G/SCM/N/372/MNE  
 
1 March 2021 
(21-1719) Page: 1/21 
Committee on Subsidies and Countervailing Measures  Original: English  
 
SUBSIDIES  
NEW AND FULL NOTIFICATION PURSUANT TO ARTICLE XVI:1 OF  
THE GATT 1994 AND ARTICLE 25.1 OF THE AGREEMENT ON  
SUBSIDIES AND COUNTERVAILING MEASURES  
MONTENEGRO  
The following submission,  dated and received on 26 February 2021 is being circulated at the request 
of the delegation of Montenegro.  
 
_______________  
 
 
Contents  
I NON -FISHERIES PROGRAMMES  ................................ ................................ ....................  2 
1   SUPPORT PROGRAMME LINE FOR MODERNISATION OF  
THE PROCESSING INDUSTRY  ................................ ................................ ..........................  2 
2   PROGRAMME OF ENHANCING INNOVATION IN SMALL AND MEDIUM ENTERPRISES 
FOR 2019  ................................ ................................ ................................ ........................  3 
3   PROGRAM OF INCREASING THE REGIONAL AND LOCAL COMPETITIVENESS  ..............  4 
4   PROGRAM FOR STIMULATING THE DEVELOPMENT OF CLUSTERS  ...............................  5 
5   ANNUAL PLAN OF THE INVESTMENT AND DEVELO PMENT FUND OF MONTENEGRO  ..... 6 
6   PROGRAM LINE FOR DIRECT INVESTMENT INCENTIVES  ................................ ............  7 
7   CRAFT DEVELOPMENT PROGRAM LINE  ................................ ................................ ....... 8 
8   ELECTRICITY PRODUCED FROM RENEWABLE RESOURCES  ................................ ..........  9 
9   COLLABORATIVE PROGRAMME FOR INNOVATION  ................................ ....................  10 
10   GRANT PROGRAM FOR INNOVATIVE PROJECTS  ................................ ......................  12 
11   PROGRAM OF ACTIVITIES TO STIMULATE ENTREPRENEURSHIP  ............................  13 
II SUPPORT FOR FISHERIES PRODUCTS  ................................ ................................ ....... 13 
1   MODERNIZATION OF PROFESSIONAL FISHING FLEET FOR  
DEMERSAL RESO URCES  ................................ ................................ ................................ . 14 
2   MODERNIZATION OF PROFESSIONAL FISHING FLEET FOR PELAGIC RESOURCES  .... 14 
3   MODERNIZATION OF PROFESSIONAL FISHING FLEET IN  
SMALL COMMERCIAL FISHING  ................................ ................................ ......................  15 
4   SUPPORT TO IMPROVE COMPETITIVENESS AND EFFICIENT OF THE MARICULTURE 
SECTOR  ................................ ................................ ................................ .........................  16 
5   SUPPORT FOR SUSTAINABLE MANAGEMENT AND CONSERVATION  
OF RESOURCES OF FISH AND OTHER MARINE ORGANISMS  ................................ ..........  17 G/SCM/N/372/MNE  
 
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  6   SUPPORT FOR MODERNIZATION AND STRENGTHENING THE COMPETITIVENESS OF 
FISHERY SECTOR  ................................ ................................ ................................ ..........  18 
7   SUPPORT FOR SUSTAINABLE MANAGEMENT OF FRESHWATER FISHERY  ..................  19 
8   STRENGTHENING COMPETITIVENESS AND EF FICIENCY OF  
FRESHWATER FISHERY SECTOR  ................................ ................................ ....................  20 
9   DIRECT PAYMENTS IN AQUACULTURE  ................................ ................................ ...... 21
 
I NON-FISHERIES PROGRAMMES  
1  SUPPORT PROGRAMME LINE FOR MODERNISATION OF THE PROCESSING INDUSTRY  
1. Title of the subsidy programme  
Support Programme line for Modernisation of the Processing Industry . 
2. Period covered by the notification  
2019.  
3. Policy objective and/or purpose of the subsidy  
The aim of the Programme line was to strengthen the competitiveness of business entities, to 
improve busine ss, productivity and profitability through investment in equipment.  
The specific objectives of the Programme line were:  
• Improvement of technological processes, products and services ; 
• Increasing the volume and value of traffic ; 
• Reducing the cost of financin g the production equipment through subsidizing the part costs 
of equipment procurement.  
4. Background authority for the subsidy (including identification of the legislation under which it 
is granted)  
Background authority for the subsidy has been the Ministry of Economy of Montenegro in cooperation 
with the Investment and Development Fund of Montenegro, based on the Industrial Policy of 
Montenegro 2016 – 2020, Montenegro Development Directions 2018 -2021 and Montenegro 
Economic Reform Programme 2018 -2020. 
5. Form of the subsidy  
Grants.  
6. To whom and how the subsidy is provided (to producers, exporters and others, through what 
mechanism, etc.)  
Registered micro, small and medium -sized companies and entrepreneurs who have been in the 
business for at least 2 year s and whose registered principal activity fall within processing industry 
are eligible to participate in the Programme line.  
7. Subsidy per unit, or in cases where this is not possible, the total amount of the annual amount 
budgeted for that subsidy  
The avail able funds in 2019 for the implementation of the Programme line were EUR 184 699,00. In 
2019 the Ministry received twelve applications from the companies operating in the wood industry, 
furniture production and production of construction products. After ch ecking the documentation, the 
Commission of the Ministry of Economy approved eleven applications in accordance with the G/SCM/N/372/MNE  
 
