G/SCM/Q2/KOR/52  
 
27 October 2014  
(14-6230)  Page: 1/2  
Committee on Subsidies and Countervailing Measures  Original: English  
 
SUBSIDIES 
REPLIES TO QUESTIONS POSED BY AUSTRALIA1 REGARDING THE NEW 
AND FULL NOTIFICATION OF KOREA2 
The following communication, dated 24 October 2014, is being circulated at the request of the 
delegation of the Republic of Korea.  
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  Question 1 
 
Page 9, 3.1 Support for Development of Deep-Sea Fishery  
The notification indicates that grants are pr ovided to a cooperative fund which is used 
for interest rate subsidies for loans to deep -sea fishing companies or overseas resource 
development companies. Austra lia appreciates Korea's response to Australia's question 
on its 2011 subsidy notification on this progra m seeking clarification of the nature of the 
cooperative fund.
3 Korea indicated that the fund is an  industry cooperative operated by 
member fishermen.  
 Could Korea please elaborate further on the terms of the grants. Does the fund 
or the government determine how funding is dispersed? 
Reply 
 
The way funding is dispersed is decided by the na tional federation of fisheries cooperatives and 
Korea Overseas Fisheries Association. 
 
 Could Korea please clarify what the elig ibility criteria are for the receipt of 
assistance? 
Reply 
 
The recipients are those who reported or were licensed or approved under the relevant provisions of Overseas Fisheries Act. 
 
 Are there performance requirements? 
Reply 
 
There are no performance requirements.  
                                               
1 G/SCM/Q2/KOR/50. 
2 G/SCM/N/253/KOR. 
3 G/SCM/Q2/KOR/47. G/SCM/Q2/KOR/52 
 
- 2 - 
 
  Question 2 
 Page 10, 3.2 Support for Fishery Products Processing Development 
 
The program provides both grants and loan s for companies and individuals engaged in 
the handling, storing and processing of fishery products.  
 Could Korea please clarify what determines the form of the subsidy. 
Reply 
 
In order to secure food safety and thereby promote national health, grant is given to SMEs for 
equipping themselves with hygienic systems such as HACCP. 
 Question 3 
 
Page 13, 3.6 Support for Vessel Decommissioning  
 Could Korea please advise how many ve ssels were decommissioned during the 
reporting period. 
Reply 
 
546 and 343 vessels were decommissioned in 2011 and 2012 respectively. 
 Question 4 
 
Page 17, 5.2 Tariff Reduction on Aircraft Parts  
Korea indicates that recipients are aircraft  manufacturers or repairers who receive a 
tariff reduction on imports of aircraft parts.  
 Are there eligibility criteria for receipt of the assistance? 
Reply 
 
An exemption is provided for parts and raw materials that are imported by aircraft manufacturers 
for use in the manufacture of aircraft and aircraft parts. 
 Documents for submission and eligibility criteria: 
 
- Relevant project plans - Map of plant site and vicinity - Plant name, location, structure, number of buildings, and floor area 
- Names of goods to be manufactured and names of their raw materials and parts 
- Certificate confirming the suitability of the plant for the manufacture or repair of such goods - Requested period of designation 
 
 Are there performance requirements? 
Reply 
 
There are no performance requirements.   
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