WORLD TRADE  
ORGANIZATION  G/SCM/N/186/EEC/Add.4 
23 December 2009 
 (09-6547) 
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 Cyprus . 
 
_______________ 
 
  
                                                     
 
* On 1 December 2009, the Treaty of  Lisbon amending 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.4 
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  CYPRUS 
 
TABLE OF CONTENTS 
 
Page 
 
I. PROMOTION OF INDUSTRIAL PRODUCT AND EXPORT TRAINING 
PROVIDED TO CYPRIOT COMPANIES PARTICIPATING IN A NATIONAL PAVILION IN TRADE FAIRS, ORGANIZED BY THE 
MINISTRY OF COMMERCE, INDUSTRY AND TOURISM, ABROAD ........................4
 
II. PROMOTION OF INDUSTRIAL PRODUCTS AND EXPORT TRAINING 
PROVIDED TO CYPRIOT COMPANIES PARTICIPATING IN TRADE FAIRS ABROAD ON THEIR OWN EXPENSES.................................................................5
 
III. CONTRIBUTION TO THE INST ITUTE OF TECHNOLOGY .........................................5  
IV. CONSULTANCY SERVICES SCHE ME FOR INDUSTRY ...............................................6  
V. A SCHEME FOR THE SUBSIDISATION OF STUDIES FOR THE 
ADOPTION OF STANDARDS ...............................................................................................7  
VI. A SCHEME FOR THE SUBSIDISATION OF STUDIES FOR MARKET RESEARCH FOR FOREIGN MARKETS ............................................................................8
 
VII. SCHEME FOR TECHNOLOGICAL UPGRADING OF THE 
MANUFACTURING SECTOR ..............................................................................................9  
VIII.  SCHEME FOR THE RELOCATION OF SMALL ENTERPRISES IN 
APPROVED AREAS..............................................................................................................10  
IX. ASSISTANCE TO MANUFACTURING INDUSTRIES TO ESTABLISH POLLUTION CONTROL SYSTEMS..................................................................................11
 
X. GRANT FOR THE IMPLEMENTATION OF THE ΗΑCCP SYSTEM IN THE 
FOOD AND DRINK INDUSTRY .........................................................................................12  
XI. GRANT FOR STRENGTHENING THE LABORATORY INFRASTRUCTURE IN CYPRUS...................................................................................................................... .......13
 
XII. GRANT FOR STRENGTHENING THE LABORATORY INFRASTRUCTURE 
IN CYPRUS (SELECTABLE AREAS) ................................................................................14  
XIII.  GRANT FOR STRENGTHENING THE LABORATORY INFRASTRUCTURE IN CYPRUS IN THE IN THE FORM OF DE MINIMIS...................................................16
 
XIV.  GRANT FOR STRENGTHENING THE LABORATORY INFRASTRUCTURE 
IN CYPRUS IN THE IN THE FORM OF DE MINIMIS...................................................17  
XV. GRANT FOR CONTROL QUALITY ABROAD (LABORATORY TESTING 
ABROAD)........................................................................................................................ ........18  
XVI.  PROGRAM FOR THE CREATION AND OPERATION OF BUSINESS 
INCUBATORS..................................................................................................................... ...19 
XVII.  PROGRAM FOR THE CREATION OF NEW ENTERPRISES OF HIGH 
TECHNOLOGY AND INNOVATION THROUGH THE INSTITUTION OF BUSINESS INCUBATORS....................................................................................................20
 
XVIII.  PROMOTION OF HANDICRAFTS ....................................................................................22   G/SCM/N/186/EEC/Add.4 
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Note : The amount of assistance for 2007 is given in Cyprus pounds (CYP 0.5844 = €1).  On 
1 January 2008 Cyprus adopted the euro (€) and therefore all amounts are expressed in 
euros (€). 
 G/SCM/N/186/EEC/Add.4 
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  I. PROMOTION OF INDUSTRIAL PRODUCT AND EXPORT TRAINING PROVIDED 
TO CYPRIOT COMPANIES PARTICIPATING IN A NATIONAL PAVILION IN TRADE FAIRS, ORGANIZED BY THE MINISTRY OF COMMERCE, INDUSTRY AND TOURISM, ABROAD 
1. Title of subsidy
 
