G/SCM/N/3/EEC
Page 562
Farm enterprises can obtain state guarantees for certain types of loans when the farmer sets up the
holding or improves the effectiveness in the agricultural holding. The guarantee
covers 75 per cent of the loan and usually makes it easier for the farmer to get a loan in
a bank. The farmer pays a fee of 1 per cent of the capital guaranteed to cover possible
losses for the State on guaranteed loans. The mobilization of a guarantee is subject to
specific conditions laid down by a contract. Several conditions have to be fulfilled in
order to obtain a State guarantee. The investment should i.a be desirable from a
public point of view (better environment, production balance etc.). The possibility for
effective and profitable production is considered. No guarantee is given to increased
production beyond family farm size nor to big units with pork, egg or poultry
production. The Swedish County Administrative Boards are responsible for the
administration of the guarantees.
8.1 State aid for farm relief services
(a) Form of subsidy
Grant
(b) Amount of subsidy
Fiscal year 1993/94 SKr 210 millions.
(c)Policy objective
Improved working conditions for farmers.
(d)Duration
Appropriations have been granted to the farm relief service until end of 1996.
(e)Statistical data
Estimates of effects on trade are not available
(f)Legal basis
Governmental Ordinance SFS 1994:1832
(g)Rules and conditions
Support is given to private farm relief service organizations to subsidize their services to farmers. The
services are available for producers of milk, pork, sheepmeat, eggs, poultry, goatmeat
and goatmilk. Relief is available for holiday-relief, child care, commission of trust,
illness, accident, death or temporary parent's allowance. The farmer pays for the time
that is actually used on the holding. Each farmer is subsidized to a maximum of 90
days per year (eight hours a day). The subsidy is about 50 per cent of the actual cost.
For illness, accident or temporary parent's allowance the farmers are subsidized for the
first 10 days with 60 per cent of the actual cost. The Swedish Board of Agriculture is
responsible for disbursing the aid.
9.1 State aid for guidance and adaptation of new activitiesG/SCM/N/3/EEC
Page 563
(a) Form of subsidy
Grants
(b)Amount of subsidy
Fiscal year 1993/94 SKr 29 millions.
(c)Policy objective
Facilitating the transition and market orientation of farm holdings in connection with the food policy
adopted in 1990.
(d)Duration
Duration until end of June 1996.
(e)Statistical data
Estimates of effect on trade are not available.
(f)Legal basis
Governmental Ordinance 1990:941
(g)Rules and conditions
The programme includes several parts directed to farmers who want to adapt to the new market
situation and/or take up new activities on the farm and further, those who want to
inform themselves in the context of a Swedish membership of the EU. Examples are
development. projects in the fields of bio-energy production, small-scale food
production, rural development and machinery rings, training programmes and
extension programmes directed at disseminating information about the consequence of
the food policy decision. The Swedish Board of Agriculture is responsible for
disbursing the aid.
10.1 Support to development of reindeer husbandry
(a)Form of subsidy
Grants
(b)Amount of subsidy
Fiscal year 1993/94 SKr 6 millions.
(c)Policy objective
The aim is a balance between the number of reindeers and the reindeer pasture areas and at the same
time at least maintain the levels of income for the reindeer enterprises.
(d)DurationG/SCM/N/3/EEC
Page 564
Duration unlimited
(e)Statistical data
Estimates of effects on trade are not available.
(f)Legal basis
Decision by the Government
(g)Rules and conditions
The aid is a general support to develop the reindeer husbandry. The use of the support is decided
after negotiations between the Swedish Board of Agriculture and the "Sametinget"
Support has been used to an insurance scheme and to advisory measures. The
Swedish Board of Agriculture is responsible for disbursing the aid.
11.1 Health care for farmers
(a)Form of subsidy
Grants
(b)Amount of subsidy
Fiscal year 1993/94 SKr 30 millions.
(c)Policy objective
The main objective is to reduce occupational hazards and to improve the health of farmers.
(d)Duration
Duration unlimited
(e)Statistical data
Estimates of effects on trade are not available.
