G/SCM/N/71/CAN  
 
28 October 2013  
(13-5875)  Page: 1/29  
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 
CANADA  
The following communication, dated 22 October 2013, is being circulated at the request of the 
Delegation of Canada1. 
 
_______________ 
 
                                               
1 The content of this document, issued at the request of Canada, is identical to that of document 
G/SCM/N/95/CAN, circulated on 30 March 2004, which should have carried both symbols. G/SCM/N/71/CAN 
 
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TABLE OF CONTENTS 
 
INTRODUCTI ON ............................................................................................................... 4  
1   INDUSTRIAL PROGRAMMES ........................................................................................ 4  
1.1   Aboriginal Ec onomic Programmes ................................................................................ 4  
1.2   Canadian Institute for Advanced Research ..................................................................... 4  
1.3   Canadian Network for the Advancement of Research, Industry and Education 
(CANARIE) ....................................................................................................................... 5  
1.4   Defence Industry Productivity Programme ..................................................................... 5  
1.5   Economic And Regional Development Agreements/General Development 
Agreements (ERDA) .......................................................................................................... 6  
1.6   Northern Ontari o Developmen t Fund ............................................................................ 6  
1.7   Ontario Base Closures  Adjustment Programme .............................................................. 7  
1.8   Ontario Community  Futures Pr ogramme ....................................................................... 7  
1.9   Small Business Loans Prog ramme ................................................................................ 7  
1.10   Strategic Technologies Programme ............................................................................. 8  
1.11   Industrial Research  Assistance Programme .................................................................. 8  
1.12   Atlantic Canada Opportunities Ag ency (ACOA) Assist ance Prog ramme ............................. 9  
1.13   Cooperat ion Programme .......................................................................................... 10 
1.14   Fisheries Altern ative Progra mme (FAP) ...................................................................... 10 
1.15   Canada-Quebec Subsidiary Agreement on the Economic Development of Quebec 
Region s ....................................................................................................................... ... 11 
1.16   Western Divers ification Programme ........................................................................... 11 
1.17   Western Economic Partnership Agreements ................................................................ 12 
1.18   Service Delivery  Network Pr ogramme ........................................................................ 12 
1.19   IDÉE-PME .............................................................................................................. 13 
1.20   Community Develo pment Progra mme (PDC) ............................................................... 13 
1.21   Coasta l Quebec ...................................................................................................... 13 
1.22   Technology Pa rtnerships Canada ............................................................................... 14 
1.23   Community Futures Pr ogramme - West ern Canada ...................................................... 14 
1.24   Community Futures Prog ramme - Atlantic  Provinces .................................................... 15 
1.25   Western Base Closures Adjustment Programme ........................................................... 15 
1.26   Community Economic Adju stment Initiati ve Programme ............................................... 16 
1.27   Structured Financing Facility ..................................................................................... 16 
1.28   Genome  Canada ..................................................................................................... 17 
2   OTHER CANADIAN PR OGRAMMES (CUL TURAL) ......................................................... 17  
2.1   Book publishing Indu stry Developmen t Programme ....................................................... 17 
2.2   Loan Programme for Book Publishers ........................................................................... 18 
2.3   Publications As sistance Pr ogramme ............................................................................. 18 
2.4   Emerging Publisher Gran t Programme and Block Grants ................................................. 19 
2.5   Grants to Literary and Art Magazine s programme .......................................................... 19 G/SCM/N/71/CAN 
 
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  3   AGRICULTURAL  PROGRAMMES .................................................................................. 20  
3.1   Components of Farm  Income Prot ection Act ................................................................. 20 
3.1.1   Crop Insurance ...................................................................................................... 20 
3.1.2   Industrial Milk Subsidy ........................................................................................... 20 
3.1.3   Province-Based Safety Net Initiatives ........................................................................ 21 
3.2   Crops.................................................................................................................... .. 21 
3.2.1   Advance Pa yments Pr ogramme ................................................................................ 21 
3.2.2   Spring Credit  Advance Programme ........................................................................... 22 
3.2.3   Programme agroenvironnemental de soutien à la Stratégi e phytosan itaire ..................... 22 
4   FISHERIES PROGRAMMES ......................................................................................... 23  
4.1   Atlantic Groundfish Li cence Retirement  Programme ....................................................... 23 
4.2   Pacific Selectiv e Fishing Programme ............................................................................ 23 
4.3   Pacific Fisheries Development Programme .................................................................... 24 
4.4   Northern Cod Adjustment and Recovery Programme ...................................................... 24 
4.5   The Atlantic Groundfish Strategy Early Retirement Programme ........................................ 25 
4.6   Aboriginal Fisheries Strategy Allocation Transfer Programme ........................................... 25 
4.7   Fisheries Access Prog ramme ...................................................................................... 25 
TABLE 1 .......................................................................................................................... 27  
TABLE 2 .......................................................................................................................... 28  
 G/SCM/N/71/CAN 
 
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  INTRODUCTION 
Canada's notification comprises industrial, cultural, fisheries and agricultural goods programmes, 
including assistance for research and development, shared cost federal/provincial assistance and regional development assistance. The notification process is intended, for the purposes of 
transparency, to clarify the operation of progra mmes or measures. In this regard, further to 
Article 25.7 of the Agreement on Subsidies and Co untervailing Measures (ASCM), the notification 
does not prejudge the legal status, nature or effects of notified programmes or measures under 
the ASCM and GATT 1994. 
 1  INDUSTRIAL PROGRAMMES 
1.1  Aboriginal Economic Programmes 
1. The Aboriginal Business Development and Joint Venture and Aboriginal Capital Corporation 
Programmes.  
2. The notification covers the fiscal years (FY) 2000-2001 and 2001-2002. 
 3. The objective of these programmes is to increase commercial enterprise activity by 
Aboriginal Canadians as a major step towards enha ncing their economic self-reliance. They provide 
financial and advisory assistance at various stages and for several aspects of enterprise development. It is expected that Aboriginal Canadians can gain substantial advantages from these p r o g r a m m e s  i n  t h e  f o r m  o f  a n  i n c r e a s e  i n  t h e  r a t e  o f  e n t e r p r i s e  f o r m a t i o n ,  a s  w e l l  a s  g r e a t e r  
survival and growth, and better performance of enterprises. 
 4. Assistance is provided under the legislative authority of the Department of Industry Act. 
 
5. Assistance is provided in the form of  repayable or non-repayable contributions.
2 The 
programmes have a number of specific elements, with specific maximum cost-sharing ratio related 
to each. 
 6. The programmes provide assistance for busi ness development promotion, and joint ventures 
and capital corporations owned by Aboriginal Canadians. 
 
7. Industry Canada disbursed $32,360,623 in FY 2000-2001 and $34,069,673 in FY 2001-2002. 
 
8. The programmes were created in 1990.  
1.2  Canadian Institute for Advanced Research 
1. The Canadian Institute for Advanced Research (CIAR) programme. 
 2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 
3. The objectives of the financial assistance under the CIAR programme are for the enhancement of national productivity in research, development and education, productivity 
improvement in the manufacturing and service industries, and the development of future 
generations of information technologies.  
4. The programme is administered under the legislative authority of the Department of 
Industry Act.  5. Financial assistance is granted to the Canadian Institute for Advanced Research, which is a 
non-profit private institution. From 1986 through 1993, assistance was in the form of grants. 
Since 1994, assistance has been in the form of non-repayable contributions. The formula for 
                                               
2 In this notification, a contribution is a payment ma de to a for-profit or not-for-profit organization, 
which is made only after the expenses have been incu rred for a project or programme; a grant is a payment 
made to a not-for-profit organizati on, which may be paid prior to expe nses being incurred for a project or 
programme. G/SCM/N/71/CAN 
 
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  calculating federal assistance has varied over the years. It is currently calculated on the lesser of 
(a) 50% of eligible costs, (b) 50% of total revenue s received by CIAR from all non-federal sources, 
or (c) a fixed amount (approximately $3.5 million).  
6. The Institute supports networks of outsta nding researchers across Canada to explore 
long-term, complex problems of scientific, social and economic significance.   
7. The programme expenditures totalled $3,490,000 in FY 2000-2001 and $3,490,000 in 
FY 2001-2002.  8. The programme was established in 1986. 
 