 
 Promotion of industrial products and export trai ning of companies, participating in Trade 
Fairs (in a National Pavilion) organized by the Ministry abroad.  2. Period covered by notification
 
 
 2007-2008  3. Policy objective
 
 
 To promote Cyprus industrial products exhibited in Trade Fairs organized by the Ministry 
abroad and provide for export training.  4. Authority of subsidy
 
  Ministry of Commerce, Industry and Tour ism.  Annually approved by the Council of 
Ministers through the Government Budget. 
 5. Form of subsidy
 
  The Ministry bears the transportation costs of th e exhibits, the rental costs of the exhibition 
area and the construction expenses of the stand of th e Cypriot companies participating in the National 
pavilion.  6. To whom the subsidy is paid
 
  This incentive is provided to Cypriot companie s participating in a National Pavilion in trade 
fairs organized by the Ministry abroad. 
 7. Duration of subsidy
 
  The scheme is provided every year and is still in existence. 
 
8. Amount budgeted for 2007
:  CYP 1,530,000 
 Amount budgeted for 2008 :  €2,634,241 
  Amount spent in 2007
:  CYP 1,442,495 
 Amount spent in 2008 :  €2,433,060 
 
9. The trade effects of the subsidy  
  No effects on international trade.   G/SCM/N/186/EEC/Add.4 
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  II. PROMOTION OF INDUSTRIAL PRODUCTS AND EXPORT TRAINING 
PROVIDED TO CYPRIOT COMPANIES PARTICIPATING IN TRADE FAIRS ABROAD ON THEIR OWN EXPENSES 
1. Title of subsidy
 
 
 Promotion of industrial products and expor t training provided to Cypriot companies 
participating in Trade Fairs abroad on their own expenses.  2. Period covered by notification
 
 
 2007-2008 
 3. Policy objective
 
  To promote Cyprus industrial products exhibited in Trade Fairs abroad and provide for export 
training. 
 4. Authority of subsidy
 
  Ministry of Commerce, Industry and Tour ism.  Annually approved by the Council of 
Ministers through the Government Budget. 
 
5. Form of subsidy
 
  The Ministry covers 70 per cent of the rental and construction costs of the stand etc up to a 
maximum of CYP 2,500 (€4,272) for non-bulky exhi bits and up to CYP 6000 (€10,252) for spacious 
exhibits. 
 6. To whom the subsidy is paid
 
  This incentive is provided to Cypriot companie s participating in trade fairs abroad, on their 
own expenses. 
 
7. Duration of subsidy
 
  The scheme is provided every year and is still in existence.  
8. Amount budgeted for 2007
:  CYP 450,000 
 Amount budgeted for 2008 :  €863,000 
  Amount spent in 2007
:  CYP 223,660 
 Amount spent in 2008 :  €526,000 
 
9. The trade effects of the subsidy  
  No effects on international trade.  
III. CONTRIBUTION TO THE INSTITUTE OF TECHNOLOGY 
1. Title of subsidy
 
  Contribution to the Institute of Technology. G/SCM/N/186/EEC/Add.4 
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2. Period covered by notification
 
  2007-2008  
3. Policy objectives
 
  To help the Institute of Technology materi alise its development pr ogramme for technology 
transfer.  
4. Authority of subsidy
 
  Ministry of Commerce, Industry and Tourism on the basis of a Decision of the Council of Ministers (No. 485/2004 dated 7 April 2004).  
5. Form of subsidy
 
  A grant of a maximum amount of CYP160,000 calculated on the basis of the annual budget deficit resulting from yearly operating expenses.  Ho wever, an additional amount of CYP152,000 was 
granted to cover the budget deficit incurred during 2007.  
6. To whom and how the subsidy is paid
 
  Institute of Technology – 50 per cent of the grant is paid at the beginning of the year as an advance payment and the rest is paid at the end of the economic year on the basis of the final 
accounts. 
 
7. Amount of subsidy
 
  Total payment in: 2007:  CYP 312,000   2008:  €0  
8. Duration of subsidy
 
  The aid was granted for the first time in 1999 and continued to be granted on a yearly basis 
until 2007.  The Institute of Technology termin ated its activities on 14 November 2007 upon a 
Decision of the Council of Ministers (No. 66,080 dated 21 September 2007). 
 
