WORLD TRADE  
ORGANIZATION  G/SCM/N/186/EEC/Add.18 
23 December 2009 
 (09-6561) 
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  
 
EUROPEAN COMMUNITIES 
 
Addendum  
 
  The following addendum to the notification of the European Communities
* relates to subsidy 
programmes of Malta . 
 
_______________ 
 
                                                      
* On 1 December 2009, the Treaty of Lisbon amendi ng the Treaty on European Union and the Treaty 
establishing the European Comm unity (done at Lisbon, 13 Decembe r 2007) entered into force.  
On 29 November 2009, the WTO received a Verbal Note  (WT/L/779) from the Council  of the European Union 
and the Commission of the European Communities stating that, by virtue of the Treaty of Lisbon, as of 
1 December 2009, the European Union replaces and succeeds the European Community. G/SCM/N/186/EEC/Add.18 
Page 2  
 
  MALTA 
 
TABLE OF CONTENTS 
 
Page 
 
I. REDUCED RATES OF INCOME TAX.................................................................................3  
II. INVESTMENT TAX CREDITS - INVESTMENT AID SCHEME.....................................4  
III. VALUE ADDED INCENTIVE SCHEME .............................................................................5  
IV. REDUCED RATES OF TAX ..................................................................................................6  
V. INVESTMENT ALLOWANCE ..............................................................................................7  
VI. REINVESTMENT TAX CREDITS........................................................................................8  
VII. SOFT LOANS ..................................................................................................................... ......9  
VIII.  LOAN INTEREST RATE SUBSIDIES................................................................................10  
IX. LOAN GUARANTEES ..........................................................................................................10  
X. SME LOAN GUARANTEE SCHEME ................................................................................11  
XI. INDUSTRY IN GOZO ...........................................................................................................12  
XII. STRENGTHENING MARKET ENTRY AND INTERNATIONALISATION 
(TRADE FAIR AND TRADE MISSION SUPPORT).........................................................13  
XIII.  SME DEVELOPMENT GRANT SCHEME........................................................................14  
XIV.  BUSINESS ADVISORY SERVICES SCHEME..................................................................15  
XV. ROYALTY FINANCE FOR INNOVATION SCHEME ....................................................16  
XVI.  EXPLORATORY AWARD FP7 SCHEME.........................................................................17  
XVII.  BUSINESS DEVELOPMEN T GRANT SCHEME .............................................................18  
XVIII.  INTERNATIONAL COMPETITIVENESS AND MARKET ENTRY SCHEME...........19  
XIX.  NETWORK SUPPORT SCHEME .......................................................................................20  
XX. ERDF ECO-INNOVATION  ACTIONS SCHEME.............................................................21  
XXI.  TAX CREDIT (ELECTRONIC COMMERCE) SCHEME ...............................................22  
XXII.  INDIVIDUAL AID AWARDED TO PAMARGAN PRODUCTS (MALTA) 
LIMITED........................................................................................................................ .........23  
XXIII.  INNOVATIVE START-UP SCHEME .................................................................................24  
XXIV.  EUREKA PROGRAMME.....................................................................................................25  
XXV.  TRAINING ASSISTANCE....................................................................................................26  
XXVI.  AGRICULTURAL CO-FINANCED SUBSIDIES ..............................................................27  
XXVII.  AGRICULTURAL NATIONALLY FULL-FINANCED AID ........................................35  
XXVIII.  AGRICULTURAL TEMPORARY STATE AID .............................................................37  
 
  G/SCM/N/186/EEC/Add.18 
 Page 3 
 
 
  INTRODUCTION 
 
 This report covers state aid programmes and schemes that were in operation between 2007 
and 2008.  The amounts stated in this report are in the Euro currency (€).  I. REDUCED RATES OF INCOME TAX 
1. Title of Subsidy
 
  Reduced Rates of Income Tax  
2. Period covered by the notification
 
  The period covered by this notificati on starts from the 1 January 2007 until the 
31 December 2008.  
3. Policy objectives
 
  The aim of the assistance provided by this aid scheme is to stimulate investment in Malta 
through reduced rates of income tax.  4. Authority of subsidy
 
 
 Malta Enterprise – Malta Enterprise Corporati on Act (Chapter 463 of the Laws of Malta). 
 5. Form of subsidy
 
 
 The form of the subsidy of this aid scheme is tax relief. 
 6. To whom and how the subsidy is paid
 
  Eligible undertakings engaged in activities sp ecified under Regulation 4(3) of the Business 
Promotion Regulations, subsidiary legislation 325.06 to the Business Promotion Act Chapter 325 of 
the Laws of Malta (BPA), are charged tax at 5 per cent or 10 per cent instead of 35 per cent. 
 7. Amount of subsidy
 
  2007 – €23,526,671.33 
 
 2008 – €28,600,000.  8. Duration of subsidy
 
  In terms of Malta's Accession Treaty to the Eu ropean Union, this aid scheme terminated on 
the 31 December 2008. 
 9. Trade effects of the subsidy
 
  There are no effects on international trade. 
 G/SCM/N/186/EEC/Add.18 
Page 4  
 
  II. INVESTMENT TAX CREDITS - INVESTMENT AID SCHEME 
1. Title of the subsidy
 
 
 Investment Tax Credits 
  During 2007, the title of this aid scheme was Investment Tax Credits.  The national legal 
basis of this aid scheme was regulation 5 of the Business Promotion Regulations as subsidiary legislation 325.06 to the BPA:   http://docs.justice.gov.mt/lom/legi slation/english/subleg/325/06.pdf 
 
 Investment Aid Scheme  
 
 The title of this aid scheme was changed to I nvestment Aid Scheme in January 2008 as it was 
transposed to Legal Notice 68 of 2008 entitled I nvestment Aid Regulations , 2008 under the Malta 
Enterprise Act, Chapter 463 of the Laws of Malt a.  This Legal Notice came into force on the 
1 January 2008.  This Legal Notice is the national legal basis of this aid scheme: 
  http://www.doi.gov.mt/EN/legalnotices/2008/02/LN%2068.pdf  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objective
 
 
 The aim of the assistance provided by this aid scheme is to encourage investments through a 
tax credit based on a percentage of the invest ment made or on the basis of wage costs. 
 4. Authority of subsidy
 
 
 Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 5. Form of subsidy
 
  The form of the subsidy of this aid scheme is tax relief in the form of a tax credit. 
 
6. To whom and how the subsidy is paid
 
  Undertakings eligible for Reduced Rates of In come Tax (refer to No. (i) above) are entitled to 
a tax credit equivalent to a percentage (30 per cen t in the case of a large undertaking, 40 per cent in 
the case of a medium-sized undertaking and 50 pe r cent in the case of a small undertaking) of the 
capital investment undertaken. 
 7.  Amount of subsidy
 
  2007 – €17,237,363.15 
 
 2008 – €15,600,000   G/SCM/N/186/EEC/Add.18 
 Page 5 
 
 
  8. Duration of subsidy  
  This aid scheme will run until the 31 December 2013.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade.  
III. VALUE ADDED INCENTIVE SCHEME 
1. Title of subsidy
 
 
 Value Added Incentive Scheme  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objective
 
  The aim of the assistance provided by this ai d scheme is to support undertakings through 
reduced rates of income tax related to the in crease of value added derived from their activities. 
 4. Authority of subsidy
 
  Malta Enterprise – Malta Enterprise Corporati on Act (Chapter 463 of the Laws of Malta). 
 
