RESTRICTED  WORLD TRADE  
ORGANIZATION  WT/ACC/SPEC/LAO/1/Rev.1 
6 May 2008 
 
 (08-2134) 
Working Party on the 
Accession of the Lao PDR Original:   English 
 
 
 
ACCESSION OF THE LAO PDR 
 
Domestic Support and Export Subsidies in the Agricultural Sector  
 
Revision  
  
 The following submission, dated 22 April 2008, is being circulated at the request of the Delegation of the Lao People's Democratic Republic (Lao PDR). 
 
 
_______________ 
  
  WT/ACC/SPEC/LAO/1/Rev.1 
Page 2 Supporting Table DS:1 
DOMESTIC SUPPORT:  LAO PEOPLE'S DEMOCRATIC REPUBLIC 
REPORTING PERIOD:  Fiscal years1 2001 - 2003 
 
Measures exempt from the re duction commitment – "Green Box" 
 
Measure type Description of the measure Monetary value of measure 
                     (Unit - US$)           (Unit - Kip)  Data sources 
1 2 3 4 
1. General services 
20012 221,137 1,961,706,327 
2002 1,056,881 10,627,995,336 (a) Research National Agriculture and Fore stry Research Institute research on 
all aspects of agriculture development and production, in 
accordance with Annex II:2(a) of the Agreement on Agriculture. 2003 1,036,147 10,950,001,496 
Total Average 771,388 7,846,567,719 Ministry of Agriculture 
and Forestry 
2001 394,319 3,498,003,849 
2002 2,487,172 25,011,001,632 (b) Pest and diseases 
control and 
inspection services Expenditure on plant and animal inspection and plant quarantine 
and animal health control, in accordance with Annex II:2(b) and 
(e) of the Agreement on Agriculture. 2003 2,397,426 25,335,997,968 
Total Average 1,759,639 17,948,334,483 Ministry of Agriculture 
and Forestry 
2001 284,523 2,524,003,533 
2002 2,024,662 20,360,001,072 (c)  Training services Expenditure on traini ng provided by agricultural schools, in 
accordance with Annex II:2(c) of the Agreement on Agriculture. 
2003 2,029,239 21,444,997,752 
Total Average 1,446,141 14,776,334,119 Ministry of Agriculture 
and Forestry 
2001 738,812 6,554,001,252 
2002 1,250,298 12,572,996,688 (d)  Extension and 
advisory services National Agriculture and Forestry  Extension Service activities, 
in accordance with Annex II: 2(d) of the Agreement on 
Agriculture. 2003 2,779,712 29,375,996,416 
Total Average 1,589,607 16,167,664,785 Ministry of Agriculture 
and Forestry 
2. Domestic distribut ion of food aid  
2001 56,363 499,996,173 
2002 29,833 300,000,648 (a) Domestic food aid Government expenses for the distribution of foreign aid (mainly 
food and seed) to alleviate the e ffects of natural disasters such 
as flood, drought and fire damage.  This includes Food for Work 
and Food for activities programmes under the World Food 
Programme, in accordance with Anne x II:4 of the Agreement on 
Agriculture. 2003 28,388 300,004,384 
Total Average 38,195 366,667,068 Ministry of Labour and 
Social Welfare 
 
                                                      
1 Fiscal Year is October to September. 
2 Exchange rate 2001=8,871 kip/US$; 2002=10,056 kip/US$; and 2003=10,568 kip/US$.  
   WT/ACC/SPEC/LAO/1/Rev.1
 Page 3Supporting Table DS:2 
DOMESTIC SUPPORT:  LAO PEOPLE'S DEMOCRATIC REPUBLIC 
REPORTING PERIOD:  Fiscal years 2001 - 2003 
 
Measures exempt from the reduction commitmen t - "Development Programmes" (Article 6.2) 
 