1.3  Canadian Network for the Advancemen t of Research, Industry and Education 
(CANARIE) 
1. The Canadian Network for the Advancement of Research, Industry and Education (CANARIE) 
Programme.  
2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 3. The objectives of this not-for-profit or ganization are (a) enhancement of national 
productivity in research, development and education; (b) productivity improvement in the 
manufacturing and service industries; and (c) deve lopment of future generations of information 
technologies.  
4. Assistance is provided under the legislative authority of the Department of Industry Act. 
 5. Assistance is provided in the form of a grant and non-repayable contributions. Maximum 
assistance is either 50% or 100% of eligible  costs depending on the type of project. 
 6. Financial assistance is provided to CANARIE Inc., a not-for-profit organization responsible for planning, implementation and management of the CANARIE network for research and development 
projects that address the development and te sting of future generations of information 
technologies, and the diffusion and application of  these technologies across industrial sectors. 
 
7. The expenditure totalled $5,660,000 in FY 2000-2001 and $12,425,000 in FY 2001-2002. 
 8. The programme was approved in April 1993 and government commitments will be made 
until March 1999. 
 1.4  Defence Industry Productivity Programme 
1. The Defence Industry Productivity Programme (DIPP). 
 
2. The notification covers the fiscal years 2000-2001 and 2001-2002.  
3. The primary objective of this programme is to enhance Canada's economic growth through 
the promotion of viable defence or defence-related products. Supporting objectives are to provide a defence industrial base and to develop and maintain a defence technological capability. 
 
4. The programme is administered under the legislative authority of the Department of Industry Act.  
5. Assistance is provided in the form of contri butions, repayable contributions or conditionally 
repayable contributions, which represent up to 50% of eligible costs.  
6. Assistance is for research and development (defence and defence-related products and 
associated technologies), source establishment (qualified Canadian suppliers of defence and defence-related products), capital assistance (the acquisition of advanced product equipment and 
modernization or upgrading of engineering or manufacturing capabilities) and market feasibility 
studies (specifications for defence-related products and market characteristics for products).   G/SCM/N/71/CAN 
 
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  7. The expenditures totalled $54,665.94 in FY 2000-2001 and $83,538.50 in FY 2001-2002  
 8. DIPP was developed in 1959 and has undergone numerous modifications since that time. No new financial commitments have been made since 1 March 1995. 
 
1.5  Economic And Regional Development Agreements/General Development Agreements (ERDA) 
1. In 1984, a series of framework agreements  were negotiated and signed by the federal 
government with each province. The programme is administered as well by a regional development agency.  
2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 3. The objective of these agreements is to im prove the economic and regional development of 
each Province and to create an environment in which each Province can achieve its own economic 
potential through, in particular, the enhancemen t of their own competitiveness, the development 
and strengthening of enterprises, and the creation of jobs. 
 
4. These agreements were administered under the legislative authority of the Department of Industry Act and its predecessors.  
5. All of the agreements were co-chaired by th e Provinces and assistance included grants, non-
repayable and repayable contributions, and loans.  
6. Under ERDAs, there were and continue to  exist various sub-agreements that provide 
assistance to activities in a number of areas such as industrial development, science and 
technology, communications, tourism, small business development, etc. 
 
7. Industry Canada's expenditures totalled $4,127,976 in FY 2000-2001 and Nil in FY 2001-2002.  
8. All of the sub-agreements referred to in paragraph 6 were approved at different dates and 
no new financial commitments are being made under most of these sub-agreements.  
1.6  Northern Ontario Development Fund 
1. Northern Ontario Development Fund. 
 
2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 3. The objectives are to encourage the growth and diversification of the Northern Ontario economy, contributing to the development of business and job opportunities. 
 
4. Assistance is provided under the legislative authority of the Department of Industry Act. 
 
5. Assistance is in the form of contributions or repayable contributions. The programme has a 
number of elements, each with specific maximum sharing ratios, and these have varied over the 
years, generally between 33% and 90%. 
 
6. Assistance is provided primarily to not-fo r-profit organizations that support small- and 
medium-sized enterprises (SMEs) and community economic development in Northern Ontario, and to third parties that provide fully repayable, commercially-based lending to SMEs. Eligible projects 
include tourism development, community economic growth/ diversification initiatives, 
entrepreneurial skills development, marketing and feasibility studies, innovation and applied R&D, loan loss reserves and not-for-profit investment funds, aboriginal economic development and 
information and communications technology initiatives. 
 7. Expenditures totalled $31,169,234 in FY 2000-2001 and $56,600,000 in FY 2001-2002. 
 
8. Originally introduced in 1987, the fund was re-engineered in 1996-1997.  G/SCM/N/71/CAN 
 
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  1.7  Ontario Base Closure s Adjustment Programme 
1. The Ontario Base Closures Adjustment Programme. 
 2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 
3. The objective is to assist communities affected by the closure of military bases to deal with the economic impact of such closure. The pr ogramme will assist communities to undertake 
planning studies, evaluate economic develo pment opportunities, and implement economic 
development measures.  4. This programme is administered under the legislative authority of the Department of 
Industry Act. 
 5. Assistance is provided in the form of re payable and non-repayable contributions. Maximum 
assistance is either 50% or 90% of eligible cost s depending on the type of project. Contributions 
would be repayable in the circumstances of the successful implementation of a commercial project by a private sector, for-profit en tity, unless the benefits from the project are primarily derived by a 
third party or are diffused throughout a community. 
 6. Financial assistance is provided to projects that address the economic development needs of communities affected by military bases closures in Ontario. 
 
7. Expenditures totalled $741,785 in FY 2000-2001 and no expenditures in FY 2001-2002.  
8. The programme was created in 1994 and no government commitments will be made after 
31 March 1999.  
1.8  Ontario Community Futures Programme 
1. Ontario Community Futures programme. 
 2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 
3. The objective of this programme is to provide financial support to selected Ontario communities to assist them in developing and diversifying their economies by: organizing their 
resources to assess local problems; developing human, institutional and physical infrastructures; 
implementing entrepreneurial, employment and economic development strategies; developing 
local economy through the creation of private sector employment; and delivering a range of 
business and information services to the small and medium business community in non-
metropolitan areas of Ontario.  4. Assistance is provided under the legislative authority of the Department of Industry Act. 
 
5. Assistance is provided in the form of repayable contributions.  
6. The programme provides development and expansion capital through repayable loans, 
equity financing or loan guarantees to new or expanding businesses, it provides technical and 
counselling advice to new or existing small businesses within the community and, by working with 
other local partners, it develops and oversees the implementation of a community economic 
development plan.  7. Industry Canada's expenditures totalled  $15,059,987 in FY 2000-2001 and $21,609,987 in 
FY 2001-2002. 
 8. The programme was created in 1986, and gove rnment commitments will be made on an on-
going basis under this programme. 
 1.9  Small Business Loans Programme 
1. The Small Business Loans Programme. 
 G/SCM/N/71/CAN 
 
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  2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 3. The objective is to encourage private sector le nders to increase the availability of loans for 
the purpose of the establishment, expansion, modernization and improvement of small business 
enterprises. 
 4. Assistance is provided under the Small Bu siness Loans Act and the Canada Small Business 
Financing Act. 
 5. Up to $250,000 can be borrowed in respect of equipment, land and premises. The maximum term of these business improvement loans is ten years. Lenders are levied a 2% guarantee fee 
which is normally passed on to the borrowers in respect of all loans made and the 
government/lender sharing ratio for loan losses is a ratio of 90:10. Farming businesses are not eligible under the programme. All loans made after 31 March 1995, are subject to an annual fee of 
1.25% calculated on the average amount of loan s outstanding and payable by the lender to the 
government to make the programme cost-recoverable.  
6. A firm is eligible for consideration for a business improvement loan under the programme if 
it estimates that its gross revenues will not exceed $5 million in the year the loan is approved by the lender.  
7. Industry Canada's expenditures totalled  $84,511,421 in FY 2000-2001 and $74,492,537 in 
FY 2001-2002. For their part, Atlantic Canada Opportunities Agency's expenditures totalled $6,545,279 in FY 2000-2001 and $5,946,783 in FY 2001-2002; Economic Development Agency of 
Canada for the Regions of Quebec's expenditures totalled $43,552,002 in FY 2000-2001 and 
$27,757,685 in FY 2001-2002; and Western Economic Diversification Office's expenditures totalled $23,515,470 in FY 2000-2001 and $6,137,215 in FY 2001-2002.  
 
8. The Small Business Loans Act came into force in January 1961 and was superseded by the Canada Small Business Financing Act for all loans made after 31 March 1999.  
1.10  Strategic Technologies Programme 
1. The Strategic Technologies programme. 
 
2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 3. The objective of this programme is to enhance the international competitiveness of Canadian 
industry through the development, acquisition, application and diffusion of technology. The 
programme encourages and supports pre-competit ive R&D alliances and technology application 
alliances designed to accelerate the transition to building the technology base essential for competitiveness.  
 
