G/SCM/Q2/QAT/6  
 
24 October  2016 
(16-5822) Page: 1/3 
Committee on Subsidies and Countervailing Measur es Original: English  
 
 SUBSIDIES  
REPLIES TO QUESTIONS POSED BY THE UNITED STATES1 REGARDING  
THE NEW AND FULL NOTIFICATIO N OF QATAR2 
The following communication, dated 24 October  2016, is being ci rculated at the request of the 
Delegation of Qatar . 
 
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A. Qatar Deve lopment Bank Export Promotion  
QDB's export promotion agency, Tasdeer, provides "support that is specific in nature 
and targeted to export -oriented non -hydrocarbon local SMEs, " specifically export 
promotion and export insurance comprising two types of expor t credit guarantees 
covering pre - and post -consignment risks.  
Reply 
The Qatar Development Bank (QDB) Export Promotion Program (TASDEER) provides support to 
Qatar -based SME 's in various formats, including:   
 
Capacity Building : TASDEER hosts in coordination with the Capability Development Department 
in QDB regular capacity building workshops and seminars for small and medium enterprises 
(SMEs) in Qatar. This type of capacity building support is non -specific as it is open to all domestic 
SME's.  
 
Market Intell igence : In coordination with the International Trade Centre (ITC), TASDEER has 
established a database on product trade flows (Trade Map and Market Access Map). The 
ITC/TASDEER database includes an EXIM link, a list of importers, wholesalers, distributors ( in the 
form of tables, graphs and maps) and indicators on export performance, international demand, 
alternative markets and competitive markets, as well as a directory of impo rting and exporting 
companies. Furthermore, information is provided on customs ta riffs (including tariff preferences) 
applied by 199 countries and faced by 239 countries and territories. It also covers tariff rate 
quotas, trade remedies, certificates of origin, bound tariffs, non -tariff measures and trade flows.  
The data and informatio n collected is publicly available and it is therefore non -specific. In addition, 
any benefit provided cannot be quantified.  
 
Loans & Loan Guarantees : QDB provides domestic enterprises with loans for both agricultural 
and industrial projects. QDB also provi des loan guarantees for domestic SME 's and start -ups. The 
conditions for applying for such guarantees are similar to those of commercial banks as audited 
financials, registrations and identification documents are required.  As loans and loan guarantee are 
generally available, this program is not specific.   
 
Market Studies : TASDEER uses the generic industrial and manufacturing studies prepared by the 
Statistics and Research Department of QDB and makes them available to domesti c industries. The 
                                                
1 G/SCM/Q2/QAT/5.  
2 G/SCM/N/253/QAT .  G/SCM/ Q2/QAT/6  
 
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  market studies are generally made available and are therefore non -specific. In addition, any 
benefit provided cannot be quantified.  
 
Exhibitions : Hosting the exhibitions is one of the key tools used by TASDEER to promote 
domestic produc ts. TASDEER 's support is made avail able to all industries and is therefore non -
specific.  
 
The programs referred to above are not subsidies within the meaning of Article 1 of the Agreement 
on Subsidies and Countervailing Measures (SCM) or are not specific under Article 2 of the 
Agreement.  
 
B. Customs Law Duty -Free Imports  
Provisions under the Customs Law allow for duty -free importation of machinery, 
equipment and raw materials, subject to authorization from the Ministry of Energy and 
Industry, granted on a case -by-case basis for industrial p rojects deemed to be 
consistent with, inter alia , Qatar 's overall strategic development goals.  
Reply  
The only legal instrument which allows for duty free imports in the Cooperation Council for the 
Arab States of the Gulf (GCC) is the "GCC Amended Controls for Exemption of Industry Inputs 
from Customs Taxes in GCC States ". It is reflected in the GCC Unified Customs Law and the 
Executive Regulations.  This scheme is not specific as it is available to all companies established in 
Qatar.  
 
C. Law No.  (13) of 200 0 on Regulations for the Investment of Non -Qatari Capital in 
Economic Activity , as Amended  
Pursuant to various articles of Law No.  (13), Qatar provides various incentives for 
industrial investments such as, inter alia , allocation of land; 10 -year income ta x 
exemption; import duty exemptions for machinery, equipment, raw materials and semi -
manufactured materials used in investments; and QDB financing "typically at below -
market rates or loan guarantees against loans provided in partner banks ". 
Reply  
Law No (1 3) of 2000, as amended, stipulates that foreign investors may invest in all sectors of the 
Qatari economy provided that they have a Qatari partner(s) whose share in the capital is not less 
than 51%.  The law also provides exceptions to this rule which may b e granted upon authorization 
by the Ministry of Economy and Commerce, thus allowing foreign investors to increase their capital 
share up to 100%.  These exceptions cover investment in the following sectors: agriculture, 
manufacturing, health, education, tou rism, development and exploitation of natural resources, 
energy and/or mining, consultancy, information technology services, cultural, sports and 
recreational and distribution services, provided that such projects are consistent with Qatar's 
development ob jectives.  Law No (1) of 2010 is an amendment of Law No (13) of 2000 and adds 
the following sectors to the list: business consultancy, technical, information technology, cultural, 
sports, entertainment and distribution services.  This Law is aimed to further  liberalize the Qatari 
market and incentivize foreign investments in Qatar.  It is the regulatory framework for foreign 
investments and as such, does not provide for the provision of specific subsidies within the 
meaning of Articles 1 and 2 of the SCM Agree ment.  
  G/SCM/Q2/QAT/6  
 
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  D. Special Free Zones  
Law No.  (34) of 2005  provides the framework for establishing free zones, including the 
Qatar Science and Technology Park (QSTP), which offers incentives such as, inter alia , 
exemption from taxes; duty -free imports of goods, eq uipment, and tools; and New 
Enterprise Fund  support for start -up companies through equity investments ranging 
from US$500,000 to US$3 million.  
Could Qatar advise as to when it expects to submit a notification of some or all of the 
above programs pursuant t o its notification obligations under Article 25 of the SCM 
Agreement, or explain why the notification requirements do not apply?  
 
Reply  
 
While Qatar Science and Technology Park (QSTP) is labelled  as a 'Free Zone ', its functions are 
essentially that of a de signated zone.  Qatar Science & Technology Park (QSTP), part of Qatar 
Foundation Research and Development (QF R&D), is Qatar 's primary incubat or for technology 
development, supporting innovation and entrepreneurship.  The Qatar Foundation for Education, 
Science and Community Development is a private, non -profit organization  that serves the people 
of Qatar by supporting and operating programs in three core mission areas: education, science 
and research, and community development.  
 
Therefore, Qatar Foundation,  and in extension Qatar Science & Technology Park are not -
governmental entities and as such any support they offer is not a subsidy within the m eaning of 
Article 1 of the SCM A greement.   
 
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