WORLD TRADE G/SCM/N/16/CAN
25June1997
ORGANIZATION(97-2615)
Original: English/French Committee onSubsidies andCountervailing Measures
SUBSIDIES
Updating Notification Pursuant toArticle XVI:1 oftheGATT 1994
andArticle 25oftheAgreement onSubsidies and
Countervailing Measures
CANADA
Thefollowing communication, dated 18April 1997, hasbeenreceived from thePermanent
Mission ofCanada.
_______________
Introduction
Canada ’snotification comprises agricultural andindustrial goods programmes, including
assistance forresearch anddevelopment, shared costfederal/provincial assistance andregional
development assistance. Thenotification process isintended, forthepurposes oftransparency, toclarify
theoperation ofprogrammes ormeasures. Inthisregard, further toArticle 25.7oftheSubsidies
Agreement, thenotification doesnotprejudge thelegalstatus, nature oreffects ofnotified programmes
ormeasures under theSubsidies Agreement ortheGATT 1994.G/SCM/N/16/CAN
Page2
AGRICULTURAL PROGRAMMES
A. Components oftheFarm Income Protection Act
1. Gross Revenue Insurance Plan
1. Gross Revenue Insurance Plan(GRIP).
2. Crop years 1993-94, 1994-95 and1995-96.
3. GRIP stabilized theincome offarmers through income andyield protection. Itconsisted of
twocomponents: cropinsurance andarevenue protection component. These were delivered either
asasingle integrated programme ortwoseparate components, depending ontheprovince.
TheRevenue Protection Component stabilized afarmer 'sincome bymoderating theeconomic
effects oflosses duetoshort-term market risks. Crop insurance isdealtwithinthenextsection.
4. Farm Income Protection Act,Section 4.
5. Contribution.
6. Therevenue protection component wasprovided through agreements thatestablished funds
intowhich premiums werepaidtwo-thirds bygovernments andone-third byproducers. Over time,
premiums hadtoequal payouts andanydeficit, withinterest, wasrepaid fromfuture premiums. Target
revenues andpremiums wereestablished eachyearusing theIndexed Moving Average Price (IMAP).
Payments weretriggered when themarket revenue foranenrolled cropfellbelow thetarget revenue.
Thefarmer received apayment making upthedifference.
GRIP covered grains, oilseeds andspecialty crops.
7. Federal GRIP Contributions
Crop Year Total Contributions (millions) PerInsured Producer
1993-94 $462.38 $3,961
1994-95 $408.13 $3,741
1995-96 $133.28 $2,863
8. TheNationalGrossRevenueInsurancePlanwasestablishedin1991andterminated1April1996.
2. Crop Insurance
1. Crop Insurance.
2. Crop years 1993-94, 1994-95 and1995-96.
3. Crop Insurance stabilizes afarmer 'sincome bymoderating theeconomic effects ofcroplosses
caused bynatural hazards suchasdrought, flood, hail,frost, excessive moisture andinsects.
4. Farm Income Protection Act,Section 4.G/SCM/N/16/CAN
Page3
5. Contribution.
6. Producers andfederal andprovincial governments paypremiums intocropinsurance accounts.
Payouts arebased onafarmer 'saverage cropyield andaretriggered when afarmer suffers ayield
lossduetoacovered hazard. FIPA authorizes cropinsurance asanoption under GRIP orthrough
separate cropinsurance agreements. Theproducer share ofcropinsurance premiums is50%andthe
federal andprovincial government shares are25% each, under bothindependent cropinsurance
agreements andthecropinsurance option ofGRIP.
7. Federal Crop Insurance Contributions
Crop Year Total Contributions (millions)* PerInsured Producer
1993-94 $127.65 $982
1994-95 $119.89 $998
1995-96 $121.72 $1,075
Note: *The CIcontributions include waterfowl contributions.
8. Theprogramme wasestablished in1959andrevised in1990. InApril 1991, theCropInsurance
Actwasrevoked andincorporated intotheFarm Income Protection Act.
3. National Tripartite Stabilization Plan
1. TheNational Tripartite Stabilization Programme (NTSP).
2. Crop years 1993, 1994 and1995.
3. NTSP payments helpstabilize producers 'income byreducing theimpact ofshort-term price
disruptions inmarket conditions. Currently, onlyapples andsugar beets arestillcovered byNTSP.
4. Farm Income Protection Act,Section 4.
5. Contribution.
6. Thesupport levels forapples andsugar beets aresetatapercentage oftheIndexed Moving
Average Price (IMAP). TheIMAP istheprovincial average market price, adjusted toaccount for
inflation forthepreceding 10years forapples, andthepreceding 15years forsugar beets. Apayment
ofthedifference ismade when theprovincial average market price fallsbelow thecalculated support
price. Theprogramme costisshared equally between thefederal government, theprovince and
producers, therefore government contributions represent two-thirds oftotalpayments.
7. Total Payment PerUnit(pertonne)
Apples: Sugar Beets:
1993-94 $0 1993-94 $1.74inManitoba
$3.16inAlberta
1994-95 $0 1994-95 $0.13inAlberta
1995-96 n.a.G/SCM/N/16/CAN
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Total Amount ofPayment (millions)
Apples: Sugar Beets:
1993-94 $0 1993-94 $2.26
1994-95 $0 1994-95 $0.11
1995-96 n.a.
Note: Thecropyearextends from1August to31Julyforapples. Forsugar beets, itextends
from 1September tothetimeatwhich allsugar salesfrom thatcroparecompleted.
8. TheNTSP forapples willbeterminated retroactively, effective theendofthe1994-95 crop
year. TheNTSP forsugar beets willbeterminated attheendofthe1996-97 cropyear.
4. Dairy Subsidy
1. Industrial Milk Subsidy.
2. Dairy years 1993-94, 1994-95 and1995-96.
3. Theobjectives ofthefederal dairy subsidy are:toprovide income protection forproducers
against production andmarket risk;tocontribute toasound, healthy andviable dairy industry; tofoster
thedevelopment ofviable dairyfarms; andtoprovide consumers withacontinuous andadequate supply
ofhighquality dairy products.
4. Farm Income Protection Act,Section 12.
5. Contribution.
6. Thesubsidy ispaiddirectly toproducers ofindustrial milkandcream ontheirproduction within
aquota designed tomeet Canadian domestic requirements. Milk production inCanada isrestricted
through farmlevel production quotas. Thenational supply management system forindustrial milk
isgoverned byajointfederal/provincial agreement administered bytheCanadian Dairy Commission
(CDC).
7. Thedirect subsidy payments bytheCDC onindustrial milkandcream were:
Dairy Year* Subsidy Rate(perhectolitre) Total Payments
1993-94 $5.43 $223 million
1994-95 $5.43 $222 million
1995-96 $4.62 $185 million
*The dairy yearextends from 1August to31July.
8. Following reductions announced intheFebruary 1995Federal Budget, programme expenditures
were reduced by15%on1August 1995 andbyanother 15%on1August 1996 foratotalof30%.
The1996Federal Budget further reduced thedairy subsidy by$0.76/hl each1August, starting
in1997, suchthatitwillbeeliminated by1August 2001.G/SCM/N/16/CAN
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5. HogTransition Programme
1. National Transition Scheme forHogs.
2. Fiscal years 1994-95 and1995-96.
3. Theprogramme wasdesigned tocompensate hogproducers fortheearly termination ofthe
NTSP forhogsaswellasfacilitating theirtransition toawhole-farm income stabilization programme.
4. Farm Income Protection Act,Section 12.
5. Contribution.
6. Producers whowereenrolled ingood standing intheNTSP forhogswhen itwasterminated
werepaidanamount of$3.00 pereligible hogmarketed inthelastthree quarters of1994. Thecost
wasshared equally byfederal andprovincial governments.
7. Fiscal Year Total Payment
1994-95 $5,688,203
1995-96 $14,526,629
8. Theprogrammewasputinplacelatein1994withmostofthepaymentsmadeduringthe1995-96
fiscal year. Theperiod ofeligibility forpayments ended 31December 1994.
B. LIVESTOCK AND PRODUCTS
1. Feed Freight Assistance Programme
1. Feed Freight Assistance Programme (FFA).
2. Fiscal years 1993-94, 1994-95 and1995-96.
3. TheFFAprogramme reduced thefreight costoftransporting feedgrains toeligible areas in
order tohelpmaintain theviability ofthelivestock industry, especially inthegrain deficit regions of
Canada.
4. Thisprogramme wasadministered under theAgriculture andAgri-Food Canada Act.
5. Contribution.
6. Thesubsidy waspaideither directly tolivestock producers ortofeedmillers forthebenefit
ofproducers. Ifitwaspaidtothefeedmillers, theythenwould charge alower price forfeedto
livestock producers.