4. The programme is under the legislative authority of the Department of Industry Act.  
5. Assistance is in the form of non-repayable contributions to a maximum of 50% of eligible 
costs (25% of special purpose equipment).   
6. The assistance is provided to strategic technology fields, namely advanced industrial 
materials, biotechnology, and information technologies.   7. Expenditures totalled $559,758 in FY 2000-2001 and no expenditures for FY 2001-2002. 
 
8. The programme was created in 1988.  
1.11  Industrial Research  Assistance Programme 
1. The Industrial Research Programme (IRAP). 
 
2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 3. The objective is to stimulate innovation in Canadian small- and medium-sized enterprises. G/SCM/N/71/CAN 
 
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4. The programme is administered under the legislative authority of the National Research Council Act.  
5. Assistance to firms is provided through sh ort-term non-funded technical advice and non-
repayable and conditional repayable contributions. Contributions do not exceed 50% of the cost of a project. 
 
6. The programme has no restrictions as to company ownership, industry sector, region in Canada or technical field. Company-proposed projects are reviewed and approved according to objective criteria. Assistance is provided throug h short-term non-funded technical advice and non-
repayable contributions to approved industrial re search and development projects. Assistance is 
for technical work only, not for capital, commercialization or other business expenses. Technical advice is provided as part of the technical services to small and medium-sized enterprises through 
technical staff located in various regions. If a technical enquiry requires more than 2 days of 
technical advice then the enterprise is referred to  a private consultant or a technical organization. 
For funded projects the cost incurred by the en terprise is covered in part by the programme 
through a non-repayable contribution. Assistance in the form of conditional repayable contributions 
are in entities that can demonstrate their ability to successfully complete the project, to cause the 
successful commercial exploitation of the results of  the supported projects, and thereby to provide 
for a satisfactory return on government's investments. Recipients include private sector 
companies, partnerships and business associations and alliances. 
 7. Expenditures were $991,059 in FY 2000-2001 and $963,499 in FY 2001-2002. 
 
8. The programme was initiated in 1962, and has undergone various administrative modifications since that time. 
 
1.12  Atlantic Canada Opportunities Agency (ACOA) Assistance Programme 
1. ACOA Action Programme (AAP) and Business Development Programme (BDP). 
 
2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 3. The objective of this programme is to foster  the development of entrepreneurship, increase 
the rate of new business formation and improve the competitiveness of small and medium-sized 
businesses.  
4. Assistance is provided under the legislative authority of the Atlantic Canada Opportunities 
Agency Act.  5. Assistance is provided in the form of repayable or non-repayable contributions. Since 1995, 
all assistance to business is in the form of repayable contributions. The programme has a number 
of elements, with specific maximum cost-sharing ratio related to each. Individual contribution ranges from 50% to 75%. 
 
6. The programme provides assistance to any small- and medium-sized enterprises in Atlantic Canada to start-up, expand, modernize and become more competitive. Non-profit organizations 
providing support to the business community may also qualify, and may receive assistance, 
generally in the form of non-repayable contributions.  7. ACOA disbursed $227,868 in FY 2000-2001 and $175,293 in FY 2001-2002 under the Action 
programme. It has spent $115,104,439 in FY 2 000-2001 and $ 118,779,616 under FY 2001-2002 
under BDP.  
8. The Action programme was created in 1988. The last date for government financial 
commitments under this programme was 31 March 1995. BDP replaced the Action Programme in 1995. 
 G/SCM/N/71/CAN 
 
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  1.13  Cooperation Programme 
1. The COOPERATION Programme includes all ACOA cost-shared federal-provincial agreements. 
ACOA COOPERATION agreements (prior to 1989 known as Economic and Regional Development 
Agreements) have been consolidated into a sing le, broadly based regional economic development 
agreement in New Brunswick, Nova Scotia and Prince Edward Island. In Newfoundland, existing 
agreements continue to operate until their respective termination dates.  
2. The notification covers the fiscal years 2000-2001and 2001-2002. 
 3. The objective of this programme is to improve the environment for economic growth in Atlantic Canada through cooperation with all levels of government, the private sector and 
institutions. 
 4. Assistance is provided under the legislative authority of the Atlantic Canada Opportunities 
Agency Act. 
 5. Assistance is usually provided in the form of a non-repayable contribution. Each agreement 
has its own terms and conditions. Each agreement contains several elements. The cost-sharing 
ratio may vary by programme element.  6. The programme provides assistance to prov incial and municipal governments, economic 
development and business associations, universities, research institutes and businesses principally 
in five strategic areas, entrepreneurship, innovation and technology transfer, in human resource development, marketing and trade de velopment, and the environment.  
 
7. ACOA disbursed $28.4 million in FY 2000-2001 and $43.2 million FY 2001-2002. These disbursements include payments to the four Atlantic Provinces as well as direct assistance to 
businesses.  
 8. The programme was created in 1989. These multi-year cost-shared agreements are usually in effect for a five-year period from the time of signing. As of 31 March 2002 there were 11 such 
agreements in effect in Atlantic Canada if we include The Atlantic Groundfish Strategy (TAGS) and 
Canadian Fisheries Adjustment and Restructuring (CFAR).   
9. For FY 2000-2001 and 2001-2002, TAGS expenditures were $16.6 million and $7.3 million 
and CFAR expenditures were $31.4 million and $29.5 million for the same period.  
1.14  Fisheries Alternative Programme (FAP) 
1. Fisheries Alternative Programme. 
 2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 
3. The objective of this programme is to provide financial assistance to projects or activities which lead to the long-term diversification of affected fishery-dependent communities and/or to 
employment for workers displaced by the depletion of ground-fish stocks. 
 4. Assistance is provided under the legislative authority of the Atlantic Canada Opportunities 
Agency Act. 
 5. The programme's financial support is available in the form of grants and contributions toward eligible costs, loan insurance and interest buy-downs. The maximum contribution per 
project is 65%. 
 6. This programme offered an enhanced level of assistance over what may have been available 
under existing programmes to eligible projects or activities. Eligible activities may have included 
the establishment of new businesses, expansion or modernization of existing ones, development of new products or services, and the development of  business infrastructure to achieve economic 
diversification or economic expansion in affected fishery-dependent areas of Atlantic Canada. 
ACOA disbursed $22,264 in FY 2000-2001 and $27,124 in FY 2001-2002.  G/SCM/N/71/CAN 
 
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  7. The programme was created in 1990, and terminated in February 1995. 
 1.15  Canada-Quebec Subsidiary Agreement on the Economic Development of Quebec 
Regions 
1. Programmes administered by the BFDR(Q ): Business Development Programme, Programme 
for Boosting Manufacturing Productivity, Programme of Assistance to Depressed Areas, Innovation Assistance Programme, Programme for the Econom ic Development of Salmon, Support Programme 
for Business Reception Infrastructure, Support Programme for Tourist Attraction and Infrastructure 
Projects, Support Programme for Major Regional Facilities, Support Programme for Technological Development Assistance Centres, Fashion Design Support Programme.  
2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 3. The Canada-Quebec Subsidiary Agreement on the Economic Development of Quebec regions 
was concluded on 9 June 1988 in order to establish a concerted and harmonized programme of 
activities to meet the specific needs of the Quebec  regions and to agree on a flexible and efficient 
management and cooperation mechanism to carry out the programme. 
 
4. The assistance was provided under the legisl ative authority of the Department of Industry 
Act and its predecessors.  
5. Assistance was provided in the form of repayable or non-repayable contributions. 
 6. The programmes under this Subsidiary Agreem ent provided for the grant of financial aid to 
manufacturing or tourist enterprises in all of the regions of Quebec. The aid was granted to 
projects relating to technological studies, inno vation and development, capital construction or 
marketing. Financial aid could also be granted to facilitate the launch and development of small 
firms engaged in technological innovation, to increa se the possibilities of recreational fishing, and 
to support the establishment of infrastructure to facilitate the setting up of manufacturing or tourism enterprises. The aid thus granted represented a percentage of allowable costs and varied from one programme to another. However, the av erage amount of aid calculated for all of the 
business development programmes amounts to 24%.  
 7. Outlays by the BFDR(Q) for these programmes were Nil for FY 2000-2001 and Nil for 
FY 2001-2002. 
 8. The programmes administered by the BFDR (Q) in the framework of the Canada-Quebec 
subsidiary agreement on the economic developm ent of Quebec regions were terminated on 
31 March 1995.  1.16  Western Diversification Programme 
1. The Western Diversification Programme. 
 2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 
3. The objective of the programme is to promote economic development and diversification in western Canada; and to advance the interests of western Canada in national policy, programme 
and project development and implementation.  
 4. The assistance is provided under the authorit y of the Western Economic Diversification Act. 
 