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  Programme line's rules. With the support of EUR 155.736,00  by the Ministry of Economy, the 
equipment worth EUR 1.213.786,69 was purchase d. 
8. Duration of the subsidy and/or any time limits attached to it, including date of 
inception/commencement  
One year.  
9. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
2  PROGRAMME OF ENHANCING INNOVATION IN SMALL AND MEDIUM EN TERPRISES FOR 
2019  
1. Title of the subsidy programme  
Program of Enhancing Innovation in Small and Medium Enterprises for 2019 - Financial Support 
Project for small and medium enterprises (SMEs) . 
2. Period covered by the notification  
2019.  
3. Policy objective and/or  purpose of the subsidy  
Improving the innovative capabilities of SMEs through encouraging the use of consulting services 
for realization and implementation of innovative activities. Specific objectives and purpose were 
related to:  
• Strengthening innovative potentials in SMEs ; 
• Modernization of business ; 
• Improving awareness of the importance of using consulting services by SMEs ; 
• Building links between SMEs and consultant services providers ; 
• Increasing productivity and competitiveness of SMEs ; and 
• Increasing the internationalization of SMEs.  
4. Background authority for the subsidy (including identification of the legislation under which it 
is granted)  
The Ministry of Economy has been the background authority for the subsidies based on the following 
documents: Industrial Policy of Montenegro 2016 -2020, Action Plan for 2017, Strategy for the 
Development of the Processing Industry 2014 -2018, Regional Development Strategy 2014 -2020, 
Strategy for innovative activities 2016 -2020, Strategy for SME Development  2018-2022.  
5. Form of the subsidy  
The aid was granted as a reimbursement of 50% of the costs for engaging external consultants for 
implementing innovative activities.  
6. To whom and how the subsidy is provided (to producers, exporters and others, through what 
mechanism, etc.)  
The right to participate in the Financial Support Project small and medium enterprises (SMEs) had 
registered micro, small and medium sized companies from manufacturing sector, operating for at 
least 1 year, fulfilling the following condition s: 
• To be 100% privately owned ; 
• Had no operating losses in the last two financial years ; 
• Regularly paid taxes and contributions ; and G/SCM/N/372/MNE  
 
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  • Had not use any financial assistance from the budget or donor programs for the same 
activities.  
SMEs which fulfil the aforem entioned conditions and appraised with quantitative and qualitative 
criteria and selected to realize innovative activity (innovation of product, process, organization or 
marketing) conducted innovative activity in cooperation with external consultant. They  paid costs of 
the consultants and asked for reimbursement of 50% of the costs, following the implementation of 
the innovative activities and submission of relevant evidence. In 2019 in total 22 companies fulfilled 
conditions and procedures, implemented in novative activities and thus were reimbursed 
EUR 60,309.00  (as grants).  
7. Subsidy per unit, or in cases where this is not possible, the total amount of the annual amount 
budgeted for that subsidy  
Total Budget dedicated to the implementation of financial supp ort project for small and medium -
sized enterprises for 2019 was EUR 50,000.00 and the maximum amount of subsidy per company 
was EUR 3,500.00, excluding VAT.  
Total amount in 2019. EUR 60,309.00.  
8. Duration of the subsidy and/or any time limits attached to it,  including date of 
inception/commencement  
One year.  
9. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
3  PROGRAM OF INCREASING THE REGIONAL AND LOCAL COMPETITIVENESS  
1. Title of the subsidy programme  
Program of increasing the regional and local competitiveness through compliance with the 
requirements of international business standards, for 2019  
2. Period covered by the notification  
2019.  
3. Policy objective and/or purpose of the subsidy  
The Program has aimed to provid e support to entrepreneurs, small and medium sized enterprises 
(SMEs) and clusters especially from less developed municipalities and the northern region, to 
increase their own size to a greater extent of competitiveness, primarily through harmonization wit h 
the requirements of international standards related to their products, management systems, 
staffing, testing, controlling and certification and support for obtaining accreditation for conformity 
assessment.  
4. Background authority for the subsidy (including  identification of the legislation under which it 
is granted)  
The Ministry of Economy based on the Law on Regional Development of Montenegro ("Official 
Gazette of the Republic of Montenegro", No. 20/11), the Law on Business Companies ("Official 
Gazette of the Republic of Montenegro", No. 06/02), the Strategy of regional development of 
Montenegro 2014 -2020, the Strategy for innovative activities 2016 -2020, the Strategy of the 
development of the processing industry of Montenegro 2014 -2020, Industrial policy o f Montenegro 
until 2020.  
5. Form of the subsidy  G/SCM/N/372/MNE  
 
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  The subsidy has been provided according to the principle of refund. The beneficiary of the program 
financed the project, and after realization and submission of evidence of realization, the Ministry 
refunded the  contracted amount.  
Support was related to two components - for the introduction of international business standards 
and for obtaining accreditation for conformity assessment.  
6. To whom and how the subsidy is provided (to producers, exporters and others, thr ough what 
mechanism, etc.)  
The beneficiaries were entrepreneurs, small and medium sized companies under the criteria defined 
in the public call for participation. In 2019 in total 71 companies fulfilled conditions and procedures, 
implemented contracted act ivities and thus were reimbursed EUR 268,520.55 (as grants).  
7. Subsidy per unit, or in cases where this is not possible, the total amount of the annual amount 
budgeted for that subsidy  
Amount budgeted for 2019 was EUR 268,520.55.  
8. Duration of the subsidy and/ or any time limits attached to it, including date of 
inception/commencement  
One year.  
9. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
4  PROGRAM FOR STIMULATING THE DEVELOPMENT OF CLUSTERS  
1. Title of the subsidy programme  
Program for stimulating the development of clusters, for 2019 . 
2. Period covered by the notification  
2019.  
3. Policy objective and/or purpose of the subsidy  
The objective of the Program is financial support for more efficient functioning of innovative clusters 
and their better promotion in order to achieve a better competitive position of small and medium -
sized enterprises on the national and international mar ket. 
4. Background authority for the subsidy (including identification of the legislation under which it 
is granted)  
The Ministry of Economy based on the Strategy of regional development of Montenegro 2014 -2020, 
the National strategies for employment and huma n resources development 2016 -2020, the Strategy 
for innovative activities 2016 -2020, the Strategy of the development of the processing industry of 
Montenegro 2014 -2020, Industrial policy of Montenegro until 2020.  
5. Form of the subsidy  
The subsidy has been re alized according to the principle of refund. The beneficiary of the program 
financed the project, and after realization and submission of evidence of realization, the Ministry 
refunded the contracted amount.  
The subject of support might be investments in t angible, intangible assets and operational costs of 
business.  G/SCM/N/372/MNE  
 