7. Total Amount ofPayments
1993-94 $15.3 million
1994-95 $19.4 million
April 1995-December 1995 $14.0 millionG/SCM/N/16/CAN
Page6
Average Expenditure pertonne shipped
1993-94 $13.46
1994-95 $12.86
April 1995-December 1995 $12.83
8. Theprogramme wasterminated on31December 1995.
2. Feed Freight Assistance Adjustment Fund
1. Feed Freight Assistance Adjustment Fund (FFAAF).
2. Fiscal year1995-96.
3. TheFFAAF wasestablished astransitional assistance tocontribute totheability oftheaffected
livestock farming operations andindustries toadapt tothelossoftheFeed Freight Assistance
Programme.
4. Budget Implementation Act,1995 (BillC-76).
TheDepartment ofAgriculture andAgri-Food Act-sub-section 4(a).
5. Contribution.
6. Payments fromtheFFAAF willbemade toprovincial farmorganizations representing livestock
producers. These organizations willutilize thefunds foracombination ofdirect payments toproducers
andpayments tospecific industry organizations fordevelopment initiatives. Thefunds willbedivided
among ninejurisdictions (seven provinces andtwoterritories) onthebasisoftheirrespective average
annual useunder theFFAProgramme overtheperiod from 1990-91 to1994-95, inclusive.
Within eachjurisdiction, theamount tobeprovided through direct payments toproducers or
tospecific industry organizations willbedetermined bytheprovincial farmorganization, based on
consultation amongst theaffected sectors. Direct payments aretoassist livestock producers toadjust
tothelossoftheFFAsubsidy.
7. Fiscal Year Budgeted Payout
1995-96 $20million
8. The$58million fundwillbepaidoutinthree, approximately equal, instalments. Thefirst
payment toprovincial farmorganizations wasmade inMarch 1996, thesecond willbeinthe1996-97
fiscal year, andthefinalpayment willbeinthe1997-98 fiscal year.
C.CROPS
1. Farm Support andAdjustment Measures I&II
1. Farm Support andAdjustment Measures I&II(FSAM I&II).
2. Fiscal years 1993-94, 1994-95 and1995-96.
3. Inthese years, FSAM I&IIprovided financial assistance toproducers ofhorticulture and
other commodities, primarily inresponse tothedevastating effects ofpoormarket returns receivedG/SCM/N/16/CAN
Page7
byhorticulture producers during 1991, aswellasfinancial assistance tohorticulture producers for
long-term restructuring and/or development ofthehorticulture sector.
4. Farm Income Protection Act,Section 12.
5. Contribution.
6. FSAM I&IIprovided funds forthemanagement ofland, soilandrelated water resources,
andspecial measures forthehorticulture sector.
7. Amount ofPayment
Fiscal year Total Payment ($'000)*
1993-94 $52,210
1994-95 $9,833
1995-96 $1,654
*Onacashaccounting basis.
Given thevariation inthecomponents ofFSAM, average payments perproducer orperunit
arenotmeaningful.
8. FSAM Iwasestablished inApril 1991, andFSAM IIwasannounced inOctober 1991. FSAM I
&IIwillprovide assistance tothehorticulture sector until1998.
2. Cash Flow Enhancement Programme
1. Cash Flow Enhancement Programme (CFEP).
2. Crop years 1992-93, 1993-94 and1994-95.
3. CFEP provides income assistance through aninterest-free benefit onadvances upto$50,000,
foradvances under theAdvance Payments forCrops Act(APCA) andthePrairie Grain Advance
Payments Act(PGAPA).
4. Advance Payments forCrops Act,Prairie Grain Advance Payments Act.
5. Interest Rebate.
6. CFEP provides non-taxable rebates ofinterest onadvances oflessthan$50,000 forparticipants
intheAPCA andPGAPA. Theprogramme wasdeveloped inthe1990-91 cropyearandhassince
beenextended onayear-to-year basis.
APCA isavoluntary programme applying toallstorable crops grown inCanada (except wheat
andbarley grown intheCanadian Wheat Board (CWB) designated area,which iscovered byPGAPA).
Itprovides guarantees onprincipal andinterest, thereby allowing producer organizations tomake a
cashadvance toindividual producers, whoaremembers, upto$250,000. Advances arerepaid when
thecrops aremarketed. Thecommodity secured loanprovides producers withfinancial flexibility
todefer marketing toamore favourable timeduring theyear.G/SCM/N/16/CAN
Page8
PGAPA isavoluntary programme applying towheat andbarley grown intheCWB designated
area. Itallows producers toreceive acashadvance priortocropsales/delivery when salesopportunities
arerestricted duetodelivery andmarketing problems. Theprogramme isadministered bytheCWB.
Under thePGAPA, advances toindividual producers areavailable upto$250,000, minus advances
taken under theAdvance Payments forCrops Act,based oncrops instorage. Theadvances arerepaid
asthecrops aresold,either bydeduction fromCWB initial payments orbycash. ThePGAPA provides
afederal guarantee onthefunds advanced andassociated interest costs.
7. Forthe1994-95 cropyear, 33,213 producers participated intheCFEP programme through
PGAPA, and11,900 producers participated through APCA .
CostofInterest Rebate onAdvances under CFEP ($million)
Crop year* APCA PGAPA
1992-93 $4.0 $42.0
1993-94 $2.0 $13.0
1994-95 $6.3 $15.0
Average perParticipating Producer
Crop year* APCA PGAPA
1992-93 $550 $769
1993-94 $347 $291
1994-95 $529 $451
*The cropyearforthePGAPA extends from 1August to31July. The12month cropyear
fortheAPCA varies according tothecropharvested.
8. CFEP hasbeenextended onayeartoyearbasis since itsinception. APCA wasenacted in
1977 andPGAPA wasenacted in1957.
3. Western Grain Transportation Act
1. TheWestern Grain Transportation Act(WGTA).
2. Crop years 1992-93, 1993-94 and1994-95.
3. TheWGTA required thefederal government topayaportion ofthetotalrailway costs of
transporting grains fromWestern Canada todesignated ports. Theprogramme wasterminated inthe
February 1995 Federal Budget, effective 31July1995.
4. Western Grain Transportation Act.
5. Contribution.
6. Under theWGTA, thefederal government wasrequired topayaportion oftotalrailway costs
oftransporting grains thatwasbased onthedifference which existed incropyear1981-82 between
thetotalcostoftransporting grain andwhatshippers were thenpaying totransport theirgrain.G/SCM/N/16/CAN
Page9
Until January 1984, freight ratesongrains moving outofWestern Canada werebased onlevels
firstsetin1897. Although thesefixedratesoriginally covered therailways 'costsoftransporting grain,
bythe1960'ssignificant problems began tooccur. These problems included large annual railway
revenue losses onhauling grain, reluctance bytherailways toinvest inthegrain transportation system,
andagricultural production distortions inWestern Canada.
7. Crop Year Estimated Payment perTonne Total Government Payments
1993-94 $19.64 $638.3 million
1994-95 $16.15 $589.5 million
1995-96 Nil Nil
8. TheWGTA waseffective from 1January 1984 to31July1995.
4. Western Grain Transition Payments Programme
1. Western Grain Transition Payments Programme (WGTPP).
2. Fiscal year1995-96.
3. Toassist thegrains sector inwestern Canada inthetransition toanunsubsidized transportation
environment, theGovernment ofCanada established theWGTPP. Under thisadjustment measure,
aone-time capital payment ofupto$1.6billion wasmade toowners ofprairie farmland inrecognition
oftheimpact onlandvalues thatisexpected toresult fromthetermination ofthelong-standing WGTA
freight subsidy.
4. Budget Implementation Act,1995 (BillC-76).
Western Grain Transition Payments Act,1995.
Western Grain Transition Payments Regulations, 1995.
5. Contribution.
6. Theone-time $1.6billion payment wasallocated toeachwestern province onthebasisoftheir
historical shares oftheWGTA subsidy overthepast9years (1985-86 to1993-94). Theprovincial
shares reflect historical shipments ofWGTA commodities.
Thepayments toeligible landowners within eachofthese regions wasbased oneligible acres
in1994, landproductivity anddistance fromport. Theacres eligible forpayment include allfarmland
onwhich aneligible annual cropofgrain wasgrown in1994, including summer fallow, provided that,
inthecaseofsummer fallow, aneligible annual cropofgrain wasgrown onthelandin1993. Examples
ofineligible farmland included forage land(including landunder thePermanent Cover Programme),
natural pasture, government grazing lease, uncultivated land, wasteland, yardsitesandlandthatwas
newbreaking in1994. Eligible farmland didnotinclude cultivated landthat,in1994, grewanineligible
crop(e.g.sugarbeets,potatoes).Differencesinlandproductivitywereaccountedforbasedonprovincial
cropinsurance historical yield dataandregional croprotations. Inaddition, thereason forincluding
adistance factor incalculating individual payments wasthattheWGTA subsidized freight rateswere
distance-related (thesubsidy pertonne thatwasactually provided under theWGTA increased with
distance from port) and,hence, thedistribution ofthebenefit reflected thelocation oflandrelative
tothewestcoast andThunder Bay.
