WORLD TRADE G/AG/N/AUS/7
26September 1996
ORGANIZATION(96-3840)
Original: English Committee onAgriculture
NOTIFICATION
Theattached provisinal notification concerning domestic support commitments for1995
(Table DS:1 andtherelevant supporting tables) wasreceived from thedelegation ofAustralia on
22September 1996.
______________________________
Inaccordance withnotification requirements, please findattached Australia 'sprovisional notification
onDomestic Support (Table DS:1). State programmes forQueenland, Western Australia andthe
Australian Capital Territory havenotbeenincluded inSupporting Table DS:1 atthisstage.G/AG/N/AUS/7
Page2Table DS:1
DOMESTIC SUPPORT: AUSTRALIA
REPORTING PERIOD: 1995/96 FISCAL YEAR (1JULY -30JUNE)
Current Total Aggregate Measurement ofSupport
Total AMS commitment level forperiod inquestion Currency Current Total AMS
(from Section IofPartIVoftheSchedule (from Section IofPartIVoftheSchedule) (from attached Supporting Tables)
1 2 3
570.16 $Amillion 152.275G/AG/N/AUS/7
Page3Supporting Table DS:1
DOMESTIC SUPPORT: AUSTRALIA
REPORTING PERIOD: 1995/96 FISCAL YEAR (1JULY -30JUNE)
Measures exempt fromthereduction commitment --“Green Box”
Measure type Name anddescription ofmeasures withreference tocriteria inAnnex 2Monetary value of
measure inyearin
question
($Amillion)Data Sources
1 2 3 4
(a) “general services ”
COMMONWEALTH GOVERNMENT
Clean Food Production Program Provides grants torural industry associations toencourage their
members toadopt improved quality assurance systems which willenable
thecontinued production ofsafe, clean food fordomestic and
international markets.1.23 DPIE
Clean Food Export Program Assists withdeveloping amarket preference forAustralian fresh and
processed foods based ontheir quality andorigin from aclean
environment.2.4 DPIE
AusIndustry-Agribusiness
ProgramProvides assistance torural producers, networks ofrural producers and
early stage processors forprojects which aimtoimprove the
competitiveness ofAustralia ’sagribusiness industries.4.25 AusIndustry-
Agribusiness
Program Annual
Report
Rural Communities Access
ProgramProvision ofinformation torural andremote areas andtoassist in
decision making ofproducers.8.6 1996/97
Commonwealth
Budget papers
Drought Research Program Drought andclimate research. 1.77 1996/97
Commonwealth
Budget papersG/AG/N/AUS/7
Page4Measure type Name anddescription ofmeasures withreference tocriteria inAnnex 2Monetary value of
measure inyearin
question
($Amillion)Data Sources
1 2 3 4
Rural Adjustment Scheme (Skills
Enhancement)Forproductivity improvement, farm business support isbywayof
interest ratesubsidies uptoamaximum value of50% ofthetotal
interest payable onneworexisting loans forupto3years.4.5 DPIE
Rural Adjustment Scheme
(Productivity Enhancement)Provides support forproductivity improvement andskills enhancement
butisdirected tofarmers withlongterm prospects forviability.24.8 DPIE
Rural Industries Research and
DevelopmentProvides support formanagement ofresearch anddevelopment
programs fortherural sector.5.46 DPIE
Grains Research and
DevelopmentResearch toincrease economic, environmental andsocial benefits for
Australia ’sgrains industry within awider industry andcommunity
setting.21.29 Grains Research
andDevelopment
Corporation 1996
Annual Report
PigResearch andDevelopment
CorporationResearch anddevelopment programs toimprove production, processing,
storage, transport andmarketing forthepigindustry andtoachieve
sustainable management ofnatural resources.3.58 DPIE
Wool Research andDevelopment Research intoon-farm productivity, quality assurance andhandling.