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  6. To whom and how the subsidy is provided (to producers, exporters and others, through what 
mechanism, etc.)  
The right to participate in the Program for the Promotion of Cluster Development in Mon tenegro had 
clusters of entrepreneurs, micro, small and medium enterprises registered as legal entities.  
7. Subsidy per unit, or in cases where this is not possible, the total amount of the annual amount 
budgeted for that subsidy  
EUR 56,501.93 . 
8. Duration of th e subsidy and/or any time limits attached to it, including date of 
inception/commencement  
One year.  
9. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
5  ANNUAL PLAN OF THE INVESTMENT AND DEVELOPMENT FUND OF MONTENEGRO  
1. Title of the subsidy programme  
Annual Plan of the Investment and Development Fund of Montenegro JSC for 2019 . 
2. Period covered by the notification  
2019. 
3. Policy objective and/or purpose of the subsidy  
The subsidy was provided with the goal of realization of c redit lines of Investment and Development 
Fund of Montenegro AD, intended for:  
• Entrepreneurship development - encouraging employment (support to specific targeted 
groups: start-up companies, young people in business, women in business, students, 
innovative  and research companies, promotion of online and ICT business, cluster 
production, persons with disabilities, unemployed persons with university education and the 
like); 
• Increasing of competitiveness of entrepreneurs and SMEs ; 
• Support the creation of commodity producers in agriculture and food production ; 
• Support to innovative projects ; 
• Support to projects in the field of ICT ; 
• Improving the support to the development of to urism and catering;  
• Balanced regional development in Montenegro ; 
• Starting a new investment cycle for SMEs ; 
• Strengthening the existing capacities - maintenance and improvement of liquidity ; 
• Development of infrastructure projects, projects from ecological, l ocal and national 
significance ; and 
• Projects in the field of energy and energy efficiency.  
4. Background authority for the subsidy (including identification of the legislation under which it 
is granted)  
Investment and Development Fund of Montenegro A.D . based  on the Law on Investment 
Development Fund of Montenegro ("Official Gazette of Montenegro", No. 88/09,40/10 and 080/17) 
and the IDF Annual Work Plan for 2019 . 
5. Form of the subsidy  G/SCM/N/372/MNE  
 
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  The aid is granted in the form of subsidized interest rates on the loans.  
6. To whom and how the subsidy is provided (to producers, exporters and others, through what 
mechanism, etc.)  
Beneficiaries, based on the Plan of the Investment and Development Fund for 2019, were 
entrepreneurs, micro, small and medium enterprises, as well as la rge enterprises as defined in the 
Program.  
7. Subsidy per unit, or in cases where this is not possible, the total amount of the annual amount 
budgeted for that subsidy  
Total funds in 2019 amounted to EUR  8,850,618.00 for loans.  
8. Duration of the subsidy and/or any time limits attached to it, including date of 
inception/commencement  
One year.  
9. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
6  PROGRAM LINE FOR DIRECT INVESTMENT INCENTIVES  
1. Title of the subsidy programme  
Program line for direct investment incentives . 
2. Period covered by the notification  
2019.  
3. Policy objective and/or purpose of the subsidy  
The goal of the Program Line is to create conditions for a more favorable business environment that 
will, by encouraging domestic and foreign investments in all areas of Montenegro, contribute to the 
increase competitiveness and export potential of the industry by introducing new technologies and 
knowledge and enable the creation of new jobs.  
4. Background authority for the sub sidy (including identification of the legislation under which it 
is granted)  
The Ministry of Economy . 
5. Form of the subsidy  
Refinancing . 
6. To whom and how the subsidy is provided (to producers, exporters and others, through what 
mechanism, etc.)  
Micro, small, medium and large companies have the right to participate in the Program in accordance 
with the Law on Companies.  
7. Subsidy per unit, or in cases where this is not possible, the total amount of the annual amount 
budgeted for that subsidy  
EUR 2,908,500.00 . G/SCM/N/372/MNE  
 
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  8. Duration of the subsidy and/or any time limits attached to it, including date of 
inception/commencement  
One year.  
9. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
7  CRAFT DEVELOPMENT PROGRAM LINE  
1. Title of the subsidy programme  
Craft Development Program Line . 
2. Period covered by the notification  
2019.  
3. Policy objective and/or purpose of the subsidy  
The program line for the development of crafts aims to contribute to the preservation and 
development of crafts that are mostly handmade as well as those that require special craft skills and 
abilities, relying on traditional culture, which is characterized by recognizable products and quality 
services. The program line implies the award of grants for the purpose of purchasing equi pment and 
tools intended exclusively for performing craft activities as well as the organization and participation 
in domestic and international fairs and events.  
4. Background authority for the subsidy (including identification of the legislation under which  it 
is granted)  
N/A 
5. Form of the subsidy  
Subsidies . 
6. To whom and how the subsidy is provided (to producers, exporters and others, through what 
mechanism, etc.)  
Craftsmen who are registered in accordance with the Companies Act and who are registered in the 
register of craftsmen with the "Chamber of Crafts" have the right to participate in the Program Line.  
7. Subsidy per unit, or in cases where this is not possible, the total amount of the annual amount 
budgeted for that subsidy  
EUR 1,021.68 . 
8. Duration of the subs idy and/or any time limits attached to it, including date of 
inception/commencement  
One year.  
9. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. G/SCM/N/372/MNE  
 
