. /.   WORLD TRADE  
ORGANIZATION  G/SCM/Q2/EEC/56 
1 May 2009 
 (09-2134) 
Committee on Subsidies 
and Countervailing Measures Original:   English 
 
 
 
SUBSIDIES 
 
Replies to Questions from the SEPARATE CUSTOMS TERRITORY OF TAIWAN,  
PENGHU, KINMEN AND MATSU1 Regarding the New and Full Notification   
of the EUROPEAN COMMUNITIES2 and ROMANIA3 
   The following communication, dated 30 April 2009,  is being circulated at the request of the 
Delegation of the European Communities.   
 
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Questions to the European Communities 
 
Question 1 
 
 According to the questionnaire format for s ubsidy notifications under Article 25 of the 
Agreement on Subsidies and Countervailing Measures and under Article XVI of GATT 1994 
(G/SCM/6/Rev.1) the period covered by the noti fication should be the most recently completed 
calendar or fiscal year.  According to our und erstanding the current new and full subsidy 
notification should, therefore, cover the years 2005 and 2006 as it was due to be submitted by 
the end of June 2007 (G/SCM/N/155).  A reading of the subsidy notification reveals that many 
programmes only cover the period 2003-2004 even  though the programmes have not yet been 
abolished.  Therefore, could the EC indicate the reason for this and if possible, please complete 
its subsidy notification?    Reply
 
  Data for the years 2005 and 2006 if not al ready yet covered by the notification submitted 
in 2007 will be included in the ne xt subsidy notification as it was only to some extent possible to 
provide data for the years 2005 and 2006 at the due date of the submission.   
 
Question 2 
 
 We noticed that there are two programmes on page 41 and page 42 of the notification, 
Multiannual programme for enterprise and entrep reneurship, and in particular for small and 
medium-sized enterprises (SMEs) (2001-2005)  and The Joint European Venture (JEV) 
Programme , aimed to support the SMEs in the EC.  We would be very grateful if the EC could 
explain what enterprises are qualified as SMEs.   
                                                     
 
1 G/SCM/Q2/EEC/53.   
2 G/SCM/N/155/EEC.   
3 G/SCM/N/155/EEC/Add.21 and Corr.1 and Corr.2.   G/SCM/Q2/EEC/56 
Page 2  
 
  Reply
 
  An enterprise is considered to be an SME if it employs not more than 250 employees, has an 
annual turnover not exceeding EUR 50 million and/or  an annual balance sheet total not exceeding 
EUR 43 million.    Question 3  
 
 With regard to the specific term "Fishing years" in Common Organisation of the Market 
in Fishery and Aquaculture Products  (page 45), could the EC explain the meaning of this term 
for the purpose of the duration of this programme?   
 
Reply
 
  By "fishing years" it is meant that the funds are budgeted and disbursed on a yearly basis 
(1 January to 31 December), as long as the programme , i.e. the "Common Organisation of Markets for 
fishery and aquaculture products" as notified to the WTO, is in force.    Question to Romania  Question 
 
 Regarding the  Export Development of SMEs  (page 8), we realize that the purpose of this 
programme is to support the SMEs, whose main ac tivity is in the field of production or/and 
services, and to develop exports for 2002-2006.  We would like to learn more about the criteria 
of conferring this subsidy upon the SMEs, i.e. the criteria of obtaining this government support, 
and notifying Member's opinion on whether this programme was contingent, in law or in fact, 
upon export performance.   
 Reply
 
  As very well noted by the delegation of th e Separate Customs Territory of Taiwan, Penghu, 
Kinmen and Matsu, the program is aimed to support the SMEs whose main activity is in the field of 
production or/and services.  One of the forms of s upporting these SMEs relates to the formation of 
their abilities in the area of export.  The program is  not contingent upon expor t performance but rather 
a support to create the knowledge needed for future export performance.  The only eligibility criteria 
are observing the limited number of employees and the maximum turnover for SMEs, as stated in the notification.     
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