Thisprogramme meets thecriteria forexemption fromreduction commitments under theWTO
Agreement onAgriculture asdecoupled income support consistent withtheprovisions ofAnnex 2,G/SCM/N/16/CAN
Page10
paragraph 6.Anotification, describing theprogramme inrelation tothese criteria, hasbeenprovided
totheWTO Committee onAgriculture (G/AG/N/CAN/5).
7. Thetotalcostofthismeasure was$1.6billion.
8. Theprogramme willendafterthelastpayment inthe1996-97 fiscal year.G/SCM/N/16/CAN
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INDUSTRIAL PROGRAMMES
I. ABORIGINAL ECONOMIC PROGRAMMES
1. Programme: TheAboriginal Business Development andJointVenture andAboriginal
Capital Corporation Programmes.
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective ofthese programmes istoincrease commercial enterprise activity by
Aboriginal Canadians asamajor steptowards enhancing theireconomic self-reliance,
byproviding financial andadvisory assistance atvarious stages andforseveral aspects
ofenterprise development. Itisexpected thatAboriginal Canadians cangainsubstantial
advantages fromthese programmes intheformofanincrease intherateofenterprise
formation,aswellasgreatersurvivalandgrowth,andbetterperformanceofenterprises.
4. Assistance isprovided under thelegislative authority oftheDepartment ofIndustry
Act.
5. Assistance isprovided intheformofrepayable ornon-repayable contributions. The
programmes haveanumber ofspecific elements, withspecific maximum cost-sharing
ratiorelated toeach. In1994/95, theaverage contribution represented 19%ofthe
project cost.
6. Theprogrammes provide assistance tobusiness development promoted, andjoint
ventures andcapital corporations owned byAboriginal Canadians.
7. Industry Canada disbursed $69,440,182 inFY1993/94, and$56,206,932 in
FY1994/95.
8. Theprogrammes were created in1990.
II. ADVANCEDMANUFACTURINGTECHNOLOGYAPPLICATION
PROGRAMME
1. Programme: TheAdvanced Manufacturing Technology Application programme
(AMTAP).
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. AMTAP wasdesigned tostimulate firms toimprove theirinternational competitiveness
through theadoption ofadvanced manufacturing technologies byproviding arange
ofservices tohelpthem identify, acquire andimplement these technologies.
4. Thisprogramme waspreviously administered under thelegislative authority ofthe
Department ofIndustry, Science andTechnology Actbutwastransferred inApril 1993,
from Industry Canada totheNational Research Council ofCanada.
5. Assistance isprovided intheform ofnon-repayable contributions. Theprogramme
hasseveral elements withspecific maximum cost-sharing ratiorelated toeach. As
of1992, maxima were either 60%or75%toamaximum of$15,000 perfirm.G/SCM/N/16/CAN
Page12
6. Theprogramme provided financial assistance forcompanies toengage outside resources
inorder toreview theircurrent operations withrespect tolongtermstrategy, define
areas ofimprovement, analyse costs andbenefits ofalternatives andprepare an
implementation plan.
7. Theprogramme expenditures totalled $1,250,315 inFY1993/94. There wasno
expenditure inFY1994/95.
8. Theprogramme wascreated in1988.
III. ADVANCED TRAIN CONTROL SYSTEM PROGRAMME
1. Programme: TheAdvanced Train Control System (ATCS)Programme.
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective istohelpfirms financially carry outresearch, development andtesting
ofcomponents andsubsystems insupport oftheintroduction ofadvanced traincontrol
technology inNorth America.
4. Assistance isprovided under thelegislative authority oftheDepartment ofIndustry,
Science andTechnology Act,which hasbeenreplaced withtheDepartment ofIndustry
Act.
5. Assistance isprovided intheform ofrepayable ornon-repayable contributions toa
maximum of40%ofeligible costs.
6. Assistance isintheformofcontributions towards thedevelopment costsandprototype
testing ofATCS incollaboration withtheCanadian railways.
7. Theprogramme expenditures totalled $149,357 inFY1993/94, andnoexpenditures
inFY1994/95.
8. Theprogramme wascreated in1987. Thelastdateforgovernment financial
commitments under thisprogramme was31December 1991.
IV. ATLANTIC ENTERPRISE PROGRAMME
1. Programme: TheAtlantic Enterprise Programme (AEP).
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective oftheAEPwastoencourage long-term economic growth intheAtlantic
region ofCanada through assistance measures which promote capital investment.
4. Theassistance wasprovided under thelegislative authority oftheDepartment of
Industry, Science andTechnology Act,which hasbeenreplaced withtheDepartment
ofIndustry Act.
5. Assistance wasprovided tobusiness intwoforms: contributions toreduce interest costs
byupto6percentage points; andspecial loaninsurance which covered upto95%
ofthevalue ofaloanwiththeconcurrence ofMinister ofFinance (normal maximumG/SCM/N/16/CAN
Page13
85%). Loan Insurance issubject toanannual insurance feeof1%payable bythe
lender.
6. TheAEPisabroadly-based programme thatprovided financial assistance tobusinesses
intheAtlantic Canada region across awiderange ofindustry sectors. Theprogramme
wasdirected attheestablishment ofeconomically viable facilities aswellasexpansion
ormodernization projects which could nototherwise becarried out.
7. Industry Canada ’sexpenditures totalled $862,334 inFY1993/94, and$1,129,629 in
FY1994/95. Foritspart, Atlantic Canada Opportunities Agency ’sexpenditures
amounted to$2.8million inFY1993/94, and$1.5million inFY1994/95.
8. Theprogramme wascreated in1986. Thelastdateforgovernment financial
commitments under thisprogramme was31December 1990.
V. CANADIAN INSTITUTE FOR ADVANCED RESEARCH
1. Programme: TheCanadian Institute forAdvanced Research (CIAR) programme.
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjectives ofthefinancial assistance toCIAR arefortheenhancement ofnational
productivity inresearch, development andeducation, productivity improvement inthe
manufacturing andservice industries, andthedevelopment offuture generations of
information technologies.
4. Theprogramme isadministered under thelegislative authority oftheDepartment of
Industry Act.
5. Financial assistance isgranted totheCanadian Institute forAdvanced Research which
isanon-profit private institution. From 1986through 1993, assistance wasintheform
ofgrants. Since 1994, assistance hasbeenintheformofnon-repayable contributions.
Theformula forcalculating federal assistance hasvaried overtheyears. Itiscurrently
calculated onthelesser of(a)50%ofeligible costs, (b)50%oftotalrevenues received
byCIARfromallnon-federalsources,or©afixedamount(approximately$3.5million).
6. TheInstitute supports networks ofoutstanding researchers across Canada toexplore
long-term, complex problems ofscientific, social andeconomic significance.
7. Theprogramme expenditures totalled $3,940,000 inFY1993/94, and$3,497,500 in
FY1994/95.
8. Theprogramme wasestablished in1986.
VI. CANADIAN NETWORK FOR THE ADVANCEMENT OFRESEARCH,
INDUSTRY AND EDUCATION (CANARIE)
1. Programme: TheCanadian Network fortheAdvancement ofResearch, Industry and
Education (CANARIE) Programme.
2. Thenotification covers thefiscal years 1993/94 and1994/95.G/SCM/N/16/CAN
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3. Theobjectives are(a)enhancement ofnational productivity inresearch, development
andeducation;(b)productivityimprovementinthemanufacturingandserviceindustries;
and©development offuture generations ofinformation technologies.
4. Assistance isprovided under thelegislative authority oftheDepartment ofIndustry
Act.
5. Assistance isprovided intheformofnon-repayable contributions. Maximum assistance
iseither 50%or100% ofeligible costs depending onthetypeofproject.
6. Financial assistance isprovided toCANARIE Inc., anot-for-profit organization
responsible forplanning, implementation andmanagement oftheCANARIE network
forresearch anddevelopment projects thataddress thedevelopment andtesting offuture
generations ofinformation technologies, andthediffusion andapplication ofthese
technologies across industrial sectors.
7. Theexpenditures totalled $3,500,000 inFY1993/94 and$19,022,013 inFY1994/95.
8. Theprogramme wasapproved inApril 1993 andgovernment commitments willbe
made untilMarch 1999.
VII. COMMUNICATIONS TECHNOLOGY R&D INCENTIVE PROGRAMME
1. Programme: TheCommunications Technology R&D Incentive Programme.
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective wastohelpbusinesses inCanada todevelop critical mass andunique
expertise, andtoencourage themtobecome leaders inmedia technologies, electronic
datainterchange, andadvanced communications.
4. Thisprogramme wasadministered under thelegislative authority oftheDepartment
ofIndustry, Science andTechnology Act.
5. Theprogramme hasseveral elements, however onaverage thesharing ratiois50%
ofeligible costs.
6. This programme promoted economic growth byhelping businesses develop
communications technology andencouraging themtobecome orremain competitive.