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  8  ELECTRICITY PRODUCED FROM RENEWABLE RESOURCES  
1. Title of the subsidy programme  
The subsidy programme in accordance with the Energy Law for electricity produced from renewable 
resources.  
2. Period covered by the notification  
2019.  
3. Policy objective and/or purpose of the subsidy  
The Energy Development Strategy of Montenegro until 2030, which  was adopted in 2014, has 
recognized the development of renewable energy sources as a strategic goal of Montenegro. The 
Strategy has aimed to the development of wind farms since the study of the potential of renewable 
sources in the territory of Montenegro  had showed significant wind potential, in addition to the hydro 
potentials and potentials of solar energy and biomass.  
4. Background authority for the subsidy (including identification of the legislation under which it 
is granted)  
The Ministry of Economy is the background authority for the subsidy based on the following 
documents: the Law on Energy, the Decree on the tariff system for determining the incentive price 
of electricity from renewable energy sources and high efficiency cogeneration, the Decree on 
acquiring the status and accomplishing entitlements of the privileged producer electricity, the Decree 
on incentive fees to encourage production of electricity from renewable energy sources and 
cogeneration.  
5. Form of the subsidy  
The aid has been granted in the form of guaranteed price, guaranteed purchase and release of 
balance responsibility.  
6. To whom and how the subsidy is provided (to producers, exporters and others, through what 
mechanism, etc.)  
Pursuant to the legal possibilit ies provided for in the Law on Energy and after fulfilling all prescribed 
conditions the companies: "Hidroenergija Montenegro" d.o.o. Berane, "Kronor " d.o.o. Podgorica, 
"Synergy " d.o.o. Podgorica, "Hydro Bistrica " d.o.o. Podgorica, "Igma Energy " d.o.o. And rijevica, 
"Krnovo Green Energy " d.o.o. and "Nord Energy " d.o.o. Andrijevica, have gained the status of a 
privileged producer for 12 years. In accordance with the status of a privileged producer they have 
been entitled to use the aid.  
After acquiring the status of a privileged producer, the companies have signed the Electricity 
Purchase Agreement with the Montenegrin Electricity Market Operator, guarantying purchase at a 
defined price for 12 years.  
7. Subsidy per unit, or in cases where this is not possible, the total amount of the annual amount 
budgeted for that subsidy  
Montenegro has determined the selling price of electricity produced in plants during the entire period 
of the purchase contract. Selling price has been determined in accordance w ith the Decree on tariff 
system for determining the incentive prices for electricity produced from renewable energy sources 
and high efficient cogeneration.  
During 2019 year for SHPP "Šeremet ", developed by "Nord Energy " d.o.o. Andrijevica, has 
determined the selling price of 10,69 c€/kWh which has begun to apply from 3rd August 2018, for 
SHPP "Bistrica " developed by "Hydro Bistrica " d.o.o. Podgorica has determined the selling price of 
8,55 c€/kWh,  for SHPP "Šekular ", developed by "Hidroenergija Montenegro " doo, Berane, has G/SCM/N/372/MNE  
 
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  determined the selling price of 9,66 c€/kWh which has begun to apply from 12 April 2016, for SHPP 
"Rmuš " developed by "Hidroenergija Montenegro " doo, Berane, has determined the selling price of 
10,84  c€/kWh which has begun to apply from 1 9 May 2015, for SHPP "Orah" developed by 
"Hidroenergija Montenegro " doo, Berane, has determined the selling price of 10,84 c€/kWh which 
has begun to apply from 19 May 2015, for SHPP "Spaljevići " developed by "Hidroenergija 
Montenegro " doo, Berane, has dete rmined the selling price of 10,84 c€/kWh which has begun to 
apply from 19 May 2015, for SHPP "Jara" developed by "Kroling " doo, Danilovgrad, has determined 
the selling price of 8,05 c€/kWh which has begun to apply from 24 November 2016, for SHPP "Babino 
Polje" developed by "Kroling " doo, Danilovgrad, has determined the selling price of 9,32  c€/kWh 
which has begun to apply from 2 November 2017, for SHPP "Jezerštica " developed by "Hidroenergija 
Montenegro " doo, Berane, has determined the selling price of 10,7 6 c€/kWh which has begun to 
apply from 28 November 2013, for SHPP "Jelovica 2 " developed by "Hidroenergija Montenegro " doo, 
Berane, has determined the selling price of 10,44 c€/kWh which has begun to apply from 
28 November  2019, for SHPP "Bistrica " developed by "Hidroenergija Montenegro " doo, Berane, has 
determined the selling price of 8,06 c€/kWh which has begun to apply from 28  November  2013, for 
SHPP "Vrelo" developed by "Synergy " doo, Podgorica, has determined the selling price of 
10,84  c€/kWh w hich has begun to apply from 10 July 2015, for SHPP "Rijeka Bradavec " developed 
by "Igma Energy " doo, Andrijevica, has determined the selling price of 10,84  c€/kWh which has 
begun to apply from 09 November 2015, for SHPP "Piševska rijeka " developed by "Igma Energy " 
doo, Andrijevica, has determined the selling price of 10,70 c€/kWh which has begun to apply from 
9 November  2015.  
The amount of the incentive represents the difference between the incentive price and the price 
determined by the contract concluded  between the Market Operator and the Supplier in the amount 
of 5.27 c€/kWh for 2019 year.  
8. Duration of the subsidy and/or any time limits attached to it, including date of 
inception/commencement  
The period, during which all the measures are to be implemente d is 12 years, beginning on the date 
when the Decision on acquiring the status of a privileged producer is issued.  
9. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
9  COLLABORATIVE PROGRAMME FOR INNOVATION  
1. Title of the subsid y programme  
Collaborative Programme for Innovation . 
2. Period covered by the notification  
2019.  
3. Policy objective and/or purpose of the subsidy  
The Programme for Awarding Grants for Innovative Projects 2018 -2020 was adopted by the 
Government of Montenegro in J uly 2018, based on the Law and the Strategy on Innovative Activities, 
as well as the Decision of the Commission for State Aid Control. This Programme was implemented 
through a Call for Awarding Grants for Innovative Projects realized in 2018. After the fin alization of 
the two -phase international evaluation, 10 grants for innovative projects were approved for co -
financing through this Call. The total value of the innovative projects is € 1,172,529, of which the 
Ministry of Science is co -financing the amount of € 730,834, while the co -funding of the grant holders 
amounts to € 441,695.  
Due to the positive effects of the aforementioned Programme in terms of encouraging new 
employment in the research, development and innovation sector, the "Collaborative Programm e for 
Innovation" was introduced in Smart Specialization Strategy of Montenegro - S3 (2019 -2024) and G/SCM/N/372/MNE  
 
