WORLD TRADE  
ORGANIZATION             G/AG/N/CYP/15 
19 May 2005 
 (05-2030) 
Committee on Agriculture Original:   English 
  
 
NOTIFICATION 
  
 The following submission, dated 11 May 2005, is  being circulated at the request of the 
Delegation of Cyprus .  The notification concerns domestic support commitments ( Table DS:1  and 
the relevant Supporting Tables) for the calendar year 2003 .  
 G/AG/N/CYP/15 
Page 2 Table DS:1 
DOMESTIC SUPPORT:  Cyprus 
 
REPORTING PERIOD:  Calendar year 2003 
 
Current Total Aggregate Measurement of Support 
 
Total AMS commitment level for period in 
question Currency Current Total AMS 
(from Section I of Part IV of the Schedule) (from Section I of Part IV of the Schedule) (from attached Supporting Tables) 
1 2 3 
51.4 Million £C 40.96 
  
  G/AG/N/CYP/15
 Page 3Supporting Table DS:1 
DOMESTIC SUPPORT:  Cyprus 
 
REPORTING PERIOD:  Calendar year 2003 
 
Measures exempt from the reduction commitment - "Green Box" 
 
Measure type Name and description of measure with reference to criteria in Annex 2 Monetary value of measure 
in year in question 
(£C) Data sources 
1 2 3 4 
(a) Total general services  75,033,156  
 (i) Research services 
Research, including general research, res earch in connection with environmental 
programmes, and research programmes relating to particular products. 4,328,346 Budgets 
 (ii) Pest and disease control services 
Pest and disease control, incl uding general and product-specif ic pest and disease control 
measures, such as early warning systems, quarantine and eradication. 154,261 " 
 (iii) Training services 
Agricultural training services provided by the Ministry of Agriculture, Natural Resources 
and Environment to all farmers. 74,349 " 
 (iv) Extension and advisory services 
Extension and advisory services provided by th e Ministry of Agriculture to all farmers. 9,499,276 " 
 (v) Inspection services 
Inspection of agricultural produce, including general inspection services and the 
inspection of particular products for health, safety, grading or standardization purposes. 183,498 " 
 (vi) Veterinary services 
Veterinary services, including veterinary public health, extensi on services, disease 
control, veterinary inspection services, quarantine services, etc. 7,890,254 " 
 (vii) Marketing and promotion services 
Expenses for providing general marketing an d promotion services by the Ministry of 
Commerce, Industry and Tourism. 
Expenses for providing marketing and pr omotion services by the Vine Products 
Commission.  
1,302,045 
 