9. The trade effects of the subsidy
 
  No effects on international trade.  
IV. CONSULTANCY SERVICES SCHEME FOR INDUSTRY 
1. Title of subsidy
 
  Consultancy Services Scheme for Industry.  2. Period covered by notification
 
 
 2007-2008   G/SCM/N/186/EEC/Add.4 
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  3. Policy objectives  
  To assist and encourage local enterprises to upgrade their units  by subsidizing the cost of 
specialized studies carried out by accredited consultants.  
4. Authority of subsidy
 
  Ministry of Commerce, Industry and Tourism.  5. Form of subsidy
 
 
 (a) Grant of up to 40 per cent of the cost of the study.  The amount of grant is limited to a 
maximum of CYP 6,000 per company for the duration of the scheme. 
  (b) Grant of up to 50 per cent of the cost of the implementation of the results of the study.  
The amount of grant is limited to a maximum of CYP 2,500 per company for the 
duration of the scheme. 
 6. To whom and how the subsidy is paid
 
  To existing and newly established manufacturing industries. 
 
7. Amount of subsidy
 
  Total payment in: 2007:  CYP 33,060   2008:  €0 
 
8. Duration of subsidy
 
  The scheme was introduced in 1992 and h as been terminated on 31 January 2007. 
 9. The trade effects of the subsidy
 
 
 No effects on international trade.  
V. A SCHEME FOR THE SUBSIDISATION OF  STUDIES FOR THE ADOPTION OF 
STANDARDS 
1. Title of subsidy
 
  A Scheme for the subsidization of Studies for the Adoption of Standards.  2. Period covered by notification
 
 
 2007-2008 
 3. Policy objectives
 
  To assist and encourage local enterprises to adopt standards with the aim of improving the 
quality of produced goods. 
 G/SCM/N/186/EEC/Add.4 
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  4. Authority of subsidy
 
  Ministry of Commerce, Industry and Tourism.  5. Form of subsidy
 
 
 (a) Grant of up to 40 per cent of the cost of the study.  The amount of grant is limited to a 
maximum of CYP 6,000 per company for the duration of the scheme. 
 6. To whom and how the subsidy is paid
 
 
 To manufacturing industries.  7. Amount of subsidy
 
 
 Total payment in: 2007:  CYP 15,176 
  2008:  €0  8. Duration of subsidy
 
  The scheme was introduced in 2000 and h as been terminated on 31 January 2007. 
 
9. The trade effects of the subsidy
 
  No effects on international trade.  VI. A SCHEME FOR THE SUBSIDISATION OF STUDIES FOR MARKET RESEARCH 
FOR FOREIGN MARKETS 
1. Title of subsidy
 
  A scheme for the subsidization of studies for market research for foreign markets. 
 
2. Period covered by notification
 
  2007-2008.  3. Policy objectives
 
 
 To provide incentives to compani es to penetrate foreign markets. 
 4. Authority of subsidy
 
  Ministry of Commerce, Industry and Tour ism.  Annually approved by the Council of 
Ministers through the Government Budget. 
 5. Form of subsidy
 
  The Ministry cover the expenses for the air ticket up to a maximum amount of €855 for 
two times per year and for different markets. 
  G/SCM/N/186/EEC/Add.4 
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  6. To whom and how the subsidy is paid  
  To existing and newly established manufacturing industries.  7. Amount of subsidy
 
 
 Total payment in: 2007:  CYP 5,087   2008:  €13,737  8. Duration of subsidy
 
 
 The scheme is valid up to 31 December 2013.  9. The trade effects of the subsidy
 
 
 No effects on international trade. 
 
VII. SCHEME FOR TECHNOLOGICAL UPGRADING OF THE MANUFACTURING 
SECTOR 
1. Title of subsidy  
 
 Grant for technological upgrading of the manufacturing sector. 
 2. Period covered by notification
 
  2007-2008 
 
3. Policy objectives
 
  The objective of the scheme is to encourage i nvestments in modern technology with the aim 
of improving both productivity and quality of locally produced goods.  
4. Authority of subsidy
 
  Ministry of Commerce, Industry and Touris m.  Approved by the Council of Ministers 
Decision No. 44.177 dated 17 April 1996.  
5. Form of subsidy
 
  The grant as a percentage of the eligible i nvestment ranges from 20 to 30 per cent of the 
investment in new machinery and equipment.  Th e amount of grant is limited to a maximum of 
CYP 300,000 per applicant for small enterprises a nd CYP 600,000 for medium and large enterprises 
per applicant, for the period 2004-2006. 
 
