G/SCM/N/315/EU/Add.15  
 
28 February  2018 
(18-1272) Page: 1/10 
Committee on Subsidies and Countervailing Measures  Original: English  
 
SUBSIDIES  
NEW AND FULL NOTIFIC ATION PURSUANT TO AR TICLE XVI:1  
OF THE GATT 1994 AND  ARTICLE 25 OF THE AG REEMENT  
ON SUBSIDIES AND COU NTERVAILING MEASURES  
EUROPEAN UNION 
Addendum  
The following addendum to the notification of the European Union relates to subsidy programmes 
of Italy . 
 
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  G/SCM/N/315/EU/Add.15  
 
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  ITALY  
TABLE OF CONTENTS  
1   MINISTRY OF ECONOMIC  DEVELOPMENT (DGIAI)  ................................ ......................  3 
1.1   Extraordinary intervention in the South of Italy (MAP 4)  ................................ ...................  3 
1.2   Female Entrepreneurs  ................................ ................................ ................................ .. 3 
1.3   New Sabatini  ................................ ................................ ................................ ..............  4 
2   CONTRATTI DI SVILUPP O ................................ ................................ ...........................  5 
2.1   Investimenti Innovativi  ................................ ................................ ................................  6 
2.2   Soft loans facilitating permanent industrial and commercial establishment in non -EU 
countries ................................ ................................ ................................ ............................  7 
3   AGRICULTURE SUBSIDIE S ................................ ................................ ...........................  9 
 
  G/SCM/N/315/EU/Add.15  
 
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  1  MINISTRY OF ECONOMIC  DEVELOPMENT (DGIAI)  
1.1  Extraordinary intervention in the South of Italy (MAP 4)  
1. Name of the subsidy scheme and legal basis  
Law No. 488/92 Art. 1, section 2, (re -financing of Law No. 64/86), concerning extraordinary 
intervention in the South of Italy . 
2. Form of the subsidy  
Grant . 
3. Subsidy per unit or, in case this is not possible, the global amount of subsidies distributed 
in 2009 and 2013  
Year 2014: € 162.231.000  
Year 2015: € 48.234.000  
Year 2016:  € 31.363.000  
4. Policy objective and/or purpose of the subsidy  
Providing aid to entrepreneurial activities in the disadvantaged areas. Law 488 offers incentives for 
the implementation of a new productive unit, for the expansion, modernization, restructuring, 
conversion or re -activation of an existing unit or for its t ransfer.  
5. Duration of the subsidy  
No final term is established.  
6. Statistical data permitting an assessment of the trade effects of the subsidy  
Not relevant: the measure is not specific and it is notified for the sake of transparency.  
7. Indicate to whom and ho w the subsidy is paid  
All national and foreign firms can potentially benefit from the subsidy.  
(A) Beneficiaries are extractive and manufacturing enterprises and related service companies.  
(B) Contributions fulfill the EU Regulation amount limits in favour  of the disadvantaged areas 
and are assigned every 4 months.  
The initiatives must be part of an operational program for each productive unit that is by itself 
sufficiently structured to pursue pre -set production, financial and employment goals.  
 
1.2  Female Ent repreneurs  
1. Name of the subsidy scheme and legal basis  
Law No. 215/92  - Female Entrepreneurs.  
2. Form of the subsidy  
Grant.  
Interest subsidy.  G/SCM/N/315/EU/Add.15  
 