Measure type Description of the measure Monetary value of measure 
                     (Unit - US$)           (Unit - Kip)  Data sources 
1 2 3 4 
2001: N/A N/A 
2002: 1,530,158 15,387,268,848 
2003: 1,447,166 15,293,650,288 (a) Investment subsidies generally 
available to agriculture and input 
subsidies generally available to 
low-income or resource-poor 
producers Investment and operating credit at lower 
than normal market interest rates generally 
available to farmers and groups of farmers 
to promote agriculture production, in 
accordance with Artic le 6.2 of the 
Agreement on Agriculture. Average: 1,488,662 15,340,459,568 Ministry of Finance, Agriculture 
Promotion Bank, and Bank of 
Lao PDR 
2001: 158,610 1,407,029,310 
2002: 138,018 1,387,909,008 
2003: 146,470 1,547,894,960 (b) Input subsidies generally 
available to low-income or 
resource-poor producers Lower than normal market electricity rates 
for farmers in accordan ce with Article 6.2 
of the Agreement on Agriculture. 
Average: 147,699 1,447,611,092 Ministry of Industry and 
Handicraft and Electricity du Laos 
  
  WT/ACC/SPEC/LAO/1/Rev.1 
Page 4 Supporting Table DS:3 
DOMESTIC SUPPORT:  LAO PEOPLE'S DEMOCRATIC REPUBLIC 
REPORTING PERIOD:  Fiscal years 2001 - 2003 
 
Measures exempt from the reduc tion commitment - Direct Payments under Production- Limiting Programmes - "Exempt Direct Payments"  
 
Measure 
type Name and description of measure with reference to criteria in  
Article 6.5 of the Agreement on Agriculture Year Monetary value of measure Data sources 
1 2 3 4 5 
NIL 
  
   WT/ACC/SPEC/LAO/1/Rev.1
 Page 5Supporting Table DS:4 
DOMESTIC SUPPORT:  LAO PEOPLE'S DEMOCRATIC REPUBLIC 
REPORTING PERIOD:  Fiscal years 2001 - 2003 
 
Calculation of the Total Aggregate Measurement of Support 
 
Description of basic products (including 
non-product specific AMS) Products-specific AMS from 
Supporting Tables DS:5 to DS:7 Product-specific measurements of support 
(from Supporting Table DS:8) Current Total AMS 
(aggregate) 
1 2 3 4 
Product-specific AMS NIL NIL NIL 
Non-product-specific AMS   de minimis 
  
  WT/ACC/SPEC/LAO/1/Rev.1 
Page 6 Supporting Table DS:5 
DOMESTIC SUPPORT:  LAO PEOPLE'S DEMOCRATIC REPUBLIC 
REPORTING PERIOD:  Fiscal years 2001 - 2003 
 
Product-Specific Aggregate Measuremen ts of Support:  Market Price Support 
 
Description of 
basic products Fiscal year Measure type(s) Applied administered price External 
reference price Eligible 
production Associated 
fees/Levies Total market 
price support Data sources 
4 1 2 3 
US$/MT Kip/MT 5 
US$/MT 6 
MT 7 8 
{(4-5)x6}-7 9 
2001 169.093 1,499,997 260 1,403,9684  NIL 
2002 149.16 1,499,953 261 1,498,230  NIL Rice 
2003 Minimum farm 
gate price 
141.94 1,500,022 267 1,472,562  NIL Ministry of 
Commerce, 
Ministry of 
Agriculture and 
Forestry 
and University of 
Arkansas.  
FOB  price for 
low quality rice 
in Thailand. 
 
  
 
    
 
   
                                                     
 
3 1,500 kip/kg converted at the following exchange rates:  2001=8,871 kip/US$; 2002=10,056 kip/US$; 2003=10,568 kip/US$. 
4 Total value in US$ of rice production 2001:  321.3 million; 2002:  324.5 million; 2003:  308.7 million. 
Total value in US$ of agricultural production:  2001:  821.4 million; 2002:  832.8 million; 2003:  805.8 million. 
Note: Internal market prices remained above the minimum farm gate price throughout the base period. 
  