975,000 "  
 G/AG/N/CYP/15 
Page 4 1 2 3 4 
 (viii) Infrastructural services 
Capital expenses for providing for: 
- Rural development 
- Water development (dams, water trea tment works, water supply, etc.)  
- Land consolidation works 
- Development of livestock areas and z ones and other infrastructural works for 
livestock (including works for environmental prot ection such as treatment of waste, etc.). 50,626,127 Budgets 
(b) Total public stockholdings for food security purposes  7,413,133  
 Cyprus Grain Commission Serv ices (operational expenses) 
The Cyprus Grain Commission, among other things , also fulfils a public stockholding role for 
food security purposes by managing and contro lling the import, storage and distribution of 
grains. 7,413,133 Cyprus Grain 
Commission 
(c) Total payments for relief from natural disasters  20,118,873  
 (i)  Compensation through the Agricultural Insurance Organization 
Compensation paid by the Government for the exceptional drought conditions and other natural 
disasters which prevailed in 2002.  The compensation includes (a) the contribution of the 
Government to the Agricultural Insurance Scheme and (b) the additional compensation which 
was paid to farmers due to exceptional drought conditions, hail storms, frost, etc.  For the 
additional compensation, the Agricultural Insurance Organization borrowed from the 
Cooperation Central Bank and the Gove rnment undertook loan repayments. 11,822,408 Budget 
Department of  
Agriculture 
 (ii)  Other compensations due to natural disasters1 
Compensation for major non-insured risks and disast ers affecting agriculture (e.g. major fires, 
floods, plant disease outbreaks, etc.) 8,296,465 Department of  
Agriculture 
(d) Total structural adjustme nt assistance conforming to Annex 2, para graph 10 of the Agreement on Agriculture 1,135,802  
 Package of measures to limit/sta bilize dairy and beef production 
Cyprus Notification on package of measures to limit/stabilize dairy and beef production is 
relevant.2 1,135,802 Department of 
Agriculture  
  G/AG/N/CYP/15
 Page 51 2 3 4 
(e) Total regional assistance programmes 2,333,889  
 Acreage payments to farmers in a disadvantaged region 
The mountainous and hilly area in the Limassol and Paphos districts of Cyprus (traditionally 
referred to as the wine-growing area because it was used solely for this purpose since ancient 
times) is a disadvantaged area with very low production potential because of poor shallow and 
calcareous soils.  A subsidy is pa id annually on a per hectare basis to all farmers.  Since vine 
growing is almost a monoculture in this region, the subsidy cove rs all registered vineyards.  
New vineyards are excluded.  To the extent that farmers grow additional crops (e.g. olives and 
almonds) they receive e quivalent assistance. 2,333,889 Vine Products 
Commission 
   
Total for all exempt measures of Supporting Table DS:1 106,034,853  
    
 
1 Paragraph 8(a), Annex 2, Agreement on Agriculture. 
2 Notification G/AG/N/CYP/2 concerning new or modified domestic support measur es exempt from reduction is relevant.  
 G/AG/N/CYP/15 
Page 6 Supporting Table DS:2 
DOMESTIC SUPPORT:  Cyprus 
 
REPORTING PERIOD:  Calendar year 2003 
 
Measures exempt from the reduction co mmitment Special and Differential Tr eatment – "Development Programmes" 
 
Measure type Name and description of measure with reference to criteria in Article 6.2 Monetary value of 
measure in year in 
question 
(£C) Data sources 
1 2 3 4 
(a)  Total investment subsidies generally available to agriculture 3,968,759  
 (i) Subsidies for piping, irrigation equipm ent and installation of improved irrigations 
systems. 
Provision by the Department of Agriculture , of financial support, to farmers of 
mountainous and semi-mountainous areas for piping, irrigation equipment and 
installation of improved irrigation systems. 16,073 Department of Agriculture 
 (ii) Subsidies for soil conservation works. 
Provision of financial assistance by th e Department of Agriculture for the 
construction of soil conservation wo rks for agricultural development. 210,750 " 
 (iii) Subsidies for citrus, deciduous and vines uprooting and/or replanting. 
Provision of financial support by the Department of Agriculture for the 
restructuring of agricultural crops. 2,248,691 Department of Agriculture 
Vine Products Commission 
 (iv) Purchase of animals. 
Subsidization of the purchase of selected breeding stock for livestock 
improvement.  
Subsidization of the purchase of genetica lly improved sows (hybrits) in order to 
encourage the genetic improveme nt of the swine population. 46,430 Department of Agriculture 
 (v) Conservation of rare breeds of farm animals. 
Subsidization of the conservation of rare breeds of farm animals 22,500 " 
 (vi) Subsidies for integrat ed livestock development. 
Payments to livestock keepers for the relocation of livestock units from residential 
areas to livestock areas/zones. 
Subsidies on the interest of loans made for the relocation and modernization of 
livestock units. 
Subsidization of expenditure for th e establishment of units for the 
treatment/utilization of swinery waste/effluent. 
Subsidies for the expenditure for the establishment of liquid feeding systems for 
the utilization of whey for pig/cow feeding. 674,315 "  
  G/AG/N/CYP/15
 Page 71 2 3 4 
 (vii) Subsidies for the modernization and improvement of farms in the crop production 
sector. 
Provision by the Department of Agriculture of subsidies on the interest of loans in 
order to encourage the technological upgr ading, modernizati on and improvement 
of farms in the crop production sector. 750,000 Department of Agriculture 
 (viii) Low interest loans issued by the Cooperative Central Bank on behalf of the 
government. 
Agricultural loans were medium-term and l ong-term loans issued to farmers at a 
subsidized interest rate of 5%, as from 1994 (it was previously 7%).  It is noted 
that the legal binding rate has been reduced from 9% to around 6%. 
 In 2003, total loans disbursed through ag ricultural development projects were 
£C 29,600.  Subsidized credit was avai lable through the following agricultural 
development projects: 
 