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  3. Subsidy per u nit or, in case this is not possible, the global amount of subsidies distributed in 
2009 and 2013  
Year 2014:  € 700.000  
Year 2015:  € 0 
Year 2016: € 48.000  
4. Policy objective and/or purpose of the subsidy  
(A) Promotion of new female entrepreneurial project in different economic sectors (industry, 
agriculture, trade, services and handicraft);  
(B) Promotion and d evelopment of new qualified female entrepreneurs.  
5. Duration of the subsidy  
No final term is established.  
6. Statistical data permitting an assessment of the trade effects of the subsidy  
Not relevant: the measure is not specific and it 's notified for the sake of transparency.  
7. Indicate to whom and how the subsidy is paid  
(A) Beneficiaries are SME's owned by females operating in different sectors: industry, agriculture, 
trade, handicraft and services: in case of a capital society, majority has to be owned by fema les; 
in case of personal society, 60% of partners have to be females.  
(B) Ministry of Industry concedes contribution in a variable measure (from 15% up to 65% in ESL) 
depending on geographical location of the enterprises. Contribution is issued in two tran ches: the 
first, equivalent to the 40% of the contribution, during the realization of the project; the second 
when the project is completed.  
1.3  New Sabatini  
1. Title of the subsidy programme  
New Sabatini – ex article 2, D.l. 69/2013, loan guarantee scheme (interest subsidy) for machinery 
and equipment purchase, transformed with modifications by Law 9 August 2013, No. 98. 
2. Period covered by the notification  
Until 31  December 2018 . 
3. Policy objective and/or purpose of the subsidy  
The interest subsidy loan scheme  is oriented, in a general way, to improve the competitiveness of 
Italian production system by facilitating the access to credit for the SME for the purchase on new 
machineries, plants and equipment. Purpose of the guarantee subsidy is specifically to redu ce 
SMEs credit crunch and to contrast the consistent reduction of the level of investments in fixed 
capital assets. With the Legge di Bilancio 2017, besides ordinary fixed investments, is introduced a 
reinforced subsidy for equipment and machineries classi fied as Industry 4.0 ( "Allegato A of the 
Law 11 December 2016 "). 
4. Background and authority for the subsidy  
The subsidy scheme is been introduced with the following normative acts:  
- Article 2 Law -Decree 21 June 2013, No. 69; 
- Interministerial  Decree 27 November 2013;  G/SCM/N/315/EU/Add.15  
 
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  - Ministerial provision (Circolare) 10 February 2014, No. 4567 (terms and procedure for 
the applications);  
- Ministerial provision (Circolare) 26 March 2014, No. 10677 (further instruction for the 
implementation of the measure);  
- Ministerial provision (Circolare) 24 December 2014, No. 71299 (modifie s the 
Ministerial provision 10  February  2014 No. 4567);  
- Art. 1 Law 23rd of December 2014, No. 190 ( "Legge di stabilità " 2015);  
- Art. 1 comma 53, Law 11  December 2016 ( "Legge di bilancio " 2017) . 
The managing authority of the subsidy is the Ministry of Economic Development (MiSE).  
5. Form of the subsidy  
Interest subsidy.  
6. To whom and how the subsidy is provided  
Subsidy for all the SMEs firms works as follows:  
a) Cassa Depositi e Prestiti (Cdp ) has established a plafond of resources that banks that 
have joined the agreement signed between MiSE -ABI-Cdp or leasing companies can 
use for providing to SMEs, until the 31  December 2016, loans with an amount range 
between 20.000 and 2 million euro for the investments allowed by the scheme;  
b) MiSE grants a subsidy in favour of the SMEs, that partially covers firms interests on 
the bank loans aforementioned, justified by the investments undertaken. The subsidy 
is equal to the amount of interests, computed o n the basis of a biannual depreciation, 
at a 2,75%  annual rate for five years;  
c) SMEs can benefit from the guarantee of the SMEs National Guarantee  Fund on the 
bank loan, within the in force normative legal boundaries (80% of the amount of the 
loan).  
7. Subsidy  per unit or, in case this is not possible, the annual amount budgeted for the subsidy  
Year 2014: € 61.000  
Year 2015: € 2.953.000  
Year 2016:  € 15.611  
8. Duration of the subsidy  
Six years.  
9. Statistical data permitting an assessment of the trade effects of the s ubsidy  
The grant is not directly dealing with trade but can only eventually imply an indirect effect on 
trade. Statistical data will not permit any assessment on the eventual presence of a trade -effect.  
2  CONTRATTI DI SVILUPP O 
1. Title of the subsidy programme  
"Contratti di sviluppo ", article 43 D.l. 25 June 2008, No. 112, transformed with modifications by 
Law 6 August 2008 No. 133. 
2. Period covered by the notification  
Extension of the period until 31  December 2020.  G/SCM/N/315/EU/Add.15  
 