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  the Collaborative Innovation Programme 2019 -2024 was adopted by the Government in July 2019, 
as one of the most important implementation mechanisms for the  S3 Strategy.  
This Programme is implemented by the Ministry of Science and objectives of the Programme are the 
following:  
• Strengthening the competitiveness of Montenegrin companies by co -financing the 
development of innovative market -oriented products, ser vices and technologies that have 
great potential for commercialization and market application;  
• Supporting the transfer of innovative ideas from scientific research institutions to the 
market, through cooperation with partners from the economy or through th e opening of new 
enterprises / spin -off companies in Montenegro;  
• Strengthening human resources and creating new jobs.  
4. Background authority for the subsidy (including identification of the legislation under which it 
is granted)  
The Ministry of Science is background authority for the subsidy. Subsidies are provided in line with 
the Law on Innovation Activities (OG MNE 42/16), Strategy of Innovation Activity (2016 -2020) with 
the Action Plan within the Strategic Goal II "Strengtheni ng the Instruments for Networking and 
Cooperation of Actors in the Innovation System ", as well as the Smart Specialization Strategy 
(2019 -2024).  
5. Form of the subsidy  
Grant.  
6. To whom and how the subsidy is provided (to producers, exporters and others, throug h what 
mechanism, etc.)  
Research institutions, higher education institutions and economic entities (innovative -
entrepreneurial centre, business incubator, company, or part of the company) and registered in the 
Register of Innovative Organizations.  
The amou nt of funds allocated from the budget for co -financing an innovative project was 
determined based on the type of eligible cost and size of the company or other innovative 
organization, i.e. Grant holder or project partner. The maximum amount of funds provi ded as 
support, i.e. the maximum state aid intensity, as well as the procedure of awarding grants for 
innovative projects was described within the Call for Awarding Grants.  
7. Subsidy per unit, or in cases where this is not possible, the total amount of the a nnual amount 
budgeted for that subsidy  
The Programme was implemented through two calls, first in 2018 and other one in 2019:  
1.   The Call for Awarding Grants for Innovative Projects published in 2018, supported 
10 grants for innovative projects. Out of 10, 7 p rojects were granted to companies and 
3 projects to the scientific research institutions/university. The total value of the 
innovative projects is EUR 1,172,529, of which the Ministry of Science is co -financing 
the amount of EUR 730,834, while the co -funding of the grant holders amounts to 
EUR 441,695. Total transferred amount in 2019 for the implementation of th ese 
10 grants was EUR 192,350 . 
2.   The Call for Awarding Grants for Innovative Projects published in 2019 supported 
8 innovation projects within the st rategic priorities established by the Smart 
Specialization Strategy (2019 -2024). Out of 8, 7 projects were granted to companies 
and 1 project to the scientific research institution/ university. The total value of the 
innovative projects from this Call is EUR 909.489, of which the Ministry of Science is 
co-financing the amount of EUR 614.432, while the co -funding of the grant holders 
amounts to EUR 295.056. Projects were approved for implementation in 2019/2021, 
and total transferred amount in 2019. for th ese 8 grants was EUR 154.672,64 . G/SCM/N/372/MNE  
 
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  To summarize, for 18 projects approved in two Calls of the Collaborative Programme for Innovation, 
the amount of subsidies during the 2019, was in total EUR 347,022. 
8. Duration of the subsidy and/or any time limits attached to it, including date of 
inception/commencement  
Under these two Calls in 2018 and 2019, the Ministry of Science has allocated funds in total amount 
of EUR 700,000 for each. The Ministry awarded grants in the amount of up to EUR 100,000 per 
project  approved. The projects are co -financed for a period of 12 to 24 months.  
The Programme implemented through the first Call (10 projects) covers period December 2018 – 
December 2020, while second Call (8 projects) January 2020 –January 2022.  
9. Statistical data  permitting an assessment of the trade effects of the subsidy  
N/A. 
10  GRANT PROGRAM FOR INNOVATIVE PROJECTS  
1. Title of the subsidy programme  
Grant program for innovative projects . 
2. Period covered by the notification  
2019.  
3. Policy objective and/or purpose of the s ubsidy  
The goals of the Program are:  
• Strengthening the competitiveness of Montenegrin companies through co -financing the 
development of innovative ones ; 
• market -oriented products, services and technologies that have great potential for  
commercialization and market application;  
• Support for the transfer of innovative ideas from scientific research institutions to the 
market, through  cooperation with business partners or through the opening of new 
companies / spin -off company in Montenegro;  
• Strengthening human resources and creating new jobs  
4. Backg round authority for the subsidy (including identification of the legislation under which it 
is granted)  
Ministry of Science . 
5. Form of the subsidy  
Grants. 
6. To whom and how the subsidy is provided (to producers, exporters and others, through what 
mechanism, et c.) 
Beneficiaries of the program can be legal entities in Montenegro, which meet the requirements in 
accordance with Article 15 of the Law on Innovative Activity, or which are established in accordance 
with a special law and registered in the Register of I nnovative Organizations, and they include:  
• scientific research institutions ; 
• higher education institutions ; and 
• business entities (innovation -entrepreneurship center, business incubator, 
company, or part of the company).  G/SCM/N/372/MNE  
 
