TN/RL/GEN/193  
 
17 July 2017  
(17-3847) Page: 1/3 
Negotiating Group on Rules  Original: English  
 
LDC GROUP FISHERIES SUBSIDIES TEXT PROPO SAL 
SUBMISSION BY CAMBOD IA ON BEHALF OF THE LDC GROUP  
The following communication, dated 17 July 2017, is being circulated at the request of the 
Delegation of Cambodia on behalf of the LDC Group.  
 
_______________  
 
 
Article 1  
Scope  
1.1 This agreement applies to subsidies defined within the meaning of Article 1.1 of the Agreement 
on Subsidies and Countervailing Measures, which are specific in accordance with the provisions 
of Article 2 of that Agreement, and provided to th e fisheries sector.  
 
1.2 A subsidy shall be attributable to the Member granting it regardless of the flag(s) of the 
vessels(s) benefitting from the subsidy or the application of rules of origin of the fish involved.  
 
1.3 This Agreement does not apply to inland fi sheries1 or to aquaculture.2 
 
1.4 This Agreement shall have no legal implications regarding territoriality or delimitation of 
maritime jurisdiction and shall not apply to matters concerning disputed waters or zones.  
  
Article 2  
 
Prohibited Subsidies  
 
2.1 Members s hall not grant or maintain any of the following subsidies  
 
(a) Subsidies to fishing vessels3 or fishing of fish stocks that are in an overfished condition4;  
(b) Subsidies provided to any vessel or operator5 engaged in illegal, unreported and 
unregulated (IUU) fishing.6 Such vessels or operators shall be defined as those:  
 
                                                
1 For the purpose of this Agreement, the term "inland fisheries" refers to  fisheries carried out in 
freshwater or estuaries of a Member and whose target species are those that spend all of their life -cycle 
therein.  
2 For the purpose of this Agreement, the term "aquaculture" refers to the farming of aquatic organisms, 
including f ish, mollusks and crustaceans, provided that no capture fisheries are used to feed raised fish.  
3 For the purpose of this Agreement, the term "fishing vessel" refers to any vessel, ship or other type of 
boat used for, equipped to be used for, or intended t o be used for commercial fishing or fishing related 
activities.  
4 For the purpose of this Agreement, fish stocks that in an overfished condition are those recognized as 
such by the national jurisdiction where the fishing is taking place or by a relevant Regional Fisheries 
Management Organization, based on best scientific evidence available to them.  
5 For the purpose of this Agreement, the term "operator" includes any person or enterprise involved in 
the operation, management or ownership of a vessel.  
6 For the purpose of this Agreement the term "illegal, unreported and unregulated fishing (IUU)" is to be 
understood to have the same meaning as paragraph 3 of the International Plan of Action to Prevent, Deter and 
Eliminate Illegal, Unreported and Unregulated  Fishing of the UN Food and Agricultural Organization (FAO).  TN/RL/GEN/193  
 
- 2 - 
 
  i. Included in an IUU list of a Regional Fisheries Management Organisation or 
Arrangement or a relevant international organisation in accord ance with the rules 
and procedures of that organisation and in conformity with principles of due 
process  
ii. Identified by the flag State, the subsidising Member, or the coastal State in 
accordance with national regulations, laws and practices;  
(c) Subsidies to ve ssels or operators engaged in illegal fish transhipment at sea;  
(d) Capacity enhancing subsidies supporting large scale industrial fishing activities outside of 
the subsidizing Member's maritime jurisdiction;  
(e) Subsidies for acquisition, construction, repair, re newal, renovation, modernization of 
fishing vessels, or any equipment that increases the ability of a fishing vessel to fish and to 
find fish7;  
(f) Subsidies for operating costs including licence fees or similar charges, fuel, ice, bait, 
personnel, social cha rges, insurance, and at -sea support; or operating losses of such 
vessels or activities.  
 
