. /.  WORLD TRADE  
ORGANIZATION  G/SCM/N/123/FJI 
G/SCM/N/128/FJI 4 July 2005 
 
(05-2910) 
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  
 
Extension Under SCM Article 27.4 of the Transition Period for the  
Elimination of Export Subsidies Pursuant to the Procedures  
in Document G/SCM/39  
 
FIJI 
   The following communication, dated 30 June 200 5, has been received from the Ministry of 
Foreign Affairs and External Trade in Fiji. 
 
_______________ 
 
  In accordance with paragraph 10.6 of the D ecision of Implementation-Related Issues and 
Concerns (WT/MIN(01)/17) and with reference to document G/SCM/39 adopted by the Fourth 
Ministerial Conference, held from 9 to 14 Novemb er 2001 in Doha, Qatar, and further to our 
notification dated 24 June 2004, the Government of the Republic of the Fiji Islands wishes to submit 
hereunder updated informa tion about the programmes for which extensions are being sought under 
Article 27.4 of the Agreement on Su bsidies and Countervailing Measures. 
  Short-Term Export Profit Deduction  
 
 The "Short-Term Export Profit Deduction" scheme was introduced as a transitional measure to address the issue of income tax exemptions offe red to exporters by progressively bringing exporters 
under the standard tax regime over time. 
 
 Qualifying companies were exempt from income tax in 2002.  Export income has since 2003 been subject to tax, according to the schedule set out in the table below: 
 
Year Taxable income 
2001-2002 0% 
2003-2004 25% 
2005-2006 50% 
2007-2008 75% 
2009 100% 
 
 There has been no change to this scheme since Fiji's last notification. 
 G/SCM/N/123/FJI 
G/SCM/N/128/FJI Page 2 
 
 
  Export Processing Factories/Ex port Processing Zones Schemes  
 
 The Government of Fiji had given a clear indica tion of its intentions with regard to the Tax 
Free Factories/Tax Free Zones Scheme in the 2001 B udget.  Essentially, no further approvals have 
been/will be given after 31 December 2000 to companies applying to operate under the Scheme, 
which grants a company exporting 70 per cent or mo re of its products Fiscal Duty, Valued-Added Tax 
and Income Tax exemptions for a period of 13 years.  However, given that some companies were given approvals prior to 31 December 2000, the Sc heme is most likely to cease on 2014 or earlier.   
  There has been no change to this scheme since Fiji's last notification. 
 
 Audio-Visual Concessions 
 
 The Film-Making and Audio-Visual Incen tives Amendment Decree 2000 was promulgated 
on 18 May 2001 together with the Fiji Audio Vi sual Commission Decree 2000, to facilitate the 
establishment and development of th e audio-visual industry in Fiji. 
  The Decree provides the fiscal incentives, esp ecially for employees of non-resident film 
companies, for those investing in audio-visual productions, companies operating from the studio city 
zone and its residents. 
 
 There has been no added incen tive to these concessions. 
 
 No new subsidies have been provided  since Fiji's last notification. 
 
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