- Encouragement of young people to remain in rural areas 
 n.a. Loan Commissioners 
Cooperative Central Bank 
(b)  Total input subsidies ge nerally available to low-income or resource-poor producers 2,529,567  
 (i) Subsidies for the encouragement of forage cultivation and hay making. 
Provision of subsidies to farmers for forage  cultivation (pasture development), for 
silage and mainly for the production of  hay with the objective to encourage 
livestock keepers to use hay as feed, in pr oper quantities, thus replacing barley and 
other concentrates.  2,492,563 Department of Agriculture 
 (ii) Subsidies to plant protection associations. 
Provision of subsidies to plant protection associations which cover part of the 
expenses for pest and disease control, mainly for grapes and olives. 37,004 " 
    
Total for exempt measures, special and differential treatment  6,498,326  
    
  
 G/AG/N/CYP/15 
Page 8 Supporting Table DS:4  
DOMESTIC SUPPORT:  Cyprus 
 
REPORTING PERIOD:  Calendar year 2003 
 
Calculation of the Current Total Aggregate Measurement of Support 
 
Description of basic products  
(including non-product-specific  
AMS) Product-specific AMS (from Supporting 
Tables DS:5 to DS:7 below) 
 
(£C) Product-specific equivalent 
measurements of support (from 
Supporting Table DS:8 below) 
(£C) Current Total AMS (aggregate) 
 
 
(£C) 
1 2 3 4 
Wheat 1,203,255   1,203,255  
Barley 14,007,023   14,007,023  
Wine grapes 2,371,990   2,371,990  
Livestock products (Feedgrain s ubsidy) 9,359,064   9,359,064  
Potatoes 3,659,882   3,659,882  
Edam cheese 561,423   561,423  
Tobacco 787,000   787,000  
Carobs 371,927   371,927  
Apples 1,124,809   1,124,809  
Arable crops 356,809   356,809  Beetroots 180,000   180,000  
Raisins  7,628   7,628  
Olive oil  6,969,211 6,969,211 
    
Non-product-specific AMS   0 
    
Total:  Current Total AMS 33,990,810 6,969,211 40,960,021 
  
  G/AG/N/CYP/15
 Page 9Supporting Table DS:5 
DOMESTIC SUPPORT:  Cyprus 
 
REPORTING PERIOD:  Calendar year 2003 
 
Product-Specific Aggregate Measurements of Support:  Market Price Support 
 
Description of basic 
products Calendar year 
2003 Measure type(s) Applied 
administered 
price 
 
 
 
(£C/tonne) External 
reference 
price 
(generally 
from 
AGST/…) 
(£C/tonne) Eligible 
production 
  
 
 
(tonnes) Associated 
fees/levies 
  
 
 
(£C) Total market 
price support 
  
 
 
(£C) Data sources 
1 2 3 4 5 6 7 8 
(4-5)*6)-7 9 
Wheat 
(10.01)  Fixed producer 
prices 152.25 CIF 63.121 13,500  1,203,255 (a) Depa rtment of Statistics 
and Research, Ministry of 
Finance 
(b) Imports and Exports 
Statistics 1986-1988, Nicosia, Department of 
Statistics and Research, 
Ministry of Finance. 
(c) Cyprus Grain 
Commission 
Barley 
(10.03)  Fixed producer 
prices 132.5 CIF 38.432 148,900  14,007,023 " 
 