(f)Legal basis
Governmental decision
(g)Rules and conditions
Support is given to Skogs och Lantbrukshälsan AB which is a non-profit health service organization
owned by the Federation of Swedish Farmers. The support is used for information
activities and for health screenings of farmers.
12.1 Early retirement scheme for milk producers
(a)Form of subsidyG/SCM/N/3/EEC
Page 565
Grants
(b)Amount of subsidy
Fiscal year 1993/94 SKr 100 millions.
(c)Policy objective
To reduce overproduction of milk and make it economically possible for milk producers between 60
and 65 years of age to quit milk production.
(d)Duration
The scheme came into force in 1983 and will be maintained until 31 December 1996.
(e)Statistical data
Estimates of effects on trade are not available.
(f)Legal basis
Governmental Ordinance SFS 1982:1283 amended by SFS 1984:229, SFS 1985:760, SFS 1986:752,
SFS 1988:636, SFS 1990:959.
(g)Rules and conditions
Support is paid to farmers that are between 60 and 65 years old who cease to produce milk. Farmers
who participate in the scheme are not permitted to replace milk production with an
increase in other kinds of animal production except suckling cows. The aid is paid on
a monthly basis until the age of 65. The amount of aid is related to the quantity sold
in a base year. The aid amounts to SKr 0.75 per kilo of milk up to a maximum of 1
million kilo. The average farmer receives SKr 55,000 per year. The Swedish Board
of Agriculture is responsible for disbursing the aid.
13.1 Compensation for high costs of veterinary services
(a)Form of subsidy
Grants
(b)Amount of subsidy
Fiscal year 1993/94 SKr 7 million.
(c)Policy objective
To keep the veterinary costs at a reasonable level for farmers who live a long distance from veterinary
service.
(d)Duration
Duration unlimitedG/SCM/N/3/EEC
Page 566
(e)Statistical data
Estimates of effects on trade are not available.
(f)Legal basis
Governmental Ordinance SFS 1975:539
(g)Rules and conditions
District veterinariens attending remote areas are compensated in order to keep the veterinary costs at a
reasonable level for farmers who live a long distance from veterinary service. The
Swedish County Administrative boards are responsible for disbursing the aid.G/SCM/N/3/EEC
Page 567
ANNEX 1
Production, Consumption, Imports and Exports ('000 tons)
Production Consumption Production
of consumption
%Imports Exports
Wheat
1992
1993
1994*1,406
1,746
1,3451,436
1,748
1,31598
100
10250
42
5040
90
90
Rye
1992
1993
1994*136
230
173136
200
153100
115
1130
0
010
43
0
Barley
1992
1993
1994*1,261
1,671
1,6611,366
1,590
1,51492
105
11070
19
00
170
80
Oats
1992
1993
1994*807
1,295
991807
1,285
771100
101
1290
0
00
364
220
Butter**
1992
1993
199462
62
5544
41
44141
151
1250
0
117
21
9
Cheese
1992
1993
1994117
126
133137
146
15085
86
8922
23
242
3
7
Milkpowder1
1992
1993
199437
44
4223
21
21160
209
2004
2
45
9
6G/SCM/N/3/EEC
Page 568
Production Consumption Production
of consumption
%Imports Exports
Beef and veal
1992
1993
1994130
137
136148
145
15088
20
2226
20
227
11
7
Pork
1992
1993
1994278
291
305283
283
30098
103
10223
15
1516
19
20
Eggs
1992
1993
1994110
108
103111
111
11099
97
9411
14
1911
11
12
Sheep- and
lambmeat
1992
1993
19944.4
4.2
4.16
5.3
5.673
79
731.7
1.2
1.60.1
0.2
0
Poultry
1992
1993
199455
65
7557
65
7396
100
1032
2
30
2
5
Sugar2
1992
1993
1994333
414
369382
389
40087
106
8634
24
7719
16
11
Oilseeds3
1991/92
1992/93
1993/94264
249
3171
45
817
6
13G/SCM/N/3/EEC
Page 569
Production Consumption Production of
consumption
%Imports Exports
Oil4
1991/92
1992/93
1993/9485
100
10849
60
78173
167
1381
2
436
38
30
Potatoes for
human
consumption
1991/92
1992/93***
1993/94***731
951
976605
607
610121
157
16078
59
150
1
1
1Whole and skimmed milk powder.
