TN/RL/GEN/189/Rev.1  
 
13 July  2017 
(17-3780) Page: 1/3 
Negotiating Group on Rules  Original: English  
 
PROPOSED DISCIPLINES  ON PROHIBITIONS AND SPECIAL AND DIFFEREN TIAL  
TREATMENT FOR FISHER IES SUBSIDIES  
Proposal from Indonesia  
Revision  
The following communication, dated 12 July 2017, is being circulated at the request of the 
Delegation of Indonesia .   
 
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Introduction  
 
1. Following the discussion on Indonesia 's proposal (TN/RL/GEN/189) on 14 -16 June 2017 in 
which M embers posed some questions as well as feedback, we have revised the proposal which 
focuses primarily to make it simpler in providi ng clearer discipline on the prohibition and the 
special and differential treatment provisions.  
 
2. Indonesia would like to highlight that prohibition on subsidy related to IUU Fishing has been 
rearranged to clarify  that subsidies contributing to IUU Fishi ng must not be tolerated, given such 
activities have great detrimental effects on all aspects, namely economic and social. Indonesia 
would also like to underline its priority in undertaking efforts to combat IUU Fishing.  
 
3. Indonesia has been revitaliz ing the ocean as an economic driver through fisheries policy 
reform. In addition, the Government of the Republic of Indonesia has enacted several regulations, 
inter alia , prohibition of destructive fishing gear, minimum size of captured fish, as well as 
formu lation of fisheries management plan for 11 fisheries management areas and harvest 
strategy.  
 
4. The implementation of the Indonesia's fisheries policy reform in the last two years has made 
significant impacts in increasing the fish stock in adjacent intern ational waters. Based on these  
experiences, Indonesia believes that the implementation of fisheries management plan should be 
an integral part of this discipline , particularly  on granting the special and differential treatment  to 
ensure the flexibilities f or developing countries achieved the intended results.  
 
5. Indonesia fervently hopes that this revised proposal will provide the basis for further 
discussion regarding the fisheries subsidies negotiation. The revised proposal is herewith attached. 
We welco me furt her comments and feedback from M embers.  TN/RL/GEN/189/Rev.1  
 
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Attachment  
 
PROPOSAL DISCIPLINES AND SPECIAL AND DIFFERENTIAL  
TREATMENT ON FISHERIES SUBSIDIES  
 
Article 1  
Definition and Coverage  
 
1.1 The Discipline provides specific provisions regarding fisheries subsidies a nd it is an integral 
part of the Agreement on Subsidies and Countervailing Measures (ASCM).  
 
1.2 A subsidy, as used in this Discipline, is a subsidy within the meaning of P aragraph 1 of 
Article  1 of the ASCM.  A subsidy subject to this proposal must be sp ecific, pursuant to 
Article  2 of the ASCM.   
 
1.3 The Discipline on fisheries subsidies only apply to capture fisheries.1  
 
Article 2  
Prohibition  
 
2.1 Members shall not grant the following types of subsidies:  
a. subsidies granted or maintained, in law or in fact, whether s olely or as one of several 
other conditions, for the purpose of, construction, modernization, renovation, repair or 
upgrading of existing fishing vessels, including engine or gear acquisition, any technical 
or electronic equipment2 on-board the vessel;  and 
b. subsidies granted or maintained, in law or in fact, whether solely or as one of several 
other conditions, for the purpose of fixed or variable operational costs of fishing vessels 
and fishing related activities3, including on -board processing;  
2.2 Members sha ll not grant  or maintain  subsidies, in law or in fact, whether solely or as one of 
several other conditions, relating to illegal, unreported, and unregulated fishing4, as well as 
to any fishing vessels flying "flags of convenience" . 
 
Article 3  
Special and Differential Treatment  
 
3.1 Notwithstanding the provisions of the ASCM  and Article 2.1 of this proposal , a developing 
country member shall be allowed to grant or maintain fisheries subsidies to its artisanal 
fisheries activities5.  
 
                                                
1 For the purposes of this discipline, capture fisheries shall be  defined as all kinds of harvesting of 
naturally occurring living resources in both marine and fresh water environment (FAO , Glossary, 2013).  
2 This comprises, inter alia , engines, fishing gear, fish -processing machinery , fish-finding technology, 
refrigerators, machines for sorting or cleaning fish, or any other equipment on -board the fishing vessel. The 
prohibition does not c over the installation of equipment for safety or for con trol and enforcement purposes. 
Neither does the prohibition cover equipment fitted for the purpose of reducing environmentally harmful 
emissions.  
3 For the purposes of this discipline, fishing related  activities  defined as  means any operation in support 
of, or in preparation for, fishing, including the landing, packaging, processing, transshipping or transporting of 
fish that have not been previously landed at a port, as well as the provisioning of per sonnel, fuel, gear and 
other supplies at sea.  
4 The term "illegal, un report ed, and un regulat ed fishing" shall be interpreted in accordance with the 
definition set out in paragraph 3 of the International Plan of Action to Prevent, Deter and E liminate Illega l, 
Unreported and Unregulated Fishing of the United Nations Food and Agricultural Organization  (FAO).  
5 For the purposes of this discipline, artisanal fisheries shall be defined as those which operate within its 
territorial waters and mostly close to shore , use vessels which utilize primarily manual gear,  and operated by 
individual fishermen or family members for the purpose of subsistence or local trade.   TN/RL/GEN/189/Rev.1  
 
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  3.2 Notwithstanding the provisi ons of the ASCM  and Article 2.1 of this proposal , a developing 
country member shall be allowed to grant or maintain fisheries subsidies to its small -scale 
fisheries activities6, which are not covered in Article 3.1.  
 
3.3 Notwithstanding the provisions of the ASCM and Article 2 .1 of this proposal, a developing 
country member shall be allowed to grant or maintain fisheries subsidies  to other fisheries 
activities which are not covered in Article 3.1 and Article 3.2,  provided that the purpose is to 
exploit:  
a. undere xploited resources  in the member's own Economic Exclusive Zone; or  
b. rights held by the member in high seas fishing quotas or any other rights established by 
a RFMO or a regional fisheries management arrangement.  
3.4 Fisheries subsidies meet the definition of Ar ticle 3. 2 and Article 3.3  of this proposal 
contingent that:   
a. the member has a fishery management plan in place that is effectively monitored and 
adequately enforced;   
b. the fisheries do not adversely affect resources governed by the fisheries management 
plan;  
c. the fishing activities will not adversely affect fishery resources of other members or the 
resources governed by relevant regional fisheries management organizations (RFMOs); 
and 
d. the member has control mechanism on fisheries subsidies to avoid overfis hing and 
overcapacity.   
3.5 Upon the request of developing country members, and with reference to guidance provided 
by the UN Fish Stocks Agreement, developed country members shall provide technical 
assistance on mutually agreed terms and conditions to develo ping country members to allow 
them to participate fully in any RFMO adjacent to their exclusive economic zone or 
archipelagic waters.  
 
3.6 Upon the request of developing country members, developed country members shall provide 
technical assistance to developin g country members on mutually agreed terms and 
conditions to develop the capacity to initiate, implement, and enforce compliance with a 
fishery management plan in keeping with the FAO Code of Conduct on Responsible Fisheries 
and adequate to provide the sho wing required by Articles 3.2 and 3.3 of this proposal.  
 
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6 For the purposes of this discipline , small -scale fisheries activities shall be defined as  fishing a ctivities 
which using vessels that are below 24 meters in length.  The size limitation  refers  to Harmonized definition in 
Conservation Management Measures (CMM) IOTC, concerning authorized fishing vessel, April 2016.