment projects:
- Financing facilities for piping, irrigation equipment and installation
- Project for the development of floriculture- Project for the improvement of vegetable cultivation- Utilization of aromatic plants and encouragement of their cultivation
- Encouragement of young people to remain in rural areas
- Project for the control of Citrus Trisleza Virus- Integrated livestock development project.
(b)   Input subsidies generally available to low-income or resource-poor producers 2,077,093
(i) Subsidies for the encouragement of forage cultivation and hay making.
Provision of subsidies to farmers for fora ge cultivation (pasture development), for
silage and mainly for the production of hay with the objective to encouragelivestock keepers to use hay as feed, in proper quantities, thus replacing barley and
other concentrates.  A small percentage of the budgetary outlays is spent on field
trials.2,049,170 Department of
Agriculture
(ii) Subsidies to plant protection associations.
Provision of subsidies to plant protection associations which cover part of the
expenses for pest and disease control, mainly for grapes and olives.27,923
Total for exempt measures, special and differential treatment 4,509,016G/AG/N/CYP/10
Page 7Supporting Table DS:4
DOMESTIC SUPPORT:  Cyprus
REPORTING PERIOD:  Calendar year 1999
Calculation of the Current Total Aggregate Measurement of Support
Description of basic products
(including non-product specific
AMS)Product-specific AMS (from Supporting
Tables DS:5 to DS:7 below)
(£C)Product-specific equivalent
measurements of support (from
Supporting Table DS:8 below)
(£C)Current Total AMS (aggregate)
(£C)
12 3 4
Wheat 1,146,320 1,146,320
Barley 9,907,875 9,907,875
Wine grapes 4,021,273 4,021,273
Livestock products (Feedgrain subsidy) 8,353,378 8,353,378
Edam cheese 745,446 745,446
Tobacco 582,528 582,528
Carobs 274,473 274,473
Apples 660,492 660,492
Pears 83,013 83,013
Citrus de minimis 0 0
Peaches de minimis 0 0
Bananas de minimis 0 0
Sultanina (table grapes) de minimis 0 0
Kiwis de minimis 0 0
Cherries de minimis 0 0
Other fruit de minimis 0 0
Sheep and goat products de minimis 0 0
Olive oil 3,217,908 3,217,908
Non-product-specific AMS 0
Total:  Current Total AMS 25,774,798 3,217,908 28,992,706G/AG/N/CYP/10
Page 8Supporting Table DS:5
DOMESTIC SUPPORT:  Cyprus
REPORTING PERIOD:  Calendar year 1999
Product-Specific Aggregate Measurements  of Support:  Market Price Support
Description of basic
productsCalendar year
1999Measure type(s) Applied
administered
price
(£C/tonne)External
reference
price
(generally
from
AGST/…)
(£C/tonne)Eligible
production
(tonnes)Associated
fees/levies
(£C)Total market
price support
(£C)Data sources
123 4 5 6 7 8
((4-5*6)-7)9
Wheat
(10.01)Fixed producer
prices145 CIF 63.12114,000 1,146,320 (a) Department of Statistics
and Research, Ministry ofFinance
(b) Imports and Exports
Statistics 1986-1988,Nicosia, Department ofStatistics and Research,Ministry of Finance.
(c) Cyprus Grain
Commission
Barley
(10.03)Fixed producer
prices127 CIF 38.432112,500 9,907,875 (a) Department of Statistics
and Research, Ministry of
Finance
(b) Imports and Exports
Statistics 1986-1988,
Nicosia, Department of
Statistics and Research,Ministry of Finance
(c) Cyprus Grain
Commission
1External reference price used £C 63.12/tonne.
2External reference price used £C 38.43/tonne.G/AG/N/CYP/10
Page 9Supporting Table DS:6
DOMESTIC SUPPORT:  Cyprus
REPORTING PERIOD:  Calendar year 1999
Product-Specific Aggregate Measurements of  Support:  Non-Exempt Direct Payments
Description of basic
productCalendar year
1999Measure type(s) Applied
administered
price
(£C/tonne)External
reference price
(generally from
AGST/…)
(£C/tonne)Eligible
production
(tonnes)Total price-
related direct
payments
(£C)Other non-
exempt direct
payments
(£C)Associated
fees/levies
(£C)Total direct
payments
(£C)Data sources
1 2 3 4567
((4-5)*6))89 1 0
(7+8-9)11
Wine grapes (wine
of fresh grapes
22.04)(i) Subsidy by weight of wine
grapes
(ii) Subsidy on Commandaria wine,by volume
(iii) Withdrawal of surplus
production2,490,205
38,805
1,492,2632,490,205
38,805
1,492,263Final Accounts,
Vine Products
Commission.(Budgetary
outlays)
Edam cheese )Tobacco )
Carobs )Apples )
Pears )Product-specific
direct payments745,446
582,528
274,473660,492
83,013745,446
582,528
274,473660,492
83,013Treasury, Ministry
of Finance
Total 2,345,952 2,345,952
Citrus )
Peaches )
Bananas )Sultanina (table
grapes) )
Kiwis )Cherries )
Other Fruit )Product-specific
direct payments
de minimis (1)893,086
128,128
75,00238,701
5,414