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  7. Subsidy per unit, or in cases where  this is not possible, the total amount of the annual amount 
budgeted for that subsidy  
EUR 226,702.92, the maximum amount of aid per accepted co -financing grant is  EUR 100,000.00.  
8. Duration of the subsidy and/or any time limits attached to it, including dat e of 
inception/commencement  
One year.  
9. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
11  PROGRAM OF ACTIVITIES TO STIMULATE ENTREPRENEURSHIP  
1. Title of the subsidy programme  
Program of activities to stimulate entrepreneurship in 2019 . 
2. Period covered by the notification  
2019.  
3. Policy objective and/or purpose of the subsidy  
The goal of the program is to stimulate entrepreneurship in the area of the Capital.  
4. Background authority for the subsidy (including identification of the legislation under which it 
is granted)  
The capital of Podgorica . 
5. Form of the subsidy  
Interest rate subsidy . 
6. To whom and how the subsidy is provided (to producers, exporters and others, through what 
mechanism, etc.)  
Entrepreneurs, smal l and medium -sized companies from the territory of the Capital of Podgorica 
have the right to loans under this program.  
7. Subsidy per unit, or in cases where this is not possible, the total amount of the annual amount 
budgeted for that subsidy  
Total EUR 1,714.00. 
8. Duration of the subsidy and/or any time limits attached to it, including date of 
inception/commencement  
One year.  
9. Statistical data permitting an assessment of the trade effects of the subsidy  
N/A. 
II SUPPORT FOR FISHERIES PRODUCTS  G/SCM/N/372/MNE  
 
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  1  MODERNIZATION OF PR OFESSIONAL FISHING FLEET FOR DEMERSAL RESOURCES  
1. Title of subsidy  
Support to improvement of marine fisheries and mariculture - Modernization of professional fishing 
fleet for demersal resources . 
2. Period covered by notification  
2019 Year . 
3. Policy objective and /or purpose of the subsidy  
Montenegro structural measures for improvement of the fishing fleet through achieving the next 
objectives:  
• Modernization of the fishing fleet for demersal resources;  
• Improving the standards of safety at sea, work conditions and maintenance of hygiene and 
health standards.  
4. Legal authority for the subsidy  
The Ministry of Agriculture and Rural Development . 
5. Type of the subsidy  
Support for modernisation of professional fishing fleet for demersal resources concerns co -financing 
for professional fishers (holders of the permits for commercial fishing) the costs of reconstruction of 
fishing vessels, replacement of engines, improvement of hygiene and health standards on board, 
supply of fishing tools and gear, as well as elec tronic devices. The maximum contribution of 
budgetary funds is up to 50% of the value of the invoice submitted, maximum up to EUR 10,000.  
The criteria for support will be defined by a public call.  
6. To whom and how t he subsidy is provided  
Professional fisher s (holders of the permit for commercial fishing), with use of the fishing gear – 
trawl nets and other fishing gear for fishing demersal species.  
7. Total budget  
EUR 90,000. 
8. Duration of Program  
2019 Year . 
9. Trade effects  
No effects on trade.  
2  MODERNIZATION OF PRO FESSIONAL FISHING FLEET FOR PELAGIC RESOURCES  
1. Title of subsidy  
Support to improvement of marine fisheries and mariculture - Modernization of professional fishing 
fleet for pelagic resources . 
2. Period covered by notification  G/SCM/N/372/MNE  
 
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  2019 Year . 
3. Policy objective and/or  purpose of the subsidy  
Montenegro structural measures for improvement of the fishing fleet sector through achieving the 
next objectives:  
• modernization of professional fishing fleet for pelagic resources,  
• increase fishing efficiency.  
4. Legal authority for the subsidy  
The Ministry of Agriculture and Rural Development . 
5. Type of the subsidy  
Support for modernisation of professional fishing fleet for pelagic resources concerns co -financing 
for professional fishers (holders of the permits for commer cial fishing) the costs of reconstruction of 
fishing vessels, replacement of engines, improvement of hygiene and health standards on board, 
supply of fishing tools and gear, as well as electronic devices for increasing the efficiency of fishing. 
The maximu m contribution of budgetary funds is up to 50% of the value of the invoice submitted, 
maximum up to EUR 10,000.  
The criteria for support will be defined by a public call.  
6. To whom and how t he subsidy is provided  
Professional fishers (holders of the permit f or large -scale commercial fishing) . 
7. Total budget  
EUR 30,000. 
8. Duration of Program  
2019 Year . 
9. Trade effects  
No effects on trade . 
3  MODERNIZATION OF PROFESSIONAL FISHING FLEET IN SMALL COMMERCIAL FISHING  
1. Title of subsidy  
Support to improvement of marine fisheries and mariculture - Modernization of professional fishing 
fleet in small commercial fishing (vessels of up to 10m LoA) . 
2. Period covered by notification  
2019 Year . 
3. Policy objective and/or purpose of the subsidy  
The ob jectives of this measure are following:  
• improving the efficiency of catch and technique in small -scale commercial fishing ; 
• modernization of existing vessels in small -scale commercial fishing.  
4. Legal authority for the subsidy  G/SCM/N/372/MNE  
 