6. To whom and how the subsidy is paid
 
  To existing and newly established manufacturing units.  
7. Amount of subsidy
 
  Total payment in 2007:  CYP 2,778,749  Total payment in 2008:  €1,383,116 G/SCM/N/186/EEC/Add.4 
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8. Duration of subsidy
 
  The scheme was introduced in 1996 and expired in 2006.  The amounts in note 7 refer to payments made in years 2007-2008 for the period 2005-2006. 
 
9. The trade effects of the subsidy
 
  No effects on international trade.  VIII.  SCHEME FOR THE RELOCATION OF SM ALL ENTERPRISES IN APPROVED 
AREAS 
1. Title of subsidy
 
  Program for the relocation of small enterprises to authorized areas 
 
2. Period covered by notification
 
  2007-2008  3. Policy objectives
 
 
 The aim of the programme is to encourage already existing small enterprises engaged in 
manufacturing or specific service activities, to move from residential areas to other authorized areas.  4. Authority of subsidy
 
 
 Ministry of Commerce, Industry and Touris m.  Approved by the Council of Ministers 
Decision No. 54.862 dated 9 January 2002.  5. Form of subsidy
 
 
 The amount, which will be granted if and when the application is approved, is calculated as 
follow:   - For the small enterprises a grant of 7.5 per cent on the eligible costs (cost of land and 
buildings) with maximum amount CYP 15,000; 
 
 - for very small enterprises a grant of 15 per cent on the eligible costs with maximum 
amount of CYP 10,000. 
 6. To whom and how the subsidy is paid
 
 
 To enterprises established after the 1 July 2002. 
 7. Amount of subsidy
 
  Total payment in: 2007:  CYP 481.959 
  2008:  €368.646 
 Payments for outstanding of litigations   G/SCM/N/186/EEC/Add.4 
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  8. Duration of subsidy  
  The scheme was introduced in 2002 and expired on 31 December 2006.  9. The trade effects of the subsidy
 
 
 No effects on international trade.  
IX. ASSISTANCE TO MANUFACTURING INDU STRIES TO ESTABLISH POLLUTION 
CONTROL SYSTEMS 
1. Title of subsidy
 
  Grant scheme for the protection of the environment from industrial pollution.  2. Period covered by notification
 
 
 2007-2009  3. Policy objective
 
  To assist financially existing and newly estab lished manufacturing units in order to comply 
with legal requirements of air a nd water protection legislation. 
 4. Authority of subsidy
 
  Ministry of Commerce, Industry and Tourism.  (Council of Ministers Decisions No. 38.933 of 
18.2.1993, No. 39.633 of 7.7.1993, No. 40.706 of 9.3.1994, No. 44.448 of 27.6.1996 No.48.230 of 
7.8.1998, No. 56.761 of 7.4.2004, No. 61.790 of 30.03.2005 and No. 61.767 of 6.2.2008).  5. Form of subsidy
 
  The grant offered is assistance under the Eu ropean Commission's de minimis regulation 
(Regulation 1998/2006).The grant as a percentage of  the eligible investment ranges from 30 to 40 per 
cent of investment, depending on the size of the enterprise, the environmental performance and some 
maximum limits on unit land and building costs.  This allows a company to receive up to 
200,000 euros of de minimis state aid over a three year period.  
6. To whom and how the subsidy is paid
 
 To existing and newly established manufacturing units from the industrial sectors of mining and 
quarrying, manufacturing industry, car maintenance, packaging, the processing or recycling of waste 
and the washing or dry cleaning of textiles.  The gr ant is paid after the installation and satisfactory 
operation of the system. 
 
7. Amount of subsidy
 
  Total payment in 2007:  CYP 365,841.82  Total payment in 2008:  €787,037.60 
 G/SCM/N/186/EEC/Add.4 
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  8. Duration of subsidy
 
  The scheme was introduced in 1993 for a five year period and was extended for five more 
years in 1998.  It was replaced by a similar schem e compatible with the Eu ropean Union state aid 
guidelines, valid until 31 December 2006.  The pr esent scheme is valid until 28 February 2009. 
 