5. Until April 1995, the programme provided financial assistance to businesses through 
repayable and conditionally repayable contribution s. Contributions were usually between 25% and 
50% of eligible project costs. Conditionally repa yable contributions are tied to company success. 
The royalty/repayment schedule includes a provision for the repayment of the original contribution 
and, in the case of a royalty schedule, a return on the investment. Financial assistance to businesses was largely eliminated in April 1995. However, the programme continues to provide 
assistance to industry organizations and associations, small business and emerging industries 
through repayable or conditionally repayable or non-repayable contributions. Contributions are normally between 25% and 75% of eligible project costs. G/SCM/N/71/CAN 
 
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6. Expenditures totalled $63,015,042 in FY 2000-2001 and $64,435,679 in FY 2001-2002.  7. The programme was established in December 1987. 
1.17  Western Economic Partnership Agreements 
1. The Western Economic Partnership Agreements (WEPA) are cost-shared federal-provincial 
agreements. 
 
2. The notification covers the fiscal years 2000-2001 and 2001-2002.  3. The objective of this programme is to cr eate new employment opportunities and boost 
economic growth in western Canada through strategic initiatives in areas of mutual interest. The 
programme provides assistance to economic development and business associations, universities, research institutes and SMEs principally in the key sectors of research technology and 
telecommunications, economic innovation, business development, community economic 
development, trade, entrepreneurship and youth. These agreements are intended to focus on those strategic priorities that will enable the West to take advantage of opportunities and to 
become a more dynamic, glob ally competitive economy. 
 4. The assistance is provided under the authorit y of the Western Economic Diversification Act. 
 
5. Assistance is provided under Treasury Board authority by way of approved terms and 
conditions for the agreements. Separate WEPAs are negotiated and approved between WD and 
each province. 
 
6. The WEPAs were valued at $160M, with a cost-sharing ratio of 50-50 between the federal and provincial governments. The federal share ( $80M) was allocated equally among provinces (i.e. 
$20M per province). Assistance was usually provided in the form of a non-repayable contribution. 
Each federal-provincial agreement has its own terms, conditions and programme components.  7. Expenditures totalled $13,565,529 in FY 2000-2001 and $19,613,279 in FY 2001-2002. For 
FY 2000-2001, these expenditures were as follows: $1,890,319 in Manitoba, $4,577,498 in 
Alberta, $6,011,542 in Saskatchewan and $1,086,170 in British Columbia. For FY 2001-2002, they were: $4,382,274 in Manitoba, $2,283,492 in Alberta, $6,965,846 in Saskatchewan and 
$5,981,667 in British Columbia. 
 8. The WEPAs were approved by the Government of Canada in March 1998. The agreements 
stipulate that projects may be approved until Marc h 31, 2002, and that no disbursements will be 
made beyond March 31, 2004.  1.18  Service Delivery Network Programme 
1. Service Delivery Network Programme. 
 2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 
3. The objective of this programme is to increase access to services in Western Canada through service delivery agreements with communi ty-based organizations by providing: Business 
Services – Delivering a range of targeted busine ss and information services to small and medium 
sized businesses. Access to Capital - Providing ca pital to assist existing businesses or to help 
entrepreneurs to create new businesses.  
4. Assistance is provided under the authority of the Western Economic Diversification Act. 
 5. Financial assistance is delivered through Service Delivery Organizations such as: the 
Community Futures Development Corporations. 
 6. Expenditures totalled $7,641,156 in FY 2000-2001 and $10,155,404 in FY 2001-2002. 
 
7. The programme was created in 1997. G/SCM/N/71/CAN 
 
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  1.19  IDÉE-PME 
1. Innovation, Entrepreneurship Enhancement and Exports Programme (IDÉE) for small and 
medium-sized enterprises.  
2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 3. The objective of the Programme is to enable Quebec SMEs to increase their business 
opportunities and thus participate more actively in achieving the regional development potential. 
Financial assistance may be provided to enterprise s to carry out projects in the following areas: 
innovation, research and development and desi gn; market development; entrepreneurship 
enhancement and business climate. 
 
4. Assistance is provided under the legislative authority of the Department of Industry Act.  
 
5. The assistance is provided in the form of repayable or non-repayable contributions. Since 
January 1996, the assistance provided is generally repayable; only contributions to not-for-profit organizations are non-repayable. For the year 1996-97, the average contribution represented 29% 
of allowable costs for authorized projects. 
 6. The IDÉE-PME programme provides financial aid to Quebec SMEs for activities in priority areas. Financial assistance can also be granted to bodies providing support to SMEs wishing to 
undertake activities in these priority areas. 
 7. Outlays by BFDR (Q) for this programme totalled $50,980,436 in FY 2000-2001 and 
$47,400,928 in FY 2001-2002. 
 8. The programme entered into force on 1 April 1995. 
 
1.20  Community Development Programme (PDC) 
1. Community Development Programme (PDC). 
 
2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 3. The objective of the programme is to create jobs by facilitating the establishment of new 
enterprises or the expansion of existing enterp rises. The programme is based on 54 Community 
Development Assistance Companies (SADCs) estab lished in the depressed rural areas of Quebec. 
In particular, the SADCs provide SMEs in their area with financing in the form of share capital or 
repayable loans. 
 4. Financial assistance is provided under the legi slative authority of the Department of Industry 
Act. 
 
5. The programme defrays the operating costs of the 54 SADCs and contributes to the financing of the operations of eight Economic and Community Development Corporations (CDEC) 
in urban areas. Financial assistance is also provided to each of the SADCs for establishing an 
investment fund.  
6. The programme provides financial assistance  to these non-profit-making bodies, which are 
managed by volunteer boards of trustees supported by permanent staff.  7. Outlays by the BFDR (Q) for this programme totalled $25,751,853 in FY 2000-2001 and 
$22,402,553 in FY 2001-2002. 
 8. The Community Development Programme has been in force since 1986. 
 
1.21  Coastal Quebec 
1. Special Economic Development and Adjustment Fund for Quebec Fishing Communities 
(FSQC). 
 G/SCM/N/71/CAN 
 
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  2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 3. The objective of this programme is to speed up the adjustment and long-term economic development of the fishing communities most affected by the decline of bottom-living fish stocks. 
 
4. Assistance is provided under the legislative authority of the Department of Industry Act. 
 
5. The financial assistance may be provided in the form of repayable or non-repayable 
contributions.  6. The programme provides support for SME investment projects or studies and for the 
organization of various business activities by  non-profit-making bodies pursuing economic 
development objectives. The territorial area covered by the programme is confined to certain Côte-Nord  (North Coast) municipalities, the Gaspésie  and Íle-de-la-Madeleine  administrative 
region, and fishing communities adjoining the Gaspésie affected by fisheries restructuring. 
 7. Développement économique Canada  made outlays of $2,697,310 in FY 2000-2001 and 
$2,936,437 in FY 2001-2002. 
 8. The programme entered into force on 25 July  1995 and outlays under it must be made by 
31 March 2000 at the latest. 
 
1.22  Technology Partnerships Canada 
1. Technology Partnerships Canada (TPC). 
 
2. The notification covers the fiscal years 2000-2001 and 2001-2002.  
3. The objective of this programme is to invest in pre-market product and process technology 
research and development with a view to stimulating economic growth and creating jobs in Canada. TPC's investments are made in research, development, demonstration, and market development activities on condition of private sector participation and full partnership in key 
technologies, such as environmental technologies, advanced manufacturing, information 
technology, biotechnology, aerospace and defence industries, and defence conversion.  
4. Investments are made under the legislative authority of the Department of Industry Act. 
 5. The government's investment ratio will normally vary between 25% and 30% of the eligible 
costs of each project. Where justified by the potential economic benefits, the maximum sharing 
ratio may reach 50% if it is essential to the success of the project. The overall target / maximum sharing ratio for TPC is 33%. The royalty/repayment schedule includes a provision for the repayment of the original capital contribution and a return on TPC's investment. The TPC's actual 
return is a direct function of the project's market success.  
 6. Investments are in entities that can demonstrate their ability to successfully complete the 
project, to cause the successful commercial exploi tation of the results of the supported projects, 
and thereby to provide for a satisfactory return on government's investments. Recipients include private sector companies, partnerships and business associations and alliances. 
 
7. The Department invested about $262,869,901 in FY 2000-2001 and $319,656,677 in FY 2001-2002.  
8. The TPC came into effect on 1 April 1996. 
 1.23  Community Futures Programme - Western Canada 
1. Community Futures Programme. 
 2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 
3. The objective of this programme is to assist rural communities in western Canada to develop and diversify their economies through: assisting communities to formulate economic development G/SCM/N/71/CAN 
 
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  strategies and action plans, delivering a ra nge of business and information programmes and 
services to small and medium-sized businesses in non-metropolitan communities, and administering loan programmes to provide assistance to small and medium sized businesses within a Community Futures programme geographical area. 
 