5. Form of subsidy
 
  The form of the subsidy of this aid scheme is tax relief. 
 6. To whom and how the subsidy is paid
 
 
 Undertakings carrying out a manufacturing activity which includes the production, manufacture, improvement, assembly, processing, repair, preservation or maintenance of any goods, materials, commodities, equipment, plant or machin ery, or the rendering of services of an industrial 
nature analogous to these activities are eligible for assistance under this aid scheme.  Such 
undertakings are charged tax at a reduced rate of up to 15 per cent on part of their profits. 
 7. Amount of subsidy
 
  2007 – €931,749.36  
 2008 – €400,000 
 8. Duration of subsidy
 
  In terms of Malta's Accession Treaty to the Eu ropean Union, this aid scheme terminated on 
the 31 December 2008. 
 G/SCM/N/186/EEC/Add.18 
Page 6  
 
  9. Trade effects of the subsidy
 
  There are no effects on international trade.  
IV. REDUCED RATES OF TAX 
1. Title of Subsidy
 
  Reduced Rates of Tax  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objectives
 
 
 The aim of the assistance provided by this aid scheme is to:   (a) Stimulate investment in Malta thr ough reduced rates of income tax;  and 
  (b) Increase competitiveness through the acqui sition of capital assets for more effective 
and efficient production and supply of service. 
  A tax rate lower than 35 per cent on profits set  aside is utilised to finance investments in 
qualifying projects approved by the Corporation.  
4. Authority of subsidy
 
  Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 5. Form of subsidy
 
 
 The form of the subsidy of this aid scheme is tax relief. 
 6. To whom and how the subsidy is paid
 
  Undertakings carrying out activities listed in the Business Promotion Regulations (subsidiary 
legislation 325.06 to the BPA), may benefit from reduced rates of tax. 
  Profits set aside and used to finance inv estments in qualifying projects approved by the 
Corporation are charged at a lower tax rate than 35 per cent.   In the case of manufacturing companies, the tax rate would be reduced by 19.25 percentage 
points, while in the case of hotels, the tax rate would be reduced by 17.5 percentage points. 
  The assets through which this assistance is applic able are expected to be retained by the 
company for at least five years, or less, as approved by the Corporation.   G/SCM/N/186/EEC/Add.18 
 Page 7 
 
 
  7. Amount of subsidy  
  2007 – €186,349.87   2008 – €20,000 
 
8. Duration of subsidy
 
  There is no fixed duration for this aid scheme.  
9. Trade effects of the subsidy
 
  There are no effects on international trade.  
V. INVESTMENT ALLOWANCE 
1. Title of subsidy
 
  Investment Allowance  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objective
 
 
 The aim of the assistance provided by this aid scheme is to encourage investment of a 
tangible capital nature through a capital allowance based on the investment. 
 4. Authority of subsidy
 
  Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 
5. Form of subsidy
 
  The form of the subsidy of this aid scheme is tax relief. 
 
6. To whom and how the subsidy is paid
 
  Undertakings carrying out a manufacturing ac tivity may benefit from a deductible allowance 
equivalent to a percentage (50 per cent on plant and machinery and 20 per cent on land and buildings) 
of their investment from the taxable profits arising during the year in which the investment is made. 
 
7. Amount of subsidy
 
  2007 – €1,360,618.34   2008 – This information is not yet available since it may only be obtained from the statutory 
income tax return submitted by the undertaking.  Undertakings are bound to submit the income tax 
return for a particular year by October of the following year.  In terms of Regulation 20 of the 
Business Promotion Regulations (subsidiary legislati on 325.06 to the BPA), there is a further three 
month period to forward a copy of the tax return to the Corporation. G/SCM/N/186/EEC/Add.18 
Page 8  
 
   
8. Duration of subsidy
 
  There is no fixed duration for this aid scheme.  
9. Trade effects of the subsidy
 
  There are no effects on international trade.  
VI. REINVESTMENT TAX CREDITS 
1. Title of the subsidy
 
  Reinvestment Tax Credits  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objective
 
 
 By means of the assistance provided by this aid scheme, micro enterprises that re-invest 
profits derived from their trade or business in an appr oved project shall be entitle d to a tax credit.  The 
aid scheme shall apply to profits made during the year 2005 and subsequent years up to 2007, provided the approved project shall be  completed within three years. 
 
 The projects are expected to improve the effi ciency and effectiveness of the undertaking.  
This may include the setting up of a new activity, a change in the product, or the production process. 
 4. Authority of subsidy
 
  Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 
5. Form of subsidy
 
  The form of the subsidy of this aid scheme is tax relief in the form of a tax credit. 
 
6. To whom and how the subsidy is paid
 
  Qualifying undertakings under the BPA which set aside profits for reinvestment in capital equipment are eligible to a tax credit equivalent to  35 per cent of the investment.  The tax credit may 
be deducted from the tax arising during the year in which the investment is made. 
 
7. Amount of subsidy
 
  There were no applications under this ai d scheme during the period starting from the 
1 January 2007 until the 31 December 2008.  
8. Duration of subsidy
 
  There is no fixed duration for this aid scheme.   G/SCM/N/186/EEC/Add.18 
 Page 9 
 
 
  9. Trade effects of the subsidy  
  There are no effects on international trade.  
VII. SOFT LOANS 
1. Title of the subsidy
 
  Soft Loans  2. Period covered by the notification
 
 
 The period covered by this notificati on starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objective
 
 
 The aim of the assistance provided by this aid scheme is to:  (a) Stimulate capital investment;  and  (b) Provide access to finance.  4. Authority of subsidy
 
 
 Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 5. Form of subsidy
 
 
 The form of the subsidy of this aid scheme is a low interest loan. 
 6. To whom and how the subsidy is paid
 
  Undertakings engaged in the manufacturing or analogous services sectors, research and development and biotechnology are eligible for assistance under this aid scheme.  The Corporation 
may finance up to 75 per cent of an undertaking's investment in tangible or intangible assets through a 
loan payable over a maximum period of ten years, with  a two year moratorium period at a low interest 
rate.  7. Amount of subsidy
 
 
 2007 – €81,528   2008 – There were no applications under this aid scheme during the period starting from the 
1 January 2008 until the 31 December 2008.  
8. Duration of subsidy
 
  There is no fixed duration for this aid scheme.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade.  G/SCM/N/186/EEC/Add.18 
Page 10  
 
  VIII.  LOAN INTEREST RATE SUBSIDIES 
1. Title of the subsidy
 
  Loan Interest Rate Subsidies  
2. Period covered by the notification
 
  The period covered by this notificati on starts from the 1 January 2007 until the 
31 December 2008.  
3. Policy objective
 
  The aim of this assistance is to increase the competitiveness and innovative capacity of 
undertakings by providing support for the acquisition of  tangible and intangible capital assets that lead 
to a more effective and efficient production and supply of service. 
 