9. The trade effects of the subsidy
 
  No effects on international trade  X. GRANT FOR THE IMPLEMENTATION OF THE ΗΑCCP SYSTEM IN THE FOOD 
AND DRINK INDUSTRY 
1. Title of subsidy
 
  Hazard Analysis, Critical Control Points ( HACCP) System, for the food and drink industry. 
 
2. Period covered by notification
 
  2007-2008  3. Policy objective
 
 
 Promotion of the implementation of the HACCP system (preventing measure for the hygienic 
quality of food and drink products).  4. Authority of subsidy
 
 
 Ministry of Commerce, Industry and Touris m.  Approved by the Council of Ministers 
(Decision No. 65.182 dated 21 March 2007, D ecision No. 67.572 dated 30 August 2008). 
 5. Form of subsidy
 
 
 The subsidy as a percentage of the eligible invest ment is 30 per cent of the investment in new 
equipment used for the monitoring (chemical, physical, microbiological control points) of Critical Control Points (CCPs).  The amount of grant is limited to €85,430.07 per applicant.  6. To whom and how the subsidy is paid
 
 
 To existing and newly established manufacturi ng units (food and drink industry) which are 
implementing the HACCP system and are regi stered with the appropriate authorities. 
 7. Amount of subsidy
 
 
 Total payment in 2007:  CYP 442,194.00 
 Total payment in 2008:  €956,176.14  8. Duration of subsidy
 
 
 The scheme was introduced on 21 March 20 07 and was valid until 1 December 2008. 
  G/SCM/N/186/EEC/Add.4 
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  9. The trade effects of the subsidy  
  No effects on international trade.  
XI. GRANT FOR STRENGTHENING THE LABORATORY INFRASTRUCTURE IN 
CYPRUS 
1. Title of subsidy
 
  Grant for strengthening of laboratory infrastructure in Cyprus.  
2. Period covered by notification
 
  2007-2008  3. Policy objective
 
 
 The objective of the scheme is to encourag e investments in laboratory equipment and 
introduction of quality assurance systems with the aim of accreditation of laboratories.  4. Authority of subsidy
 
 
 Ministry of Commerce, Industry and Tourism. 
 5. Form of subsidy
 
  The maximum amount that each applican t/laboratory, covered under this plan, is 
£175,000.00.  This amount covers the following: 
  (i) Laboratory equipment   The subsidy for equipment is 20 per cent plus an  additional 10 per cent if the company is of a 
small or medium size.  Maximum subsidy fo r the laboratory equipment is CYP 100,000.00. 
 
 (ii) Buildings   The subsidy for buildings is 20 per cent of the expenditure plus an additional 10 per cent if the 
company is of a small or medium size, with maximum limit of CYP 75 per square metre and 
CYP 50,000 in total. 
  (iii) Accreditation   The maximum subsidy for accreditation is £20,000. 00 and is divided into two categories: 
 
 (1) 50 per cent of the cost for consulting services with maximum limit of CYP 10,000.00; 
 (2) 50 per cent of the cost for accreditati on with maximum limit of CYP 10,000.00. 
  (iv) Feasibility Studies – e.g. techno economical studies, business plan.  
 The maximum subsidy for the techno economical study is 50 per cent with a maximum limit 
of £5,000.00 which is divi ded into two sections: 
  (1) 25 per cent of the cost for the completion of the study, with a limit of £2,500; G/SCM/N/186/EEC/Add.4 
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   (2) 25 per cent of the cost, with a limit of £2.5 00 which will be given after the start of the 
plant. 
  The current subsidy plan was valid until the end of 2006. 6. To whom and how the subsidy is paid
 
 
 Beneficiaries are;  existing and newly established laboratory units. 
 7. Amount of subsidy
 
 
 The following amounts have been given under this plan, which expired on the 
31 December 2006:   Total payment in: 2007:  CYP 295,780   2008:  €254,345 
 
8. Duration of subsidy
 
  The scheme was introduced on 7 April 2004  and was valid until 31 December 2006. 
 9. The trade effects of the subsidy
 