7. Theexpenditures totalled $5,872,321 inFY1993/94, and$5,960,089 inFY1994/95.
8. Theprogramme wascreated in1992 andterminated inFebruary 1995.
VIII. DEFENCE INDUSTRY PRODUCTIVITY PROGRAMME
1. Programme: TheDefence Industry Productivity Programme (DIPP).
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theprimary objective ofthisprogramme istoenhance Canada 'seconomic growth
through thepromotion ofviable defence ordefence-related products. SupportingG/SCM/N/16/CAN
Page15
objectives aretoprovide adefence industrial baseandtodevelop andmaintain adefence
technological capability.
4. Theprogramme isadministered under thelegislative authority oftheDepartment of
Industry Act.
5. Assistance isprovided intheform ofcontributions, repayable contributions or
conditionally repayable contributions, which represent upto50%ofeligible costs.
6. Assistance isforresearch anddevelopment (defence anddefence-related products and
associated technologies), source establishment (qualified Canadian suppliers ofdefence
anddefence-related products), capital assistance (theacquisition ofadvanced product
equipmentandmodernizationorupgradingofengineeringormanufacturingcapabilities)
andmarket feasibility studies (specifications fordefence-related products andmarket
characteristics forproducts).
7. Theexpenditures totalled $248,233,763 inFY1993/94, and$214,082,406 in
FY1994/95. Nonewfinancial commitments havebeenmade since 1March 1995.
8. DIPP wasdeveloped in1959 andhasundergone numerous modifications since that
time.
IX. ECONOMIC AND REGIONAL DEVELOPMENT AGREEMENTS/GENERAL
DEVELOPMENT AGREEMENTS (ERDA)
1. Programme: In1984, aseries offramework agreements were negotiated andsigned
bythefederal government witheachprovince.
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective oftheseagreements istoimprove theeconomic andregional development
ofeachProvince andtocreate anenvironment inwhich eachProvince canachieve
itsowneconomic potential through, inparticular, theenhancement oftheir own
competitive advantages, thedevelopment andstrengthening ofenterprises, andthe
creation ofjobs.
4. These agreements wereadministered under thelegislative authority oftheDepartment
ofIndustry Actanditspredecessors.
5. Alloftheagreements wereco-chaired bytheProvinces andassistance included grants,
non-repayable andrepayable contributions andloans.
6. Under ERDA, there wereandcontinue toexistvarious sub-agreements thatprovide
assistance toactivities inanumber ofareas suchasindustrial development, science
andtechnology, communications, tourism, small business development, etc.
7. Industry Canada ’sexpenditures totalled $32,458,225 inFY1993/94, and$26,152,485
inFY1994/95. Foritspart,Western Diversification Office ’sexpenditures amounted
to$1,682,330 inFY1993/94 and$118,860 inFY1994/95.
8. Allofthese sub-agreements were approved atdifferent dates andnonewfinancial
commitments arebeing made under most ofthese sub-agreements.G/SCM/N/16/CAN
Page16
X. ENVIRONMENTALTECHNOLOGYCOMMERCIALIZATIONPROGRAMME
1. Programme: TheEnvironmental Technology Commercialization (ETC).
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective istoprovide newsolutions toenvironmental problems andstimulate
Canadian economic activity bysharing thefinancial risksofdeveloping, demonstrating
andcommercializing newtechnologies through theuseoffirst-time pilot and
demonstration projects.
4. Theprogramme isadministered under thelegislative authority oftheDepartment of
Industry Act.
5. Maximum contributions forstudies arethelesser of75%ofeligible costsor$50,000;
andfordevelopment/demonstration projects, thelesser of50%ofeligible costs or
$5million. When thesupport exceeds $100,000, theassistance isrepayable, usually
through profits generated bytheexploitation ofthetechnology.
6. Theprogramme provides financial assistance tojointventures andconsortia formed
byfor-profit corporations. Thepartners mayinclude environmental industry firms,
universitiesandresearchinstitutions.Thegroupmusthavethecapabilitytosuccessfully
demonstrate andcommercialize newenvironmental technologies.
7. Theexpenditures totalled $1,540,553 inFY1993/94, and$4,523,587 inFY1994/95.
8. Thisprogramme started inOctober 1991, and,subject toavailable funding, new
applications maybeaccepted until31March 1997.
XI. INDUSTRIAL AND REGIONAL DEVELOPMENT PROGRAMME
1. Programme: TheIndustrial andRegional Development programme.
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective wastopromote regional industrial development through support of
projects, industries andtechnologies having thegreatest potential foreconomic return,
sustained growth andinternational competitiveness.
4. Theassistance isprovided under theIndustrial andRegional Development Act.
5. Theprogramme made financial assistance available tobusiness andnon-profit
organizationsthroughgrants,contributions,repayablecontributions,andloanguarantees.
Maximum grants andcontributions varied between 25%and100%; maximum loan
guarantees were 90%ofprinciple andinterest.
6. Theprogramme provided assistance toawidevariety ofprojects, including feasibility
studies, product andprocess innovation, newplant establishment, modernization or
expansion ofexisting plant facilities andmarketing.G/SCM/N/16/CAN
Page17
7. Industry Canada ’sguarantee payments amounted to$2,486,594 inFY1993/94, and
$38,210,902 inFY1994/95. Itsgrants andcontributions (repayable andnon-repayable)
totalled $3,405,095 inFY1993/94, and$1,133,199 inFY1994/95. Foritspart,the
Western Diversification Office ’sexpenditures amounted to$498,070 inFY1993/94
and$1,040,828 inFY1994/95.
8. Theprogramme wascreated in1983. Thelastdateforgovernment financial
commitments was30June1988. Theexpenditures noted above arefromcommitments
made prior toJune1988.
XII. MICROELECTRONICS AND SYSTEMS DEVELOPMENT PROGRAMME
1. Programme: TheMicroelectronics andSystems Development programme.
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective ofthisprogramme istoenhance theinternational competitiveness and
growth ofthemanufacturing, processing andservice industries inCanada. The
programmestrategyistoencourageCanadiansystemsdevelopmentandmicroelectronics
companies tofurther theobjective bysharing with them theriskofdeveloping
appropriate advanced microelectronic technologies andinformation technologies and
systems.
4. Theprogramme isunder thelegislative authority oftheDepartment ofIndustry Act.
5. Programme assistance isintheform ofcontributions andrepayable contributions to
amaximum of50%ofeligible costs, (25% forcosts ofspecial purpose equipment).
6. Assistanceisforallcompanieswithin-housesystemsengineeringcapabilities,companies
specializinginsystemsintegration,anddevelopersofadvancedmicroelectronicssystems.
7. Expenditures totalled $7,979,609 inFY1993/94, and$4,465,726 inFY1994/95.
8. Theprogramme wascreated in1987.
XIII. NATIONAL BUSINESS NETWORKS DEMONSTRATION PROGRAMME
1. Programme: TheNational Business Networks Demonstration Programme.
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective ofthefinancial assistance istohelpsmall-and-medium sized enterprises
(SMEs) overcome barriers totheformation ofbusiness networks.
4. Assistance isprovided under thelegislative authority oftheDepartment ofIndustry
Act.
5. Assistance isprovided intheform ofnon-repayable contributions. Themaximum
assistance is50%ofeligible costs incurred byparticipating firms.G/SCM/N/16/CAN
Page18
6. Assistance isprovided totheChamber ofCommerce forimplementation oftheNational
Business Networks Demonstration Project toillustrate thebenefits toSMEs offorming
business networks.
7. There were noexpenditures inFY1993/94, butprogramme expenditures totalled
$350,000 inFY1994/95.
8. Thisprogramme wascreated in1994 andnogovernment commitments willbemade
after31March 1997.
XIV. NORTHERN ONTARIO DEVELOPMENT INITIATIVES
1. Programme: TheBusiness Incentive programme andtheCooperative Tourism
Marketing Initiative.
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjectives aretoencourage thegrowth anddiversification oftheNorthern Ontario
economybyprovidingfinancialassistanceandothersupporttosmall-andmedium-sized
private sector businesses andsupporting tourism activities inNorthern Ontario.
4. Assistance isprovided under thelegislative authority oftheDepartment ofIndustry
Act.
5. Assistance isintheformofcontributions orrepayable contributions. Theprogramme
hasanumber ofelements eachwithspecific maximum sharing ratios andthese have
varied overtheyears between 35%and90%.
6. Assistance isprovided tosmall- andmedium-sized businesses inNorthern Ontario.
Eligible projects include: research anddevelopment; -quality, technology and
management development; establishing newbusinesses; expanding ormodernizing
existing businesses; marketing; andfeasibility studies.
7. Expenditures totalled $8,757,436 inFY1993/94, and$7,283,855 inFY1994/95.
8. Theinitiatives were created in1987.
XV. ONTARIO BASE CLOSURES ADJUSTMENT PROGRAMME
1. Programme: TheOntario BaseClosures Adjustment Programme.
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective istoassist communities affected bytheclosure ofmilitary bases todeal
withtheeconomic impact ofsuchclosure. Theprogramme willassist communities
toundertake planning studies, evaluate economic development opportunities, and
implement economic development measures.