2Raw sugar equivalent.
3Rapeseed and other oil seeds.
4Domestic oils.
*Preliminary.
**Including butteroil and edible fat products of butter.
***Calender year.G/SCM/N/3/EEC
Page 570
[OFFSET]
Region 1
Region 2a
Region 2b
Region 3
Region 4G/SCM/N/3/EEC
Page 571
ANNEX 3
Subsidies to Swedish Fishery
Notification Under Article 25 of the WTO Subsidies Agreement
Subject: Notification of subsidies under the WTO Subsidies Agreement
State: Sweden
1. State investment aid to fishing enterprises
(a)Form of subsidy
Grant or guarantee
(b) Amount of subsidy
1992: Actual total expenditure: SKr 28.9 million (financial year 1991/92 = 1 July 1991 -
30 June 1992).
The figure includes the value of the interest subsidy for the low-interest loans (SKr 16.8 million) and the
total amount of grants (SKr 8.2 million) and guarantees (SKr 3.9 million = total amount
of the loans for which guarantees were issued).
1993: Actual total expenditure: SKr 302 million (financial year 1992/93).
The figure includes the value of the interest subsidy of the low-interest loans (SKr 18.2 million) and the
total amount of grants (SKr 6.8 million) and guarantees (SKr 5.2 million).
1994: Actual total expenditure: SKr 1.8 million (financial year 1993/94)
The figure includes the total amount of guarantees. No grants were accorded this year.
Before 1 July 1993 the forms of aid included low-interest loans as well as grants and guarantees.
After the date only grants and guarantees are allowed.
(c) Policy objectives
Primary objective: sectoral aid. Secondary objective: aid to SMEs.
(d) Duration
The aid scheme that was valid in 1994 came into force on 1 July 1993. The scheme was in force until
the Swedish accession to the Community (1 January 1995). On 1 January 1995 a new
ordinance on i.a. State aid to the professional fisheries etc. came into force. State aid to
fisheries is hereinafter subject to the programming procedure and the rules and
conditions of Council Regulation (EC) No. 3699/93.
(e)Statistical data
Estimated number of recipients of the aid: more than 100.G/SCM/N/3/EEC
Page 572
Sweden considers that this aid has had very insignificant, if any, effects on trade:
-Large number of recipients;
-modest amount of subsidy (e.g. rates inferior to those of the Community)
(f)Legal basis
Ordinance on State aid to the professional fisheries etc. (SFS 1993:382, 1 July 1993)
Ordinance on fishing, aquaculture and fisheries (SFS 1994:1716, 1 January 1995)
(g)Rules and conditions
Recipients: fishing enterprises
Maximum possible aid intensity: 50 per cent, however for the purchase of new or second-hand vessels
the maximum possible aid is 30 per cent (of total investment expenditure).
Categories of expenditure eligible for aid:
Measures that lead to the rationalization of the fishing fleet (e.g. purchase of new and second-hand vessels,
purchase and installation of equipment), consolidation of fishing enterprises and the
construction of minor buildings for fish processing.
Fishing licence and vessel permit are required.
2. State aid by temporary cessation of fishing activity
(a)Form of subsidy
Grant
(b)Amount of subsidy
1992: Actual total expenditure: SKr 0.8 million (financial year 1991/92)
1993: Actual total expenditure: SKr 11.5 million (financial year 1992/93)
1994: Actual total expenditure: SKr 9.9 million (financial year 1993/94)
(c)Policy objective
Primary objective: sectoral aid. Secondary objective; aid to SMEs.
(d)Duration
The aid scheme that was valid in 1994 came into force on 1 July 1993. The scheme was in force until
the Swedish accession to the Community (1 January 1995). On 1 January 1995 a new
ordinance on i.a. State aid to the professional fisheries etc. came into force. State aid to
fisheries is hereinafter subject to the programming procedure and the rules and
conditions of Council Regulation (EC) No. 3699/93.G/SCM/N/3/EEC
Page 573
(e)Statistical data
Estimated number of recipients of the aid: more than 100.