4. Assistance is provided under the authority of the Western Economic Diversification Act.  
5. Financial assistance is provided in either non-repayable contributions to not-for-profit 
corporations or repayable contributions to small businesses.  6. Non-repayable contributions are provided to ov er 90 independent, locally run, not-for-profit 
Community Futures Development Corporations (CFDC's) to support their administrative and 
business service activities. Repayable contributions are provided to the CFDC's to establish capital funds with which to provide small business with loans of up to $125,000 on commercial terms. 
 
7. Expenditures totalled $22,682,237 in FY 2000-2001 and $21,585,212 in FY 2001-2002.  
8. The programme was created in 1986. 
 1.24  Community Futures Programme - Atlantic Provinces 
1. Community Futures Programme. 
 
2. The notification period covers the fiscal years 2000-2001 and 2001-2002.  
3. The objective of this programme is to assist rural communities in Atlantic Canada to develop 
and diversify their economies by delivering a ra nge of business and information programmes and 
services to small- and medium-sized businesses; and administering loan programmes to provide 
assistance to small- and medium-sized businesses within a Community Futures programme 
geographical area.  4. Assistance is provided under the authority of the Atlantic Canada Opportunities Agency Act. 
 
5. Financial assistance is provided in the form of non-repayable contributions to not-for-profit corporations. 
 
6. Non-repayable contributions are provided to 40 independent, locally run, not-for-profit Community Business Development Corporations (CBDC's) to support their administrative and 
business service activities. Non-repayable contributions are provided to the CBDC's to establish 
capital funds with which to provide small business with loans of up to $75,000 on commercial terms.  
7. The Atlantic Canada Opportunities Agency's  expenditures on non-repayable contributions 
towards the operating costs of CBDC's totalled $7. 2 million in FY 2000-2001 and $8.4 million in FY 
2001-2002. Expenditures on non-repayable contribu tions towards the capitalization of loan funds 
totalled $5.0 million in FY 2000-2001 and $9.1 million in FY 2001-2002.  
 8. The programme was created in 1986. 
 
1.25  Western Base Closure s Adjustment Programme 
1. The Western Base Closures Adjustment Programme. 
 
2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 3. The objective is to assist communities in Western Canada to develop and implement 
economic development strategies to mitigate against the impacts of the base closures and 
reductions within the affected communities.  
4. Assistance is provided under the authority of the Western Economic Diversification Act. 
 G/SCM/N/71/CAN 
 
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  5. Assistance is provided to non-profit organi zations in the form non-repayable contributions. 
Assistance is provided to small and medium -sized businesses in the form of repayable 
contributions.  
6. Financial assistance is provided to projects that address the economic development needs of 
communities affected by military bases closures in the West.  
7. Expenditures totalled $3,350,000 in FY 2000-2001 and $4,200,000 in FY 2001-2002. 
 8. The programme was created in 1994 and no government commitments will be made after 31 March 2004. 
 
1.26  Community Economic Adjustment Initiative Programme 
1. The Community Economic Adju stment Initiative Programme. 
 
2. The notification covers the fiscal years 2000-2001 and 2001-2002.  
3. The objective is to assist fishery-dependent communities and/or to employment for workers 
displaced by the depletion of fish stocks. The programme will assist communities to undertake strategic development and diversification projects  that facilitate coastal community economic 
transition from primary reliance on the salmon fishery to alternate economic activities. 
 
4. Assistance is provided under the authority of the Western Economic Diversification Act.  
5. Assistance is providing loans in the form of  repayable and non-repayable contributions up to 
a maximum of $250,000. Contributions would be repayable in the circumstances of the successful implementation of a commercial project by a private sector, for-profit entity, unless the benefits 
from the project are primarily derived by a third party or are diffused throughout a community. 
 6. Financial assistance is delivered trough the Community Futures Development Corporations.  
7. Expenditures totalled $9,526,240 in FY 2000-2001 and nil in FY 2001-2002. 
 8. The programme was created in 1998 and no government commitments will be made after 
31 March 2002. 
 1.27  Structured Financing Facility  
1. Structured Financing Facility (SFF) for New Canadian-built Vessels. 
 2. The notification covers the fiscal years 2000-2001 and 2001-2002.  
3. The objective of the SFF is to stimulate demand for new Canadian-built vessels in existing 
Canadian shipyards by providing financial assist ance to Canadian and foreign buyers/lessees.  
 
4. Assistance is provided under the authority of the Department of Industry Act. 
 5. The SFF has three elements: a) financing support which can provide financing assistance 
within prescribed limits, up to 15 percent of the purchase price of a new Canadian built vessel. The 
support is in the form of a non-repayable contribution; b) credit (loan / lease) insurance which can insure a portion of a loan or lease to acquire Canadian built vessels. The cost to the Government for this insurance cannot exceed 10 percent of th e purchase price of the vessel; and c) insurance 
support which can provide a non-repayable contri bution towards private loan/lease insurance 
within prescribed limits up to 10 percent of the purchase price of a new Canadian built vessel. 
 
6. Financial assistance is delivered by Industry Canada. 
 7. Expenditures were nil in FY 2000-2001 and $232,248.00 in FY 2001-2002. 
 G/SCM/N/71/CAN 
 
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  1.28  Genome Canada  
1. Genome Canada. 
 2. The notification covers the fiscal years 2000-2001 and 2001-2002. 
 
3. The objective of Genome Canada is to estab lish five affiliated regional genomic centres and 
to develop a Canadian genomics strategy. The five genomics centres will receive as much as 90% 
of the funds to ensure that researchers have access to equipment and facilities to undertake large 
scale research and development projects and train young scientists; and increase public awareness of genomics research.   
4. Assistance is provided under the authority of the Department of Industry Act. 
 5. The assistance is in the form of a grant to Genome Canada. 
 
6. Financial assistance is delivered by Industry Canada.  
7. Expenditures were $140,000,000 in FY 2000-2001 and nil in FY 2001-2002. 
 2  OTHER CANADIAN PROGRAMMES (CULTURAL) 
2.1  Book publishing Industry Development Programme  
1. Book publishing Industry Development Programme (BPIDP) 
 2. The notification covers the fiscal years of 2000-2001 and 2001-2002. 
 
3. BPIDP was established to help the Canadian publishing industry produce and promote Canadian-authored books. More specifically, the obje ctive of the BPIDP is to ensure choice of and 
access to books written by Canadian authors, which reflect Canada's cultural diversity and 
linguistic duality in Canada and abroad. The programme seeks to achieve this objective by fostering a strong and viable Canadian b ook industry that publishes and promotes 
Canadian-authored books. 
 
4. Assistance provided under authority of the Department of Canadian Heritage.  
5. Grants and contributions 
 6. Publishers, associations, organizations, agencies and firms representing one or more sector 
of the book trade are eligible for the programme which has four components: funding for 
publishers: subsidy provided in the form of a contribution which is repayable if profits exceed 10% for a 3 year period following the receipt of f unds and funding exceeded $100,000. Funding for 
industry and associations: the maximum annual contribution for an individual project will normally 
not exceed 50% of total eligible expenses. Distribution assistance: for projects put forward by a 
book publisher/distributor, the component will pr ovide a maximum contribution of 50% of eligible 
costs. 
 
7. In 2000-01, the budget of the Aid for pu blishers' component was $24.4 million; 213 
publishers were eligible for funding. The budget for the Aid to Industry and Associations 
component was $1.9 million; 49 associations/org anizations were funded. The budget of the 
Distribution Assistance component was $1.5 million; 7 distributors/publishers were funded. The Foreign Rights Marketing Assistance Programme funded 159 publishers.  
In 2001-2002, the budget of the Aid for publishers' component was $28.9 million; 217 publishers 
were eligible for funding. The budget for the Aid to Industry and Associations component was 3.1 
million; 85 associations/organizations were funded. The budget of the Distribution Assistance 
component was $2.25 million; 24 projects were received. The Foreign Rights Marketing Assistance 
Programme funded 159 publishers.  
8. The fund allocation relates to the amount of eligible sales, with a maximum annual 
contribution of $750,000 to individual or affiliated companies. G/SCM/N/71/CAN 
 
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9. The programme was initially established in 1979.  2.2  Loan Programme for Book Publishers 
1. Loan programme for book publishers. 
 2. The notification covers the fiscal years of 2000-2001 and 2001-2002. 
 
3. Operating lines of credit being available to Canadian publishers who sometimes have 
difficulty accessing enough capital to meet their cash flow requirements or to finance expansion 
because traditional lenders tend to undervalue their knowledge-based assets. 
 