4. Thisprogramme wasunder thelegislative authority oftheDepartment ofIndustry Act.G/SCM/N/16/CAN
Page19
5. Assistance isprovided intheform ofrepayable andnon-repayable contributions.
Maximum assistance iseither 50%or90%ofeligible costs depending onthetypeof
project.
6. Financialassistanceisprovidedtoprojectsthataddresstheeconomicdevelopmentneeds
ofcommunities affected bymilitary bases closures inOntario.
7. There were noexpenditures inFY1993/94, butprogramme expenditures totalled
$319,550 inFY1994/95.
8. Theprogramme wascreated in1994 andnogovernment commitments willbemade
after31March 1999.
XVI. SATELLITE COMMUNICATIONS DEVELOPMENT PROGRAMME
1. Programme: TheSatellite Communications Development programme.
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective istopromote thedevelopment ofadvanced communications services
forCanadians.
4. Thisprogramme wasunder thelegislative authority oftheDepartment ofIndustry,
Science andTechnology Act.
5. Assistance wasintheformofnon-repayable contributions. Although theprogramme
hadnospecific maximum sharing ratio, normally, thelevelofcost-sharing was50%
ofproject cost.
6. Theprogramme shared thecostofresearch anddevelopment oftheCanadian satellite
communications industry.
7. Expenditures totalled $2,843,026 inFY1993/94, and$2,165,170 inFY1994/95.
8. Theprogramme, which wascreated in1986, wasterminated inFebruary 1995.
XVII. SECTOR CAMPAIGNS (SECTOR COMPETITIVENESS INITIATIVES)
1. Programme: TheSector Campaigns Programme.
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective oftheSector Campaigns wastoenhance theinternational competitiveness
ofCanadian industry inselected sectors through cooperation between government and
industry. Itwastoenhance thecompetitive position ofcertain industrial sectors through
leverage ofincreased R&D activity undertaken bycompanies, suppliers, research
institutes anduniversities. Itshifted government support away fromnewcapacity or
conventionaltechnologytowardincreasedR&Dandinnovationandmarketdevelopment.
4. Thisprogramme wasunder thelegislative authority oftheDepartment ofIndustry,
Science andTechnology Act.G/SCM/N/16/CAN
Page20
5. Assistance wasintheform ofcontributions orrepayable contributions. Maximum
contribution ratios forthevarious elements varied overtheyears butwere typically
50%or75%.
6. Theinitiatives provided assistance for:consultation, information exchange, advocacy,
innovation projects andstudies. Theassistance wasprovided tothefollowing industrial
sectors :advanced manufacturing technologies, automotive components, environmental
industries,fashionapparel,furniture,forestproducts,medicaldevices,microelectronics,
telecommunications equipment, andsoftware products.
7. Expenditures totalled $20,783,211 inFY1993/94, and $30,115,299 in
FY1994/95.
8. Theprogramme began in1988 andwasterminated inFebruary 1995.
XVIII. SMALL BUSINESS LOANS ACT
1. Programme: TheSmall Business Loans Act(SBLA).
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective istoencourage private sector lenders toincrease theavailability ofloans
forthepurpose oftheestablishment, expansion, modernization andimprovement of
small business enterprises.
4. Assistance isprovided under theSBLA.
5. Upto$250,000 canbeborrowed inrespect ofequipment, landandpremises. The
maximum termofthese business improvement loans istenyears. Lenders arelevied
a2%guarantee feewhich isnormally passed ontotheborrowers inrespect ofallloans
made andthegovernment/lender sharing ratioforloanlosses isaratio of90:10.
Farming businesses arenoteligible under SBLA. Allloans made after31March 1995,
aresubject toanannual feeof1.25% calculated ontheaverage amount ofloans
outstanding andpayable bythelender tothegovernment tomake theprogramme cost-
recoverable.
6. Afirmiseligible forconsideration forabusiness improvement loanunder theAct
ifitestimates thatitsgross revenues willnotexceed $5million intheyeartheloan
isapproved bythelender.
7. Expenditures totalled $8,343,510 inFY1993/94, and$9,290,164 inFY1994/95.
8. TheSmall Business Loans Acthasbeeninforce since January 1961.
XIX. ST-LAWRENCERIVERENVIRONMENTALTECHNOLOGYDEVELOPMENT
PROGRAMME
1. Programme: TheSt-lawrence River Environmental Technology Development
programme.
2. Thenotification covers thefiscal years 1993/94 and1994/95.G/SCM/N/16/CAN
Page21
3. Theobjective wastoencourage Canadian companies toparticipate intheSt-Lawrence
River Action Planbysharing withthem theriskofdeveloping andapplying newand
improved technologies thatwould achieve industrial pollution abatement.
4. Thisprogramme wasunder thelegislative authority oftheDepartment ofIndustry,
Science andTechnology Act.
5. Assistance wasintheform ofnon-repayable contributions ofupto50%ofeligible
costs toamaximum of$2million perproject.
6. Theprogramme encompassed twoelements: (1)feasibility studies thatsupported initial
studies conducted overa6-month period, either toinvestigate thetechnical feasibility
ofprojects ortodetermine theproduction, ortheeconomic market feasibility oftargeted
technological products; (2)development andapplication projects which supported the
developmentandapplicationofinnovationtechnologiesforusebyindustryinthevicinity
oftheSt-Lawrence River.
7. Expenditures totalled $3,365,222 inFY1993/94, and$814,405 inFY1994/95.
8. Theprogramme wascreated in1988. Thelastdateforgovernment commitments was
31December 1992.
XX. STRATEGIC TECHNOLOGIES PROGRAMME
1. Programme: TheStrategic Technologies programme.
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective ofthisprogramme istoenhance theinternational competitiveness of
Canadian industry through thedevelopment, acquisition, application anddiffusion of
technology. Theprogramme encourages andsupports pre-competitive R&Dalliances
andtechnology application alliances designed toaccelerate thetransition tobuilding
thetechnology baseessential forcompetitiveness.
4. Theprogramme isunder thelegislative authority oftheDepartment ofIndustry Act.
5. Assistance isintheform ofnon-repayable contributions toamaximum of50%of
eligible costs (25% ofspecial purpose equipment).
6. Theassistance isprovided tostrategic technology fields, namely advanced industrial
materials, biotechnology, andinformation technologies.
7. Expenditures totalled $20,767,892 inFY1993/94, and$18,849,571 inFY1994/95.
8. Theprogramme wascreated in1988.
XXI. TECHNOLOGYOUTREACHPROGRAMME/TECHNOLOGYOPPORTUNITIES
INEUROPE PROGRAMME
1. Programme: TheTechnology Outreach programme (TOP) andtheTechnology
Opportunities inEurope programme (TOEP).G/SCM/N/16/CAN
Page22
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective ofTOPwastoimprove theproductivity andcompetitiveness ofCanadian
industry byproviding asupporting infrastructure toaccelerate theacquisition,
development anddiffusion oftechnology andcritical skills within Canadian industry,
especially inthesmall- andmedium-sized business sector.
Theobjective ofTOEP wastocontribute tothegrowth ofastrong hightechnology
industry inCanada through thedevelopment ofnewtechnology andexpertise in
Canadian firms andthrough thepromotion ofindustrial cooperation between Canadian
andEuropean firms.
4. TOPandTOEPwerebothadministeredunderthelegislativeauthorityoftheDepartment
ofIndustry, Science andTechnology Act.
5. Assistance under TOEP wasintheformofrepayable ornon-repayable contributions.
Although theabsolute maximum (inexceptional circumstances) under thatprogramme
was100%, generally thesupport wasat50%orless. Assistance under TOPwasin
theformofnon-repayablecontributionstoamaximumof50%averagedoverafive-year
period. Maximum contributions forparticular elements varied overtheyears between
50%and90%.
6. TOPprovidedassistancetofosterthedevelopmentofamoreintegratednationalnetwork
oftechnology diffusion support incooperation withindustry, universities, provincial
research organizations andfederal agencies operating internal technology centres.
TOEP wastofacilitate theparticipation ofCanadian firms inEureka hightechnology
projects.
7. Total expenditures under these twoprogrammes totalled $16,249,603 inFY1993/94,
and$16,728,753 inFY1994/95.
8. BothTOPandTOEP werecreated in1986. TOPwasterminated inFebruary 1995.
Thelastdateforreceipt ofapplications under TOEP was31March 1989.
XXII. WESTERNTRANSPORTATIONINDUSTRIALDEVELOPMENTPROGRAMME
1. Programme:TheWesternTransportationIndustrialDevelopmentprogramme(WTIDP).
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective wastopromote industrial development andeconomic diversification in
thefourwestern provinces (Manitoba, Saskatchewan, Alberta andBritish Columbia)
inmanufacturing, processing andrelated service industries.
4. Theprogramme wasadministered under theDepartment ofIndustry, Science and
Technology Act.