4. Authority of subsidy
 
  Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 5. Form of subsidy
 
 
 The form of the subsidy of this aid scheme is an interest rate subsidy. 
 6. To whom and how the subsidy is paid
 
 
 Undertakings engaged in manufacturing or analogous services sectors, research and 
development and biotechnology may receive a subs idy on a loan taken up by an undertaking from a 
licensed financial institution to finance i nvestment in tangible or intangible assets. 
 7. Amount of subsidy
 
 
 2007 – €53,354 
  2008 – €400,000  8. Duration of subsidy
 
 
 There is no fixed duration for this aid scheme.  9. Trade effects of the subsidy
 
  There are no effects on international trade. 
 
IX. LOAN GUARANTEES 
1. Title of the subsidy
 
  Loan Guarantees:  Regulation 10 of the Bu siness Promotion Regulations as subsidiary 
legislation to the Business Promotion Act (Chapter 325 of the Laws of Malta) 
  G/SCM/N/186/EEC/Add.18 
 Page 11 
 
 
  2. Period covered by the notification  
  The period covered by this notificati on starts from the 1 January 2007 until the 
31 December 2008.  
3. Policy objective
 
  The aim of the assistance provided by this ai d scheme is to encourage capital investments by 
providing guarantees to secure up to 75 per cent of th e loans taken up by qualifying undertakings to 
finance the acquisition of assets. 
 
4. Authority of subsidy
 
  Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 
5. Form of subsidy
 
  The form of the subsidy of this  aid scheme is a loan guarantee. 
 6. To whom and how the subsidy is paid
 
 
 The Corporation may guarantee up to 75 per cen t of a loan taken up from a licensed financial 
institution to finance an investment on tangible or  intangible assets of undertakings engaged in the 
manufacturing or analogous services sectors, research and development and biotechnology. 
 7. Amount of subsidy
 
 
 2007 – €NIL   2008 – €50,000  8. Duration of subsidy
 
 
 There is no fixed duration for this aid scheme.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade. 
 
X. SME LOAN GUARANTEE SCHEME 
1. Title of the subsidy  
  SME Loan Guarantee Scheme 
 
2. Period covered by the notification
 
  The period covered by this notificati on starts from the 1 January 2007 until the 
31 December 2008. 
 G/SCM/N/186/EEC/Add.18 
Page 12  
 
  3. Policy objective
 
  The aim of this aid scheme is to provide assi stance to small and medium-sized enterprises 
(SMEs) by means of a loan guarantee up to 50 per cent of loans taken up from licensed financial institutions to purchase assets. 
 
4. Authority of subsidy
 
  Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 
5. Form of subsidy
 
  The form of the subsidy of this  aid scheme is a loan guarantee. 
 6. To whom and how the subsidy is paid
 
 
 SMEs may benefit from a loan guarantee of up to 50 per cent of a loan required to finance 
capital expenditure.  Loan guarantees are issued for a maximum period of ten years, usually up to 
€120,000 but never exceeding €350,000.  Up until the 31st December 2007, these loan guarantees 
benefited from a counter-guarantee issued by th e European Investment Fund under the European 
Community's Multiannual Programme for Enterprise and Entrepreneurship. 
 
7. Amount of subsidy  
  2007 – €12,054.51  
 2008 – There were no applications under this aid scheme during the period starting from the 1 
January 2008 until the 31 December 2008.  8. Duration of subsidy
 
  There is no fixed duration for this aid scheme. 
 
9. Trade effects of the subsidy
 
  There are no effects on international trade.  XI. INDUSTRY IN GOZO 
1. Title of the subsidy
 
  Industry in Gozo.  2. Period covered by the notification
 
 
 The period covered by this notificati on starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objective
 
 
 The aim of the assistance provided by this ai d scheme is to offset the additional transport 
costs incurred by enterprises based in  Gozo due to double insularity. 
  G/SCM/N/186/EEC/Add.18 
 Page 13 
 
 
  4. Authority of subsidy  
  Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 5. Form of subsidy
 
 
 The form of the subsidy of this aid scheme is a grant.  6. To whom and how the subsidy is paid
 
 
 Undertakings engaged in the manufacturing or  analogous services sector operating from Gozo 
are eligible for assistance under this aid scheme.  The grant covers the actual, additional and necessary 
transport costs incurred in transporting plant, mach inery, equipment, materials and finished goods 
between Malta and Gozo.  
7.  Amount of subsidy
 
  2007 – €606,417.10   2008 – €584,400.48  
8. Duration of subsidy
 
  There is no fixed duration for this aid scheme.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade.  
XII. STRENGTHENING MARKET ENTRY AND INTERNATIONALISATION (TRADE 
FAIR AND TRADE MISSION SUPPORT) 
1. Title of the subsidy
 
 
 Strengthening Market Entry and Internationalisation  (Trade Fair and Trade Mission Support)  2. Period covered by the notification
 
 
 The period covered by this notificati on starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objective
 
 
 This aid scheme provides assistance to undertaki ngs to diversify and penetrate new markets, 
establish business contacts and consolidate the existing market share.  4. Authority of subsidy
 
 
 Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 G/SCM/N/186/EEC/Add.18 
Page 14  
 
  5. Form of subsidy
 
  The form of the subsidy of this aid scheme is a grant.  6. To whom and how the subsidy is paid
 
 
 The aid is of a horizontal nature.  It is provided to all sectors of the industry, especially to those which demonstrate an international growth po tential in line with local capacity and resources. 
 7. Amount of subsidy
 
 
 2007 – €227,480.12 (Trade Fair Support)  2007 – €13,235.29 (Trade Mission Support)   2008 – €256,401.00 (Trade Fair Support) 
 2008 – €7,906.00 (Trade Mission Support) 
  8. Duration of subsidy
 
  This aid scheme will run until the 31 December 2009. 
 
9. Trade effects of the subsidy
 
  There are no effects on international trade.  XIII.  SME DEVELOPMENT GRANT SCHEME 
1. Title of the subsidy
 
  SME Development Grant Scheme  2. Period covered by the notification
 
 
 The period covered by this notificati on starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objective
 
 
 The assistance provided by this aid scheme consis ts in financing up to 50 per cent of the costs 
relating to:   1. Services provided by  outside consultants; 
 Such services must not be of a continuous  or periodic activity nor relate to the 
undertaking's usual operating expenditure. 
  2. First participation in fairs and exhibitions; 
  Eligible costs in this case relate to the renting, setting up and running of the stand. 
 
