  
  
G/SCM/N/343/EU/Add.15  
10 October 2019  
(19-6548) Page: 1/10 
Committee on Subsidies and Countervailing Measures  Original:  English  
 
  
SUBSIDIES  
NEW AND FULL NOTIFICATION PURSUANT TO ARTICLE XVI:1  
OF THE GATT 1994 AND ARTICLE 25 OF THE AGREEMENT  
ON SUBSIDIES AND COUNTERVAILING MEASURES  
EUROPEAN UNION 
Addendum  
The following addendum to the notification of the European Union relates to subsidy programmes of 
Italy . 
 
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  G/SCM/N/343/EU/Add.15  
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  ITALY  
TABLE OF CONTENTS  
1  MINISTRY OF ECONO MIC DEVELOPMENT  ................................ ................................ ..... 3 
1.1  Extraordinary intervention in the South of Italy (MAP 4)  ................................ ....................  3 
1.2  Female Entrepreneurs  ................................ ................................ ................................ ... 3 
1.3  "Nuova Sabatini"  ................................ ................................ ................................ ..........  4 
1.4  Contratti di sviluppo  ................................ ................................ ................................ ...... 5 
1.5  Investimenti Innovativi  ................................ ................................ ................................ . 6 
1.6  Soft loans facilitating permanent industrial and commercial establishment in non -EU 
countries ................................ ................................ ................................ ............................  7 
2  AGRICULTURE SUBSI DIES  ................................ ................................ ............................  9 
 
  G/SCM/N/343/EU/Add.15  
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  1  MINISTRY OF ECONOMIC DEVELOPMENT  
1.1  Extraordinary intervention in the South of Italy (MAP 4)  
1. Name of the subsidy scheme and legal basis  
Law n. 488/92 – D.l. 415/92, Art. 1, section 2,  converted into law 488/92 (re -financing of 
Law n. 64/86), concerning Extraordinary inte rvention in the South of Italy . 
2. Form of the subsidy  
Grant.  
3. Subsidy per Unit or, in case this is not possible, the global amount of subsidies distributed in 
2017 and 2018, related to the industry sector  
Year 2017: € 22,610,000 
Year 2018: € 7,661,000 
4. Policy objective and/or purpose of the subsidy  
Providing aid to entrepreneurial activities in the disadvantaged areas. Law 488 offers incentives for 
the implementation of a new productive unit, for the expansion, modernization, restructuring, 
conversion or  re-activation of an existing unit or for its transfer.  
5. Duration of the subsidy  
No final term is established.  
6. Statistical data permitting an assessment of the trade effects of the subsidy  
Not relevant: the measure is not specific and it is notified for the  sake of transparency.  
7. Indicate to whom and how the subsidy is paid  
All national and foreign firms can potentially benefit from the subsidy.  
(A) Beneficiaries are extractive and manufacturing enterprises and related service companies.  
(B) Contributions fulfill the EU Regulation amount limits in favour of the disadvantaged areas and 
are assigned every 4 months.  
The initiatives must be part of an operational program for each productive unit that is by itself 
sufficiently structured to pursue pre-set production, financial and employment goals.  
1.2  Female Entrepreneurs  
1. Name of the subsidy scheme and legal basis  
Law n. 215/92  – Female Entrepreneurs.  
2. Form of the subsidy  
Grant.  
Interest subsidy.  G/SCM/N/343/EU/Add.15  
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  3. Subsidy per Unit or, in case this is not possible, the global amount of subsidies distributed in 
2017 and 2018  
Year 2017: € 300,00  
Year 2018: € 0,00  
4. Policy objective and/or purpose of the subsidy  
(A) Promotion of new female entrepreneurial project in diffe rent economic sectors (industry, 
agriculture, trade, services and handicraft);  
(B) Promotion and development of new qualified female entrepreneurs.  
5. Duration of the subsidy  
No final term is established.  
6. Statistical data permitting an assessment of the trade  effects of the subsidy  
Not relevant: the measure is not specific and it's notified for the sake of transparency.  
7. Indicate to whom and how the subsidy is paid  
(A) Beneficiaries are SME's owned by females operating in different sectors: industry, agricultur e, 
trade, handicraft and services: in case of a capital society, majority has to be owned by females; in 
case of personal society, 60 % of partners have to be females.  