Research anddevelopment inwool processing efficiencies andwoollen
product development.10.92 Australian Taxation
Office
Goat Fibre Research and
DevelopmentGoat fibre production research andfibre quality assurance 0.01 DPIE
Dairy Research and
Developmentresearch anddevelopment intodairy production andprocessing 5.75 DPIE
Tobacco Research and
DevelopmentResearch intoimprovements intobacco leafproduction andimproving
sustainability.0.28 DPIE
Cotton Research and
DevelopmentResearch intoimprovements incotton production. 3.07 DPIEG/AG/N/AUS/7
Page5Measure type Name anddescription ofmeasures withreference tocriteria inAnnex 2Monetary value of
measure inyearin
question
($Amillion)Data Sources
1 2 3 4
Sugar Research and
DevelopmentResearch aimed atfostering aninternationally competitive and
sustainable sugar industry.5.33 DPIE
Sugar Industry Infrastructure
ProgramInfrastructure development (transport, irrigation, drainage) inthesugar
industry.2.16 DPIE
Horticultural Research and
DevelopmentResearch intoaspects offruitandvegetable industries. 14.46 DPIE
Australian Horticultural
Promotion andMarket ResearchMarketing andPromotion Services 1.25 DPIE
Wine industry export
developmentSupports export promotion 0.3 DPIE
Citrus Market Diversification Research, promotion andimprovements inpractices intheCitrus
growing.2.16 DPIE
TriState Fruit FlyStrategy Assistance todevelop andmaintain theFruit FlyExclusion Zone. 0.09 DPIE
National LandcareAssistance for
community groups fornatural
resource management that
provides public benefit.79.55 1996/97
Commonwealth
Budget documents
Land andWater Resources
Research andDevelopmentSupports research anddevelopment 10.42 1996/97
Commonwealth
Budget documents
STATE/TERRITORY GOVERNMENTS State/Territory
Agriculture
Departments
Research andDevelopment 96.55G/AG/N/AUS/7
Page6Measure type Name anddescription ofmeasures withreference tocriteria inAnnex 2Monetary value of
measure inyearin
question
($Amillion)Data Sources
1 2 3 4
Pestanddisease control 63.92
Training Services 0.4
Extension andAdvisory Services 54.99
Inspection Services 4.05
Marketing andPromotion 51.67
Infrastructure Services 9.88
(b) “public stockholding forfood
security purposes ”
(c) “domestic food aid”
(d) “decoupled income support ”
(e) “income insurance andincome
safety-net programs ”
(f) “payments forrelief from
natural disasters ”
COMMONWEALTH GOVERNMENT
Rural Adjustment Scheme
(Exceptional Circumstances
Provisions)Forfarmers whose farm business incomes have been adversely affected
byexceptional circumstances (such asextreme andprolonged drought)69.42 DPIEG/AG/N/AUS/7
Page7Measure type Name anddescription ofmeasures withreference tocriteria inAnnex 2Monetary value of
measure inyearin
question
($Amillion)Data Sources
1 2 3 4
STATE AND TERRITORY
GOVERNMENTS
State natural disaster relief
programs36.22
(g) “structural adjustment assistance
through producer retirement programs ”
COMMONWEALTH GOVERNMENT
Rural Adjustment Scheme
(Reestablishment Scheme)Forfarmers infinancial difficulty butwithout prospects forlong-term
profitability11.26 DPIE
STATE AND TERRITORY
GOVERNMENTS
State structural adjustment
programs0.65
(h) “structural adjustment assistance
through resource retirement programs ”
(i) “structural adjustment assistance
through investment aids”
STATE AND TERRITORY
GOVERNMENTS
State structural adjustment
programs2.16G/AG/N/AUS/7
Page8Measure type Name anddescription ofmeasures withreference tocriteria inAnnex 2Monetary value of
measure inyearin
question
($Amillion)Data Sources
1 2 3 4
(j) “environmental programs ”
STATE AND TERRITORY
GOVERNMENTS
State environmental programs 136.17
(k) “regional assistance programs ”
COMMONWEALTH GOVERNMENT
Rural Adjustment Scheme
(Regional)Facilitates farm exits and/or productivity improvements inrural regions
currently faced withsubstantial economic, social orenvironmental
challenges13.24 DPIE
STATE AND TERRITORY
GOVERNMENTS
State regional assistance
programs0.21
(l) “other”
TOTAL 764.42G/AG/N/AUS/7
Page9Supporting Table DS:4
DOMESTIC SUPPORT: AUSTRALIA
REPORTING PERIOD: 1995/96 FISCAL YEAR (1JULY -30JUNE)
Calculation oftheCurrent Total Aggregate Measurement ofSupport
Description ofbasic products
(including non-product specific
AMS)Product-specific AMS (from
Supporting Tables DS:5 to
DS:7 below)Product-specific equivalent measurements of
support (from Supporting Tables DS:8 below)Current Total AMS (aggregate)
1 2
$Amillion3 4
$Amillion
Milk
Dried Vine Fruit
Eggs
Rice
Sugar
Wheat151.717 0 151.717
0
0
0
0
0
Non-product specific AMS 0
TOTAL: 151.717
Notes: Assistance forDried Vine Fruit, eggs, rice, andsugar were listed inAustralia ’sAMS during thebaseperiod. Since thattimechanges toGovernment assistance
programs hasresulted inassistance nolonger being provided.