1External reference pric e used £C 63.12/tonne. 
2External reference pric e used £C 38.43/tonne.  
 G/AG/N/CYP/15 
Page 10 Supporting Table DS:6 
DOMESTIC SUPPORT:  Cyprus 
 
REPORTING PERIOD:  Calendar year 2003 
 
Product-Specific Aggregate Measurements of Support:  Non-Exempt Direct Payments 
 
Description of 
basic product Calendar 
year 2003 Measure type(s) Applied 
administered 
price 
  
(£C/tonne) External 
reference price 
(generally from 
AGST/…) 
 
(£C/tonne) Eligible 
production
 
  
(tonnes) Total price-
related direct 
payments 
  
(£C) Other non-
exempt direct 
payments 
  
(£C) Associated 
fees/levies
 
  
(£C) Total 
direct 
payments
  
(£C) Data sources 
1 2 3 4 5 6 7 
((4-5)*6)) 8 
 9 10 
(7+8-9) 11 
Wine grapes 
(wine of fresh 
grapes 22.04) 
  (i) Subsidy by weight 
of wine grapes 
(ii) Subsidy on 
Commandaria wine, 
by volume     2,324,005
47,985  2,324,005
47,985 Final Accounts, 
Vine Products 
Commission. 
(Budgetary 
outlays) 
Edam cheese )
Tobacco )
Carobs )Potatoes )
Apples )
Arable crops )
Beetroots )
Raisins )  Product-specific 
direct payments     561,423
787,000
371,927
3,659,882
1,124,809
356,809
180,000
7,628  561,423
787,000
371,927
3,659,882
1,124,809
356,809
180,000
7,628 Treasury, 
Ministry of 
Finance 
Citrus ) 
Fruit from deciduous 
trees other than 
apples ) 
Watermelons ) 
Onions ) 
Sheep and goat 
products )  Product-specific 
direct payments 
de minimis1     1,313,873
397,590
179,860
9,357
2,485,360  1,313,873
397,590
179,860
9,357
2,485,360 Treasury, 
Ministry of 
Finance, 
Department of 
Statistics and 
Research, 
Ministry of 
Finance 
1 Support does not exceed 10 per cent of total value of production of each of these products for th e relevant year.  Under the p rovisions of Article 6.4 of the Agreement on Agriculture, 
support falling below the de minimis  level need not be included in the calculation of the Current Total AMS .  
  G/AG/N/CYP/15
 Page 11Supporting Table DS:7 
DOMESTIC SUPPORT:  Cyprus 
 
REPORTING PERIOD:  Calendar year 2003 
 
Product-Specific Aggregate Measurements of Support:  Other Product-Specific Support and Total Product-Specific AMS 
 
Description of 
basic product Calendar year 
2003 Measurement 
type(s) Other 
product-
specific 
budgetary 
outlays Other product-
specific support 
(include 
calculation 
details) Associated 
fees/levies 
  
 
(£C) Total 
other 
product-
specific 
support Market 
price 
support 
(Supporting 
Table DS:5)
(£C) Non-exempt 
direct 
payments 
(Supporting 
Table DS:6)
(£C) Total AMS
 
  
 
(£C) Data sources 
1 2 3 4 5 6 7 
(4+5-6) 8 
 9 10 
(7+8+9) 11 
Wine grapes 
(wine of fresh 
grapes 22.04) - Subsidy by weight of wine 
grapes 
- Subsidy on Commandaria wine, 
by volume      2,371,990 2,371,990 Final Accounts 
Vine Products 
Commission. 
(Budgetary outlays) 
Wheat (10.01) Fixed producer prices     1,203,255  1,203,255 
Barley 
(10.03) Fixed producer prices     14,007,023  14,007,023 (a) Department of 
Statistics and 
Research, Ministry 
of Finance 
(b) Imports and 
Exports Statistics 
1986-1988, Nicosia, 
Department of 
Statistics and 
Research, Ministry 
of Finance 
(c) Cyprus Grain 
Commission 
 