Sweden considers that this aid has had no effects on trade:
-Large number of recipients;
-aid intended to offset partially the loss of income suffered during temporary involuntary cessation of
activity.
(f)Legal basis
Ordinance on state aid to the professional fisheries etc. (SFS 1993:382, 1 July 1993)
Ordinance on fishing, aquaculture and fisheries (SFS 1994:1716, 1 January 1995)
(g)Rules and conditions
Recipients: fishing enterprises.
Maximum possible aid intensity: SKr 2,000 per vessel and working day.
Categories of expenditure eligible for aid:
Laying-up premiums for fishing vessels.
Fishing licence and vessel permit are required.
3. State aid for the scrapping of fishing vessels
(a)Form of subsidy
Grant
(b)Amount of subsidy
1992: Actual total expenditure: SKr 2.8 million (financial year 1991/92)
1993: Actual total expenditure: SKr 28 million (financial year 1992/93)
1994: Actual total expenditure: SKr 3 million (financial year 1993/94)
(c)Policy objective
Primary objective: Sectoral aid. Secondary objective; aid to SMEs.
(d)Duration
The aid scheme was valid in 1994 came into force on 1 July 1993. The scheme was in force until the
Swedish accession to the Community (1 January 1995). On 1 January 1995 a new
ordinance on i.a. State aid to the professional fisheries etc. came into force. State aid to
fisheries is hereinafter subject to the programming procedure and the rules and
conditions of Council Regulation (EC) No. 3699/93.G/SCM/N/3/EEC
Page 574
(e)Statistical data
Estimated number of recipients of the aid: not more than 50.
Sweden considers that this aid has had very insignificant, if any, effects on trade:
-Modest amount of subsidy (e.g. rates far below those of the Community)
(f)Legal basis
Ordinance on State aid to the professional fisheries etc. (SFS 1993:382, 1 July 1993)
Ordinance on fishing, aquaculture and fisheries (SFS 1994:1716, 1 January 1995)
(g)Rules and conditions
Recipients: fishing enterprises
Maximum possible aid intensity: SKr 7,000 per GRT.
Categories of expenditure eligible for aid:
The scrapping of fishing vessels.
Fishing licence and vessel permit are required.
Certification that the vessel has been deregistered (from the Register of Shipping) and scrapped must be
presented before the grant is disbursed.
4. State aid for damages to fishing gear
(a)Form of subsidy
Grant
(b)Amount of subsidy
The figures refer to the net expenditure, that is the compensations minus the fee receipts.
1992: Actual total expenditure: SKr 0.4 million (financial year 1991/92)
1993: Actual total expenditure: SKr 0.7 million (financial year 1992/93)
1994: Actual total expenditure: SKr 3 million (financial year 1993/94)
(c)Policy objective
Primary objective: aid in case of damages caused by severe weather conditions. Secondary objective:
aid to SMEs.G/SCM/N/3/EEC
Page 575
(d)Duration
The aid scheme was valid in 1994 came into force on 1 July 1993. The scheme was in force until the
Swedish accession to the Community (1 January 1995). On 1 January 1995 a new
ordinance on i.a. State aid to the professional fisheries etc. came into force. State aid to
fisheries is hereinafter subject to the programming procedure and the rules and
conditions of Council Regulation (EC) No. 3699/93.
(e)Statistical data
Estimated number of recipients of the aid: not more than 50.
Sweden considers that this aid has had no effects on trade:
-The "aid" consists of an insurance system;
-a 5 per cent fee is charged to obtain self-financing;
-the purpose is to reduce the effects of harsh weather conditions.
(f)Legal basis
Ordinance on State aid to the professional fisheries etc. (SFS 1993:382, 1 July 1993)
Ordinance on fishing, aquaculture and fisheries (SFS 1994:1716, 1 January 1995)
(g)Rules and conditions
Recipients: fishing enterprises.