Dried Vine Fruit -Statutory equalisation andunderwriting removed from 1990 and1993 respectively.
Eggs -State Government marketing andprice regulation phased outsince 1July1989.
Rice -Nomarket price support through preferential pricing, domestic pricing isnowonacommercial basis andfluctuates inlinewithworld price.
Sugar -Theapplied administered price removed from 1July1989.
Forwheat nopayments were made inreporting period under thestatutory underwriting arrangements forwheat.G/AG/N/AUS/7
Page10Supporting Table DS:7
DOMESTIC SUPPORT: AUSTRALIA
REPORTING PERIOD: 1995/96 FISCAL YEAR (1JULY -30JUNE)
Product-Specific Aggregate Measurement ofSupport: Other Product-Specific Support andTotal Product-Specific AMS
Description
ofbasic
productsYear
beginningMeasure type Other
product-
specific
budgetary
outlaysOther product specific
support (include
calculation details)Associated
fees/leviesTotal other
product-
specific
supportMarket price
support
(Supporting
Table DS:5)Non-exempt
direct
payments
(Supporting
Table DS:6)Total
AMSDatasources
1 2 3 4 5 6 7
(4+5-6)8 9 10
(7+8+9)11
Milk 1July
1995Support delivered through
increases intheprice of
manufactured dairy products to
domestic consumers bythelevy
payed onmilk used inthe
manufacture ofdairy products.
Theincrease intheprice of
manufactured dairy products
(consumer transfer) iscalculated
onaperlitreofmanufacturing
milk produced andmultiplied by
total milk production lessthe
market milk levywhich ispayed
byproducers.$A
million
187.532
Seeannexed tables
forbasis of
calculation
Table 1-
Calculation ofthe
Support /litre
Based onIncreases
inthePrice of
Dairy Products
Table 2-Basis of
Levy Deductions
Table 3-
Calculation oftotal
support$A
million
35.815$Amillion
151.717$A
million
151.717Source: Milk
production -
ABARE
Levy
administration
data-
Australian
Dairy
CorporationG/AG/N/AUS/7
Page 11
Annex Table 1:Calculation oftheSupport /litre Based onIncreases inthePrice ofDairy
Products
A B C D E
Year Gross Levy
Imposed(a)Milk Levy
DeductionsNetLevy
Imposed
(A-B)Manufacturing
Milk productionSupport/litre
(C/D)
$Amillion $Amillion $Amillion Million litres cents/litre
1995/96 307.11 159.025 147.986 6878 2.15158
(a)comprised ofthemanufacturing milklevyandthemarket milklevy
Annex Table 2:Basis ofLevy Deductions
$Amillion
Levy Exemption onthebasis of
exports ofmanufactured dairy
products (b)134.217
Rebates fordownstream Processors
(b)12.370
Administration 1.612
Contingent Liability forlevypaid
onstocks designated forexport10.826
Total Reduction 159.025
(b)Levy paidonmilkwhich issubsequently exported generates alevyliability reduction to
manufacturers orarebate credit todownstream processors.
Annex Table 3:Calculation ofTotal Support
A B C
Year Support/litre
(from Table 1)Total Milk Production Total Support
(A*B)
cents/litre Million litres $Amillion
1995/96 2.15158 8716 187.532