(B) Ministry of Industry concedes contribution in a variable measure (from 15 % up to 65 % in 
ESL) depending on geographical location of the enterprises. Contribution is issued in two tranches: 
the first, equivalent to the 40 % of the contribution, during the realization of the project; the second 
when the project is completed.  
1.3  "Nuova Sabatini"  
1. Title of the subsidy programme  
Nuova Sabatini – ex article 2, D.l. 69/2013 – state aid scheme n. SA 47180 and SA 53192 – loan 
subsidy scheme (interest subsidy) for machinery and equipment purchase, transformed with 
modifications by Law 9th August  2013, n. 98.  
2. Period covered by the notification  
Until 31st December  2020.  
3. Policy objective and/or purpose of the subsidy  
The interest subsidy scheme is oriented, in a general way, to improve the competitiveness of Italian 
production system by facil itating the access to credit for the SME for the purchase on new 
machineries, plants and equipment. Purpose of the guarantee subsidy is specifically to reduce SMEs 
credit crunch and to contrast the consistent reduction of the level of investments in fixed capital 
assets. With the Legge di Bilancio 2017, besides ordinary fixed investments, is introduced a 
reinforced subsidy for equipment and machineries classified as Industry 4.0 (" Allegato A of the 
Law 11th of December  2016"). 
4. Background and authority for t he subsidy  
The subsidy scheme is been introduced with the following normative acts:  
- Article 2 Law -Decree 21th June  2013, n. 69;  
- Interministerial Decree 27th November  2013;  G/SCM/N/343/EU/Add.15  
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  - Ministerial provision (Circolare) 10th February  2014, n. 4567 (terms and procedure f or 
the applications);  
- Ministerial provision (Circolare) 26th March  2014, n. 10677 (further instruction for the 
implementation of the measure);  
- Ministerial provision (Circolare) 24th December  2014, n. 71299 (modifies the Ministerial 
provision 10th february 2014 n. 4567);  
- Art. 1 Law 23rd of December  2014, n. 190 ("Legge di stabilità" 2015);  
- Art. 1 comma 53, Law 11th of December  2016, n. 232 ("Legge di bilancio" 2017);  
- Art. 1 comma 32, Law 27th of December  2017, n. 205 ("Legge di bilancio" 2018) ; 
- Art. 1, comma  200, law 30th December  2018, n. 145 ("legge di bilancio 2019") . 
The managing authority of the subsidy is the Ministry of economic development (MiSE).  
5. Form of the subsidy  
Interest subsidy.  
6. To whom and how the subsidy is provided  
Subsidy for all the SMEs fi rms works as follows:  
a) Cassa Depositi e Prestiti (Cdp) has established a plafond of resources that banks that 
have joined the agreement signed between MiSE -ABI-Cdp or leasing companies can use 
for providing to SMEs, until the 31th of December  2016, loans wi th an amount range 
between 20.000 and 2  million euro for the investments allowed by the scheme;  
b) MiSE grants a subsidy in favour of the SMEs, that partially covers firms interests on the 
bank loans aforementioned, justified by the investments undertaken. Th e subsidy is 
equal to the amount of interests, computed on the basis of a biannual depreciation, at 
a 2,75 % annual rate for five years;  
c) SMEs can benefit from the guarantee of the SMEs National guarantee Fund on the bank 
loan, within the in force normative legal boundaries (80 % of the amount of the loan).  
7. Subsidy per Unit or, in case this is not possible, the global amount of subsidies distributed in 
2017 and 2018  
Year 2017: € 58,207,000 
Year 2018: € 57,980,000 
8. Duration of the subsidy  
Six years.  
9. Statistical data permitting an assessment of the trade effects of the subsidy  
The grant is not directly dealing with trade but can only eventually imply an indirect effect on trade. 
Statistical data will not permit any assessment on the eventual presence of a trade -effect.  
1.4  Contratti di sviluppo  
1. Title of the subsidy programme  
"Contratti di sviluppo ", article 43 D.l. 25th June 2008, n. 112, transformed with modifications by 
Law 6th of August  2008 n. 133.  