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  3. Policy objective and/or purpose of the subsidy  
"Contratto di sviluppo " represent the main subsidy to support the strategic and innovative 
investment projects that have a relevant impact on the territory. Subsidy purpose is to facilitate 
sectorial requalification, develop production chains and/or special ization poles, enhancing the 
competitive positioning of traditional sectors and attracting foreign investments.  
4. Background and authority for the subsidy  
Initially introduced by Decree 24 September 2010, it has been reformed during 2014 in force of 
the art icle 3 of D.L. 21 June 2013, No. 69. This reform has been implemented by Ministerial 
Decree 14  February 2014 that has introduced new procedural simplifications and extended the 
measure to projects dealing with environment protection. With the following Min isterial 
Decree  9 December 2014 all the normative structure has been suited to the new Regulation CE 
No. 651/2014.  
With the Ministerial Decree 8 November 2016 procedural and implementation modifications were 
introduced. In particular, the two main modific ations are: the deadline of 36 months for the 
conclusion of the projects and a reduced time span for the approval of the requests.  
The managing authority of the subsidy is Invitalia S.p.a, the in -house firm of the Ministry of 
Economic Development.  
5. Form of the subsidy  
The aid can take the form of grant, soft loan and interest subsidy.  
6. To whom and how the subsidy is provided  
All national and foreign firms can potentially benefit from the subsidy. The eligibility criteria 
concerns a minimum amount (cut -in) of investment variable from 7,5 to 20 million euro, on the 
base of the primary sector involved. The "Contratto di sviluppo " must imply one or more 
investment projects and, eventually, also R&S&I projects. It applies to areas under Regional State 
Aid Regulatio n and in the other parts of the country if the investment projects are presented by 
SMEs or if the program concerns environment protection.  
7. Subsidy per unit or, in case this is not possible, the annual amount budgeted for the subsidy  
Year 2014: € 0 
Year 2015:  € 62.269.184  
Year 2016:  € 67.835.067,50  
8. Duration of the subsidy  
Four years.  
9. Statistical data permitting an assessment of the trade effects of the subsidy  
The grant is not directly dealing with trade but can only eventually imply an indirect effect o n 
trade. Statistical data will not permit any assessment on the eventual presence of a trade -effect.  
2.1  Investimenti Innovativi  
1. Title of the subsidy programme  
Innovative investments intervention has been introduced by the 29  July 2013 Ministerial Decree 
and h as been operating since 2014 . G/SCM/N/315/EU/Add.15  
 
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  2. Period covered by the notification  
Extension of the period until 31 December 2020.  
3. Policy objective and/or purpose of the subsidy  
Reinforcing the productivity systems (as a key of competitiveness) and the technological progres s 
in the least -developed Regions (Calabria, Campania, Puglia e Sicilia) through the support of the 
innovative investments of enterprises that are able to enhance efficiency and flexibility during the 
ongoing activities.  
4. Background and authority for the sub sidy 
Initially introduced by Ministerial Decree 29 of July 2013, it has been enforced according to the 
Directorial Decree 20 November 2013.  
The managing authority of the subsidy is the Ministry of Economic Development (MiSE).  
5. Form of the subsidy  
The aid has the form of loan interest subsidy.  
6. To whom and how the subsidy is provided  
All national and foreign firms can potentially benefit from the subsidy. Ministry (MiSE) grants to 
enterprises a 0 (zero)  interest rate loan (a part of it is not subject to reim bursement) for the 75% 
of the total amount admissible innovative investment.  
The invoices payment is possible through a restricted account that enterprises can open. The 
Ministry quote contribution (75%) and the residual amount carried out by the enterpris es (25%) 
flow into the account for the suppliers payment.  
7. Subsidy per unit or, in case this is not possible, the annual amount budgeted for the subsidy  
Year 2014:  € 7.587.122,85  
Year 2015:  € 32.943.028,98  
Year 2016: € 4.284.873,19  
8. Duration of the subsidy  
Four years.  
9. Statistical data permitting an assessment of the trade effects of the subsidy  
The grant is not directly dealing with trade but can only eventually imply an indirect effect on 
trade. Statistical data will not permit any assessment on the eventu al presence of a trade -effect.  
2.2  Soft loans facilitating permanent industrial and commercial establishment in non -EU 
countries  
1. Title of the subsidy programme  
Revolving credit facility for the internationalisation of companies.  
2. Period covered by the notification  
2015 – 2016.  G/SCM/N/315/EU/Add.15  
 