Maximum possible aid intensity: 60 per cent of damage or loss.
Categories of expenditure eligible for aid:
Fixed fishing gear used in the salmon or eel fisheries. From August 1994 aquaculture installations may
also be connected to the system (this possibility has not as yet been used).
Fishing licence and vessel permit are required.
The gear must be notified in advance and the owner must pays a fee which amounts 5 per cent of the value
of the gear.
5. State investment aid to aquaculture enterprises
(a)Form of subsidy
Guarantee
(b)Amount of subsidy
1992: The aid did not exist
1993: The aid did not existG/SCM/N/3/EEC
Page 576
1994:Actual total expenditure: SKr 2 million (total amount of loans for which guarantees were issued,
financial year 1993/94)
(c)Policy objective
Primary objective: sectoral aid.
Secondary objective: aid to SMEs.
(d)Duration
The aid scheme was valid in 1994 came into force on 1 July 1993. The scheme was in force until the
Swedish accession to the Community (1 January 1995). On 1 January 1995 a new
ordinance on i.a. State aid to the professional fisheries etc. came into force. State aid to
fisheries is hereinafter subject to the programming procedure and the rules and
conditions of Council Regulation (EC) No. 3699/93.
(e)Statistical data
Estimated number of recipients of the aid: not more than 10.
Sweden considers that this aid has had no effects on trade:
-Modest amount of subsidy
(f)Legal basis
Ordinance on State aid to the professional fisheries etc. (SFS 1993:382, 1 July 1993)
Ordinance on fishing, aquaculture and fisheries (SFS 1994:1716, 1 January 1995)
(g)Rules and conditions
Recipients: aquaculture enterprises
Maximum possible aid intensity: No formal limitation, the aid intensity is decided according to the
circumstances in each specific case.
Categories of expenditure eligible for aid:
Investments in aquaculture enterprises.
The investment must have an economic viability of more than three years.
The enterprise must be submitted to official animal health control.G/SCM/N/3/EEC
Page 577
6.State aid for temporary exemption from amortization and payment of interest and for extension of
period of amortization
(a)Form of subsidy
Temporary exemption from amortizations and interest payments and/or extension of amortization period.
(Before 1 July 1993 state aid included low-interest loans as well as grants and
guarantees. After 1 July 1993 only grants and guarantees are allowed)
(b)Amount of subsidy
1992: the aid did not exist
1993: Actual total expenditure: SKr 7 million (financial year 1992/93)
1994: Actual total expenditure: SKr 15 million (financial year 1993/94)
(c)Policy objective
Primary objective: sectoral aid.
Secondary objective: aid in case of disturbances linked to biological factors - the severe situation for the
cod stock in the Baltic.
(d)Duration
From 1 June 1992 until 31 December 1994.
(e)Statistical data
Estimated number of recipients of the aid: more than 100.
Sweden considers that this measure has very insignificant, if any, effects on trade:
-Large number of recipients;
-modest amount of subsidy.
(f)Legal basis
Ordinance on temporary aid measures to certain professional fishermen. (SFS 1992:284, 1 June 1992)
(g)Rules and conditions
Recipients: fishing enterprises.
Maximum possible aid intensity: maximum possible exemption period is four years, maximum possible
amortization period is 25 years.
Categories of expenditure eligible for aid:
Amortizations, interests and amortization periods for low-interest loans and guarantee loans.G/SCM/N/3/EEC
Page 578
Eligible enterprises must satisfy the following conditions:
-the enterprise should be particularly indebted;
-the enterprise should be affected by the serious situation for the cod fishery in the Baltic;
-the enterprise should be expected to become profitable within two years.
7. Aid for long-term information measures for the benefit of the consumption of fish
(a)Form of subsidy
Grant
(b)Amount of subsidy
No aid has been granted as yet. The total budget for the aid is SKr 30 million.
(c)Policy objective
To inform the consumer of the positive effects of a fish diet.
(d)Duration
From 1 July 1993.
(e)Statistical data
Sweden considers that this measure has very insignificant, if any, effects on trade.