2. Period covered by the notification  
Extension of the period until 31 December  2020.  G/SCM/N/343/EU/Add.15  
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  3. Policy objective and/or purpose of the subsidy  
"Contratto di sviluppo " represent the main subsidy to support the strategic and innovative 
investment projects that have a relevant impact on the territory. Subsidy purpose is to  facilitate 
sectorial requalification, develop production chains and/or specialization poles, enhancing the 
competitive positioning of traditional sectors and attracting foreign investments.  
4. Background and authority for the subsidy  
Initially introduced by Decree 24th of September  2010, it has been reformed during 2014 in force of 
the article 3 of D.L. 21th of June  2013, n. 69. This reform has been implemented by Ministerial Decree 
14th of February  2014 that has introduced new procedural simplifications and extended the measure 
to projects dealing with environment protection. With the following Ministerial Decree 9th of 
December  2014 all the normative structure has been suited to the new Regulation CE n. 651/2014.  
With the Ministerial Decree 8th November  2016 procedural and implementation modifications were 
introduced. In particular, the two main modifications are: the deadline of 36 months for the 
conclusion of the projects and a reduced time span for the approval of the requests.  
The managing authority of the subsidy is Invitalia S.p.a, the in -house firm of the Ministry of Economic 
Development.  
5. Form of the subsidy  
The aid can take the form of grant, soft loan and interest subsidy.  
6. To whom and how the subsidy is provided  
All nationa l and foreign firms can potentially benefit from the subsidy. The eligibility criteria concern 
a minimum amount (cut -in) of investment, on the base of the primary sector involved. The 
"Contratto di sviluppo " must imply one or more investment projects and, possibly, R&S&I projects. 
It applies to areas under Regional State Aid Regulation and in the other parts of the country if the 
investment projects are presented by SMEs or if the program concerns environment protection.  
7. Subsidy per unit or, in case this is  not possible, the global amount of subsidies distributed in 
2017 and 2018  
Year 2017: € 125 ,274,000 
Year 2018: € 214 ,822,000 
8. Duration of the subsidy  
Four years.  
9. Statistical data permitting an assessment of the trade effects of the subsidy  
The grant is not directly dealing with trade but can only eventually imply an indirect effect on trade. 
Statistical data will not permit any assessment on the eventual presence of a trade -effect.  
1.5  Investimenti Innovativi  
1. Title of the subsidy programme  
Innovative investments  intervention has been introduced by the 29 july 2013 Ministerial Decree and 
has been operating since 2014  
2. Period covered by the notification  
Extension of the period until 31th December  2020.  G/SCM/N/343/EU/Add.15  
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  3. Policy objective and/or purpose of the subsidy  
Reinforcing the p roductivity systems (as a key of competitiveness) and the technological progress 
in the least -developed Regions (Calabria, Campania, Puglia e Sicilia) through the support of the 
innovative investments of enterprises that are able to enhance efficiency and flexibility during the 
ongoing activities.  
4. Background and authority for the subsidy  
Initially introduced by Ministerial Decree 29th of July  2013, it has been enforced according to the 
Directorial Decree 20th of November  2013.  
The managing authority of the subsidy is the Ministry of economic development (MiSE).  
5. Form of the subsidy  
The aid has the form of loan interest subsidy.  
6. To whom and how the subsidy is provided  
All national and foreign firms can potentially benefit from the subsidy. Ministry (MiSE) grants to 
enterprises a 0 (zero)  interest rate loan (a part of it is not subject to reimbursement) for the 75 % 
of the total amount  admissible innovative investment.  
The invoices payment is possible through a restricted account that enterprises can open. The Ministry 
quote contribution (75 %) and the residual amount carried out by the enterprises (25 %) flow into 
the account for the sup pliers payment.  
7. Subsidy per unit or, in case this is not possible, the global amount of subsidies distributed in 
2017 and 2018  
Year 2017: € 834 ,000 
Year 2018: € 0 
8. Duration of the subsidy  
Four years.  
9. Statistical data permitting an assessment of the trade ef fects of the subsidy  
The grant is not directly dealing with trade but can only eventually imply an indirect effect on trade. 
