RESTRICTEDWORLD TRADE
ORGANIZATIONG/SCM/Q3/VCT/5
18 April 2002
(02-2141)
Committee on Subsidies
and Countervailing MeasuresOriginal:  English
SUBSIDIES
Requests Pursuant to Article 27.4 of the Agreement
on Subsidies and Countervailing Measures
Questions Posed by the UNITED STATES Regarding the
Notification of SAINT VINCENT AND THE GRENADINES1
The following communication, dated 16 April 2002, has been received from the Permanent
Mission of the United States.
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The following questions are submitted with respect to the request for extension of the
transition period for export subsidies under Article 27.4 of the Agreement on Subsidies and
Countervailing Measures Agreement (ASCM).  Thes e questions are preliminary in nature and are
submitted without prejudice to our final position.  We reserve the right to ask further questions.
Fiscal Incentives Act No. 5 of 1982
1. Because exemptions from import duties and internal taxes under this programme are granted
for up to 15 years, please explain how St. Vincent would modify these programmes so that subsidies
do not extend beyond any extension period provided.
2. In light of the local value-added requirements for some of the benefits provided under this
programme, please comment on whether this programme constitutes a prohibited subsidy under
Article 3.1(b) of the Agreement on Subsidies and Countervailing Measures.
3. Please provide the customs duty and internal tax rates companies would normally pay absent
this programme.
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1 G/SCM/N/74/VCT, G/SCM/N/71/VCT