4. Assistance provided under authority of the Department of Canadian Heritage.  
 
5. The Department of Canadian Heritage shares the risk of loans made to Canadian publishers 
by Royal Bank. The lines of credit are made available at commercial terms (prime plus 2 to 4%) and reviewed every year. 
 
6. Eligible companies have to be Canadians, whose prime business is the publishing (but not printing) of books, who operate in the private sect or with the exception of university presses. The 
applicant's principal activity must be book publishing (for 36 months of operation). The applicant's 
headquarters, (and at least 75% of employees), must be based in Canada. On the date the 
application is made, the applicant must have published, in print form, a minimum of: 15 Canadian-authored trade titles, of which at least four were published in each of the three preceding financial 
years; or 10 Canadian-authored educational or scholarly titles, of which at least two were 
published in each of the three preceding financial years. The applicant must have fulfilled all contractual obligations with respect to royalty titles. The applicant must have attained minimum 
net eligible sales of $150,000 for the financial year for which application is made. 
 7. This pilot project ended as of January 2002, 17 lines of credit were approved for a total of 
$2.7 million. 
 
8. The Department of Canadian Heritage has set aside $2 million in order to share the risk, and the bank will lend a total of up to $20 million. 
 
9. Established in 1998.  
2.3  Publications Assistance Programme 
1. Publications Assistance Programme. 
 2. The notification covers the fiscal years of 2000-2001 and 2001-2002. 
 
3. The purpose of the subsidy is to encourag e the wide and affordable dissemination of 
Canadian publications to Canadian readers; to recognize the important role played by small 
community weekly newspapers in rural communities; to support the vitality of English and French 
minority communities and of Canada's cultural diversity through minority official language and ethnic weekly newspapers; and, to make library books available to those whose access to public 
libraries is made difficult by geography or physical limitation. 
 4. Assistance provided under authority of the Department of Canadian Heritage, in partnership with the Canada Post Corporation. 
 
5. PAP offers subsidized mail rates to paid-subscription publications under Canadian control and ownership mailed in Canada. 
 
6. The programme is designated to help eligible Canadian publications, including periodicals, commercial newsletters, small-community weekly newspapers, and certain other weekly 
newspapers mailed in Canada for delivery in Ca nada. Postal subsidies are available to Canadian-
owned and -controlled, paid circulation publications that are accessible to the general public, that are published and printed in Canada and that meet  certain editorial and advertising requirements. G/SCM/N/71/CAN 
 
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  All customers are charged the full cost of each mailing through their deposit account at Canada 
Post. Subsidy payments for eligible publications are made by the Department of Canadian Heritage under the Publications Assistance Programme, directly to the customer's deposit account.  
7. In 2000-2001, $41.8 million Canadian dollars where attributed, while in 2001-2002, $39.9 
million Canadian dollars where attributed.  
8. The PAP was formally launched in 1997. 
 2.4  Emerging Publisher Grant Programme and Block Grants 
1. Emerging Publishers Grant Programme and Block Grants. 
 
2. The notification covers the fiscal years of 2000-2001 and 2001-2002.  
3. Financial assistance to Canadian publishers to offset the costs of publishing Canadian trade 
books that make a significant contribution to the development of Canadian literature.  
4. The Canada Council, which is an independent, arm's length organization created by the 
Parliament of Canada in 1957 to foster and promote the arts, administers the Writing and 
Publishing Section. 
5. Grants 
 
6. Block Grants provide operating funding to established professional book publishers with an ongoing publishing programme that includes at least 16 eligible titles. Participating publishers are 
expected to produce at least three new eligible ti tles per year and eight titles over the past 24 
months. Emerging Publisher Grants assist small or emerging houses that have published four to 15 eligible titles. 
 
7. In 2000-2001, contributions distributed were of $310 000 for emerging publishers, and $6 407 300 for established ones.  
In 2001-2002, contributions distributed were  of $431 000 for emerging publishers, and 
$7 594 318 for established ones.   
8. Established in 1972. 
 2.5  Grants to Literary and Art Magazines programme  
1. Grants to Literary and Art Magazines programme. 
 2. The notification covers the fiscal years of 2000-2001 and 2001-2002.  
3. The programme encourages excellence in arti stic expression and fosters awareness of the 
contemporary arts and literature in Canada, through support for the publication of literary and art magazines. 
 
4. The Canada Council, which is an independent, arm's length organization created by the Parliament of Canada in 1957 to foster and promote the arts, administers the Writing and 
Publishing Section. 
 5. Grant.  
6. Publishers of magazines are eligible if they: have developed an appropriate distribution 
method, have a paid circulation of at least 50% of the copies printed or maintain at least a 25% ratio of revenues earned from paid circulation or advertising, respect intellectual property. Eligible 
magazines must: be at least 75% Canadian-owned; be published at least twice a year; focus 
mainly on editorial content written or created by Canadians; have a demonstrated editorial capability and financial stability; focus mainly on previously unpublished material; have a print-run 
of at least 500 copies per issue, but not exceed 25,000 copies per issue (except for electronic 
magazines). The amount of the Canada Council's grant is based on the magazine's demonstrated G/SCM/N/71/CAN 
 
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  need for support, the peer assessment committee' s evaluation of its excellence, the proposed 
publishing programme and the number of issues pu blished the previous year. Applicants may also 
receive a supplementary grant, to a maximum of $10,000, for special marketing, distribution or 
promotion projects. 
 
7. In 2000-2001, contributions distributed we re of $2 405 700. In 2001-2002, contributions 
distributed were of $2 614 900. 
 
8. Established in 1972.  3  AGRICULTURAL PROGRAMMES 
3.1  Components of Farm Income Protection Act 
3.1.1  Crop Insurance 1. Crop Insurance. 
 
2. Crop years 2000-01 and 2001-02.  
3. Crop Insurance (CI) stabilizes a farmer's income by moderating the economic effects of crop 
losses caused by natural hazards such as drough t, flood, hail, frost, excessive moisture and 
insects.  
4. Farm Income Protection Act (FIPA), Section 4. 
 5. Contribution. 
 
6. Producers and federal and provincial governments pay premiums into crop insurance accounts. Payouts are based on a farmer's averag e crop yield and are triggered when a farmer 
suffers a yield loss due to a covered hazard. FIPA authorizes crop insurance through separate crop 
insurance agreements. For Nova Scotia, Prince Edward Island, Quebec and Ontario, the producer share of crop insurance premiums is 50% and th e federal and provincial government shares are 
25% each. For the others (British Columbia, Alberta, Saskatchewan, Manitoba, New Brunswick and 
Newfoundland), the level of coverage selected by the producer determines the cost sharing 
arrangement (i.e., the higher the level, the less the government contribution). 
 
7. Federal Crop Insurance Contributions 
 Crop Year Total Contributions (million)* Per Insured Producer 
 
2000-2001 $192.7 $1,917 2001-2002 $200.7 $1,959  
Note:* These figures include the CI premiu m contributions and waterfowl compensation 
payments.  
8. The programme was established in 1959 and revised in 1990. In April 1991, the Crop 
Insurance Act was revoked and incorporated into the Farm Income Protection Act.  
3.1.2  Industrial Milk Subsidy 
1. Industrial Milk Subsidy. 
 2. Dairy years 2000-01 and 2001-02. 
 
3. The objectives of the federal dairy subsidy were to contribute to a sound, healthy and viable dairy industry and to provide consumers with a reasonably priced supply of high quality dairy 
products. 
 4. Farm Income Protection Act (FIPA), Section 12. 
 G/SCM/N/71/CAN 
 
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  5. Contribution. 
 6. The subsidy was paid directly to producers of industrial milk and cream on their production within a quota designed to meet Canadian domest ic requirements. Domestic milk production in 
Canada is restricted through farm level production quotas. The national supply management 
system for industrial milk is governed by a join t federal/provincial agreement administered by the 
Canadian Dairy Commission (CDC). 
 
7. The direct subsidy payments by the CDC on industrial milk and cream were:  Dairy Year* Subsidy Rate (per hectolitre) Total Payments 
 
2000-01 $1.52 (Aug-Jan) $50.97 million $0.76 (Feb-Jul) 
2001-02 $0.76 (Aug-Jan) $15.17 million 
$0.00 (Feb-Jul)  
Note:* The dairy year extends from August 1 to July 31. 
 8. This programme was eliminated as of February 2002.  
3.1.3  Province-Based Safety Net Initiatives 
1. Companion Programmes. 
 
