RESTRICTEDWORLD TRADE
ORGANIZATIONG/SCM/Q2/PRY/3
17 July 2001
(01-3520)
Committee on Subsidies
and Countervailing MeasuresOriginal:  English
SUBSIDIES
Questions Posed by the UNITED STATES Regarding the
New and Full and Updating Notifications of PARAGUAY1
The following communication, dated 14 July 2001, has been received from the Permanent
Mission of the United States.
_______________
The following are questions regarding the notification of Paraguay made pursuant to
Article XVI:1 of the GATT 1994 and Article 25 of the Agreement on Subsidies and Countervailing
Measures, in document G/SCM/N/3/PRY-G/SC M/N/16/PRY-G/SCM/N/25/PRY-G/SCM/N/48/PRY-
G/SCM/N/60/PRY-G/SCM/N/71 /PRY, dated 9 April 2001.
1. Can you please describe in detail the government-supported cotton regime in Paraguay?2. What supports are offered to cotton producers in Paraguay?3. Are these supports offered to all cotton producers - both large and small?4. On what terms does the Government of Paraguay extend credit to cotton producers?5. Are additional incentives or supports offered to producers who export their products?
6. Early last year (2000), it was reported that the government of Paraguay had promised
$230 million in state aid to its farmers over the next three years.  Was this aid granted to farmers?  If
so, how much was given?  Under what terms was the aid given?  Was the aid available to all farmers
or was it limited to specific sub-sectors of farming?  Was any aid granted based on a farmer’s ability,
expected ability or intention to export?
7. We understand that the government of Paraguay provides subsidized inputs, such as seed and
pest control products, to its farmers.  Can you please confirm whether this is correct?  What other
subsidized inputs does the government provide?  Are these inputs provided to all farmers?
8. Does the government of Paraguay continue to provide partial subsidies in the form of training
vouchers to its businesses?  If so, will you please provide full notification of this programme?
__________
                                                     
1 G/SCM/N/3/PRY-G/SCM/N/16/PRY-G/SCM/N/25/PRY-G/SCM/N/48/PRY-G/SCM/N/60/PRY-
G/SCM/N/71/PRY