G/SCM/Q2/TPKM/23  
 
25 April 2014  
(14-2516)  Page: 1/3  
Committee on Subsidies and Countervailing Measures  Original: English  
 
SUBSIDIES 
REPLIES TO QUESTIONS POSED BY NEW ZEALAND1 REGARDING THE NEW AND FULL 
NOTIFICATION OF THE SEPARATE CUSTOMS TERRITORY OF  
TAIWAN, PENGHU, KINMEN AND MATSU2 
The following communication, dated 24 April 2014, is being circulated at the request of the 
Delegation of the Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu. 
 
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Question  
 Fishing Vessels Buy-back Program 
 
With regard to this programme, can The Sepa rate Customs Territory of Taiwan, Penghu, 
Kinmen and Matsu: 
 
 Identify the fisheries affected by the programme, by geographical area (e.g. 
territorial sea, EEZ, high seas), and the species affected by the programme (e.g. 
both target and bycatch species) 
 Clarify the current status of the programm e, how long it is anticipated that the 
programme will be in place, and how the budget will change over the life of the 
programme? 
 Comment on the extent to which the programme provides support for the 
reduction of over-capacity and overfishing. 
Reply 
 
1  In 2013, 7 vessels and 143 rafts were purchased under this programme. These were trawlers operating in our EEZ and their target species varied by season.  
2  The programme was initiated in 1991. By 2013, a total of 3,279 fishing vessels and 1,866 rafts 
had been purchased under this programme. As there is no sunset clause, this programme will remain in place for the foreseeable future. However, the government will adjust the scope and 
scale of the programme annually according to its fiscal status and budgets. 
 3  The main purpose of the buyback programme is  to heighten the willingness of fishermen to 
relinquish fishing permanently and to reduce the ov erall capacity of fishing fleets. The programme 
also gives higher priority to retiring less environmentally friendly vessels. By so doing, this will also help achieve the goal of sustainable utilization of marine resources and effective stock management. 
 
 
                                               
1 G/SCM/Q2/TPKM/21. 
2 G/SCM/N/253/TPKM. G/SCM/Q2/TPKM/23 
 
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  Question 
 Reward for Closing Fishery Season  
With regard to this programme, can The Sepa rate Customs Territory of Taiwan, Penghu, 
Kinmen and Matsu:  
 Identify the fisheries affected by the programme, by geographical area (e.g. 
territorial sea, EEZ, high seas), and the species affected by the programme (e.g. 
both target and bycatch species) 
 Clarify the current status of the programm e, how long it is anticipated that the 
programme will be in place, and how the budget will change over the life of the 
programme? 
 Comment on the extent to which the programme provides support for the 
reduction of over-capacity and overfishing. 
Reply 
 
1  The purpose of the Reward for Closing Fishery Season Programme is to reduce the amount of 
fishing activity and help increase fishery resources; the government provides fishermen and operators with subsidies to encourage them to cease fishing so that fishery stocks can recover. Currently, participation is voluntary and no particular fishing practices, gear types, or species of 
fish are specified in the programme; any vessel owner who qualifies is allowed to participate 
voluntarily.  
2  The programme began in 2003.  It has no sunset clause and will therefore remain in place.  
Each year, however, the government will adjust  the scope and scale of the programme according 
to the number of participating vessels and funding available. 
 
3  The imposition of the seasonal restriction on fishing is a fishery management policy designed to protect marine resources from depletion and ensure that fishing remain profitable for the fishermen. Therefore, the number of participating vessels has increased from 5,600 in 2003 to 
more than 8,000 in recent years. 
 Question 
 
Fishing Vessels Marine Insurance Reward  
With regard to this programme, can The Sepa rate Customs Territory of Taiwan, Penghu, 
Kinmen and Matsu:   Identify the fisheries affected by the programme, by geographical area (e.g. 
territorial sea, EEZ, high seas), and the species affected by the programme (e.g. 
both target and bycatch species) 
 Clarify the current status of the programm e, how long it is anticipated that the 
programme will be in place, and how the budget will change over the life of the 
programme? 
Reply 
 
1  The main purpose of this reward programme is to protect the livelihoods of fishermen (including vessel owners) and their marine fishery properties while operating at sea. Historically, less than 10 percent of all the owners of small fishing vessels were insured. This programme is therefore 
designed to encourage the owners of fishing vessels or rafts of under 100 tonnes to buy insurance. 
The programme does not cover any harvest losses, so it does not target any fishing zone or species of fish.  
 G/SCM/Q2/TPKM/23 
 
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  2  The Fisheries Agency promulgated this programme in the year 2000 for fishing vessels or rafts 
of under 100 tonnes. The programme will continue until the end of 2019.   
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