2. Fiscal years 2000-01 and 2001-02. 
 3. The Companion Programmes are transitional programmes to assist producers to adapt to 
increased responsibility for risk management associated with agriculture. 
 4. Farm Income Protection Act (FIPA), Section 12.  
5. Contribution and Grant. 
 6. To address agricultural development in regions, the federal government allocated funds for 
province-based initiatives including research an d development activities by industry groups; 
adaptation initiatives to help address structural adjustments; and initiatives to complement existing programmes. The subsidy may be in the form of a contribution to a research fund or as a 
payment to producers.  
 7. Total amount of subsidy paid ('million).  
Fiscal Year Expenditures 
 2000-01 $185 
2001-02 $153 
 8. Companion programmes came into effect in  fiscal year 1996-97 and were in effect until 
31 March 2003. 
 3.2  Crops 
3.2.1  Advance Payments Programme 
1. Advance Payments Programme. 
 2. Crop year 2000-01 and 2001-02. 
 
3. The Advance Payments Programme increases a producer's marketing options by providing cash advances to producers at harvest. 
 
4. Agricultural Marketing Programmes Act. G/SCM/N/71/CAN 
 
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5. Loan guarantee and interest rebate.  6. The Advance Payments Programme is a voluntary programme for producers of eligible crops, 
fur and maple syrup, harvested in Canada. The inventory must be in storage in order for the 
producer to receive an advance. The Programme provides guarantees on principal and interest, 
thereby allowing producer organizations to make a cash advance to individual producers 
up to $250,000. The Canadian Government pays the interest on the first $50,000 of the advance. 
Advances are repaid when the crops are sold. The commodity secured loan provides producers 
with financial flexibility to defer marketing to a more favourable time during the year. 
 
7. For the 2001-02 crop year, 33,699 producers participated in the Programme. 
 Crop Year* Interest Cost (million) Average per Producer 
 
2000-01 $24.2 $568 2001-02 $ 9.5 $281 
 
Note:* The 12 month crop year for the APP varied according to the crop harvested.  8. The Agricultural Marketing Programmes Act was enacted in April 1997. The programme 
provisions were previously provided under the Ad vance Payments for Crops Act, the Prairie Grain 
Advance Payments Act and the Cash Flow Enhancement Programme.  
3.2.2  Spring Credit Advance Programme 
1. Spring Credit Advance Programme. 
 
2. Crop year 2000 and 2001. 
 3. The Spring Credit Advance Programme was implemented in 2000 to assist producers with financing their crop input costs by providing interest-free cash advances. 
 
4. Loan guarantee and interest rebate.  
5. The Spring Credit Advance Programme is a voluntary programme for producers of eligible 
crops grown in Canada. The Programme provides guarantees on principal and interest, thereby 
allowing producer organizations to make cash advances to individual producers up to $50,000. The 
government pays the interest on the advances. Producers have until December 31 to repay their 
advance or to transfer the outstanding adva nce into the Advance Payments Programme if 
inventories are available. The advances are secured by a producer's participation in Crop Insurance or other programmes providing similar security. 
 
6. For the 2001 crop year, 33,309 producers participated in the Programme.  
Crop Year* Interest Cost (million) Average per Producer 
 2000 $11.2 $357 
2001 $15.8 $474 
 Note: *The information provided is based on a crop year, which is April 1 to December 31.  
7. The programme provisions were provided for under the Financial Administration Act and the 
Department of Agriculture and Agri-Food Act.  
3.2.3  Programme agroenvironnemental de  soutien à la Stratégie phytosanitaire 
1. Programme agroenvironnemental de soutien à la Stratégie phytosanitaire. 
 
2. Fiscal year 2000-01 and 2001-02. 
 G/SCM/N/71/CAN 
 
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  3. The programme aims to protect, preserve and promote the Saint-Lawrence River by 
introducing agricultural environmental pest management practices and control.  4. Entente de concertation Canada-Quebec Plan d'action Saint-Laurent Vision. 
 
5. Contribution and Grant.  
6. Supports research and extension activities that focus on reducing pesticide amounts and 
environmental risks linked to the use of pesticides as part of integrated pest management control for field crops (grain, corn, soybean), apples and potatoes. Financial support covers 80% of the development project costs, and 90% of the techno logy transfer project costs. Maximum amounts 
disbursed are $30,000 for a one-year project or $50,000 for a two-year project. 
 7. The total estimated cost of the programme  is $2.5 million ($500,000/year). Expenditures 
during fiscal years: 
 Fiscal Year Expenditures 
 
2000-01 $452,923 2001-02 $421,999  
8. This programme entered into effect of June 8, 1998 and was in effect for five years. It 
terminated on 31 March 2003.  
4  FISHERIES PROGRAMMES 
4.1  Atlantic Groundfish Li cence Retirement Programme 
1. The Atlantic Groundfish Licence Retirement Programme  
 
2. The notification covers the fiscal years (FY) 2000-2001 and 2001-2002.  3. The objective of this programme is to put harvesting capacity in balance with resource 
availability and ensure the long-term sustainability of the fishing sector on the Atlantic coast. 
 4. Assistance is provided under the legislativ e authority of the Fisheries Development Act. 
 
5. Assistance is provided in the form of contributions to purchase groundfish licenses.  
6. The programme provides for the purchase and retirement of groundfish licenses, resulting in 
licence holders leaving the commercial fishing industry permanently.  7. The programme expenditures totalled $25,458,526 in FY 2000-2001 and $22,302,698 in FY 
2001-2002. 
 8. The programme was established in 1998 as part  of the Canadian Fisheries Adjustment and 
Restructuring (CFAR) regime, and terminated in 2001, consequently no new applications have 
been considered since that time.  
4.2  Pacific Selective Fishing Programme 
1. Pacific Selective Fishing Programme 
 2. The notification covers the fiscal years (FY) 2000-2001 and 2001-2002. 
 
3. The objective of this programme is to accelerate development of selective fishing in the Pacific salmon fisheries. 
 
4. Assistance is provided under the legislativ e authority of the Fisheries Development Act. 
 
5. Assistance is provided in the form of contributions to support the programme. 
 G/SCM/N/71/CAN 
 
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  6. The programme provides for the developmen t of selective fishing gear and methods for 
First Nations, recreational angles and commercial harvesters.  7. The programme expenditures totalled $1,530,314 in FY 2000-2001 and $655,200 in FY 
2001-2002. 
 8. The programme was established in 1998 as part of the Canadian Fisheries Adjustment and 
Restructuring (CFAR) regime, and terminated in 2001, consequently no new applications have 
been considered since that time.  4.3  Pacific Fisheries Development Programme 
1. Pacific Fisheries Development Programme 
2. The notification covers the fiscal years (FY) 2000-2001 and 2001-2002. 3. The objective of this programme is to support fisheries diversification. 
4. Assistance is provided under the legislativ e authority of the Fisheries Development Act. 
5. Assistance is provided in the form of contributions to support the programme. 6. The programme provides for the development of commercial fisheries for underutilized 
species, value-added handling and processing techniques, marketing and aquaculture research for 
non-salmon species, in consultation with the Province of British Columbia, First Nations and other partners 
7. The programme expenditures totalled $412,302 in FY 2000-2001 and $114,020 in FY 
2001-2002. 
8. The programme was established in 1998 as part  of the Canadian Fisheries Adjustment and 
Restructuring (CFAR) regime, and terminated in 2001, consequently no new applications have 
been considered since that time. 
 4.4  Northern Cod Adjustment and Recovery Programme 
1. Northern Cod Adjustment an d Recovery Programme (NCARP) 
 2. The notification covers the fiscal years (FY) 2000-2001 and 2001-2002.  
3. The objective of this programme is to assist  fisheries workers to cope with the closure of 
the northern cod fishery and to reduce dependency on fisheries.  
4. Assistance is provided under the legislativ e authority of the Fisheries Development Act. 
 5. Assistance is provided in the form of income support, mainly in the form of annuity 
payments. 
 6. This programme provides bridging income support to older fishers and fish workers until 
they reach 65 years of age. 
 
7. The programme expenditures totalled $3,891,743 in FY 2000-2001 and $2,384,740 in FY 2001-2002. 
 
8. The programme was established in 1992 and terminated in 1994, consequently no new applications have been considered since that time. Expenditures during fiscal years 2000-2001 and 
2001-2002 consist of annuity payments to beneficiaries approved prior to the 1994 termination of 
this programme.  G/SCM/N/71/CAN 
 
- 25 - 
 
  4.5  The Atlantic Groundfish Stra tegy Early Retirement Programme 
1. The Atlantic Groundfish Strategy  (TAGS) Early Retirement Programme.  
2. The notification covers the fiscal years (FY) 2000-2001 and 2001-2002. 
 
3. The objective of this programme is to assist fisheries workers to cope with the Atlantic 
groundfish crisis and to reduce dependency on fisheries.   
4. Assistance is provided under the legislativ e authority of the Fisheries Development Act. 
 5. Assistance is provided in the form of income support, mainly in the form of annuity payments.  
 