 
 No effects on international trade.  
XII. GRANT FOR STRENGTHENING THE LABORATORY INFRASTRUCTURE IN 
CYPRUS (SELECTABLE AREAS) 
1. Title of subsidy
 
  Grant for strengthening of laboratory infrastructure in Cyprus.  2. Period covered by notification
 
 
 2007-2008. 
 3. Policy objective
 
  The objective of the scheme is to encourag e investments in laboratory equipment and 
introduction of quality assurance systems with the aim of accreditation of laboratories. 
 4. Authority of subsidy
 
  Ministry of Commerce, Industry and Tourism   G/SCM/N/186/EEC/Add.4 
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  5. Form of subsidy  
  The maximum amount that each applicant/labor atory, covered under this plan, is €400,000.  
This amount covers the following:  
 (i) Laboratory equipment 
  The subsidy for equipment is 15 per cent plus an  additional 10 per cent if the company is of a 
medium size and an additional 10 per cent if the company is of a small size.  Maximum subsidy for the laboratory equipment is €250,000. 
 
 (ii) Buildings   The subsidy for buildings is 15 per cent of the expenditure plus an additional 10 per cent if the 
company is of a medium size and an additional 10 per cent if the company is of a small size, 
with maximum limit of €170 per squa re metre and €100.000,00 in total. 
  (iii) Accreditation   The maximum subsidy for accreditation is €40,000. 00 and is divided into two categories: 
 
 (1) 50 per cent of the cost for consultin g services with maximum limit of €20,000; 
 (2) 50 per cent of the cost for accredita tion with maximum limit of €20,000. 
  (iv) Feasibility Studies - e.g. techno economical studies, business plan.  
 The maximum subsidy for the techno economical  study is 50 per cent with a maximum limit 
of €10.000, which is divided into two sections: 
  (1) 25 per cent of the cost for the completion of the study, with a limit of €5,000; 
(2) 25 per cent of the cost, with a limit of €5,000, which will be given after the start of 
the plant. 
 
 The current subsidy plan is  valid until the end of 2010. 
 6. To whom and how the subsidy is paid
 
 
 Beneficiaries are existing and newly established laboratory units. 
 7. Amount of subsidy
 
  The following amounts given under this plan, which expires on the 31 December 2010:  
 Total payment in: 2007:  (No scheme available). 
  2008:  €0  8. Duration of subsidy
 
 
 The scheme was introduced on 24 September 2008 and is valid until 31 December 2010. 
 9. The trade effects of the subsidy   No effects on international trade. G/SCM/N/186/EEC/Add.4 
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XIII.  GRANT FOR STRENGTHENING THE LABORATORY INFRASTRUCTURE IN 
CYPRUS IN THE IN THE FORM OF DE MINIMIS 
1. Title of subsidy
 
 
 Grant for strengthening of laboratory infrastructure in Cyprus. 
 2. Period covered by notification
 
  2007-2008 
 
3. Policy objective
 
  The objective of the scheme is to encourag e investments in laboratory equipment and 
introduction of quality assurance systems with the aim of accreditation of laboratories. 
 
4. Authority of subsidy
 
  Ministry of Commerce, Industry and Tourism  5. Form of subsidy
 
 
 The maximum amount that each applicant/laborator y, covered under this plan, can obtain is 
CYP 87,000.  This amount covers the following;   (a) Laboratory equipment 
 
 The subsidy for equipment is 30 per cent.  Ma ximum subsidy for the laboratory equipment is 
£50,000. 
  (b) Buildings  
 The subsidy for buildings is 30 per cent of the expenditure with maximum limit of CYP 100 
per square metre and £30,000.00 in total. 
  (c) Accreditation  
 The maximum subsidy for accreditation is CYP 7. 000,00 and is divided into two categories: 
  (i) 50 per cent of the cost for consulting services with maximum limit of CYP 5,000.00; 
 (ii) 50 per cent of the cost for accredita tion with maximum limit of CYP 2,000.00. 
 6. To whom and how the subsidy is paid
 
 
 Beneficiaries are existing and newly established laboratory units. 
 7. Amount of subsidy
 