 Undertakings participating at such trade even ts are expected to broaden their international 
exposure, generate / establish contacts with tr ade partners, develop business networks with 
international partners, acquire knowledge about new markets and possibly carry out business in 
targeted markets.  G/SCM/N/186/EEC/Add.18 
 Page 15 
 
 
   
4. Authority of subsidy  
  Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 
5. Form of subsidy
 
  The form of the subsidy of this aid scheme is a grant.  6. To whom and how the subsidy is paid
 
 
 Eligible enterprises under this scheme are micro,  small and medium-sized (SMEs) enterprises 
in the manufacturing industry, ICT, waste treatm ent, environmental solutions and eco-innovations, 
research and development and innovation, and biotechnology. 
 
7. Amount of subsidy  
  2007 – There were no applications under this aid scheme during the period starting from the 
1 January 2007 until the 31 December 2007.   2008 – €61,959.50 
 
8. Duration of subsidy
 
  This aid scheme will run until the 31 December 2013.  
9. Trade effects of the subsidy
 
  There are no effects on international trade.  
XIV.  BUSINESS ADVISORY SERVICES SCHEME 
1. Title of the subsidy
 
 
 Business Advisory Services Scheme  2. Period covered by the notification
 
 
 The period covered by this notificati on starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objective
 
  This aid scheme provides assistance to SMEs by  developing internal capacities and skills that 
will increase their competitiveness and provide them with "knowledge transfer" to facilitate growth 
and improve performance.  The business advisor aims to improve the general competences of the undertaking in mainstream business development issu es.  Although the advi sory services will focus 
on a particular task, the ultimate scope is to tr ansfer knowledge to enable the undertaking (and its 
employees) to acquire skills and competences to handle similar tasks in the future. 
 
4. Authority of subsidy
 
  Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) G/SCM/N/186/EEC/Add.18 
Page 16  
 
   
5. Form of subsidy
 
  The form of the subsidy of this aid scheme is a grant.  
6. To whom and how the subsidy is paid
 
  SMEs in all sectors that demonstrate that their project leads to growth and improvement in performance are eligible for assistance under this aid scheme.  
7. Amount of subsidy
 
  2007 – €33,078.27   2008 – €57,181.22 
 
8. Duration of subsidy
 
  This aid scheme will run until the 31 December 2013.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade.  
XV. ROYALTY FINANCE FOR INNOVATION SCHEME 
1. Title of the subsidy
 
 
 Royalty Finance for Innovation Scheme  2. Period covered by the notification
 
  The period covered by this notificati on starts from the 1 January 2007 until the 
31 December 2008. 
 3. Policy objective
 
  This aid scheme applies to innovative SMEs a nd start ups, planning to launch a product with 
higher than average gross and net margins.  This aid scheme aims to contribute to economic growth, 
to strengthen competitiveness and to boost employment by providing: 
 
1. Cash inflows to finance the development of the project prior to commencement of 
sales; 
 
2. Finance the development of the innova tion (including patenting costs);  and 
 
3. Capital expenditure required to proc ure equipment, machinery or laboratory 
equipment. 
 
4. Authority of subsidy
 
  Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
  G/SCM/N/186/EEC/Add.18 
 Page 17 
 
 
  5. Form of subsidy  
  The form of the subsidy of this aid scheme is ro yalty financing which is a long term loan to be 
repaid from a percentage of future sales of a new pr oduct or service.  The advance is therefore repaid 
by diverting a percentage of the sales of the new product or service to the investor that issued the 
advance.  The inventor pledges a part of the futu re sales against an advance provided by the investor. 
 6. To whom and how the subsidy is paid
 
  The aid is of a horizontal nature provided to SMEs in all sectors planning to launch a product 
with higher than average gross and net margins of the industry particularly those related to science 
and technology.  7. Amount of subsidy
 
 
 2007 – €34,940.60 
  2008 – There were no applications under this aid scheme during the period starting from the 
1 January 2008 until the 31 December 2008.  8. Duration of subsidy
 
 
 This aid scheme will run until the 31 December 2013.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade. 
 
XVI.  EXPLORATORY AWARD FP7 SCHEME 
1. Title of the subsidy  
  Exploratory Award FP7 Scheme 
 
2. Period covered by the notification
 
  The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008. 
 
3. Policy objective
 
  The aim of the assistance provided by this aid scheme is to assist micro enterprises and SMEs 
to increase their research and development linkages with research performers in the European Union 
and third country partners.  Assistance is provided for the preparation and submission of proposals for 
the European Union's Seventh Research Framework Programme (FP7). 
 4. Authority of subsidy
 
  Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 
5. Form of subsidy
 
  The form of the subsidy of this aid scheme is a grant. G/SCM/N/186/EEC/Add.18 
Page 18  
 
   
6. To whom and how the subsidy is paid
 
  Assistance is provided to micro and SMEs for the preparation and submission of proposals for 
the European Union's Seventh Research Framew ork Programme (FP7).  Projects have to be 
sustainable, value-added and trans-national. 
 7. Amount of subsidy
 
  2007 – There were no applications under this aid scheme during the period starting from the 
1 January 2007 until the 31 December 2007. 
  2008 – €8,802.70  8. Duration of subsidy
 
 
 This aid scheme will run until the 31 August 2013.  9. Trade effects of the subsidy
 
  There are no effects on international trade. 
 
XVII.  BUSINESS DEVELOPMENT GRANT SCHEME 
1. Title of the subsidy
 
  Business Development Grant Scheme 
 
2. Period covered by the notification
 
  The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  
3. Policy objective
 
  The aim of this aid scheme is to provide assist ance to undertakings that intend to establish a 
new project in Malta by reducing the burdens of setting up.  The assistance promotes the expansion 
and diversification of economic activities particularly  by encouraging firms to setting up new ventures 
and projects in Malta. 
 4. Authority of subsidy
 
  Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 
5. Form of subsidy
 
  The form of the subsidy of this aid scheme is a grant.  6. To whom and how the subsidy is paid
 
 
 Assistance is provided to medium-sized and large undertakings to address the handicaps and 
to reduce the burdens of setting up new projects that offer a significant contribution to the regional development of Malta.  G/SCM/N/186/EEC/Add.18 
 Page 19 
 
 
   
7.  Amount of subsidy  
  2007 – €889,282.77  
 2008 – €456,500.00 
 8. Duration of subsidy
 
  This aid scheme will run until the 31
st December 2013. 
 