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  3. Policy objective and/or purpose of the subsidy  
a) Facilitate the market penetration of Italian companies by helping them to create stable  
commercial facilities in non -EU countries (such as offices, a store, showrooms etc.)  
b) Carry out prefeasibility and feasibility studies on Italian investments in non -EU countries as 
well as the related technical assistance programmes.  
c) Participation to trade fairs and exhibitions.  
d) Capitalization of exporting SMEs.  
4. Background and authority for the subsi dy 
Loans awarded under Law N o. 394/81, art. 2 (above a ) and under Legislative Decree N o. 143/98, 
art. 22 (5) (above b) up to the year 2009, included. Law 133/08, art. 6 (2) letter a letter b and 
letter c repealed and substituted the before -mentioned provis ions. No changes were made 
concerning the mechanism regulating the revolving credit facility. However loans shall fall within 
the rules set out in the EU De Minimis Regulation. Granting institution: SIMEST S.p.A.  
5. Form of the subsidy  
Soft loan.  
6. To whom and how the subsidy is provided  
a) Beneficiaries are industrial, trading and services companies. SMEs have priority eligibility on 
the funds allocated (70% of funds granted to SMEs). The maximum level of funding is fixed 
at 100% of the total budgeted expenses. Th e beneficiary shall provide guarantee. The loan 
is paid on the basis of the project implementation schedule and upon presentation of 
documents showing the costs incurred. Reimbursement is spread over up to six years: two 
years maximum of pre -amortisation d uring which only interests are due and four years 
maximum of capital payment due in six -month equal instalments. Interest rate is fixed and 
equal to 10% of the reference rate. The subsidized rate cannot be lower than an annual rate 
of zero.  
b) Beneficiaries are industrial, trading and services companies. SMEs have priority eligibility on 
the funds allocated. Financing covers up to 100% of the budget proposal. The beneficiary 
shall provide guarantee. The loan is paid in two instalments: an advance payment equa l to 
70% of the sum granted and a final settlement. Reimbursement is spread over 4,5 years 
maximum: 1,5 years of pre -amortisation during which only interests are due and three 
years of capital payment due in six -month equal instalments. Interest rate is fi xed and equal 
to 10% of the reference rate. The subsidized rate cannot be lower than an annual rate of 
zero. 
c) Beneficiaries are only industrial, trading and services SMEs. Financing cannot exceed 
€ 100.000,00. The beneficiary shall provide guarantee for the  share of financing exceeding 
EBTDA recorded in the last financial statements. The loan is paid in two instalments: an 
advance payment equal to 70% of the sum granted and a final settlement. Reimbursement 
is spread over 3,5 years maximum: 1,5 years of pre -amortisation during which only 
interests are due and two years of capital payment due in six -month equal instalments. 
Interest rate is fixed and equal to 10% of the reference rate. The subsidized rate cannot be 
lower than an annual rate of zero.  
d) Beneficiar ies are only industrial, trading and services SMEs. Financing cannot exceed 
€ 400.000,00. The beneficiary shall provide guarantee. The loan is paid in a single lump -sum 
instalment. Reimbursement is spread over 7 years maximum: 2 years of pre -amortisation 
during which only interests are due and five years of capital payment due in six -month equal 
instalments. The loan is granted at the reference rate and upon achievement of the 
objective of the initiative (improve, maintain or exceed a benchmark level of cap ital G/SCM/N/315/EU/Add.15  
 
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  strength) repayment takes place in 5 years at subsidized interest rate fixed and equal to 
10% of the reference rate. The subsidized rate cannot be lower than an annual rate of zero.  
7. Subsidy per unit or, in case this is not possible, the annual amount budgeted for the subsidy  
 
