G/SCM/N/372/NZL  
 
30 June 2021 
(21-5256) Page: 1/4 
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 OF THE AGREEMENT  
ON SUBSIDIES AND COUNTERVAILING MEASURES  
NEW ZEALAND  
The following communication, dated  and received on  29 June 20 21, is being ci rculated at the 
request of the delegation of New Zealand . 
 
_______________  
 
 
The following notification covers the 2018/2019 and 2019/2020 financial years (FY) and has been 
prepared on the basis of the data supplied by the delivery agencies. The in formation provided in 
this report is for transparency purposes in order to clarify the operation of programmes or 
measures. In accordance with Article 25.7 of the Agreement on Subsidies and Countervailing 
Measures (ASCM), notification does not in any way p rejudge the legal status, nature or effects of 
government assistance programmes under the ASCM and GATT 1994, including as to whether or 
not the programmes notified are specific within the meaning of the ASCM. All dollar amounts 
referred to in this notific ation are New Zealand dollars.  G/SCM/N/372/NZL  
 
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  1  PRIMARY GROWTH PARTNERSHIP  
A. Name of programme  
 
Primary Growth Partnership (PGP)  
 
B. Period covered by the notification  
 
FY 2018/19 and FY 2019/20  
 
C. Policy objective/purpose of the programme  
 
The PGP is a government -industry partnership initiative (industry contributions must be at least 
60% of the total programme funding) that will invest in significant programmes of research and 
innovation to boost productivity, economic growth and the sustainability of N ew Zealand's primary, 
forestry and food sectors. The focus of the initiative is on boosting productivity through on -going 
investment in innovation.  
 
The PGP has also been notified under Article 18:2 of the Agreement on Agriculture 
(G/AG/N/NZL/119 and G/AG/ N/NZL/126).  
 
D. Background and authority for the programme  
 
New Zealand Cabinet approved the PGP on 18 May 2009. The programme is administered by the 
Ministry for Primary Industries.  
 
E. Form of assistance  
 
Grant for a maximum of 40% of eligible costs.  
 
Programmes approved before December 2015 were eligible for up to 50% Crown funding.  
 
F. To whom and how is the assistance provided  
 
Companies or consortia from the primary, forestry and food sector industries are eligible to 
participate in the PGP. More spec ifically, industries included are:  
 
• pastoral (including dairy, meat and wool) and arable production;  
• horticulture;  
• seafood (including aquaculture);  
• forestry and wood products; and  
• food processing (including nutraceuticals and bio-actives).  
 
Each programme is a joint investment between the government and industry.  
 
Additional information is available here: https://www.mpi.govt.nz/fun ding-rural-support/primary -
growth -partnerships -pgps/  
 
G. Annual Budget Information  
 
FY 2018/19: $29,830,000  
FY 2019/20: $7,270,000  
 
H. Duration  
 
There was no fixed duration for this programme at inception.  
 
The PGP funding programme has now been closed to new applications. The last year for new 
applications was 2017/18. The final year of contract payments will be 2026.  
 
The PGP has been replaced by the Sustainable Food & Fibre Futures programme. The first year for 
applications under the Sustainable Food & Fibre Futures programme was 2019.  G/SCM/N/372/NZL  
 
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I. Statistical data permitting an assessment of the trade effects of a subsidy  
 
N/A 
 
The PGP is focussed on industry innovation and capability building. It is not focussed on trade 
development and does not provide a production or export subsidy.  
 
2  SUSTAINABLE FOOD AND FIBRE FUTURE  
A. Name of programme  
 
Sustainable Food and Fibre Future (SFFF)  
 
B. Period covered by the notification  
 
FY 2018/19 and FY 2019/20  
 
C. Policy objective/purpose of the programme  
 
The SFFF funds transformative programmes through partnerships and grants to create more value, 
develop capability and deliver economic, social, cultural a nd environmental benefits.  
 
The extent of sustainable benefits to New Zealand and/or New Zealanders relative to the 
commercial returns to the non -government investor is the key criteria in determining the level of 
government funding.  
 
In order to be approv ed, the proposal must demonstrate that it is additional to business as usual, 
for the organisation, industry, sector or community. An independent Investment Advisory Panel 
provides Ministry for Primary Industries with independent expert advice on funding p roposals to 
ensure the criteria for government funding is met.  
 
The SFFF has also been notified under Article 18:2 and 18:3 of the Agreement on Agriculture 
(G/AG/N/NZL/118, G/AG/N/NZL/119 and G/AG/N/NZL/126).  
 
D. Background and authority for the programme  
 
The SFFF was introduced in October 2018 as a merger of two pre -existing funds: the Primary 
Growth Partnership and the Sustainable Farming Fund. The SFFF is administered by the Ministry 
for Primary Industries (MPI).  
 
E. Form of assistance  
 
The SFFF is a c o-investment fund between government and non -government investors.  
 
F. To whom and how is the assistance provided  
 
Companies or consortia from the primary, forestry, fishery and food sector industries are eligible 
to participate in the SFFF.  
 
G. Annual Budget Information  
 
FY 2018/19: $34,000,000  
FY 2019/20: $25,040,000  
 
H. Duration  
 
There was no fixed duration for this programme at inception.  
 
I. Statistical data permitting an assessment of the trade effects of a subsidy  
 
N/A G/SCM/N/372/NZL  
 
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  The SFFF is focussed  on industry innovation and capability building. It is not focussed on trade 
development and does not provide a production or export subsidy.  
 
3  PROVINCIAL GROWTH FUND  
A. Name of programme  
 
Provincial Growth Fund (PGF)  
 
B. Period covered by the notification  
 
FY 2018/19  
FY 2019/20  
 
C. Policy objective/purpose of the programme  
 
The specific objectives of the PGF are:  
 
• increased jobs and sustainable economic development;  
• increased social inclusion and participation;  
• Māori development;  
• Environmental sustainability and help in addressing climate change; and  
• increased resilience (infrastructure and economic).  
 
D. Background and authority for the programme  
 
New Zealand Cabinet approved the PGF in December 2017. The programme is administer ed by the 
Ministry for Business, Innovation and Employment.  
 
E. Form of assistance  
 
Can take the form of loans, grants or equity.  
 
F. To whom and how is the assistance provided  
 
Loans, grants or equity are provided to:  
 
• Local Authorities (Regional Counci l, District Council, Unitary Authorities);  
• Government Departments;  
• Charitable Trusts;  
• Companies;  
• Incorporated Societies;  
• Māori Trusts; and  
• Partnerships.  
 
G. Annual Budget Information  
 
FY 2018/19: $220.181 million was paid out in 2018/19  
 
FY 2019/20: $439.657 million was paid out in 2019/20  
 
H. Duration  
 
Funding has been allocated until 2027/28.  
 
I. Statistical data permitting an assessment of the trade effects of a subsidy  
 
N/A 
 
The PGF is a broad -based non -specific support programme that doe s not have trade objectives.  
 
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