9. Trade effects of the subsidy  
  There are no effects on international trade.  XVIII.  INTERNATIONAL COMPETITIVENESS AND MARKET ENTRY SCHEME 
1. Title of the subsidy
 
  International Competitiveness and Market Entry Scheme  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objective
 
 
 The aim of the assistance provided by this aid scheme is to support undertakings establish 
new markets and / or introduce a new service or pr oduct in an existing market.  It facilitates the 
development of new markets and the building of  internal capacities within the undertaking. 
 4. Authority of subsidy
 
 
 Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 5. Form of subsidy
 
 
 The form of the subsidy of this aid scheme is a grant. 
 6. To whom and how the subsidy is paid
 
  The aid will be provided to all undertakings i nvolved in the manufacturing industry and those 
involved in internationally tradable services related to ICT, health care, education and training and 
other expert solutions as may be approved by the Corporation. 
 7. Amount of subsidy
 
  2007 – €371,768.00 
 
 2008 – There were no applications under this aid scheme during the period starting from the 
1 January 2008 until the 31 December 2008.  G/SCM/N/186/EEC/Add.18 
Page 20  
 
  8. Duration of subsidy
 
  This aid scheme will run until the 31 December 2013.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade.  
XIX.  NETWORK SUPPORT SCHEME 
1. Title of the subsidy
 
 
 Network Support Scheme  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objective
 
  The aim of the assistance provided by this aid scheme is to promote the development of 
networks for facilitating collaboration between  undertakings with the aim of enhancing 
competitiveness.  The following two types of networks are supported by this aid scheme:  
1. Business Networks – this is a group of undertakings that co- operate in order to 
achieve specific business objectives; 
 
2. Development Networks – a group of unde rtakings whose activity/ies may often be 
confined to networking, the exchange of information, or shared services. 
  Assistance is provided to the individual unde rtakings forming the network to facilitate 
network animation. 
 
4. Authority of subsidy
 
  Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 
5. Form of subsidy
 
  The form of the subsidy of this aid scheme is a grant.  6. To whom and how the subsidy is paid
 
 
 The network may be constituted of undertaki ngs operating in the same sector or that 
otherwise have complimentary business activities.  A ssistance is provided to all sectors of industry 
especially those which demonstrate a growth poten tial in line with local capacity and resources. 
  G/SCM/N/186/EEC/Add.18 
 Page 21 
 
 
  7. Amount of subsidy  
  2007 – There were no applications under this aid scheme during the period starting from the 
1 January 2007 until the 31 December 2007.  
 2008 – €130,000.00 
 8. Duration of subsidy
 
  This aid scheme will run until the 31 December 2013. 
 
9. Trade effects of the subsidy
 
  There are no effects on international trade.  XX. ERDF ECO-INNOVATION ACTIONS SCHEME 
1. Title of the subsidy
 
  ERDF Eco-Innovation Actions Scheme  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objective
 
 
 The aim of the assistance provided by this aid scheme is to provide assistance to undertakings for investing in eco-innovations specifically in the installation of plant a nd equipment related to 
energy saving and renewable non-fossil energy sources.  4. Authority of subsidy
 
 
 Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 5. Form of subsidy
 
 
 The form of the subsidy of this aid scheme is a grant. 
  Assistance is part financed by the Europ ean Union Regional Development Fund:  Grant 
Scheme for Enterprises, Structural F unds Programme for Malta 2004 - 2006. 
 6. To whom and how the subsidy is paid
 
 
 Assistance under this aid scheme is provide d to manufacturing enterprises and related 
services providers.  It is an incentive to undertakings  to invest in the installation of equipment to 
render them more environmentally  friendly whilst improving their competitiveness.  Undertakings are 
also encouraged to use renewable sources of en ergy as an action to protect the environment. 
 G/SCM/N/186/EEC/Add.18 
Page 22  
 
  7. Amount of subsidy
 
  2007 – There were no applications under this aid scheme during the period starting from the 
1 January 2007 until the 31 December 2007.  
 2008 – €493,291.90 
 8. Duration of subsidy
 
  This aid scheme terminated on the 31 December 2008. 
 
9. Trade effects of the subsidy
 
  There are no effects on international trade.  XXI.  TAX CREDIT (ELECTRONIC COMMERCE) SCHEME 
1. Title of the subsidy
 
  Tax Credit (Electronic Commerce) Scheme  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objective
 
 
 A tax credit of up to 100 per cent of the value of  the eligible expenditure will be provided to a 
person/s or SMEs carrying on a trade, business  profession or vocation that incur qualifying 
expenditure in the carrying out of an approved proj ect for the acquisition of computer hardware and 
software for or in connection with the development or acquisition of content.  The project must result 
in the sale of the eligible user's tangible goods or services through business transactions processed 
over a publicly accessible electronic medium. 
  The term "content" means the presentation and in terlinking of information and data held in 
textual or graphical formats.  
 To qualify for assistance the project must cons ist in the creation, development or acquisition 
of systems of information and content.  4. Authority of subsidy
 
  Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 
5. Form of subsidy
 
  The form of the subsidy of this aid scheme is tax relief in the form of a tax credit. 
 
6. To whom and how the subsidy is paid
 
  The aid is of a horizontal nature provided to a person/s or SMEs in all sectors of the industry 
incurring or intending to incur a qualifying expenditure  for or in connection with the development or  G/SCM/N/186/EEC/Add.18 
 Page 23 
 
 
  acquisition of content, mainly resulting in the sale of its tangible goods or services through business 
transactions processed over a publicly accessible electronic medium.  7.  Amount of subsidy
 
 
 2007 – This scheme was implemented on the 1 January 2008. 
  2008 – €1,903,641.00  8. Duration of subsidy
 
 
 This aid scheme will run until the 31 December 2010.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade. 
 
XXII.  INDIVIDUAL AID AWARDED TO PAMARGAN PRODUCTS (MALTA) LIMITED 
1. Title of the subsidy  
  Individual Aid awarded to Pamargan Products (Malta) Limited 
 
2. Period covered by the notification
 
  The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008. 
 
3. Policy objective
 
  Assistance under this individual aid scheme is provided to Pamargan Products (Malta) 
Limited, a Gozo company, to cover additiona l expenses which have to be incurred for the 
transportation of liquid nitrogen from Cirkewwa (Malta ) to Mgarr (Gozo).  According to International 
Maritime Standards, the transport of liquid nitroge n has to be made on deck because of the potential 
danger to the structure of ships from the effect of misuse or accidental spillage.  Consequently, 
Pamargan Products (Malta) Limited has to contract a tug boat and a flat top barge on a monthly basis 
to transport this liquid nitrogen which is necessar y to carry out the activities of its Gozo based 
company. 
 
4. Authority of subsidy
 
  Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 5. Form of subsidy
 
 
 The form of the subsidy of this aid scheme is a grant.  6. To whom and how the subsidy is paid
 
 
 This aid scheme is individual aid for the Go zo based company, Pamargan Products (Malta) 
Limited, to cover additional costs incurred for having to adopt a special means of transport to have the 
necessary liquid nitrogen necessary to carry out its activities in its Gozo based company. 
 G/SCM/N/186/EEC/Add.18 
Page 24  
 
  7. Amount of subsidy
 
  2007 – €8,898.21   2008 – €158,375.34 
 
8. Duration of subsidy
 
  This aid scheme will run until the 31 December 2010.  
9. Trade effects of the subsidy
 
  There are no effects on international trade.  
XXIII.  INNOVATIVE START-UP SCHEME 
1. Title of the subsidy
 
  Innovative Start-Up Scheme  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objective
 
 
 The aim of the assistance provided by this ai d scheme is to provide assistance to innovative 
SMEs in all sectors during their first two year s of operation mainly to undertake research and 
development and to encourage innovation.  The glob al objectives of the Programme are to make it 
easier for start-ups to open up markets for promising pr oducts and services, therefore, offering start up 
financing and project accompanying consultation.  
4. Authority of subsidy
 
  Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 5. Form of subsidy
 
 
 The form of the subsidy of this aid scheme is a grant.  6. To whom and how the subsidy is paid
 
  The aid is of a horizontal nature.  It is aimed to provide assistance to SMEs during the first 
two years of operation, that is, during the start-up phase.  The aid targets start-up SMEs in all sectors 
that are innovative and have a high potential for growth.  7.  Amount of subsidy
 
 
 2007 – €31,446.55 
  2008 – €45,000.00   G/SCM/N/186/EEC/Add.18 
 Page 25 
 
 
  8. Duration of subsidy  
  The aid scheme will run until the 31 December 2013.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade.  
XXIV.  EUREKA PROGRAMME 
1. Title of subsidy
 
 
 EUREKA Programme  2. Period
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objective
 
  EUREKA is a pan-European network for market-oriented collaborative research and 
development which brings together  industry and research institutes from over thirty five countries and 
the European Union.  It aims primarily to stimul ate the research efforts of enterprises and to develop 
their innovation capacity.  It assists enterprises in  unifying their resources and to collaborate with 
research institutes for the development of advan ced technologies and market oriented products. 
 
4. Authority of subsidy
 
  Malta Enterprise – Malta Enterprise Corpora tion Act (Chapter 463 of the Laws of Malta) 
 5. Form of subsidy
 
 
 The form of the subsidy of this aid scheme is a grant. 
 6. To whom and how the subsidy is paid
 
  The aid is provided to all sectors of the indus try related to advanced technology development, 
mainly to innovative undertakings.  The latter must demonstrate that the research project will lead to 
the development of innovative products, processes and services based on such advanced technologies 
with a world-wide market potential.  7. Amount of subsidy
 
 
 2007 – €43,605.87 
  2008 – €6,056  8. Duration of subsidy
 
 
 The aid scheme will run until the 31 December 2010.  G/SCM/N/186/EEC/Add.18 
Page 26  
 
  9. Trade effects of the subsidy
 
  There are no effects on international trade.  
XXV.  TRAINING ASSISTANCE 
1. Title of the subsidy
 
  Training Assistance  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objective
 
 
 The objective of this scheme is the improvement of workers' skills.  4. Authority of subsidy
 
  Employment and Training Corporation – Employment and Training Services Act 
(Chapter 343 of the Laws of Malta) 
 5. Form of subsidy
 
  The form of the subsidy of this aid scheme is a grant. 
 
6. To whom and how the subsidy is paid
 
  Beneficiaries from this incentive are undertaki ngs engaged in the manufacturing or analogous 
services sectors, research and development and biot echnology.  In this case, Malta Enterprise 
confirms to the Employment and Training Corpor ation (ETC) the eligibility or otherwise of the 
applicant and confirms whether the said enterprise is  large, small or medium-sized.  ETC will approve 
a grant in favour of the enterprise depending on it s size and on whether the training provided is 
general or specific.  The grant is calculated on the basis of eligible costs (specified in the law) 
incurred by the company in providing training to its employees.  
7. Amount of subsidy
 
  2007 – €1,397,624.04   2008 – €500,000  
8. Duration of subsidy
 
  There is no fixed duration for this aid scheme.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade.    G/SCM/N/186/EEC/Add.18 
 Page 27 
 
 
  XXVI.  AGRICULTURAL CO-FINANCED SUBSIDIES 
Special Marketing Policy Programme for Maltese Agriculture (SMPPMA) – Aid in the 
Tomatoes for Processing Sector 
 
1. Title of Subsidy  
 
 Special Marketing Policy Programme for Ma ltese Agriculture (SMPPMA) – Aid in the 
Tomatoes for Processing Sector  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objectives
 
 
 Income supplements to producers plus marketing aid to compensate the loss of revenue deriving from Maltese processed tomato products resu lting from the fall of prices after accession, due 
to the dismantling of import levies on agricultural products in the crops sector (vide Accession Treaty 
Annex XI/en p3271 et. seq.).  
4. Authority of subsidy
 
  Ministry for Resources and Rural Affairs  5. Form of subsidy
 
 
 The form of the subsidy of this aid scheme is fiscal.  6. To whom and how the subsidy is paid
 
  Producers of tomatoes production for processing.  Income supplement provided directly to 
producers. 
 7. Amount of subsidy
 
  2007 – €1,574,656 
 
 2008 – €142,837  8. Duration of subsidy
 
  The aid scheme will run until the 31 December 2014. 
 
9. Trade effects of the subsidy
 
  There are no effects on international trade.  G/SCM/N/186/EEC/Add.18 
Page 28  
 
  Special Marketing Policy Programme for Maltese Agriculture (SMPPMA) – Aid in the 
Fresh Fruit Sector 
 
1. Title of Subsidy
 
 
 Special Marketing Policy Programme for Maltese Agriculture (SMPPMA) – Aid in the Fresh 
Fruit Sector.  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objectives
 
 
 Income supplements to compensate the loss of revenue of Maltese fruit producers resulting 
from the fall of local prices after accession, due  to the dismantling of import levies on fruit 
(vide Accession Treaty Annex XI/en p3271 et. seq.).  4. Authority of subsidy
 
 
 Ministry for Resources and Rural Affairs 
 5. Form of subsidy
 
  The form of the subsidy of this aid scheme is fiscal. 
 
6. To whom and how the subsidy is paid
 
  Producers of fresh fruit.  Income supplement provided directly to producers.  7. Amount of subsidy
 
 
 2007 – €1,248,544   2008 – €934,143  
8. Duration of subsidy
 
  The aid scheme will run until the 31 December 2014.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade. 
   G/SCM/N/186/EEC/Add.18 
 Page 29 
 
 
  Special Marketing Policy Programme for Maltese Agriculture (SMPPMA) – Aid in the 
Fresh Vegetables Sector 
 
1. Title of Subsidy  
 
 Special Marketing Policy Programme for Maltese Agriculture (SMPPMA) – Aid in the Fresh 
Vegetables Sector  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objectives
 
 
 Income support to compensate the loss of re venue of Maltese vegetable producers resulting 
from the fall of local prices after accession, due  to the dismantling of import levies on fresh 
vegetables (vide Accession Treaty Annex XI/en p3271 et. seq.).  4. Authority of subsidy
 
 
 Ministry for Resources and Rural Affairs 
 5. Form of subsidy
 
  The form of the subsidy of this aid scheme is fiscal. 
 