(f)Legal basis
Government decision (Prisregleringsmedel) of 10 June 1993.
(g)Rules and conditions
Detailed rules and conditions regarding the aid are not decided yet.
8. Research and development within the fishery sector
(a)Form of subsidy
Grant
(b)Amount of subsidy: SKr 1,020,000. Five projects, SKr 380,000-85,000. 1994/95.
(c)Policy objective:
Develop fishing gear with improved selectivity.
Improve techniques for the processing of herring and develop new products of herring.G/SCM/N/3/EEC
Page 579
(d)Duration:
Grants are given for periods of 1-3 years.
(e)Statistical data
The grants are restricted to basic research and development. Not to produce completed products. So it
is not possible to estimate effects on the trade.
(f)Legal bases:
Government decision (letter of regulation). 1993-06-10, 1994-06-09.
(g)Rules and conditions
The R&D results must be published and be accessible to the public. Frequently, cooperation with a
research institute is demanded. 25 per cent of the amount is paid when the project is
ended.
9. State aid for stocking of fish
(a)Form of subsidy
Grant
(b)Amount of subsidy
SKr 7,000,000 for the financial year 1994/95.
(c)Policy objective
Increasing of stocks of eel and salmonids for the commercial fisheries in coastal and inland waters.
(d)Duration
1995 is the last year for subsidy.
(e)Statistical data
The grants are restricted to improving the stocks so it is not possible to estimate the direct effects on the
trade.
(f)Legal basis
Government decision. The programme is financed by fonds from the price regulation system which has
been abolished from 1994.
(g)Rules and conditions
Board of Fisheries decide upon the programme and the County Administration carry out the stocking
programme.G/SCM/N/3/EEC
Page 580
GREAT BRITAIN
TABLE OF CONTENTS
Page
1. Regional Selective Assistance 580
2. CARAD - Civil Aircraft Research and Demonstration Programme 581
3. LINK Initiative 584
4.Eureka 585
5. General Industrial Collaborative Projects 586
6. Advanced Technologies Programme 587G/SCM/N/3/EEC
Page 581
1. REGIONAL SELECTIVE ASSISTANCE
Form of subsidy
Grant.
Legal base
Industrial Development Act 1982.
Total amount spent (1993-1994)
£215.2 million.
Annual amount budgeted (1994-1995)
£244.8 million.
Policy objective
To assist economic development in regions of special hardship.
Duration of subsidy
No fixed end date.
Assessment of trade effects
None. The purpose of this scheme is to enable poorer regions to compete on the same basis as
other regions.
RSA is awarded to companies in areas which the United Kingdom Government consider to be in
need of additional support. (These are called assisted areas) it is awarded to all sizes of company.
The United Kingdom authorities must submit a map showing those areas of the country which
they wish to accord assisted area status to the competition directorate of the EC Commission at regular
intervals for its approval.G/SCM/N/3/EEC
Page 582
2. CARAD - CIVIL AIRCRAFT RESEARCH AND DEMONSTRATION PROGRAMME
Form of subsidy
Grant.
Legal basis
Civil Aviation Act 1982.
Amount per unit (1993-1994)
See attached table.
Annual amount budgeted (1994-1995)
£18.7 million.
Policy objective
To support precompetitive research and technology demonstration relating to interdependent
aircraft technologies.
Duration of subsidy
1996.
Assessment of trade effects
None.