6. This programme provides bridging income support to older fishers and fish workers until 
they reach 65 years of age. 
 
7. The programme expenditures totalled $2,042,112 in FY 2000-2001 and $1,842,491 in FY 2001-2002. 
 
8. The programme was established in 1994 and terminated in 1998, consequently no new applications have been considered since that time. Expenditures during fiscal years 2000-2001 and 
2001-2002 consist of annuity payments to beneficiaries approved prior to the 1998 termination of 
this programme. 
 4.6  Aboriginal Fisheries Strategy  Allocation Transfer Programme 
1. Aboriginal Fisheries Strategy Allocation Transfer Programme. 
 2. The notification covers the fiscal Years (FY) 2000-2001 and 2001-2002. 
 
3. Following the Sparrow decision by the Supreme Court of Canada in 1990, DFO launched the 
Aboriginal Fisheries Strategy (AFS) in 1992, the object of which was to provide a framework for regulation of Aboriginal peoples' right to fish fo r food, social and ceremonial purposes. The AFS is 
not rights-based, but rather, as a matter of policy seeks the effective management and regulation 
of Aboriginal fisheries through negotiated agreements.  
4. Assistance is provided under the legislativ e authority of the Fisheries Development Act. 
 5. The Allocation Transfer Programme introduced  in 1994 facilitates the voluntary retirement of 
commercial licences and the issuance of licences to eligible Aboriginal groups in a manner that 
does not add to the existing effort on the resources.  6. The programmes provides for the voluntary retirement of commercial licences and the 
issuance of licenses to eligible Aboriginal groups 
 7. The programme expenditures totalled $14,653,428 in FY 2000-2001 and $13,688,049 in FY 
2001-2002. 
 8. The programme was established in 1994. 
 
4.7  Fisheries Access Programme 
1. Fisheries Access Programme 
 
2. The notification covers the fiscal years (FY) 2000-2001 and 2001-2002. 
 3. Consistent with the Supreme Court of Canada's Marshall  decision in 1999, which affirmed 
treaty rights of Mi'kmaq and Maliseet people to fish, hunt, and gather in pursuit of a “moderate 
livelihood”, DFO put in place a response called the Marshall Response Initiative, the objective of 
which is to increase commercial fishing opportunities available to eligible Aboriginal groups. 
 G/SCM/N/71/CAN 
 
- 26 - 
 
  4. Assistance is provided under the legislativ e authority of the Fisheries Development Act. 
 5. Assistance is provided in the form of retiring commercial licences, vessels and gear, 
constructing new vessels and gear and providing training and other skill development activities. 
 
6. The Fisheries Access Programme (FAP) was established to facilitate the voluntary retirement of commercial licences and the issuance of licences to eligible Aboriginal groups in a manner that 
does not add to the existing effort on resources. FAP also facilitates the transfer of vessels and 
gear.  7. The programme expenditures totalled $74,085,410 in FY 2000-2001 and $58,559,553 in FY 
2001-2002.  
 8. The programme was established in 1999. 
 G/SCM/N/71/CAN 
 
- 27 - 
 
  TABLE 1 
MILK PRODUCTS – SUPPLY AND DISPOSITION 
Product Dairy Year 
Aug/Jul Beginning 
Stocks Production Imports Domestic 
Disappearance Exports Ending 
Stocks 
units 000kg        
        
Creamery  99/00 26,345 81,281 6301 87,679 1,803 24,445  
Butter 00/01 23,544 80,841 7047 82,526 808 28,097  
 01/02 28,097 80,030 8328 84,389 1,501 30,565  
        
Cheddar 99/00 33,124 132,574 1,055 119,114 9,872 37,767  
Cheese 00/01 33,876 124,307 993 111,352 8,634 39,190  
 01/02 39,190 118,598 882 113,193 6,052 39,425  
        
Variety 99/00 12,975 195,221 22,601 207,025 9,973 13,799  
Cheeses 00/01 12,334 199,582 21,520 211,820 8,494 13,123  
 01/02 13,123 199,382 19,300 210,576 8,023 13,206  
        
Concentrate
d 99/00 3,876 71,756 23 46,384 25,908 3,363  
Whole Milk 00/01 3,363 59,802 32 29,143 31,300 2,753  
 01/02 2,753 59,066 24 26,412 31,528 3,904  
        
Skim Milk  99/00 29,923 69,968 1,084 44,628 38,841 17,506  
Powder 00/01 18,146 85,189 3,390 43,627 41,197 21,901  
 01/02 21,901 90,206 1,346 43,677 52,294 17,482  
        
 
Source: Statistics Canada, Dair y Review, Catalogue number 23-001 
July-September 2002, July-September 2000 
Table 9: Supply and Disposition of Milk Pr oducts and By-products, by Month, Canada 
  
  G/SCM/N/71/CAN  
 
- 28 - TABLE 2 
GRAINS AND OILSEEDS - SUPPLY AND DISPOSITION 
Crop 
Years (a) Beginning 
Stocks Production Imports Total Supply Exports(b) Food and 
Industrial 
Use Other 
Domestic 
Use Domestic 
Disappearance Total Ending 
Stocks 
          
 (in metric tonnes '000) 
Durum          
1999-00 1,938 4,341 9 6,288 3,575 263 675 937 1,775 
2000-01 1,775 5,709 10 7,494 3,487 255 880 1,134 2,873 
2001-02 2,873 2,987 12 5,872 3,627 249 450 700 1,545 
          
All wheat excluding durum  
1999-00 5,487 22,600 5 28,092 14,738 2,697 4,732 7,431 5,924 
2000-01 5,924 20,827 50 26,801 13,621 2,760 3,626 6,387 6,793 
2001-02 6,793 17,581 85 24,459 12,578 2,776 3,922 6,696 5,184 
          
All wheat  
1999-00 7,425 26,941 14 34,380 18,313 2,960 5,407 8,368 7,699 
2000-01 7,699 26,536 60 34,295 17,108 3,015 4,506 7,521 9,666 
2001-02 9,666 20,568 97 30,331 16,205 3,025 4,372 7,396 6,729 
          
Barley  
1999-00 2,737 13,196 33 15,966 2,392 393 10,343 10,736 2,838 
2000-01 2,838 13,229 40 16,106 2,641 358 10,591 10,949 2,516 
2001-02 2,516 10,846 112 13,473 1,770 295 9,363 9,656 2,048 
          
Corn          
1999-00 885 9,161 1,023 11,069 226 2,020 7,271 9,291 1,552 
2000-01 1,552 6,954 2,872 11,378 115 2,145 8,239 10,383 880 
2001-02 880 8,389 3,336 12,606 186 n/a n/a n/a n/a 
          
Oats          
1999-00 1,088 3,641 4 4,733 1,532 191 1,888 2,079 1,122 
2000-01 1,122 3,403 8 4,533 1,760 88 1,831 1,920 854 
2001-02 854 2,691 53 3,598 1,409 148 1,679 1,826 363 
          
Rye          
1999-00 166 387 4 557 85 69 242 311 161 
2000-01 161 260 5 426 89 68 192 260 77 
2001-02 n/a n/a n/a n/a n/a n/a n/a n/a n/a 
           
  G/SCM/N/71/CAN  
 
- 29 - Crop 
Years (a) Beginning 
Stocks Production Imports Total Supply Exports(b) Food and 
Industrial 
Use Other 
Domestic 
Use Domestic 
Disappearance Total Ending 
Stocks 
Canola          
1999-00 633 8,798 124 9,555 3,885 2,983 530 3,514 2,157 
2000-01 2,157 7,205 224 9,587 4,859 3,013 627 3,640 1,088 
2001-02 1,088 4,926 226 6,241 2,524 2,293 174 2,467 1,250 
          
Flaxseed          
1999-00 151 1,022 2 1,175 568 N/A 28 221 386 
2000-01 386 693 11 1,090 613 N/A 32 218 259 
2001-02 259 715 24 998 618 N/A 46 195 185 
          
Soybeans          
1999-00 215 2,781 455 3,451 949 N/A 72 2,250 252 
2000-01 252 2,703 431 3,386 747 N/A 72 2,454 185 
2001-02 185 1,635 963 2,784 489 N/A 69 N/A N/A 
 
(a) Aug-July crop year except corn and soybeans which are Sept-Aug.  (b) Includes exports of wheat, barley and oat products. Excludes export s of oilseed products. 
 
Source: Statistics Canada, "Cereal and Oi lseeds Review", Catalogue number 22-007-XIB  
Vol 26, No. 7, July 2003 and Vol 25, No. 7, July 2002 
 
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