Statistical data will not permit any assessment on the eventual presence of a trade -effect.  
1.6   Soft loans facilitating permanent indu strial and commercial establishment in non -EU 
countries  
1. Title of the subsidy programme  
Revolving credit facility for the internationalization of companies.  
2. Period covered by the notification  
2017 – 2018.  
3. Policy objective and/or purpose of the subsidy  
a) Facilitate the market penetration of Italian companies by helping them to create stable 
commercial facilities in non -EU countries (such as offices, a store, showrooms etc.) . G/SCM/N/343/EU/Add.15  
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  b) Carry out prefeasibility and feasibility studies on Italian investments in non -EU countries as 
well as the related technical assistance programmes.  
c) Participation to trade fairs and exhibitions.  
d) Capitalization of exporting SMEs.  
4. Background and authority for the subsidy  
Loans awarded under Law no. 394/81, art. 2 (above a) and under Legisl ative Decree no. 143/98, 
art. 22 (5) (above b) up to the year 2009, included. Law 133/08, art. 6 (2) letter a letter b and 
letter  c repealed and substituted the before -mentioned provisions. No changes were made 
concerning the mechanism regulating the revol ving credit facility. However loans shall fall within the 
rules set out in the EU De Minimis  Regulation. Granting institution: SIMEST S.p.A.  
5. Form of the subsidy  
Soft loan.  
6. To whom and how the subsidy is provided  
a) Beneficiaries are industrial, trading and se rvices companies. SMEs have priority eligibility on 
the funds allocated (70 % of funds granted to SMEs). The maximum level of funding is fixed 
at 100 % of the total budgeted expenses. The beneficiary shall provide guarantee. The loan is 
paid on the basis of the project implementation schedule and upon presentation of documents 
showing the costs incurred. Reimbursement is spread over up to six years: two years 
maximum of pre -amortisation during which only interests are due and four years maximum 
of capital payment due in six -month equal instalments. Interest rate is fixed and equal to 10 % 
of the reference rate. The subsidized rate cannot be lower than an a nnual rate of zero.  
b) Beneficiaries are industrial, trading and services companies. SMEs have priority eligibility on 
the funds allocated. Financing covers up to 100 % of the budget proposal. The beneficiary shall 
provide guarantee. The loan is paid in two in stalments: an advance payment equal to 70 % of 
the sum granted and a final settlement. Reimbursement is spread over 4,5 years maximum: 
1,5 years of pre -amortisation during which only interests are due and three years of capital 
payment due in six -month equa l instalments. Interest rate is fixed and equal to 10 % of the 
reference rate. The subsidized rate cannot be lower than an annual rate of zero.  
c) Beneficiaries are only industrial, trading and services SMEs. Financing cannot exceed 
€ 100.000,00. The beneficia ry shall provide guarantee for the share of financing exceeding 
EBTDA recorded in the last financial statements. The loan is paid in two instalments: an 
advance payment equal to 70 % of the sum granted and a final settlement. Reimbursement is 
spread over 3, 5 years maximum: 1,5 years of pre -amortisation during which only interests 
are due and two years of capital payment due in six -month equal instalments. Interest rate is 
fixed and equal to 10 % of the reference rate. The subsidized rate cannot be lower than an 
annual rate of zero.  
d) Beneficiaries are only industrial, trading and services SMEs. Financing cannot exceed 
€ 400.000,00. The beneficiary shall provide guarantee. The loan is paid in a single lump -sum 
instalment. Reimbursement is spread over 7 years maxi mum: 2 years of pre -amortisation 
during which only interests are due and five years of capital payment due in six -month equal 
instalments. The loan is granted at the reference rate and upon achievement of the objective 
of the initiative (improve, maintain or exceed a benchmark level of capital strength) 
repayment takes place in 5 years at subsidized interest rate fixed and equal to 10 % of the 
reference rate. The subsidized rate cannot be lower than an annual rate of zero.  
7. Subsidy per unit or, in case this i s not possible, the annual amount budgeted for the subsidy  
Year 2017 : € 87 million for type a (average amount per unit € 750,000).  
  € 6.5 million for type b (average amount per unit € 122,000).  