Notes:Aid available up to 25 per cent of eligible costs for projects for single firms in the airframe and
propulsion systems technology areas; up to 50 per cent of eligible costs for collaborative projects
in all civil aircraft technology sectors.G/SCM/N/3/EEC
Page 583
State Aid No: N666/93 - United Kingdom
Article 93(1) - Detailed Annual Report FY93/94 TABLE 6.2
Civil Research and Demonstration Programme (CARAD)
Ref. EC Questionnaire 3.2.5.2 - Schemes covered by framework for State aids
(ii) Number of projects involving community or international cooperation
Scheme: Eureka total number of projects: Six
Technology: Title
Avionics:Aerospace Intelligent Management and Development Environment for Embedded Systems
(AIMS 2)
Electro-Magnetic Compatibility Club (EMC1)
Electro-Magnetic Compatibility Club 2 (EMC2)
Lightning Club
Helicopter:European Advanced Rotorcraft (EUROFAR) 1
European Advanced Rotorcraft 2 (EUROFAR 2)G/SCM/N/3/EEC
Page 584
State Aid No: N666/93 - United Kingdom FY93/94 Table 6.1
Article 93(1) - Detailed Annual Report
Civil Air Research and Demonstration Programme (CARAD)
Ref. EC Questionnaire 3.2.5.2 - Schemes covered by framework for State aids
(i) Breakdown of total expenditure by R&D stage
£'000s
Aid instrumentStage
Total
Fundamental Basic
industrialApplied R&D
Research Development
Grants: GICP (i)
LINK (ii)
EUREKA
Technology Demonstration*
Defence Research Agency
Extramural (iii)
Industry
University
Research Organisation
Intramural (iv) 1,4382,863
314
602
3,110
1,956
2,426
83
7,2772,863
314
602
3,110
1,956
2,426
83
8,715
Total 1,438 18,631 0 0 20,069
CARAD funds precompetitive research and technology demonstration ONLY.
*Technology demonstration:(i)to demonstrate and prove in a representative environment technology evolved
from fundamental research;
(ii)to reduce new product development time, cost and risk by providing early experience.
(i) GICP: General Industrial Collaborative
(ii) LINK: Industry with academia
(iii) Work placed by DRA in universities and industry
(iv) Work undertaken within DRAG/SCM/N/3/EEC
Page 585
3. LINK INITIATIVE
Form of subsidy
Grant.
Legal basis
Science and Technology Act 1965.
Total spent (1993-1994)
£32.316 million.
Annual amount budgeted (1994-1995)
£30 million.
Policy objective
To encourage collaborative research between industry and academia.
Duration of subsidy
Programme renotified on an annual basis.
Assessment of trade effects
None. All research is at a precompetitive stage.
Notes: Aid available 50 per cent of eligible costs
Coverage: Nanotechnology, molecular electronics, advanced semi-conductor material, industrial
measurements systems and eukaryotic genetic engineering.G/SCM/N/3/EEC
Page 586
4. EUREKA
Form of aid
Grant.
Legal basis
Eureka is part of an EC wide R&D initiative set in place by the EC Commission.
Amount per unit (1993-1994)
£20.575 million.
Annual amount budgeted (1994-1995)
£22 million.
Policy objective
Pan European Network for encouraging collaborative near market R&D with a clear market
relevance.
Duration of subsidy
Programme renotified on an annual basis.
Assessment of trade effects
None.
Notes: Grants usually at an average of 36 per cent unless awarded to SMEs or to high risk projects.G/SCM/N/3/EEC
Page 587
5. GENERAL INDUSTRIAL COLLABORATIVE PROJECTS
Form of subsidy
Grant.
Legal basis
Science and Technology Act 1965.
Amount per unit (1993-1994)
£22.491 million.
Annual amount budgeted (1994-1995)
£13.59 million.
Policy objective
To encourage collaborative research projects that will benefit many companies and in particular
SMEs.
Duration of subsidy
No fixed duration but budget adopted annually.
Assessment of trade effects
None. This is for basic industrial research.
Notes:Aid intensity of a maximum of 50 per cent of eligible costs but this may be on a tapering basis i.e.
intensity will decrease in successive years.G/SCM/N/3/EEC
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6. ADVANCED TECHNOLOGIES PROGRAMME
Form of subsidy
Grant.
Legal basis
Science and Technology Act 1965.
Total amount spent (1993-1994)
£10 million.
Annual amount budgeted (1994-1995)
£13 million.
Policy objective
To encourage collaborative research that will benefit a range of companies in particular SMEs.
Duration of Subsidy
Programme notified on an annual basis but no fixed duration.
Assessment of trade effects
None. No competitive advantage is given to the companies involved.
Notes: Aid intensity of 50 per cent.