WORLD TRADE G/SCM/N/9/ROM/Suppl.1
8January 1997
ORGANIZATION(97-0021)
Original: English Committee onSubsidies andCountervailing Measures
NOTIFICATIONS UNDER ARTICLE 29.3OFTHE
AGREEMENT ONSUBSIDIES AND COUNTERVAILING MEASURES
ROMANIA
Supplement
Thefollowing communication, dated 23December 1996, hasbeenreceived fromthePermanent
Mission ofRomania.
_______________
Thepresent notification supplements theinitial notification presented under Article 29.3of
theAgreement onSubsidies andCountervailing Measures circulated asdocument G/SCM/N/9/ROM
of31October 1996. Thisnotification iswithout prejudice tothelegalstatus ofthemeasures notified.
Thenotification refers tothespecial programme meant tosupport theeconomic andsocial
development ofthree disadvantaged counties ofRomania.
SPECIAL PROGRAMME ONCERTAIN MEASURES AND ACTIONS
FOR THE SUPPORT OFTHE ECONOMIC AND SOCIAL DEVELOPMENT OF
BOTOSANI, GIURGIU AND VASLUI COUNTIES
Trade Policy objectives oftheprogramme, including certain sectoral objectives (when these canbe
identified)
Themain objectives oftheprogramme arethefollowing:
- encourage investments, especially those creating newjobs;
- stimulate private initiatives forthedevelopment ofsmall andmedium-sized enterprises
inthefieldoflocalconstruction, transport, tourism, services;
- support theorganization ofpurchase andcommercialization centres ofagricultural
products;
- stimulate theassociation among agricultural landowners;
- encourage natural persons toestablish theirdomicile andtowork inruralsettlements
ofthedepopulated areas;
- protect environment;
- reduce unemployment.G/SCM/N/9/ROM/Suppl.1
Page2
Legislation
Government Decision No.1007-22October 1996approving theSpecial Programme oncertain
measures andactions forthesupport oftheeconomic andsocial development ofBotosani, Giurgiu
andVaslui counties, published inMonitorul Oficial -theOfficial Gazette ofRomania No.277-
6November 1996.
Level ofGovernment involvement intheimplementation oftheprogramme
TheGovernment allocates outoftheStatebudget theamounts necessary fortheachievement
oftheprogramme 'sobjectives. Therespective subsidies areadministered bythecompetent ministries
(Ministry ofFinance, Ministry ofFood andAgriculture, Ministry ofLabour andSocial Protection,
Ministry ofIndustry, Ministry ofRivers, Forests andEnvironment Protection) together withthe
prefectures, county andlocalcouncils.
Description ofthefinancing instruments usedintheprogramme
- encouraging investments inBotosani, Giurgiu andVaslui counties, especially those
creating newjobs,through deduction fromthetaxable profit, during thefirstfiveyears,
oftheexpenses fortheachievement ofinvestments bylegalpersons.
- taxexemption, foraten-year period, fortheinvestments setting upnewobjectives
inruralsettlements orre-set intooperation existing capacities processing agricultural
rawmaterials, zootechnical farms orunits providing services toagriculture;
- stimulation ofprivate initiatives forthedevelopment ofsmall andmedium-sized
enterprises inthefield ofconstruction, transport, tourism andservices, through
reductions by30percentofthetaxes andlocalduties;
- supporting theorganization ofpurchase andcommercialization centres foragricultural
products bygranting credits withinterests reduced by50percentascompared tothe
refinancing interest oftheNational Bank ofRomania;
- stimulating theprocess ofassociation ofagricultural landowners byexemptions from
thepaymentofthetaxonagriculturalrevenue,forafive-yearperiod,fortheagricultural
exploitations having anareaofatleast25-30 ha.;
- reduction by50percentofthelocaltaxesandduties, foraten-year period, fornatural
personsestablishingtheirdomicileandworkingintheruralsettlementofthedepopulated
areas.
Information onthetermination oftheprogramme
Theprogramme isdesigned togoonbeyond year2004.G/SCM/N/9/ROM/Suppl.1
Page3
(Unofficial translation)
GOVERNMENT DECISION NO.1007 -22OCTOBER 1996
approving theSpecial Programme
oncertain measures andactions forthesupport
oftheeconomic andsocial development ofBotosani, Giurgiu andVaslui counties
-EXCERPTS -
Art.1-Itishereby approved theSpecial Programme oncertain measures andactions forthe
support oftheeconomic andsocial development ofBotosani, Giurgiu andVaslui counties provided
forintheAnnexes Nos. 1,2and3which areanintegral partofthepresent decision.
Art.2-Theministries, prefectures, county andlocalcouncils shallendeavour tocarry out
themeasures andactions provided forinthespecial programme mentioned inArt.1andtoinclude,
withpriority, theinvestment objectives intheannual programmes, within thelimits ofthefinancial
resources allocated from theState budget andattracted from other sources.
SPECIAL PROGRAMME
oncertain measures andactions forthesupport
oftheeconomic andsocial development ofBotosani, Giurgiu andVaslui counties
- encouraging investments inBotosani, Giurgiu andVaslui counties, especially those
creating newjobs, through thededuction fromthetaxable profit, during thefirstfive
years, oftheexpenses fortheachievement ofinvestments bylegalpersons;
- taxexception, foraten-year period, forinvestors setting upnewobjectives inrural
settlements orre-set intooperation existing capacities processing agricultural raw
materials, zootechnical farms orunits providing services toagriculture;
- stimulation ofprivate initiative forthedevelopment ofsmall andmedium-sized
enterprises inthefieldoflocalconstructions, transports, tourism andservices, through
reductions by30percentofthetaxes andlocalduties;
- supporting theorganization ofpurchase andcommercialization centres foragricultural
products bygranting credits withinterests reduced by50percentascompared tothe
refinancing interest oftheNational Bank ofRomania;
- stimulating theprocess ofassociation ofagricultural landowners byexemptions from
thepayment ofthetaxonagricultural revenues forafive-year period, forthe
agricultural exploitations having anareaofatleast25-30 ha.;
- reduction by50percentofthelocaltaxesandduties, foraten-year period, fornatural
persons establishing their domicile andworking intherural settlements ofthe
depopulated areas.