  € 8.8 million for type c (average amount per unit € 56,000) . G/SCM/N/343/EU/Add.15  
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    € 44.9 million for type d (average amount per unit € 290,000).  
Year 2018 : € 119  million for type a (average amount per unit € 735, 000).  
  € 8.5 million for type b (average amount per unit € 122,000).  
  € 9.2 million for type c (average amount per unit € 59,000).  
  € 111  million for type d (average amount per unit € 276,000).  
8. Duration of the subsidy  
No final term is established.  
9. Statistical data permitting an assessment of the trade effects of the subsidy  
Not relevant: the measure is not specific an d it is notified for the sake of transparency.  
2  AGRICULTURE SUBSIDIE S 
1. Title of the subsidy programme, if relevant, or brief description or identification of the subsidy  
Export refunds on agricultural products.  
2. Period covered by the notification  
EAGF expendi tures and revenues relating to export refunds on agricultural products are paid and 
reported during every financial year "N" beginning on 16 October of year "N -1" and ending on 
15 October of year "N", as to article 39 of Regulation (EU) 1306/2013.  
3. Policy objective and/or purpose of the subsidy  
The purpose of export refunds is to cover the difference between EU prices and international trade 
prices. Even though the rates have currently been fixed to "0", the new CAP 2014 -2020 regulatory 
framework confirms the said subsidy as a safeguard measure t o prevent any market disturbance or 
exceptional circumstances which may occur.  
4. Background and authority for the subsidy (including identification of the legislation under 
which it is granted ) 
In the CAP framework, Article 196 of Regulation (EU) 1308/2014 provides for the granting of export 
refunds for some agricultural products. Article 3 and 4 of Regulation (EU) 1306/2013 fixes the rule 
on the financing of the said EAGF measure. S.A.I.S.A. (In dependent Office for Interventions in the 
Agricultural Sector) is accredited at national level as the Paying Agency responsible with the 
disbursement of export refunds on agricultural products.  
5. Form of the subsidy  (i.e., grant, loan, tax concession, etc. ) 
Export refunds are subsidies granted to exporters.  
6. To whom and how the subsidy is provided  
Subsidy is paid to exporters of agricultural products to third countries. Refund rates are the same 
for the whole of the European Union; a differential may be appl ied according to destination or time. 
The amount of the refund is periodically fixed by the Commission and the rate is different according 
to the sector and the agricultural products' characteristics. In the case of specific situations, the 
refund may be f ixed in advance.  G/SCM/N/343/EU/Add.15  
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  7. Subsidy per unit, or in cases where this is not possible, the total amount or the annual amount 
budgeted for that subsidy (indicating, if possible, the average subsidy per unit in the previous 
year). Where provision of per unit subsidy in formation (for the year covered by the 
notification, for the previous year, or both) is not possible, a full explanation  
GROSS EXPENDITURE BROKEN DOWN BY SECTOR  
Budget item  Sector  Description  2017  2018  
05020101  1-10-11 Cereals, processed grains and feed 0  
05020201  2 Rice 0  
05021504 -05021505  3-4 Eggs and poultry  0  
05021301 -05021304  5 Beef, live animals  0  
05021501  6 Pork meat  0  
05021201  7 Dairy products  0  
05020699  8-20 Olive oil and oil for canned products  0  
05020501  9 Sugar  0  
05020801 -05020899  12-13 Fresh and Processed fruit and 
vegetables  0  
05020300  14 Goods non included in Annex 1  0  
05020999  15 Wine  0  
05021199  17 Tobacco  0  
67020000   Amounts paid and recovered 
(frauds/irregularities)  - 19,358.27 - 57,909.80 
TOTAL    - 19,358.27 - 57,909.80 
 
8. Duration of the subsidy and/or any other time limits attached to it, including date of 
inception/ commencement  
The duration of the subsidy is periodically fixed by the Commission by means of appropriate 
implementing regulations.  
9. Statistical data permitting  an assessment of the trade effects of the subsidy  
Our Paying Agency stores statistical data but they don't pe rmit an assessment of the trade effects 
of the subsidy due to the fact that refund rates are variable and sometimes equal to zero. The 
introduction of export refunds depends on markets' fluctuation.  
 
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