Article 3  
 
Special and Differential Treatment  
 
3.1 The prohibition of Article 2.1 (d), (e) and (f) shall not apply to least developed countries (LDC) 
Members.  
 
3.2 Nothing in Article 2.1 (d), (e) and (f) shall prevent a developing country Member from 
maintaining or granting subsidies to the following activities conducted in accordance with the 
principle of protection and preservation of fisheries resources defined under Article  61 and 62 
of the United Nations Conference on the Law of the Sea Treaty (UNCLOS):  
 
(a) Fishing activities related exclusively to artisanal and small scale fisheries8 or the 
subsistence and livelihood of the fishermen and their families;  
(b) Fishing activities, which exclusively exploit fish stocks within the economic exclusive 
zone (EEZ)9 of the Member granting the subsidy; and  
(c) Fishing activities, which exclusively exploit quotas or any other rights, established by a 
regional fisheries management organization ( RFMO) or a regional fisheries management 
arrangement.  
 
3.3 With respect to Article 2.1.b, in order to establish measures against unreported and 
unregulated fishing, after the period stipulated in Article 6.2 below, developing countries not 
engaged in large sca le industrial distant water fishing are entitled to apply [x] additional year 
and LDCs [x] additional years transition period to enable them to establish reporting 
mechanism and regulations through implementing Article 3.4.  
 
3.4 Upon request of a d eveloping country or LDC Member, developed country Members shall 
provide targeted technical assistance and capacity building assistance to address institutional 
and financial constraints faced by LDCs and developing countries in the implementation of this 
Agreement and for establishing reporting mechanisms and regulations to prevent unreported 
and unregulated fishing, conducting stock assessments, and monitoring fish stocks.  
 
                                                
7 This comprises, inter alia, fishing gear and engine, fish -processing machinery, fish -finding technology, 
refrigerators, or machine for sorting or cleaning fish. The prohibition does not cover t he installation of 
equipment for vessel and crew safety, the adoption of techniques aimed at reducing the environmental impact 
of wild marine capture or compliance with fisheries management regimes aimed at sustainable use and 
conservation such as devices for vessel monitoring systems.  
8 For the purpose of this Agreement "artisanal and small scale fisheries" shall be defined in accordance 
with national laws and regulations and the international agreements entered into by the coastal State, taking 
into accou nt the "Voluntary Guidelines for Securing Sustainable Small -Scale Fisheries in the Context of Food 
Security and Poverty Eradication" of the FAO (The SSF Guidelines).  
9 For the purpose of this Agreements "exclusive economic zone (EEZ)" shall be defined acc ording to 
principles found in Part V of the United Nations Convention on the Law of the Sea. Where any Member is not 
party to UNCLOS, similar principles on the exclusive economic zone adopted in domestic legislation may apply.  TN/RL/GEN/193  
 
- 3 - 
 
  Article 4  
 
Notification  
 
4.1 In addition to the information notified pursuant to Art icle 25.3 of the SCM Agreements, 
Members shall notify the following information:  
 
(a) Programme name  
(b) Legal basis and granting authority of the programme  
(c) Level of support provided  
(d) Type or kind of marine fishing activity supported by the programme  
(e) Fleet capacity in the fishery for which the subsidy is provided  
(f) Conservation and managements measures in place in the relevant fishery  
 
4.2 The notification requirements referred to under Article 4.1 shall not apply to LDC Members.  
 
Article 5  
 
Review of Implementation  
 
5.1 The SCM Committee shall hold a dedicated annual review of progress in the implementation of 
this Agreement. This review shall be supported by a WTO Secretariat report based on 
Members' notifications complemented by relevant information prov ided by Members and 
information from other international organizations.  
 
Article 6  
 
Transitional Arrangements  
 
6.1  Developed Members shall not be obliged to apply Article 2 of this Agreement before the expiry 
of a period of [x] year[s] after entry into fo rce of this Agreement.  
 
6.2 Developing countries are entitled to a delay of [x]years, and LDCs are entitled to a delay of [x] 
years after entry into force of this Agreement.  
 
6.3 No Member shall extend the scope of a programme inconsistent with this Agreem ent, nor shall 
such a programme be renewed upon its expiry.  
 
__________