   WT/ACC/SPEC/LAO/1/Rev.1
 Page 7Supporting Table DS:6 
DOMESTIC SUPPORT:  LAO PEOPLE'S DEMOCRATIC REPUBLIC 
REPORTING PERIOD:  Fiscal years 2001 - 2003 
 
Product-Specific Aggregate Meas urements of Support:  Non-Exempt Direct Payments 
 
Description 
of basic 
products Period/year Measure 
type (s) Applied 
administered 
price External 
reference 
price Eligible 
production Total price 
related direct 
payments Other non-
exempt 
direct 
payments Associated 
fees/levies Total direct 
payments Data sources 
1 2 3 4 5 6 7 
(4-5)x6 8 9 10 
(7+8-9) 11 
NIL 
  
  WT/ACC/SPEC/LAO/1/Rev.1 
Page 8 Supporting Table DS:7 
DOMESTIC SUPPORT:  LAO PEOPLE'S DEMOCRATIC REPUBLIC 
REPORTING PERIOD:  Fiscal years 2001 - 2003 
 
Product-Specific Aggregate Measurements  of Support:  Other Product-Specific Support and Total Pr oduct-Specific AMS 
 
Description 
of basic 
products Period/year Measure 
type (s) Other 
product 
specific 
budgetary 
outlays Other 
product 
specific 
support Associated 
fees/levies Total other 
product 
specific 
support Market price 
support 
(Supporting 
Table DS:5) Non-Exempt 
direct 
payments 
(Supporting 
Table DS:6) Total AMS Data sources 
1 2 3 4 5 6 7 
(4-5)x6 8 9 10 
(7+8-9) 11 
NIL 
  
   WT/ACC/SPEC/LAO/1/Rev.1
 Page 9Supporting Table DS:8 
DOMESTIC SUPPORT:  LAO PEOPLE'S DEMOCRATIC REPUBLIC 
REPORTING PERIOD:  Fiscal years 2001 - 2003 
 
Product-Specific Equivalent Measurements of Support 
 
Description 
of basic 
products Period or 
year Measure 
type (s) Applied 
administered 
price Production 
eligible to 
receive the 
applied 
administered 
price Market 
price 
support 
budgetary 
outlay Equivalent 
measurement 
of support 
(include 
calculation 
details) Non-
exempt 
direct 
payment Other 
product 
specific 
support Associated 
fees and 
levies Total 
monetary 
value of 
equivalent 
commitment Data 
sources 
1 2 3 4 5 6 7 8 9 10 11 12 
NIL 
  
  WT/ACC/SPEC/LAO/1/Rev.1 
Page 10 Supporting Table DS:9 
DOMESTIC SUPPORT:  LAO PEOPLE'S DEMOCRATIC REPUBLIC 
REPORTING PERIOD:  Fiscal years 2001 - 2003 
 
Non-Product-Specific AMS 
 
Measure types Year or period Non-product-
specific 
budgetary outlay Other non-
product-specific 
support Associated 
fees/levies Total non-product-specific support 
 Data sources 
6  
(= 3+4-5) 1 2 3 4 5 
US$ Kip 7 
State-owned enterprise 
purchases farm products at 
market prices and sells them 
back into the domestic market 
at a later time in order to 
stabilise supplies and prices.  
The Government provided 
initial investment of 
US$19,5005 in 1994.  Since 
then the company has operated 
at a profit requiring no further 
government funding 2001 
2002 
2003 NIL 
NIL 
NIL NIL 
NIL 
NIL NIL 
NIL 
NIL NIL 
NIL 
NIL NIL 
NIL 
NIL Ministry of 
Commerce 
Irrigation subsidy  2001 
2002 
2003 
Total Average 1,674,110 
11,935,551 
11,763,995 
8,457,885 NIL 
NIL 
NIL 
NIL NIL 
NIL 
NIL 
NIL 1,674,110 
11,935,551 
11,763,995 
8,457,8856 14,851,029,810 
120,023,900,856 
124,321,899,160 
86,398,943,275 Ministry of 
Agriculture and 
Forestry 
 
                                                      
5 Exchange rate 1994:  717.5 kip/US$. 
6 De minimis.  
   WT/ACC/SPEC/LAO/1/Rev.1
 Page 11Supporting Table ES:1 
EXPORT SUBSIDIES:  LAO PEOPLE'S DEMOCRATIC REPUBLIC 
REPORTING PERIOD:  Fiscal years 2001 - 2003 
 
Export Subsidies:  Outlay and Quantity 
 
Description of 
products Direct export 
subsidies Sales of stocks Producer 
financed 
subsidies Cost reduction 
measures Internal 
transport 
subsidies Total product-
specific export 
subsidies Quantity of 
subsidized 
exports Data sources 
1 2 3 4 5 6 7 8 9 
NIL 
 
  
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