6. To whom and how the subsidy is paid
 
  Producers of fresh vegetables.  Income supplement provided directly to producers.  7. Amount of subsidy
 
 
 2007 – €817,610   2008 – €348,852  
8. Duration of subsidy
 
  The aid scheme will run until the 31 December 2014.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade. 
  G/SCM/N/186/EEC/Add.18 
Page 30  
 
  Special Marketing Policy Programme for Maltese Agriculture (SMPPMA) – Aid in the 
Wine Secto r 
 1. Title of Subsidy
 
 
 Special Marketing Policy Programme for Maltese Agriculture (SMPPMA) – Aid in the Wine 
Sector  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objectives
 
 
 Subsidies to compensate the loss of revenue of Maltese wine producers resulting from the fall 
of local prices after accession, due to the disman tling of import levies on wine (vide Accession Treaty 
Annex XI/en p3271 et. seq.).  4. Authority of subsidy
 
 
 Ministry for Resources and Rural Affairs 
 5. Form of subsidy
 
  The form of the subsidy of this aid scheme is fiscal. 
 
6. To whom and how the subsidy is paid
 
  Producers of grapes for wine.  Aid goes directly to producers.  7. Amount of subsidy
 
 
 2007 – €969,019   2008 – €406,172  
8. Duration of subsidy
 
  The aid scheme will run until the 31 December 2014.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade. 
   G/SCM/N/186/EEC/Add.18 
 Page 31 
 
 
  Special Marketing Policy Programme for Maltese Agriculture (SMPPMA) – Aid in the 
Pig Husbandry Sector 
 
1. Title of Subsidy  
 
 Special Marketing Policy Programme for Maltese Agriculture (SMPPMA) – Aid in the Pig 
Husbandry Sector  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objectives
 
 
 Subsidies to compensate the loss of revenue of Maltese pig breeders resulting from the fall of 
local prices after accession, due to the dismantling of import levies on fresh and processed pig meat (vide Accession Treaty Annex XI/en p3271 et. seq.).  4. Authority of subsidy
 
 
 Ministry for Resources and Rural Affairs 
 5. Form of subsidy
 
  The form of the subsidy of this aid scheme is fiscal. 
 
6. To whom and how the subsidy is paid
 
  Aid paid to pig husbandry.  Assistance provided directly to producers.  7. Amount of subsidy
 
 
 2007 – €2,944,327   2008 – €3,930,000  
8. Duration of subsidy
 
  The aid scheme will run until the 31 December 2010.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade. 
 G/SCM/N/186/EEC/Add.18 
Page 32  
 
   
Special Marketing Policy Programme for Maltese Agriculture (SMPPMA) – Aid in the 
Dairy Sector 
 
1. Title of Subsidy
 
 
 Special Marketing Policy Programme for Malt ese Agriculture (SMPPMA) – Aid in the Dairy 
Sector  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objectives
 
 
 Subsidies to compensate the loss of revenue of Maltese milk producers resulting from increased competition after accession, due to the dismantling of import levies on milk and milk products (vide Accession Treaty Annex XI/en p3271 et. seq.).  4. Authority of subsidy
 
 
 Ministry for Resources and Rural Affairs  5. Form of subsidy
 
 
 The form of the subsidy of this aid scheme is fiscal. 
 6. To whom and how the subsidy is paid
 
  Dairy sector producers.  Assistance is provided directly to producers.  
7. Amount of subsidy
 
  2007 – €1,452,832   2008 – €1,164,861 
 
8. Duration of subsidy
 
  The aid scheme will run until the 31 December 2010.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade.    G/SCM/N/186/EEC/Add.18 
 Page 33 
 
 
  Special Marketing Policy Programme for Maltese Agriculture (SMPPMA) – Aid in the 
Egg Production Sector 
 
1. Title of Subsidy  
 
 Special Marketing Policy Programme for Malt ese Agriculture (SMPPMA) – Aid in the Egg 
Production Sector  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objectives
 
 
 Subsidies to compensate the loss of revenue of Maltese egg producers resulting from the fall 
of local prices after accession, due to  the dismantling of import levies on eggs ( vide Accession Treaty 
Annex XI/en p3271 et. seq.)  4. Authority of subsidy
 
 
 Ministry for Resources and Rural Affairs 
 5. Form of subsidy
 
  The form of the subsidy of this aid scheme is fiscal. 
 
6. To whom and how the subsidy is paid
 
  Egg production sector.  Aid prov ided directly to producers. 
 7. Amount of subsidy
 
 
 2007 – €1,378,950   2008 – €1,802,096  
8. Duration of subsidy
 
  The aid scheme will run until the 31 December 2010.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade. 
 G/SCM/N/186/EEC/Add.18 
Page 34  
 
  Special Marketing Policy Programme for Maltese Agriculture (SMPPMA) – Aid in the 
Poultry meat Sector 
 
1. Title of Subsidy
 
 
 Special Marketing Policy Programme for Ma ltese Agriculture (SMPPMA) – Aid in the 
Poultry Meat Sector  2. Period covered by the notification
 
 
 The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008.  3. Policy objectives
 
 
 Subsidies to compensate the loss of revenue of Maltese broiler producers resulting from the 
fall of local prices after accession, due to the dismantling of import levies on fresh and processed poultry meat ( vide Accession Treaty Annex XI/en p3271 et. seq.). 
 4. Authority of subsidy
 
 
 Ministry for Resources and Rural Affairs 
 5. Form of subsidy
 
  The form of the subsidy of this aid scheme is fiscal. 
 
6. To whom and how the subsidy is paid   Producers in the poultry meat sector.  Assistance is provided directly to producers.  7. Amount of subsidy
 
 
 2007 – €638,248   2008 – €1,019,000  
8. Duration of subsidy
 
  The aid scheme will run until the 31 December 2010.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade. 
   G/SCM/N/186/EEC/Add.18 
 Page 35 
 
 
  XXVII.   AGRICULTURAL NATIONALLY FULL-FINANCED AID 
Special Aid Programme for Potato Producers 
 
1. Title of Subsidy  
 
 Special Aid Programme for Potato Producers 
 2. Period covered by the notification
 
  The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008. 
 3. Policy objectives
 
  Aid to further encourage potato production in Malta and to compensate the loss of revenue of 
potato producers resulting from the fall of local pr ices after accession, due to the dismantling of 
import levies on agricultural products in the crop sector.  4. Authority of subsidy
 
  Ministry for Resources and Rural Affairs 
 
5. Form of subsidy
 
  The form of the subsidy of this aid scheme is fiscal.  
6. To whom and how the subsidy is paid
 
  Potato producers.  Assistance provided directly to producers.  7. Amount of subsidy
 
 
 2007 – €146,750 
  2008 – €580,504  8. Duration of subsidy
 
 
 The aid scheme will run until the 31 December 2014.  9. Trade effects of the subsidy
 
  There are no effects on international trade. 
 