Year 2015  € 79.5 million for type a (average amount per unit € 772,000).  
 € 1.1 million for type b (average amount per unit € 110,000).  
€ 0.34 million for type c (average amount per unit € 31,000).  
€ 5.9 million for type d (averag e amount per unit € 219,000).  
Year 2016  € 81.3 million for type a (average amount per unit € 695,000).  
€ 2.0 million for type b (average amount per unit € 125,000).  
€ 1.2 million for type c (average amount per unit € 37,500).  
€ 6.2 million for type d (aver age amount per unit € 270,000).  
8. Duration of the subsidy  
No final term is established.  
9. Statistical data permitting an assessment of the trade effects of the subsidy  
Not relevant: the measure is not specific and it is notified for the sake of transparency.  
3  AGRICULTURE SUBSIDIE S 
1. Title of the subsidy programme  
Export refunds on agricultural products.  
2. Period covered by the notification.   
EAGF  expenditures and revenues relating to export refunds on agricultural products are paid and 
reported during every financial year "N" beginning on 16 October of year "N -1" and ending on 
15 October of year "N", as to article 39 of Regulation (EU) 1306/2013.  
3. Policy objective and/or purpose of the subsidy.  
The purpose of export refunds is to cover the difference between EU prices and international trade 
prices. Even though the rates have currently been fixed to "0", the new  CAP 2014 -2020 regulatory 
framework  confirms the said subsidy as a safeguard measure to prevent  any market disturbance 
or exceptiona l circumstances which may occur .  
4. Background and authority for the subsidy  
In the CAP framework, Article 196 of Regulation (EU) 1308/2014 provides for the grant ing of  
export refunds for some agricultural products. Article 3 and 4 of Regulation (EU) 1306/2013  fixes 
the rule on the financing of the said EAGF measure.  S.A.I.S.A. ( Independent Office for 
Interventions in the Agricultural Sector)  is accredited at natio nal level as the Paying Agency 
responsible with the disbursement of export refunds on agricultural products.  
5. Form of the subsidy  
Export refunds are subsidies granted to exporters.  
6. To whom and how the subsidy is provided  
Subsidy is paid to exporters of agricultural products to third countries. Refund rates are the same 
for the whole of the European Union; a differential may be applied according to destination or 
time. The amount of the refund is periodically fixed by the Commission and the rate is differ ent G/SCM/N/315/EU/Add.15  
 
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  according to the sector and the agricultural products ' characteristics. In the case of  specific 
situations, the refund may be fixed in advance.  
7. Subsidy per unit, or in cases where this is not possible, the total amount or the annual 
amount budgeted for that subsidy  
Budget item  Sector  Description  2014/2015  2015/2016  
05020101  1-10-11 Cereals, processed grains and feed  0  
05020 201 2 Rice 0  
05021504-05021505 3-4 Eggs and poultry  0  
05021301-05021304 5 Beef, live animals  0  
05021501 6 Pork meat  155,68   
05021201  7 Dairy products  0  
05020699  8-20 Olive oil and oil for canned products  0  
05020501  9 Sugar  0  
05020801 -05020899  12-13 Fresh and Processed fruit and vegetables  5.642,72  13.029,12 
05020300  14 Goods non included in Annex 1  0  
05020999  15 Wine 0  
05021199  17 Tobacco  0  
67020000   Amounts paid and recovered 
(frauds/irregularities)  1.513,03  144.712,92  
TOTAL    7.311,43  157.742,04  
8. For the information cited in items 3 to 7 above, the notification does not necessarily have to 
have an independent heading corresponding to each item, and may provide information on 
multiple items in one heading (e.g. provide information on items 3 and 4 under one 
heading). In  this case, the notification must clearly specify what items are covered by which 
heading .  
9. Duration of the subsidy and/or any other time limits attached to it, including date of 
inception/commencement  
The duration of the subsidy is periodically fixed by the Commission by means of appropr iate 
implementing regulations.  
10. Statistical  data permitting an assessment of the  trade effects of the subsidy. The specific 
nature and scope of such statistics is left to the judg ement of the notifying Member. To the 
extent possible, relevant and/or determinable, however, it is desirable that such information 
include statistics of production, consumption, imports and exports of the subsidized 
product(s) or sector(s ): 
 (a) for the three most recent years for which statistics are available;  
(b) for a previous representative year, which, where possible  and meaningful, should be 
the latest year preceding the introduction of the subsidy or preceding the last major 
change in the subsidy.  
Our paying agency stores statistical data but they don 't permit an assessment of the trade effects 
of the subsidy due to  the fact that refund rates are variable and sometimes equal to zero. 
The introduction of export refunds depends on markets ' fluctuation.  
 
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