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  The Ministry of Agriculture and Rural Development . 
5. Type o f the subsidy  
Support to modernisation of existing fishing vessels of 3 to 10 m LOA in small commercial fishing 
concerns co -financing in costs of replacement of engines, reconstruction and adaptation of vessels, 
replacement of fishing tools to increase efficiency of catch, i.e. change for more selective tools. The 
maximum contribution of budgetary funds is up to 50% of the value of the invoice submitted, 
maximum up to EUR 5,000.  The criteria for support will be defin ed by a public call.  
6. To whom and how the subsidy is provided  
Professional fishers (holders of the permit for small -scale commercial fishing) . 
7. Total budget  
EUR 80,000. 
8. Duration of Program  
2019 Year . 
9. Trade effects  
No effects on trade  
4  SUPPORT TO IMPROVE COMPE TITIVENESS AND EFFICIENT OF THE MARICULTURE 
SECTOR  
1. Title of subsidy  
Support to improvement of marine fishery and mariculture - improving the competitiveness and 
efficiency of mariculture sector . 
2. Period covered by notification  
2019 Year . 
3. Policy objective an d/or purpose of the subsidy  
• improve the competitiveness and efficiency of the mariculture sector ; 
• introduction of new technologies with regard to protection of farms against predators.  
4. Legal authority for the subsidy  
The Ministry of Agriculture and Rural Development . 
5. Type of the subsidy  
Support to competitiveness and efficiency of the mariculture sector concerns: co -financing of fish 
and mollusc farmers for reconstruction of farming sites; construction or reconstruction of facilities 
for storage of f eed and equipment; supply of equipment for automation of the farming process; 
supply of equipment for improvement of hygiene in terms of food safety and marketing of farmed 
products; reconstruction or supply of rafts for operations on the farming site; sup ply of protective 
nets in order to protect the farming sites against predators.  
Maximum share of budgetary funds is up to 50% of the approved investment up to EUR 7,000.  
6. To whom and how t he subsidy is provide d G/SCM/N/372/MNE  
 
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  Business organisations and entrepreneurs holde rs of the mariculture permit.  
7. Total budget  
EUR 35,000. 
8. Duration of Program  
2019 Year . 
9. Trade effects  
No effects on trade.  
5  SUPPORT FOR SUSTAINABLE MANAGEMENT AND CONSERVATION OF RESOURCES OF 
FISH AND OTHER MARINE ORGANISMS  
1. Title of subsidy  
Support to improve ment of marine fishery and mariculture - sustainable management and 
conservation of resources of fish and other marine organisms . 
2. Period covered by notification  
2019 Year . 
3. Policy objective and/or purpose of the subsidy  
• assessment of available resources of fish and other marine organisms;  
• monitoring of the situation and assessment of sustainable exploitation of fish and other 
marine organisms ; 
• collection and processing of data on catch, fleet and fishing effort, biological, environmental 
and socio -economic d ata in marine fishery ; 
• monitoring of the fish population dynamics, research of potential aquaculture locations in 
the open sea, monitoring of sea fish farms ; 
• functionality of the satellite monitoring system for fishing vessels of Montenegro (VMS) ; 
• introduc tion of more selective fishing gear in order to protect fish and other marine 
organisms and reduction of fishing costs.  
4. Legal authority for the subsidy  
The Ministry of Agriculture and Rural Development . 
5. Type of the subsidy  
Support is provided to the Institute for Marine Biology, for implementation of the annual program of 
data collection in marine fishery (DCF -DCRF), research regarding possible aquaculture locations in 
the open sea and monitoring of sea fish farms.  
The support is provided for operator s for provision of satellite and mobile communication services, 
for operation of the satellite system for monitoring of fishing vessels.  
The support is provided for the project for design of a more selective fishing gear - trawl, as well as 
training for fi shermen for weaving such nets.  
6. To whom and how t he subsidy is provide d 
Institute for Marine Biology, operators for satellite and mobile communication systems and the 
project.  G/SCM/N/372/MNE  
 
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  7. Total budget  
EUR 147,500. 
8. Duration of Program  
2019 Year . 
9. Trade effects  
No effects on trade.  
6  SUPPORT FOR MODERNIZATION AND STRENGTHENING THE COMPETITIVENESS OF 
FISHERY SECTOR  
1. Title of subsidy  
Support to improvement of marine fishery and aquaculture - modernization and strengthening the 
competitiveness of fishery sector . 
2. Period co vered by notification  
2019 Yea r. 
3. Policy objective and/or purpose of the subsidy  
• strengthening the competitiveness of fishery sector ; 
• development of the coastal infrastructure for berths of fishing vessels and fish landing;  
• collection and processing of data  on catch, fleet and fishing effort in marine fishery;  
• setting up of a traceability system in the fishery sector;  
• setting up of a system of electronic records in marine fishery ; 
• strengthening the inspection and supervision of fishing activities;  
• strengthening the competitiveness of fishery sector through establishing of new knowledge 
and new technologies ; 
• establishing and strengthening links between fishery, agriculture and touris m; 
• improvement of cooperation between professional fishermen from Montenegro and 
fishermen from other coastal countries;  
• strengthening the promotion and marketing of fishery products.  
4. Legal authority for the subsidy  
The Ministry of Agriculture and Rural De velopment . 
5. Type of the subsidy  
• Supply and installation of equipment necessary for first landing sites in small coastal fishing 
and setting up of a data collection system ; 
• Development of the coastal infrastructure for berths of fishing vessels and catch lan ding 
• Strengthening the inspection and supervision of fishing activities - supply of equipment ; 
• Promotion of fishery, education and study visits for professional fishermen.  
Measures and criteria for supply and installation of the equipment necessary, constr uction of 
fishermen 's ports, equipping of the first landing site, organisation of training and study visits for 
professional fishermen will be defined in accordance with the World Bank rules.  
6. To whom and how t he subsidy is provide d 
Beneficiaries will be de fined in line with the criteria of the Ministry of Agriculture and Rural 
Development.  G/SCM/N/372/MNE  
 