 G/SCM/N/186/EEC/Add.18 
Page 36  
 
  State aid for the transport of produce from Gozo 
 
1. Title of Subsidy
 
  Neutralisation of Additional Costs for the Tran sportation of Gozitan Agriculture produce to 
Malta 
 2. Period covered by the notification
 
  The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008. 
 3. Policy objectives
 
  Ferry transport costs reimbursement to neutrali se the additional cost for the transportation of 
Gozitan Agriculture and Fisheries produce to Malta. 
 4. Authority of subsidy
 
  Ministry for Resources and Rural Affairs  
5. Form of subsidy
 
  The form of the subsidy of this aid scheme is fiscal.  6. To whom and how the subsidy is paid
 
 
 Re-imbursement of costs is provided to be neficiaries making use of transport to Malta. 
 7. Amount of subsidy
 
  2007 – €53,576 
 
 2008 – €44,111  8. Duration of subsidy
 
 
 This aid scheme terminated on the 31 December 2008. 
 9. Trade effects of the subsidy
 
  There are no effects on international trade.  
  G/SCM/N/186/EEC/Add.18 
 Page 37 
 
 
  XXVIII.  AGRICULTURAL TEMPORARY STATE AID 
Temporary State Aid for the importation of Tomato Products 
 
1. Title of Subsidy  
 
 Temporary State Aid for the importation of Tomato Products 
 2. Period covered by the notification
 
  The period covered by this notification starts from the 1
st January 2007 until the 
31 December 2008. 
 3. Policy objectives
 
  The aim of the scheme is primarily to mitigate the effects of the termination of duty-free 
importation of food products from third countries w ith the adoption of the Common External Tariff 
and the removal of the export refunds on food products hitherto imported from EU countries 
following Malta's accession to the EU.  4. Authority of subsidy
 
 
 Ministry for Resources and Rural Affairs 
 5. Form of subsidy
 
  The form of the subsidy of this aid scheme is fiscal. 
 
6. To whom and how the subsidy is paid
 
  Assistance provided for in the EC Treaty and paid directly to traditional importation of 
tomato products.  
7. Amount of subsidy
 
  2007 – €102,492   2008 – €72,670 
 
8. Duration of subsidy
 
  The aid scheme will run until the 31 December 2010.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade.  G/SCM/N/186/EEC/Add.18 
Page 38  
 
  Temporary State Aid for the importation of Dairy products 
 
1. Title of Subsidy
 
  Temporary State Aid for the importation of Dairy products. 
 
2. Period covered by the notification
 
  The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008. 
 
3. Policy objectives
 
  The aim is primarily to mitigate the effects of  the termination of duty -free importation of food 
products from third countries with the adoption of th e Common External Tariff and the removal of the 
export refunds on food products hitherto importe d from EU countries following Malta's accession to 
the EU.  4. Authority of subsidy
 
  Ministry for Resources and Rural Affairs 
 
5. Form of subsidy
 
  The form of the subsidy of this aid scheme is fiscal.  
6. To whom and how the subsidy is paid
 
  Assistance provided for in the EC Treaty and paid  directly to traditional importation of dairy 
products.  7. Amount of subsidy
 
 
 2007 – €202,655   2008 – €100,632  
8. Duration of subsidy
 
  The aid scheme will run until the 31 December 2010.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade. 
   G/SCM/N/186/EEC/Add.18 
 Page 39 
 
 
  Temporary State Aid for the importation of Meat products 
 
1. Title of Subsidy  
  Temporary State Aid for the importation of Meat products 
 
2. Period covered by the notification
 
  The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008. 
 
3. Policy objectives
 
  The aim is primarily to mitigate the effects of  the termination of duty -free importation of food 
products from third countries with the adoption of th e Common External Tariff and the removal of the 
export refunds on food products hitherto importe d from EU countries following Malta's accession to 
the EU.  4. Authority of subsidy
 
  Ministry for Resources and Rural Affairs 
 
5. Form of subsidy
 
  The form of the subsidy of this aid scheme is fiscal.  
6. To whom and how the subsidy is paid
 
  Assistance provided for in the EC Treaty and paid directly to traditional importation of meat products.  7. Amount of subsidy
 
 
 2007 – €323,783   2008 – €145,040  
8. Duration of subsidy
 
  The aid scheme will run until the 31 December 2010.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade. 
 G/SCM/N/186/EEC/Add.18 
Page 40  
 
   Temporary State Aid for the importation of Cereal products 
 
1. Title of Subsidy
 
  Temporary State Aid for the importation of cereal products 
 
2. Period covered by the notification
 
  The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008. 
 
3. Policy objectives
 
  The aim is primarily to mitigate the effects of  the termination of duty -free importation of food 
products from third countries with the adoption of th e Common External Tariff and the removal of the 
export refunds on food products hitherto importe d from EU countries following Malta's accession to 
the EU.  4. Authority of subsidy
 
  Ministry for Resources and Rural Affairs 
 
5. Form of subsidy
 
  The form of the subsidy of this aid scheme is fiscal.  
6. To whom and how the subsidy is paid
 
  Assistance provided for in the EC Treaty and paid  directly to traditional importation of cereal 
products.  7. Amount of subsidy
 
 
 2007 – €2,471,465   2008 – €1,497,543  
8. Duration of subsidy
 
  The aid scheme will run until the 31 December 2010.  9. Trade effects of the subsidy
 
 
 There are no effects on international trade. 
   G/SCM/N/186/EEC/Add.18 
 Page 41 
 
 
   Special Temporary State Aid on Sugar imports 
 
1. Title of Subsidy  
  Special Temporary State Aid on Sugar imports 
 
2. Period covered by the notification
 
  The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008. 
 
3. Policy objectives
 
  The aim of the scheme is primarily to mitigate the effects of the termination of duty-free importation of food products from third countries w ith the adoption of the Common External Tariff 
and the removal of the export refunds on food products hitherto imported from EU countries 
following Malta's accession to the EU.  4. Authority of subsidy
 
  Ministry for Resources and Rural Affairs 
 
5. Form of subsidy
 
  The form of the subsidy of this aid scheme is fiscal.  
6. To whom and how the subsidy is paid
 
  Paid directly to traditional importation of sugar.  7. Amount of subsidy
 
 
 2007 – €3,098,066 
  2008 – €1,720,000  8. Duration of subsidy
 
 
 The aid scheme will run until the 31 December 2010.  9. Trade effects of the subsidy
 
  There are no effects on international trade. 
 G/SCM/N/186/EEC/Add.18 
Page 42  
 
   Agriculture Insurance Premium (Subsidy) Scheme 
 
1. Title of Subsidy
 
  Agriculture Insurance Premium (Subsidy) Scheme 
 
2. Period covered by the notification
 
  The period covered by this notifica tion starts from the 1 January 2007 until the 
31 December 2008. 
 
3. Policy objectives
 
  The objective is to encourage farmers to  obtain insurance cover against exceptional 
occurrences, natural disasters and adverse weathe r conditions assimilated to natural disasters. 
 
4. Authority of subsidy
 
  Ministry for Resources and Rural Affairs  5. Form of subsidy
 
 
 The form of the subsidy of this aid scheme is fiscal.  6. To whom and how the subsidy is paid
 
 
 Paid directly to farmers on insurance premiums. 
 7. Amount of subsidy
 
  2007 – €NIL  
 2008 – €NIL 
 8. Duration of subsidy
 
  The aid scheme will run until the 31 December 2012. 
 
9. Trade effects of the subsidy
 
  There are no effects on international trade.   
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