5. Assistance wasprovided intheform ofnon-repayable contributions. Maximum
contributions forparticular elements varied between 25%and75%.G/SCM/N/16/CAN
Page23
6. Small, medium orlarge businesses located inWestern Canada were eligible for
assistance. Theprogramme provided assistance toenhance research anddevelopment
activities, funded studies onlongtermindustrial development strategies, andextended
industrial development incentives.
7. Industry Canada ’sexpenditures amounted to$593,630 inFY1993/94, and$1,121,111
inFY1994/95. Foritspart,theWestern Diversification Office ’sexpenditures totalled
$34,928 inFY1993/94 and$3,150 inFY1994/95.
8. Theprogramme, which wascreated in1984, hasexpired inApril 1988. The
expenditures noted above relate tocommitments made prior toApril 1988.
XXIII. INDUSTRIAL RESEARCH ASSISTANCE PROGRAMME
1. Programme: TheIndustrial Research Programme (IRAP).
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective istoassist firms inCanada toimprove theirtechnological capability.
4. Theprogramme isadministered under thelegislative authority oftheNational Research
Council Act.
5. Assistance tofirms isprovided through short-term non-funded technical advice and
non-repayable contributions.
6. Theprogramme hasnorestrictions astocompany ownership, industry sector, region
inCanada ortechnical field. Company-proposed projects arereviewed andapproved
according toobjective criteria. Assistance isprovided through short termnon-funded
technical advice andnon-repayable contributions toapproved industrial research and
development projects, usually lessthan50%ofproject costs. Assistance isfortechnical
work only, notforcapital, commercialisation orother business expenses.
7. Expenditures were $52.2 million inFY1993/94 and$58.4 million inFY1994/95.
8. Theprogramme wasinitiated in1962 andhasundergone various administrative
modifications since thattime.
XXIV. ATLANTIC CANADA OPPORTUNITIES AGENCY (ACOA) ACTION
PROGRAMME
1. Programme: ACOA Action Programme (AAP).
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective ofthisprogramme istofoster thedevelopment ofentrepreneurship,
increase therateofnewbusiness formation andimprove thecompetitiveness ofsmall
andmedium-sized businesses.
4. Assistance isprovided under thelegislative authority oftheAtlantic Canada
Opportunities Agency Act.G/SCM/N/16/CAN
Page24
5. Assistance isprovided intheformofrepayable ornon-repayable contributions. The
programme hasanumber ofelements, withspecific maximum cost-sharing ratiorelated
toeach. Theaverage contribution perproject wasabout 31%.
6. Theprogramme provides assistance toanysmall andmedium-sized enterprises in
Atlantic Canada tostart-up, expand, modernize andbecome more competitive. Non-
profit organizations providing support tothebusiness community mayalsoqualify.
7. ACOA hasdisbursed $125.5M inFY1993/94, and$120.2M inFY1994/95
8. Theprogramme wascreated in1988. Thelastdateforgovernment financial
commitments under thisprogramme was31March 1995.
XXV. COOPERATION PROGRAMME
1. Programme: TheCOOPERATION Programme includes allACOA cost-shared federal-
provincial agreements.
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective ofthisprogramme istoimprove theenvironment foreconomic growth
inAtlantic Canada through cooperation withalllevels ofgovernment, theprivate sector
andinstitutions.
4. Assistance isprovided under thelegislative authority oftheAtlantic Canada
Opportunities Agency Act.
5. Assistance isusually provided intheform ofanon-repayable contribution. Each
agreement hasitsownterms andconditions. Eachagreement contains several elements.
Thecost-sharing ratiomayvarybyprogramme element.
6. Theprogrammeprovidesassistancetoprovincialandmunicipalgovernments,economic
development andbusiness associations, universities, research institutes andbusinesses
principally infivestrategic areas, entrepreneurship, innovation andtechnology transfer,
inhumanresourcedevelopment,marketingandtradedevelopment,andtheenvironment.
7. ACOA disbursed $70.7M inFY1993/94 and$79.8M inFY1994/95. These
disbursements include payments tothefourAtlantic provinces valued at$50.5M in
FY1993/94 and$57.7M inFY1994/95. Thebalance wasintheform ofassistance
tobusinesses.
8. Theprogramme wascreated in1989. These multi-year cost-shared agreements are
usually ineffect forafive-year period fromthetimeofsigning. Asof1August 1996,
there were 12suchagreements ineffect inAtlantic Canada.
XXVI. FISHERIES ALTERNATIVE PROGRAMME (FAP):
1. Programme: Fisheries Alternative Programme
2. Thenotification covers thefiscal years 1993/94 and1994/95.G/SCM/N/16/CAN
Page25
3. Theobjectiveofthisprogrammeistoprovidefinancialassistancetoprojectsoractivities
which leadtothelong-term diversification ofaffected fishery-dependent communities
and/or toemployment forworkers displaced bythedownturn inthefishing industry.
4. Assistance isprovided under thelegislative authority oftheAtlantic Canada
Opportunities Agency Act.
5. Theprogramme ’sfinancial support isavailable intheformofgrants andcontributions
toward eligible costs, loaninsurance andinterest buy-downs. Theaverage contribution
perproject wasabout 51%.
6. Thisprogramme offers anenhanced level ofassistance overwhat maybeavailable
under existing programmes toeligible projects oractivities. Eligible activities may
include theestablishment ofnewbusinesses, expansion ormodernization ofexisting
ones, development ofnewproducts orservices, andthedevelopment ofbusiness
infrastructure toachieve economic diversification oreconomic expansion inaffected
fishery-dependent areas ofAtlantic Canada.
7. ACOA hasdisbursed $20.7M inFY1993/94, and$22.1M inFY1994/95
8. Theprogramme wascreated in1990. Further totheFederal Budget, theprogramme
wasterminated asofFebruary 1995.
XXVII. PRISOM
1. Programme:IndustrialRehabilitationProgrammeforSouth-WestMontreal(PRISOM)
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective ofthePRISOM Programme istoreinforce thelocalindustrial structure,
todiversify theindustrial base,toattract newinvestments andtofoster thedevelopment
ofnewenterprises inSouth-West Montreal.
4. Assistance isprovided under thelegislative authority oftheDepartment ofIndustry
Actanditspredecessors.
5. Financial assistance maybeprovided intheform ofrepayable ornon-repayable
contributions.
6. Theprogramme wasessentially intended formanufacturing enterprises, forresearch
anddevelopment establishments andforenterprises active inthetelecommunications
andspace technology sectors. Financial contributions ofupto35%could begranted
forthedevelopment ofanewestablishment orfortheenlargement andmodernization
ofexisting enterprises. Projects forthedesign ordevelopment ofnewproducts were
alsoeligible forcontributions covering upto60%ofallowable costs. Finally, studies
carried outbyconsultants inconnection withcapital construction projects orinnovation
projects were alsoeligible forfinancial assistance.
7. Outlays byBFDR(Q) forthisprogramme totalled $4.9million during thefiscal year
1993/94 and$3.0million during thefiscal year1994/95.
8. Theprogramme wasterminated on31March 1995.G/SCM/N/16/CAN
Page26
XXVIII. PRIEM
1. Programme: Industrial Rehabilitation Programme forEastMontreal (PRIEM)
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective ofthePRIEM programme wastoreinforce thelocalindustrial structure,
todiversify theindustrial base,toattract newinvestments andtofoster thedevelopment
ofnewenterprises inEastMontreal.
4. Assistance isprovided under thelegislative authority oftheDepartment ofIndustry
Actanditspredecessors.
5. Financial assistance maybeprovided intheform ofrepayable ornon-repayable
contributions.
6. ThePRIEM programme essentially provided forcontribution tostudies byconsultants
(upto75%), toprojects forthedesign ordevelopment ofproducts (upto60%), and
tothedevelopment ofnewestablishments ortheenlargement ormodernization of
existing establishments. Theprojects hadtobeimplemented inthedesignated territory
ofEastMontreal.
7. Outlays byBFDR(Q) forthisprogramme totalled $5.4million during thefiscal year
1993/94 and$7.0million during thefiscal year1994/95, inthiscaseinresponse to
previously assumed obligations.
8. ThePRIEM programme wasterminated on31March 1994.
XXIX. CANADA-QUEBEC SUBSIDIARY AGREEMENT ONTHE ECONOMIC
DEVELOPMENT OFQUEBEC REGIONS
1. Programmes administered bytheBFDR(Q): Business Development Programme,
Programme forBoosting Manufacturing Productivity, Programme ofAssistance to
Depressed Areas, Innovation Assistance Programme, Programme fortheEconomic
Development ofSalmon, Support Programme forBusiness Reception Infrastructure,
Support Programme forTourist Attraction andInfrastructure Projects, Support
Programme forMajor Regional Facilities, Support Programme forTechnological
Development Assistance Centres, Fashion Design Support Programme.
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. TheCanada-Quebec Subsidiary Agreement ontheEconomic Development ofQuebec
Regions wasconcluded on9June1988inorder toestablish aconcerted andharmonized
programme ofactivities tomeetthespecific needs oftheQuebec regions andtoagree
onaflexible andefficient management andcooperation mechanism tocarry outthe
programme.