7,138
25,265893,086
128,128
75,00238,701
5,414
7,138
25,265
Sheep and goat )products )Product-specific
direct payments
de minimis (1)2,490,845 2,490,845Treasury, Ministry
of Finance,
Department ofStatistics and
Research,
Ministry ofFinance
Total 3,663,579 3,663,579
Note: (1) Support does not exceed 10% of total value of production of each of these products, for the relevant year. Under the p rovisions of Article 6.4 of the Agreement on Agriculture, support falling below
the de minimis  level need not be included in the calculation of the Current Total AMS.G/AG/N/CYP/10
Page 10Supporting Table DS:7
DOMESTIC SUPPORT:  Cyprus
REPORTING PERIOD:  Calendar year 1999
Product-Specific Aggregate Measurements of Support:  Other Product-Specific Support and Total Product-Specific AMS
Description of
basic productCalendar year
1999Measurement
type(s)Other
product-
specific
budgetary
outlaysOther product
specific
support
(include
calculation
details)Associated
fees/levies
(£C)Total
other
product-
specific
supportMarket
price
support
(Supporting
Table DS:5)
(£C)Non-exempt
direct
payments
(Supporting
Table DS:6)
(£C)Total AMS
(£C)Data sources
12 3 4 5 6 7
(4+5-6)89 1 0
(7+8-9)11
Wine grapes
(wine of freshgrapes 22.04)- Subsidy by weight of wine
grapes- Subsidy on Commandaria wine,by volume
– Withdrawal of wine grapes4,021,273 4,021,273 Final Accounts
Vine ProductsCommission.(Budgetary outlays)
Wheat(10.01)      Fixed producer prices 1,146,320 1,146,320
Barley
(10.03)      Fixed producer prices 9,907,875 9,907,875(a) Department of
Statistics andResearch, Ministry
of Finance
(b) Imports and
Exports Statistics1986-1988, Nicosia,
Department of
Statistics andResearch, Ministryof Finance
(c) Cyprus Grain
Commission
G/AG/N/CYP/10
Page 1112 3 4 5 6 7
(4+5-6)89 1 0
(7+8-9)11
Livestock products:        Feedgrain subsidy 8,353,378 8,353,378 8,353,378
Meat (beef, mutton
and lamb, goats andkids, pork, poultry,other meat), milk,
eggsCyprus Grain
Commission
*The fixed external reference price used was:  £C 58.11/tonne.
Edam cheese )
Tobacco )
Carobs )Apples )Pears )Product-specific
direct payments745,446
582,528
274,473660,492
83,013745,446
582,528
274,473660,492
83,013Treasury, Ministry
of Finance
Total 2,345,952 2,345,952
Citrus )
Peaches )
Bananas )
Sultanina (table  )grapes) )Kiwis )Cherries )
Other fruit )
Sheep and goat )
products) )Product-specific
direct payments
de minimis  (1)
Product-specific
direct payments
de minimis  (1)893,086
128,128
75,002
38,701
5,414
7,138
25,265
2,490,8450
0
0
0
0
0
0
0Treasury, Ministry
of Finance.
Department of
Statistics andResearch, Ministryof Finance
Total 3,663,579 0
(1) Support does not exceed 10% of the total value of productions of each of these products, for the relevant year.  Under the p rovisions of Article 6.4 of the Agreement on
Agriculture, support falling below the de minimis  level need not be included in the calculation of the Current Total AMS.
Estimated values of production for 1999 are the following (in £C) Citrus 14,023,000
Peaches 1,350,000
Bananas 4,147,000Sultanina (table grapes) 5,249,000Kiwis 236,000
Cherries 1,195,100
Other fruit 8,484,430Sheep and goat products 32,655,000 (meat and milk only)G/AG/N/CYP/10
Page 12Supporting Table DS:8
DOMESTIC SUPPORT:  Cyprus
REPORTING PERIOD:  Calendar year 1999
Product-Specific Equivalent Measurements of Support
Description
of basic
productsCalendar
year 1999Measure
type(s)Applied
administered
price
(£C/tonne)Production
eligible to
receive the
applied
administered
price
(tonnes)Market
price
support
budgetary
outlays
(£C)Equivalent
measurement
of support
(include
calculation
details)Non-
exempt
direct
paymentsOther
product-
specific
supportAssociated
fees/leveesTotal
monetary
value of
equivalent
commitmentData sources
12 3 4 5 678 9 1 0 1 1
(7+8+9-10)12
Olive oil Calendar
yearFixed
producerprice2,300 2,500* 3,217,908 3,217,908 3,217,908 Cyprus Olive
ProductsMarketing
Board.
Department ofStatistics andResearch,Ministry of
Finance.
The AgriculturalSituation in theEuropean Union,
1998 Report,
EuropeanCommission,Brussels -
Luxembourg,
1999.
External reference price 1998 (as from 1999 only Production Market Price exist):  1,751.60 ECU**/tonne or 1,012.84 £C/tonne (in tervention price 1997/98)
Notes:
* Preliminary estimate
** 1 Cyprus pound (£C)   = 1.7294 ECU (end December 1999)
-    It is noted that with respect to equivalent commitments Cyprus undertook a commitment only on the basis of the difference between future contemporaneous prices, i.e. future
administered and future external reference prices.
__________