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  7. Total budget  
EUR 990,000. 
8. Duration of Program  
2019 Year . 
9. Trade effects  
No effects on trade.  
7  SUPPORT FOR SUSTAINABLE MANAGEMENT OF FRESHWATER FISHERY  
1. Title of subsidy  
Support to development of freshwater fishery and freshwater aquaculture - sustainable management 
of freshwater fishery . 
2. Period covered by notification  
2019 Year . 
3. Policy objective and/or purpose of the subsidy  
• Development of sports fishing tourism;  
• Strength ening control of sports fishing activities in order to protect and develop fishery 
waters and fish stocks;  
• Reliable estimate of available fish stocks in freshwater fishery waters – fishery master plan;  
• Traceability of fishery products ; 
• Improving the manage ment of freshwater resources based on available scientific data.  
4. Legal authority for the subsidy  
The Ministry of Agriculture and Rural Development . 
5. Type of the subsidy  
Support to users of fish and other aquatic organisms and to the Confederation for organi zation of 
sport fishing events both at the national and the international level in order to promote the sport 
fishing tourism.  
Support to development of protection and preservation of fishery waters.  
Support to a scientific institution that the Ministry au thorizes for development of fishery master plan.  
Support to a scientific institution - Faculty of Mathematics and Science - Biology Department for 
monitoring of the status of fish and other aquatic organisms as well as for cooperation with sport 
fishing cl ubs in the processes concerning the restocking, selective or fishing for population control 
purposes.  
Support to holders of permit for commercial fishing for supply of devices for keeping electronic 
records on sale (up to 50% of value of the device).  
6. To wh om and how t he subsidy is provide d 
Confederation of sports fishing organizations of Montenegro and users of fish stocks.  
Scientific institution authorised by the Ministry.  G/SCM/N/372/MNE  
 
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  Faculty of Mathematics and Science - Biology Department  
Holders of the permit for co mmercial fishing.  
7. Total budget  
EUR 68,500. 
8. Duration of Program  
2019 Year . 
9. Trade effects  
No effects on trade.  
8  STRENGTHENING COMPETITIVENESS AND EFFICIENCY OF FRESHWATER FISHERY 
SECTOR  
1. Title of subsidy  
Support to development of freshwater fishery and aquaculture - Strengthening competitiveness and 
efficiency of freshwater fishery sector . 
2. Period covered by notification  
2019 Year . 
3. Policy objective and/or purpose of the subsidy  
• Strengthening competitiveness and efficiency of freshwater aquaculture sector;  
• Introduction of new technologies for protection of farming sites against predators.  
4. Legal authority for the subsidy  
The Ministry of Agriculture and Rural Development . 
5. Type of the subsidy  
Support to strengthening the competitiveness and efficiency of the f reshwater aquaculture sector 
concerns co -financing for fish farmers for reconstruction of the farming sites; construction or 
reconstruction of facilities for storage of feed and equipment; supply of equipment for automation 
of the farming process; supply o f equipment for improvement of hygiene in terms of food safety and 
marketing of farmed products; supply of protective nets or other technical solutions in order to 
protect the farming sites against predators.  
Maximum share of budgetary funds is up to 50% o f the approved investment, up to EUR 7,000.  
6. To whom and how t he subsidy is provide d 
Business organisations and entrepreneurs issued with authorisation for aquaculture.  
7. Total budget  
EUR 45,00. 
8. Duration of Program  
2019 Year . G/SCM/N/372/MNE  
 
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  9. Trade effects  
No effects on trade.  
9  DIRECT PAYMENTS IN AQUACULTURE  
1. Title of subsidy  
Support to development of freshwater fishery and aquaculture - Direct payments in aquaculture . 
2. Period covered by notification  
2019 Year . 
3. Policy objective and/or purpose of the subsidy  
• increase the competitiveness of freshwater aquaculture production and creation of 
competitive farmers ; 
• full use of all available production capacities;  
• improvement of business operations;  
• increase of total aquaculture production.  
4. Legal authority for the su bsidy 
The Ministry of Agriculture and Rural Development  
5. Type of the subsidy  
Eligible for support for increase in aquaculture production are business organisations and 
entrepreneurs holding authorisation for aquaculture. Support is received exclusively for production 
from own farming site. Amount of support is set based on the area of the farming site stated in the 
authorisation for aquaculture and based on average production for the past two years as follows:  
• 3.0 €/m2 of reported usable area of the farming site if the average of all fish size 
structures produced was above 22 kg/m2 ; 
• 2.5 €/m2 of reported usable area of the farming site if the average of all fish size 
structures was between  22 - 17 kg/m2 ; 
• 2.0 €/m2 of reported usable area of the farming site if the average of all fish size 
structures produced was between 12 and 1 7 kg/m2 ; 
• 1.5 €/m2 of reported usable area of the farming site if the average of all fish size 
structures produced was below 12 kg/m2 . 
6. To whom and how t he subsidy is provide d 
Business orga nisations and entrepreneurs issued with authorisation for aquaculture.  
7. Total budget  
EUR 67,000. 
8. Duration of Program  
2019 Year . 
9. Trade effects  
Minimum effects on trade.  
 
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