4. Theassistance wasprovided under thelegislative authority oftheDepartment of
Industry Actanditspredecessors.
5. Assistance wasprovided intheform ofrepayable ornon-repayable contributions.G/SCM/N/16/CAN
Page27
6. Theprogrammes under thisSubsidiary Agreement provided forthegrant offinancial
aidtomanufacturing ortourist enterprises inalloftheregions ofQuebec. Theaid
wasgranted toprojects relating totechnological studies, innovation anddevelopment,
capital construction ormarketing. Financial aidcould alsobegranted tofacilitate
thelaunch anddevelopment ofsmall firms engaged intechnological innovation, to
increase thepossibilities ofrecreational fishing, andtosupport theestablishment of
infrastructure tofacilitate thesetting upofmanufacturing ortourism enterprises. The
aidthusgranted represented apercentage ofallowable costs andvaried from one
programme toanother. However, theaverage amount ofaidcalculated forallofthe
business development programmes amounts toabout 24%.
7. Outlays bytheBFDR(Q) forthese programmes totalled $69.8 million for1993/94
and$62.2 million for1994/95.
8. TheprogrammesadministeredbytheBFDR(Q)intheframeworkoftheCanada-Quebec
Subsidiary Agreement ontheEconomic Development ofQuebec Regions were
terminated on31March 1995.
XXX. FUND FOR THE DEVELOPMENT OFMONTREAL
1. Programme: Fund forthedevelopment ofMontreal (FDM)
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. TheobjectiveoftheFDMwastointensifyeffortsbytheFederalGovernmenttosupport
theeconomic development ofMontreal through theimplementation ofstructuring
projects inseven priority areas: International activities, hightechnology, finance and
international trade, design, cultural industries, tourism andtransport.
4. Assistance wasprovided under thelegislative authority oftheDepartment ofIndustry
Actanditspredecessors.
5. TheFDM programme provided forthegrant ofrepayable ornon-repayable
contributions aswellassubsidies. Theamount ofaidvaried according totheproject,
buttheaverage calculated foralloftheprojects authorized wasabout 25%ofallowable
costs.
6. Theprogramme wasdesigned tomake itpossible tooffer financial aidtoany
commercialornon-commercialenterprise,totheGovernmentofQuebec,toamunicipal
corporation ortoaState company implementing aneligible project intheterritory
oftheurban community ofMontreal. Eligible projects included, interalia,studies
byconsultants, research anddevelopment activities, thesetting up,modernization or
enlargement ofpublic establishments andinfrastructures capable ofacting asadriving
force foreconomic development intheterritory inquestion.
7. Outlays bytheBFDR(Q) forthisprogramme totalled $2.7million fortheyear1993/94
and$7.0million in1994/95.
8. TheFDM programme wasterminated on1April 1995.G/SCM/N/16/CAN
Page28
XXVII. WESTERN DIVERSIFICATION PROGRAMME
1. Programme: theWestern Diversification Programme.
2. Thenotification covers thefiscal years 1993/94 and1994/95.
3. Theobjective oftheprogramme istodevelop anddiversify thewestern Canadian
economy through support ofprojects which introduced newproducts ortechnologies,
developed newmarkets, promoted research anddevelopment, orincreased the
productivity ofanindustry.
5. Theassistance isprovided under theWestern Diversification Act.
6. Theprogramme provides financial assistance tobusinesses through repayable and
conditionally repayable contributions. Contributions areusually between 25%and
50%ofeligible project costs.
7. Theprogramme alsoprovides financial assistance toindustry organizations and
associations toundertake industry wideinitiatives involving projects designed toassist
with product research andfeasibility studies, market development, productivity
improvement,orotherinitiativesofbenefittoanindustryorsector.Termed“systemic”
projects, these projects mayberepayable orconditionally repayable (iftheproject
willresult inprofits) ornon-repayable. Contributions tothese types ofprojects are
usually between 25%and75%ofeligible project costs.
8. Direct assistance tobusiness disbursements totaled $114,835,662 inFY1993/94 and
$72,301,665 inFY1994/95. “Systemic ”project disbursements totaled $19,788,139
inFY1993/94 and$11,827,568 inFY1994/95.
9. Theprogramme wasestablished 4August 1987. InApril 1995, WDimplemented
apolicy which eliminated direct financial assistance commitments tocommercial
enterprises.G/SCM/N/16/CAN
Page29Table 1
MILK PRODUCTS -SUPPLY AND DISPOSITION
(Units)
Product Calendar year Beginning stocks Production Imports Domestic
disappearanceExports Ending stocks
Creamery butter 1992 15,584 85,130 182 80,033 10,569 10,294
1993 10,294 82,749 919 84,747 3,695 5,469
1994 5,469 88,342 408 83,567 2,280 8,369
1995 8,369 92,315 547 81,243 5,705 14,282
Cheddar cheese 1992 32,273 109,798 503 103,947 7,731 30,896
1993 30,896 109,215 683 112,648 6,198 21,965
1994 26,843 119,359 1,307 112,709 4,221 30,579
1995 30,579 116,796 1,132 114,567 5,276 28,333
Variety cheeses 1992 9,796 154,104 16,745 143,039 5,045 10,179
1993 10,179 158,184 16,847 139,882 2,671 10,902
1994 10,902 162,589 16,057 139,718 3,185 9,421
1995 9,421 160,157 16,037 139,354 6,509 11,137
Concentrated whole milk 1992 2,446 51,348 135 43,810 6,288 3,831
1993 3,831 48,116 100 43,658 4,986 3,403
1994 3,403 46,364 59 43,364 4,926 1,538
1995 1,538 52,976 52 41,155 9,842 3,568
Skim milkpowder 1992 15,262 53,489 731 29,954 34,052 5,476
1993 5,476 48,769 4,655 30,949 19,001 9,045
1994 9,045 59,480 6,467 32,071 32,720 10,201
1995 10,201 71,044 1,947 30,752 40,154 12,293
Source: "Dairy Review". Catalogue number 23-001, Statistics Canada.G/SCM/N/16/CAN
Page30Table 2
PORK SUPPLY AND DISPOSITION
(Inmetric tonnes)
Calendar
yearBeginning
stocksProduction Imports for
consumptionTotal supply Exports Ending
stocksManufacturing Waste Domestic
disappearance
1992 14,124 1,208,924 15,813 1,238,861 295,628 12,767 27,806 96,714 805,946
1993 12,767 1,195,112 22,138 1,230,017 302,952 10,827 27,488 95,609 793,141
1994 10,827 1,231,787 27,251 1,269,865 301,424 15,472 28,331 98,543 826,095
1995 15,472 1,280,769 27,156 1,323,397 356,156 15,572 29,458 102,462 819,749
Source: "Livestock statistics". Catalogue number 23-603-UPE, Statistics Canada.
Table 3
BEEF -SUPPLY AND DISPOSITION
(Inmetric tonnes)
Calendar year Beginning stocks Production Imports for
consumptionTotal supply Exports Ending stocks Domestic
disappearance
1992 15,018 855,262 217,840 1,088,120 156,099 14,666 917,355
1993 14,666 822,711 265,748 1,103,125 187,977 23,311 891,837
1994 23,311 861,781 280,707 1,165,799 216,587 30,088 919,124
1995 30,088 888,091 252,177 1,170,356 215,419 25,601 929,336
Source: "Livestock Statistics". Catalogue number 23-603-UPE, Statistics Canada.G/SCM/N/16/CAN
Page31Table 4
VEAL -SUPPLY AND DISPOSITION
(Inmetric tonnes)
Calendar year Beginning stocks Production Imports for
consumptionTotal supply Exports Ending stocks Domestic
disappearance
1992 395 42,371 3,243 46,009 3,042 643 42,324
1993 643 37,547 3,801 41,991 2,497 647 38,847
1994 647 37,884 5,247 43,778 3,821 1,275 38,682
1995 1,275 40,430 3,578 45,283 4,110 865 40,308
Source: "Livestock Statistics". Catalogue number 23-603-UPE, Statistics Canada.