 G/AG/N/CYP/15 
Page 12 1 2 3 4 5 6 7 
(4+5-6) 8 
 9 10 
(7+8+9) 11 
Livestock products  Feedgrain 
subsidy 9,359,064   9,359,064   9,359,064 
Meat (beef, mutton 
and lamb, goats and 
kids, pork, poultry, 
other meat), milk, 
eggs*         Cyprus Grain 
Commission 
*The fixed external reference pr ice used was:  £C 58.11/tonne. 
 
Edam cheese )
Tobacco )
Carobs )
Potatoes )
Apples )
Arable crops )
Beetroots )
Raisins )  Product-specific 
direct payments      561,423
787,000
371,927
3,659,882
1,124,809
356,809
180,000
7,628 561,423
787,000
371,927
3,659,882
1,124,809
356,809
180,000
7,628 Treasury, Ministry 
of Finance 
Citrus )
Fruit from 
deciduous trees other than apples)
Watermelons )
Onions )
Sheep and goat 
products )  Product-specific 
direct payments
de minimis
1 
 
 
 
 
      1,313,873
397,590
179,860
9,357
2,485,360 0
0
0
0
0 Treasury, Ministry 
of Finance.  
Department of Statistics and 
Research, Ministry 
of Finance 
 
1 Support does not exceed 10 per cent of the total value of product ion of each of these products fo r the relevant year.  Under t he provisions of Article 6.4 of  the Agreement on Agriculture, 
support falling below the de minimis  level need not be included in the calculation of the Current Total AMS. 
 
 Estimated values of production for 2003 (provisional) (in £C) Citrus 21,604,000 
 Fruit from deciduous  trees other than apples 5,082,330 
 Watermelons 6,429,750 
 Onions 1,420,000 
 Sheep and goat products 44,325,000 (meat and milk only) 
  
 
  
  G/AG/N/CYP/15
 Page 13Supporting Table DS:8 
DOMESTIC SUPPORT:  Cyprus 
 
REPORTING PERIOD:  Calendar year 2003 
 
Product-Specific Equivalent Measurements of Support * 
 
Description 
of basic 
products Calendar 
year 2003 Measure 
type(s) Applied 
administered 
price 
 
 
 
(£C/tonne) Production 
eligible to 
receive the 
applied 
administered 
price 
(tonnes) Market 
price 
support 
budgetary 
outlays 
 
(£C) Equivalent 
measurement 
of support 
(include 
calculation 
details) Non-
exempt 
direct 
payments Other 
product-
specific 
support Associated 
fees/levees Total 
monetary 
value of 
equivalent 
commitment Data sources 
1 2 3 4 5 6 7 8 9 10 11 
(7+8+9-10) 12 
Olive oil  Fixed 
producer 
price 2,100 6,500** 6,969,211 6,969,211    6,969,211 Cyprus Olive 
Products 
Marketing 
Board. 
Department of Statistics and 
Research, 
Ministry of 
Finance. 
The Agricultural 
Situation in the 
European Union, 
1998 Report, 
European 
Commission, 
Brussels - 
Luxembourg, 
1999. 
External reference price 1998 (as from 1999 only Production Market Price exists):  1,751.60 ECU***/tonne or 1,027.81 £C/tonne ( intervention price 1997/98) 
 
 Notes
:  
* It is noted that with respect to equi valent commitments, Cyprus u ndertook a commitment only on the basis of the difference be tween future contemporaneous prices, i.e. future 
administered and future external reference prices. 
** Preliminary estimate. 
*** 1 Cyprus pound (£C)   = 1.7042 Euro (end December 2003). 
 
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