 
 The current subsidy plan was valid until the end of 2007. 
  Total payment in: 2007:  CYP 121,108   2008:  €239,863  G/SCM/N/186/EEC/Add.4 
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8. Duration of subsidy  
  From 1 January 2007 until 31 December 2007  
9. The trade effects of the subsidy
 
  No effects on international trade.  
XIV.  GRANT FOR STRENGTHENING THE LABORATORY INFRASTRUCTURE IN 
CYPRUS IN THE IN THE FORM OF DE MINIMIS 
1. Title of subsidy
 
  Grant for strengthening of laboratory infrastructure in Cyprus.  
2. Period covered by notification
 
  2007-2008  3. Policy objective
 
 
 The objective of the scheme is to encourag e investments in laboratory equipment and 
introduction of quality assurance systems with the aim of accreditation of laboratories.  4. Authority of subsidy
 
 
 Ministry of Commerce, Industry and Tourism 
 5. Form of subsidy
 
  The maximum amount that each applicant/laborator y, covered under this plan, can obtain is 
€200,000.  This amount covers the following: 
 
 (a) Laboratory equipment   The subsidy for equipment is 30 per cent.  Ma ximum subsidy for the laboratory equipment is 
€100,000.00. 
 
 (b) Buildings   The subsidy for buildings is 30 per cent of th e expenditure with maximum limit of €170 per 
square metre and €68,000 in total. 
 
 (c) Accreditation 
  The maximum subsidy for accreditation is €32.000, 00 and is divided into two categories: 
  (i) 50 per cent of the cost for consultin g services with maximum limit of €20,000; 
 (ii) 50 per cent of the cost for accred itation with maximum limit of €12,000. 
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  6. To whom and how the subsidy is paid
 
  Beneficiaries are existing and newly established laboratory units. 
 7. Amount of subsidy
 
 
 The following amounts have been given und er this plan, which is valid until 
31 December 2010:   Total payment in: 2007:  No plan 
  2008:  €0 
8. Duration of subsidy
 
  From 1 January 2008 until 31 December 2010  
9. The trade effects of the subsidy
 
  No effects on international trade.  
XV. GRANT FOR CONTROL QUALITY ABROAD (LABORATORY TESTING 
ABROAD) 
1. Title of subsidy
 
  Grant for Control of Quality (laboratory testing) abroad.  2. Period covered by notification
 
 
 2007-2008  3. Policy objective
 
  The objective of the scheme is to subsidise co sts for quality control testing abroad, in the 
cases where such testing is not available in Cyprus. 
 4. Authority of subsidy
 
  Ministry of Commerce, Industry and Tourism 
 
5. Form of subsidy
 
  The grant is 50 per cent of the laboratory testi ng abroad.  The amount of grant is limited to 
€187,946 per applicant/laboratory.  The current subsidy plan is valid until 31 December 2011. 
 
6. To whom and how the subsidy is paid
 
  Beneficiaries;  existing and newly established laboratory units.   G/SCM/N/186/EEC/Add.4 
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  7. Amount of subsidy  
  Under this plan no subsidies have been given yet.   Total payment in: 2007:  CYP 13,879 
  2008:  €0 
 8. Duration of subsidy
 
  The scheme was introduced on the 16 May 2007 and is valid until 31 December 2011. 
 
9. The trade effects of the subsidy
 
  No effects on international trade.  XVI.  PROGRAM FOR THE CREATION AND OPERATION OF BUSINESS 
INCUBATORS 
1. Title of subsidy
 
  Program for the creation and operation of Business Incubators.  
2. Period covered by notification
 
  2007-2008  3. Policy objective
 
 
 To create four incubators which will host new inventors in the early stages in order to materialise, develop and trade their innovative id eas and thus create new high technology enterprises. 
 4. Authority of subsidy
 
 
 Ministry of Commerce, Industry and Tourism (Council of Ministers Decisions No. 52.310 of 
30 August 2000, 54.599 of 28 November 2001, and 64.954 of January 2007).  5. Form of subsidy
 
 
 The following grants were provided: 
  (a) Grant towards operating expenses and pur chase of equipment (aid covered by the 
de minimis rule).  This grant will not ex ceed the ceiling of £57,000 over a period of 
three years; 
 
 (b) grant for small and medium enterprises - investment aid (15 per cent for small 
companies and 7 per cent for medium companies. 
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  6. To whom and how the subsidy is paid
 