Table 5
MUTTON AND LAMB -SUPPLY AND DISPOSITION
(Inmetric tonnes)
Calendar year Beginning stocks Production Imports for
consumptionTotal supply Exports Ending stocks Domestic
disappearance
1992 2,432 11,013 12,214 25,659 24 2,004 23,631
1993 2,004 10,887 13,520 26,411 79 1,759 24,573
1994 1,759 10,453 14,484 26,696 97 2,800 23,799
1995 2,800 10,052 12,966 25,818 83 2,303 23,432
Source: "Livestock Statistics". Catalogue number 23-603-UPE, Statistics Canada.G/SCM/N/16/CAN
Page32Table 6
GRAINS AND OILSEEDS -SUPPLY AND DISPOSITION
(Inmetric tonnes '000)
Crop years (a) Beginning
stocksProduction Imports Total supply Exports (b) Food and
industrial use
(c)Other domestic
useDomestic
disappearanceTotal ending
stocksAverage price
($/tonne)
Durum
1991-92 1,567 4,586 0 6,152 3,090 188 668 856 2,206 135.32
1992-93 2,206 2,206 0 5,344 2,279 180 828 1,008 2,057 158.36
1993-94 2,057 3,358 8 5,423 2,903 166 427 817 1,703 228.00
1994-95 1,703 4,689 0 6,392 4,028 153 544 905 1,458 269.00
Allwheat excluding durum
1991-92 8,718 27,360 22 36,101 22,297 1,979 3,966 5,945 7,860 134.14
1992-93 7,860 27,665 23 34,616 18,064 2,078 4,213 6,291 10,136 156.82
1993-94 10,136 23,874 19 34,029 16,401 2,190 5,160 8,214 9,414 164.00
1994-95 9,414 18,433 2 27,849 16,742 2,221 3,775 6,912 4,196 194.00
Allwheat
1991-92 10,285 31,946 22 42,253 25,387 2,167 4,634 6,801 10,066 -
1992-93 10,066 29,871 23 39,960 20,343 2,258 5,041 7,299 12,193 -
1993-94 12,193 27,232 27 39,452 19,304 2,356 5,587 9,031 11,117 -
1994-95 11,117 23,122 2 34,241 20,770 2,374 4,319 7,817 5,654 -
Barley
1991-92 2,646 11,617 2 14,265 3,685 334 7,633 7,967 2,614 84.90
1992-93 2,614 11,028 3 13,645 3,013 428 6,934 7,361 3,271 86.50
1993-94 3,271 12,972 8 16,250 4,217 375 7,905 8,657 3,376 90.30
1994-95 3,376 11,690 8 15,074 3,487 356 9,007 9,766 1,820 121.86G/SCM/N/16/CAN
Page33Crop years (a) Beginning
stocksProduction Imports Total supply Exports (b) Food and
industrial use
(c)Other domestic
useDomestic
disappearanceTotal ending
stocksAverage price
($/tonne)
Corn
1991-92 1,534 7,413 198 9,144 986 1,274 5,365 6,639 1,520 101.10
1992-93 1,520 4,883 1,239 7,641 184 1,347 4,861 6,208 1,250 108.90
1993-94 1,250 6,501 561 8,311 493 1,451 5,765 7,239 580 129.60
1994-95 580 7,043 1,074 8,697 359 1,415 6,197 7,635 703 121.80
Oats
1991-92 945 1,794 2 2,741 351 65 1,784 1,849 542 103.20
1992-93 542 2,823 3 3,368 776 114 1,790 1,904 689 109.50
1993-94 689 3,549 2 4,240 1,217 100 1,861 2,115 908 105.60
1994-95 908 3,638 4 4,549 1,472 105 2,100 2,338 739 113.50
Rye
1991-92 324 339 0 663 226 82 162 244 193 100.70
1992-93 193 278 0 471 215 76 100 176 81 114.00
1993-94 81 319 0 400 154 67 47 139 107 113.10
1994-95 107 397 0 504 187 53 171 247 70 114.60
Mixed grains*
1991-92 0 618 0 618 0 0 0 618 0 -
1992-93 0 604 0 604 0 0 0 604 0 -
1993-94 0 708 0 708 0 0 0 708 0 -
1994-95 0 626 0 626 0 0 0 626 0 -G/SCM/N/16/CAN
Page34Crop years (a) Beginning
stocksProduction Imports Total supply Exports (b) Food and
industrial use
(c)Other domestic
useDomestic
disappearanceTotal ending
stocksAverage price
($/tonne)
Total -coarse grains
1991-92 5,449 21,781 202 27,431 5,248 1,755 14,944 17,317 4,869 -
1992-93 4,869 19,616 1,245 25,729 4,188 1,965 13,685 16,253 5,291 -
1993-94 5,291 24,049 571 29,909 6,081 1,993 15,578 18,858 4,971 -
1994-95 4,971 23,394 1,086 29,450 5,505 1,929 17,475 19,986 3,332 -
Canola
1991-92 420 4,224 42 4,664 1,894 1,829 207 2,037 734 274.5
1992-93 734 3,872 112 4,719 1,876 1,913 237 2,151 692 321.6
1993-94 692 5,525 23 6,240 3,347 2,196 325 2,563 330 391.6
1994-95 330 7,233 42 7,604 3,912 2,513 551 3,103 589 414.6
Flaxseed
1991-92 345 635 - 993 458 n.a. n.a. 100 435 199
1992-93 435 337 - 772 436 n.a. n.a. 85 250 255.9
1993-94 250 627 - 878 605 n.a. n.a. 119 154 262.6
1994-95 154 960 - 1,114 848 n.a. n.a. 170 96 308.4
Soybeans
1991-92 200 1,460 72 1,743 252 n.a. n.a. 1,301 189 227.7
1992-93 189 1,455 226 1,871 411 n.a. n.a. 1,346 114 256.5
1993-94 111 1,851 57 2,019 492 n.a. n.a. 1,438 90 313.2
1994-95 90 2,251 67 2,408 529 n.a. n.a. 1,756 123 270.5
Total oilseeds
1991-92 965 6,319 114 7,400 2,604 2,804 633 3,437 1,358 -
1992-93 1,358 5,664 338 7,361 2,723 2,913 669 3,582 1,057 -
1993-94 1,057 7,958 80 9,095 4,440 3,246 850 4,095 559 -
1994-95 574 10,444 109 11,126 5,289 2,513 551 5,029 808 -G/SCM/N/16/CAN
Page35Crop years (a) Beginning
stocksProduction Imports Total supply Exports (b) Food and
industrial use
(c)Other domestic
useDomestic
disappearanceTotal ending
stocksAverage price
($/tonne)
Total grains andoilseeds
1991-92 16,699 60,046 338 77,084 33,239 6,726 20,211 27,555 16,293 -
1992-93 16,293 55,151 1,606 73,050 27,254 7,136 19,395 27,134 18,541 -
1993-94 18,541 59,239 678 78,456 29,825 7,595 22,015 31,984 16,647 -
1994-95 16,662 56,960 1,197 74,817 31,564 6,816 22,345 32,832 9,794 -
* "Mixed grains" iscalculated asaresidual.
(a) Aug-July cropyearexcept cornandsoybeans which areSept-Aug.
(b) Includes exports ofwheat, barley andoatproducts. Excludes exports ofoilseed products.
(c) Grand totalexcludes foodandindustrial useofoilseeds.
Source: "Cereal andOilseeds Review". Catalogue number 22-007-XPB, Statistics Canada.G/SCM/N/16/CAN
Page36Table 7
FRESH FRUIT -SUPPLY AND DISPOSITION
(Inmetric tonnes)
Commodity Crop year
(a)Production Imports Exports Processed Available for
fresh use
Apples 1991-92 513,251 91,127 95,344 171,973 337,061
1992-93 563,954 90,472 74,302 197,165 382,959
1993-94 488,400 97,038 65,824 164,883 350,389
1994-95 553,483 102,771 67,570 188,183 444,146
Cherries (sweet &sour) 1991-92 10,125 5,870 313 6,159 9,523
1992-93 10,896 9,926 220 8,198 12,404
1993-94 9,487 6,524 423 6,428 9,160
1994-95 13,118 6,542 177 7,793 7,493
Pears &quinces 1991-92 19,788 48,266 241 4,799 63,014
1992-93 21,145 47,132 388 5,924 61,965
1993-94 18,126 52,000 216 4,089 66,819
1994-95 15,793 57,270 275 4,253 70,534
Plums 1991-92 4,644 26,834 11 97 31,370
1992-93 3,148 28,856 20 120 31,864
1993-94 2,896 25,566 18 112 28,332
1994-95 3,879 27,457 57 165 31,115G/SCM/N/16/CAN
Page37Commodity Crop year
(a)Production Imports Exports Processed Available for
fresh use
Peaches 1991-92 33,852 23,718 264 6,182 51,124
1992-93 39,984 23,187 835 7,572 54,764
1993-94 38,027 21,726 200 5,581 43,702
1994-95 37,341 21,439 187 5,057 59,837
(a) Theperiod forwhich thecropyearextends varies according tothecrop.
Source: "Imports byCommodity". Catalogue number 65-007, Statistics Canada.
"Exports byCommodity". Catalogue number 65-004, Statistics Canada.
"Fruit andVegetable Production". Catalogue number 22-003-XPB, Statistics Canada.G/SCM/N/16/CAN
Page38
Table 8
DRY BEANS
(Inmetric tonnes)
Calendar year Production Imports Exports
1992 73,260 8,211 132,967
1993 111,807 10,918 79,770
1994 135,265 9,543 122,178
1995* 200,400 10,568 119,490
Note Production dataisfromAgriculture andAgri-Food Canada. Drybeans inlcude mung, black
orgreen gram beans, small redoradzuki beans, white peabeans, broad andhorse beans, and
other drybeans.