G/SCM/Q2/TUR/47  
 
28 September 2022  
(22-7274) Page: 1/3 
Committee on Subsidies and Countervailing Measures  Original: English  
 
SUBSIDIES  
REPLIES TO THE QUESTIONS POSED BY THE UNITED STATES1 
REGARDING THE NEW AND FULL NOTIFICATION OF TÜRKİYE2 
The following communication, dated and received on 2 7 September 2022, is being circulated at the  
request of the delegation of  Türkiye . 
 
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Question 1 – International Accelerator Support Program  
A. Could you please describe the R&D and innovation activities undertaken by the 
international incubation centers? How do the incubation centers help companies 
"to increase the exportation?"  
Reply : 
The purpose of this program is to support incubation centers and accelerators in order to encourage 
enterprises which is planning to perform in international markets.  
This program has two sub -supports. The first one is International Incubation Center Foun dation 
support.  This support mainly covers foundation expenses, equipment and operational costs in 
abroad.  
The second sub -support under this program is International Accelerator Program. This support is 
provided for individual or organizational participati on in the international accelerators. These 
accelerators provide technical, administrative, legal services. And also they enable services for 
access to professional networks. These networks may provide sale opportunities in the target 
country. Apart from t his, entrepreneurs can easily reach the network of investors by the help of 
accelerator programs.  
We support the participation of enterprises in acceleration programs in order for technological 
products whose R&D and innovation activities are carried out in our country to take place in 
international markets and for domestic technology -intensive start -up enterprises to take part in 
advanced entrepreneurship ecosystems.  
In order to facilitate the entry of enterprises into international markets, they are sup ported to 
participate in the international accelerator program, which provides technical, managerial, legal 
assistance and access to professional networks that will provide sales opportunities in the target 
country, within the scope of an organization or i ndividually.  
In these centers there are meeting rooms, internet access, reception, and the like.  
In addition, for accessing networks of angel investors, training, mentoring and consultancy services 
are also offered by these incubators.  
 
1 G/SCM/Q2/TUR/45 . 
2 G/SCM/N/372/TUR . G/SCM/Q2/TUR/47  
 
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  These are not natio nal, but international incubation centers. So these two centers serve not only to 
Turkish entrepreneurs but also to foreign entrepreneurs in the US.  
B. Is the support upper limit for "operational costs support" on a per company basis 
or is the upper limit of support for the program as a whole? If on a per company 
basis, what is the total expenditure for operational cost support?  
Reply : 
International Incubation Center Program consists of foundation and equipment support, besides 
operational cost support.  
In the scope of Foundation and Equipment Cost Support, KOSGEB supply max USD 100.000. This 
support is used for foundation expenses, building modification costs, infrastructure costs, office 
equipment and software expenses. The grant support is 80%. It means KOS GEB is going to pay 
80% of the costs, unless it does not exceed the USD 100.000. And this support should be used in 
the first year.  
In addition to foundation and equipment support we also give Operational Costs Support.  
These are  
• Rent of incubation center building ;  
• Personnel expenses ;  
• publicity activities expenses ; 
• Training and mentorship expenses ;  
• Consultancy and business managem ent expenses ;  
• Organization and event costs.  
Maximum yearly limit of this support is USD 750.000. An incubation center can use it during 5 years. 
So the upper limit of support can reach total USD 3.750.000 in 5 years period. The support rate is 
changing year by year. First two years it is 80 % of the costs and the last 3 years 60 % of the costs.   
"Operational cost support" is valid for each established incubation center. There is no additional 
support for the businesses included in it. To give an e xample, a total of TRY 70.000support was paid 
to the 2 incubation centers that have been supported so far.  
When it comes to International Accelerator Program, there are two types of participation for an 
entrepreneur. These are individual or organizational participation.  
Accelerators provide technical, administrative and legal services. And also services for access to 
professional networks.  
The support is given for  
• Cost of accelerator Office ;  
• Training expenses ;  
• Consultancy expenses ;  
• Mentorship costs ;  
• Accommodation costs ; 
• General organizational expenses.  
The training, consultancy and mentoring activities also cover business management, legal issues 
and intellectual property rights.  
Support upper limit is USD 60.000 for each enterprise and support rate is 80%. But enterprise can 
take only USD 15.000 support for one participation. The duration of program is three years. So it 
can join more than one accelerator program in three years ' time. G/SCM/Q2/TUR/47  
 
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  Question 2 – SME Technological Product Investment Support Program  
A. How are SMEs defined under domestic law for qualifying for access to this 
program?  
Reply : 
With the amendment made on 18 March 2022 in the Regulation on the Definition, Qualifications and 
Classification of Small and Medium -Sized Enterprises, the definition of SME was updated.  
According to the regulation, enterprises that employ less than 250 people and whose annual net 
sales revenue or financial balance sheet does not exceed TRY 250 million  are defined as SMEs.  
SMEs registered in the KOSGEB SME Information System and defined as real or legal persons in the 
Turkish Commercial Code can access the SME Technological Product Investment Support Program.  
B. The notification states that "The purpose of the programme is to increase export." 
Can you please pr ovide additional detail for how the program is designed to 
increase exports and whether exporting is a criterion for access to the program?  
Reply : 
SME Technological Product Investment Support Program was implemented by KOSGEB in 2018 to 
support investment projects prepared to increase exports and add value to the country's economy 
by supporting investments aimed at the production and commercialization of new product/products 
resulting from R&D or innovation activities of enterprises.  
As of 25 November 2019,  the renewed purpose of the program is to support the production and 
commercialization of products resulting from R&D/Innovation activities, as well as the production 
and commercialization of products that will contribute to the current account in medium -high and 
high technology areas.  
Support is provided for the expenses related to the promotion of the product subject to the 
investment project in visual media, digital advertising/promotion expenses, domestic and 
international printed advertisement expenses , brochure/catalogue printing expenses and 
participation expenses in foreign fairs. Exporting is not an application criterion for the SME 
Technological Product Investment Support Program.  
 
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