G/SCM/Q2/EU/82  
 
1 September 2022  
(22-6532) Page: 1/2 
Committee on Subsidies and Countervailing Measures  Original: English  
 
SUBSIDIES  
REPLIES TO THE QUESTIONS POSED BY AUSTRALIA1  
REGARDING THE NEW AND FULL NOTIFICATION  
OF THE EUROPEAN UNION (DENMARK)2  
The following communication, dated and received on 31 August 2022, is being circulated at the 
request of the delegation of the European Union.  
 
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7.1.2 Investments on Fishing Vessels  
This grant scheme is to modernize fishing vessels to contribute to the development of a 
sustainable, viable and competitive fishing industry.  
Question 1 
Are there prerequisites or conditionalities for receipt of these grants? For example, are 
the grants approved subject to a fishing vessel increasing its capacity and length of period 
at sea?  
Reply : 
The aim of this grant scheme is to support certain investments on fishing vessels in order to 
contribute to the development of a sustainable, viable and competitive fishing industry. Prerequisites 
for applicants in order to receive the grants include that applicants must be owners of active 
EU-fishing vessels registered in Denmark, and that they must have undertaken at least 60 days of 
fishing activities at sea in the two years prior to the application date.  
The investment cannot increase the fishing capacity of the vessel. Fleet management ensures that 
any changes cannot lead to increased fishing capacity. Permits for new capacity can only be issued, 
if there has been a previous withdrawal of capacity. The total physical capacity will never be higher 
than the ceilings for the Danish fleet capacity f or fishing boats. Conditionalities for the receipt of the 
grants include the maintenance of the investment for at least 5 years following the payment of the 
grant.  
Question 2  
What are eligible investments under this program?  
Reply : 
The eligible investments primarily aim at coastal fisheries, aid for young fishermen and/or 
implementing the landing obligation. Support under the measure only include investments on a list 
of eligible technologies made by the Technical University of Denmark, National Institute of Aquatic 
Resources. The investments are eligible for support in accordance with EU Regulation 508/2014, 
article 38 and 42, and the prerequisites and conditionalities therein. This includes:  
 
1 G/SCM/Q2/EU/68  
2 G/SCM/N/372/EU/ Add.7 G/SCM/Q2/EU/82  
 
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  • equipment that improves size selectivity or species se lectivity of fishing gear ; 
• equipment that eliminates discards by avoiding and reducing unwanted catches of 
commercial stocks, or that deals with unwanted catches ; 
• equipment that limits and, where possible, eliminates the physical and biological impacts of 
fishing on the ecosystem or the sea bed;  
• equipment that protects gear and catches from mammals and birds ; 
• investments that add value to fishery products ; 
• investments on board that improves the quality of the fishery products.  
7.1.3 Preparation and Implemen tation in Relation to Production - and Marketing Plans in 
the Fisheries Sector  
Question 3  
Are there performance requirements attached to the grants provided for the preparation 
of production and marketing plans?  
Reply : 
Prior to the application process, it is mandatory for the producer organisations to provide a 
production and marketing plan for the upcoming calendar year, for which the grants are available, 
in order to be eligible for application. The production and marketing plan must consider all relevant  
aspects of EU regulation 1379/2013 and Commission Recommendation 2014/117/EU and must be 
approved by the Danish Fisheries Agency before the organizations can apply for a grant.  
 
The organizations must likewise, at the time of application for final paymen ts, provide a report 
stating retrospectively the level of implementation of the production and marketing plan for the year 
for which the grant is provided. Moreover, the grant can only cover expenses directly related to the 
activities connected to the prep aration of the approved production and marketing plan.  
 
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