WORLD TRADE  
ORGANIZATION  G/SCM/Q2/UKR/6 
15 February 2010 
 (10-0835) 
Committee on Subsidies and 
Countervailing Measures Original:   English 
 
 
 
SUBSIDIES  
 
Replies to Questions Posed by the UNITED STATES1 Regarding  
the New and Full Notification of UKRAINE2 
 
  The following communication, dated 11 February 2010, is being circulated at the request of 
the Delegation of Ukraine.    
_______________ 
 
 
Question 1 
 Horizontal Programme "Energy-Saving Measures Aid" 
 
 According to the notification, this progr amme provides compensation to businesses, 
"which used the credits for financing of energy-saving measures, including realization of energy-effective projects and paid in 2008 interest rates on these credits".  Does this program 
target any industries in particular?   
 
Reply
 
  This program does not target any particular industry.   The energy-saving projects / measures covered by compensation are selected between 
applicants from any business / industry on the basis of criteria indicated in the notification.   
 
Question 2 
 Machine building for agro-industry 
 
 The notification states that eligibility re quirements for funding under this programme 
include "conformance of the project to the direct ions and tasks of the State Programme of the 
national agro industry machine-building develo pment for 2007-2010".  Please explain in further 
detail what the "directions and tasks" are under this State Programme.   
                                                     
 
1 G/SCM/Q2/UKR/5.   
2 G/SCM/N/186/UKR.   G/SCM/Q2/UKR/6 
Page 2  
 
  Reply
 
 
 The State Program of the national agro industry machine-building development for 2007-
2010 was approved by the Decree of the Cabinet of Ministers of Ukraine of 26.09.2007 No.1181.   
 
The objective and main tasks   
 The Program's purpose is to create conditions for revival of domestic machine-building for 
the agro-industrial complex and it's transformation in to efficient, integrated in the world production 
industry with reserved organizati onal and economic macro-technological structures after the basic 
types of  technique.   
 Main tasks of the Program:    
• structural transformation of industry by creation of industrial and financ ial associations on co-
operative principles, that will enable to c oncentrate the property and capital management, 
promote specialization of integrated enterp rises and strengthen their competitiveness;   
• technical and technological reequipping of ente rprises with modern equipment for the annual 
increase of power of production of new technical  means for agro-industrial complex with the 
use of high-quality constructions, progressive ma terials, precise mechanics and electronics;   
• research and application in production of the newest element base of agricultural machine-
building, expansion of the product nomenclature, providing the technical means maintenance;   
• facilitation to the domestic market development and opening up of external markets of 
agricultural machines;   
• improvement of the legislation concerning deve lopment of the machine-building of the agro-
industrial complex.   
 
Directions of implementation of Program 
 
 For achievement of the stated objec tive, it is foreseen to provide:   
 
• institutional and structural reorganization of machine-building for agro-industrial complex by 
formation of national and inte rnational industrial and financ ial groups with the purpose of 
concentration of financial resources, lead-thr ough of common industrial policy, increase of 
the labour performance, decline of unit cost;   
• creation of joint ventures, which will produce a high-efficiency technique on the basis of 
modern resource and energy-keeping technologies with the use of the best standards of 
foreign element base;   
• acceleration of innovative development of machine-building for the agro-industrial complex 
due to reequipping of industry, application of the newest technologies and equipment for 
development of new technique, transition to flexib le block module principle of construction;   
• creation of multifunction machines, including broad-cut and combined aggregates and 
energysaturated tractors of 250 - 300 horse power through high automatization of production, use of information technologies, standardizati on of element base, orientation, manufacturing 
on international standards, applications  of control system by quality;   
• diminishing of energy consumption, expansi on of range of engines powers and increase of 
reliability and life time of machines, wide use of progressive materials (ceramics, plastics, 
polyamides), reduction of their resource-demanding;   
• mastering of the technical means for untraditional energy sources, machines and equipment 
for the production of biopropellant, extr action, processing and use of peat;   
• development of agricultural technique market a nd forming its infrastructure, access to foreign 
market;    G/SCM/Q2/UKR/6 
 Page 3 
 
 
  • market research, organization of fairs and e xhibitions of new technologies and hardwares for 
agro-industrial complex;   
• transition to the system of brandname technical service by creation of technical centers, dealer 
and rental points, machine-technologi cal formings, brandname shops;   
• creation of the system for continuous retraining and in-plant training of employers, including 
working professions;   
• development of export potential of industry due to activation of external economic activity of 
domestic enterprises and credit support of agricultu ral technique, first all, to the CIS member-
states;   
• improvement of the testing and certification syst em for agro-industrial complex technique in 
accordance with the WTO approach.    
 
 In particular basic directions for financial  support for the new technique development and 
technological renovation are the following tec hnical means and technological complexes:   
 
1. Parametric row of hauling tractors (classes 0,6 - 5) 
2. Collecting combines for cereals, groats and oily plants 3. Collecting combines for sugar beets, potato, flax, purveyance of forage 4. Combined cultivating and sowing complexes 5. Technological complexes of machines and equipment for growing, roughing-out and storage 
of potato, vegetables, hop plants and medical plants 
6. Complex of machines and equipment for aft er harvest treatment and storage of grain and 
seed, equipment for the production of energy from renewable sources 7. Technical means for the plant protecti on, fertilizer treatment, land improvement and 
irrigation 
8. Machines and equipments are for mechaniza tion of works in farm animal production and 
poultry production 9. A highly technological equipment for food and processing industry 10. A technological complex of small machines and  instruments is for mechanization of works in 
small home gardening 11. Creation of highly technological element base for the agricultural machines, equipment for 
their repair and technical service, market  researches concerning technique.    
  
__________