WORLD TRADE
ORGANIZATIONG/AG/N/AUS/43
29 August 2002
(02-4626)
Committee on Agriculture Original:  English
NOTIFICATION
The attached notifications concerning new or modified domestic support measures exempt
from reduction ( Table DS:2 ) were received from the delegation of Australia on 26 August 2002.G/AG/N/AUS/43
Page 2
Table DS:2
DOMESTIC SUPPORT:  Australia
Notification under Article 18:3 of the Agreement:
New or modified domestic support me asures exempt from reduction
(1) Full title of measure:   New Industries Development Program (NIDP)
(2) Domestic legislation:   Nil
(3) Detailed description of measure with reference to criteria:
The main activity of the NIDP is to assist in strengthening the capability of Australian
agribusiness in the development and pilot commercialisation of new agribusiness products,
services and technology.
This program is exempt from reduction commitment consistent with paragraph 5 – Direct
Payments to Producers – of Annex 2 of the Agreement on Agriculture and its criteria are as
follows:
Annex 2:1 Source and type of funds:
The funding in question is provided through Commonwealth government funds and does not
have the effect of providing price support to producers.
Para. 6 b), c) and d)  Basis of Payments:
The NIDP provides funding assistance based on specific criteria.  To be eligible, recipients
must be a sole trader, partners to a partnership, individual rural producers or a group of ruralproducers, or a company incorporated in Australia involved in business activities in Australia.
Applicants are eligible to apply for be tween $30,000-$100,000 per Pilot Commercialization
Project (PCP) on a matched dollar for dollar basis with the applicant, for "pilot
commercialization" of new agribusiness products, technologies and services.  Maximum
NIDP contribution is 50 per cent of the total eligible items or $100,000 which ever is thelesser.
In-Market Experience Scholarships are also available to be used for developing new skills,
expanding contacts and sourcing information to assist in assessing the feasibility of
developing a plan for the commercialisation of a new agribusiness product, service ortechnology.
Payments are not conditional on production, prices, or factors of production.
Para. 6 e) Production requirement:
No specified level of production is required to qualify for the payment.
(4) Cost of measure:  Pilot Commercialization Projects $2.7m;  Scholarships $92,630.
(5) Date of entry into effect:   1 July 1999
(6) Period of application:   3 years
(7) Products to principally benefit (if any individual product(s)):  Measure is not product-
specific.G/AG/N/AUS/43
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Table DS:2
DOMESTIC SUPPORT:  Australia
Notification under Article 18:3 of the Agreement:
New or modified domestic support me asures exempt from reduction
(1) Full title of measure:  Food and Fibre Chains Program
(2) Domestic legislation:  Nil
(3) Detailed description of measure with reference to criteria:
The Food and Fibre Chains Program provides support to a number of food and fibre projects
to ensure producers better meet customer requirements by facilitating the uptake of innovativesupply chain practices.
This program is exempt from reduction commitment consistent with paragraph 5 – Direct
Payments to Producers – of Annex 2 of the Agreement on Agriculture and its criteria are as
follows:
Annex 2:1 Source and type of funds:
The support in question is provided through government funds and does not have the effect of
providing price support to producers.
Para. 6 b), c) and d)  Basis of Payments:
Eligibility for funding is based on set selection criteria.  To receive funding businesses needto show direct participation in a demand driven  chain.  The chain must involve at least two or
more businesses at different levels in the chain, which could include primary producers, food
or fibre manufacturers, packers, distributors and transport and logistics businesses, retailers
and food service providers.  Applications are considered on the basis of proposed project
plans and costing.  Funding involves a one-off payment, which may take the form of initialassistance (typically around $30,000, on a matching basis) or principal funding (on a
matching basis up to $200,000).  Payments are not conditional on production, prices, or
factors of production.
Para. 6 e) Production requirement:
No specified level of production is required to qualify for the payment.
(4) Cost of measure:  $9.2 million over 3 years.
(5) Date of entry into effect:   July 1999
(6) Period of application:   3 years
(7) Products to principally benefit (if any individual product(s)):   Measure is not product-
specific.G/AG/N/AUS/43
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Table DS:2
DOMESTIC SUPPORT:  Australia
Notification under Article 18:3 of the Agreement:
New or modified domestic support me asures exempt from reduction
(1) Full title of measure:  Dairy Regional Assistance Program (Dairy RAP)
(2) Domestic legislation:   Nil
(3) Detailed description of measure with reference to criteria:
Dairy RAP is a component of the Dairy Indus try Adjustment Package and is designed to
assist regional communities that have been affected by the removal of state market milk price
regulations.
The primary objectives of the program are to:
• Supplement investment by businesses in the dairy affected regions to create long term
employment in the regions;  and
• Support the provision of community infrastructure and community access to training
and counselling services that facilitate economic and social adjustment leading to
ongoing regional benefits in the affected regions.
This program is exempt from reduction commitments consistent with paragraph 5 – Direct
Payments to Producers – of Annex 2 of the Agreement on Agriculture and its criteria are as
follows:
Annex 2:1 Source and type of funds:
The support in question is provided through Commonwealth government funds and does not
have the effect of providing price support to producers.
Para. 6 b), c) and d)  Basis of Payments:
Eligibility for the payment is based on bein g located in a dairy dependent community and
being significantly affected by the deregulation of the dairy industry.  Eligible recipients arecooperatives, commercial operators and not-for-profit organizations.  In addition, the
maximum Dairy RAP contribution is 50 per cent.  Where payments are specifically to
agricultural enterprises, they are generally provided on a one-off basis for specific projects in
the form of seed funding.
Payments are not conditional on production, prices, or factors of production.
Para. 6 e) Production requirement:
No specified level of production is required to qualify for the payment.
(4) Cost of measure:   $65 million
(5) Date of entry into effect:   July 2000G/AG/N/AUS/43
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(6) Period of application:   3 years
(7) Products to principally benefit (if any individual product(s)):   Measure is not product-
specific.
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