  To individuals or legal entities or partnerships  engaged with a contract with the Government 
of the Republic of Cyprus after a press release and a selection procedure.  The Ministry of Commerce, Industry and Tourism received ten applications wh ich were evaluated using the following criteria: 
 
 (a) Experience of applicant in industrial issues and/or creation/operation of business 
incubators and/or similar projects (dur ation of experience, number and size of 
projects); 
 
 (b) organizational structure of private company/organization (type, range of activities, 
size, organisation, composition of firm, image); 
  (c) qualifications and experience of the pers onnel that will be involved in the project; 
 
 (d) installations of private company/orga nization (building facilities and equipment); 
  (e) implementation plan of the project (area of specialisation and the possible benefits for 
the local economy will be considered); 
  (f) financial health/ability to finance the program/project. 
 
 Only the applications that secured the minimum acceptable score for the above criteria, were 
further evaluated on the basis of the economic criteria and as a result four were selected.  7. Amount of subsidy
 
 
 Total payment in: 2007:  CYP 19,000  Total payment in: 2008:  €0  8. Duration of subsidy
 
 
 Four years, with one year extension after a Ministerial Council Decision (No. 64.954 of 
January 2007), on a yearly basis.  The Program ended on 31 December 2007.  9. The trade effects of the subsidy
 
 
 No effects on international trade. 
 
XVII.  PROGRAM FOR THE CREATION OF NEW ENTERPRISES OF HIGH 
TECHNOLOGY AND INNOVATION THROUGH THE INSTITUTION OF BUSINESS INCUBATORS 
1. Title of subsidy
 
 
 Program for the Creation of New Enterprises of High Technology and Innovation through the 
Institution of Business Incubators.  2. Period covered by notification
 
 
 2007-2008   G/SCM/N/186/EEC/Add.4 
 Page 21 
 
 
  3. Policy objective  
  To promote the development of high technology enterprises.  4. Authority of subsidy
 
 
 Ministry of Commerce, Industry and Tourism (Council of Ministers Decisions No. 52.310 of 30 August 2000 54.599 of 28 November 2001, and 64.954 of January 2007). 
 5. Form of subsidy
 
 
 The following grants are provided:   (a) Grant towards operating expenses and pur chase of equipment (aid covered by the 
de minimis rule).  This grant will not ex ceed the ceiling of €200,000 over a period of 
three years. 
 6. To whom and how the subsidy is paid
 
  Individuals or small groups of individuals are entitled to participate in the Programme by submitting a business plan meeting the selection criteria specified here below.  Applications that are 
submitted by groups of individuals that include no n-Cypriots inventors shall also be considered. 
 
• Innovation. 
 
• Technological viability. 
 
• Marketability of the idea. 
 
• The possibility to develop the idea within  the budget and time framework described 
in the project proposal. 
 
• The suitability and adequacy of the team w ith regard to the scientific and business 
requirements of the project. 
 7. Amount of subsidy
 
 
 Total payment in 2007:  CYP 840,508  Total payment in 2008:  €1,268,056  8. Duration of subsidy
 
 
 2003-2007 (payments in 2008 refer to projects approved in year 2007).  9. The trade effects of the subsidy
 
  No effects on international trade. 
 G/SCM/N/186/EEC/Add.4 
Page 22  
 
  XVIII.  PROMOTION OF HANDICRAFTS 
1. Title of subsidy
 
  Promotion of Handicrafts  
2. Period covered by notification
 
  2007-2008  3. Policy objective
 
 
 Promotion of Cypriot cultural inheritance through popular art.  4. Authority of subsidy
 
 
 Ministry of Commerce, Industry and Tourism.   Funds annually approved by the Council of 
Ministers through the Government Budget.  5. Form of subsidy
 
  Training of local craftsmen and promotion of items made by them. 
 
6. To whom and how the subsidy is paid
 
  Local craftsmen (in the form of services).  
7. Amount of subsidy
 
  Total payment in 2007:  CYP 554,600  Total payment in 2008:  €975,611  8. Duration of subsidy
 
 
 The scheme will be in existence until 31 December  2012.  On that date it will be re examined 
whether it will continue.  9. The trade effects of the subsidy
 
 
 No effects on international trade.  
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