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On the ratification of the Agreement on Common Rules for the Provision of Industrial Subsidies

АMANAT партиясы және Заң және Құқық адвокаттық кеңсесінің серіктестігі аясында елге тегін заң көмегі көрсетілді

On the ratification of the Agreement on Common Rules for the Provision of Industrial Subsidies

The Law of the Republic of Kazakhstan dated July 22, 2011 No. 476-IV.

     RCPI's note!       The Agreement is terminated in connection with the entry into force of the Treaty on the Eurasian Economic Union, ratified by the Law of the Republic of Kazakhstan dated 14.10.2014 No. 240-V (for the procedure of entry into force, see Article 113).

     To ratify the Agreement on Common Rules for the Provision of Industrial Subsidies, signed in Moscow on December 9, 2010.

President

 

Republic of Kazakhstan

N. Nazarbayev

 

AGREEMENT on Common Rules for the provision of Industrial subsidies (Entered into force on January 1, 2012) - Bulletin of International Treaties of the Republic of Kazakhstan 2012, No. 1, art. 7

     The Government of the Republic of Belarus, the Government of the Republic of Kazakhstan and the Government of the Russian Federation, hereinafter referred to as the Parties,

     Realizing the importance of creating conditions for the development of industrial production,

     in order to develop the economy, expand production, stimulate management efficiency and scientific and technological progress, and ensure optimal allocation of resources on commodity markets within the framework of the Common Economic Space of the Republic of Belarus, the Republic of Kazakhstan and the Russian Federation,

     Desiring to ensure conditions for the stable and effective development of the economies of the States of the Parties, as well as conditions conducive to the development of mutual trade and fair competition between the Parties;

     guided by generally accepted norms and principles of international law,

     have agreed on the following:

Article 1 Subject matter and scope of this Agreement

     1. The subject of this Agreement is the establishment of uniform rules for the provision of subsidies in the territory of the member countries of this Agreement in respect of industrial goods.

     2. The provisions of this Agreement regulate the provision of subsidies, including in the provision or receipt of services that are directly related to the production, sale and consumption of goods.

     3. Nothing in this Agreement should be interpreted.:

     as a requirement for any Party to provide any information, the disclosure of which it considers to be contrary to the essential interests of its security, or

     as an obstacle for any Party to take such actions as it deems necessary to protect the essential interests of its security:

     (a) With respect to fissionable materials or the materials from which they are produced;

     b) in relation to the development, production and trade of weapons, ammunition and military materials, as well as other goods and materials that are carried out directly or indirectly for the purpose of supplying the armed forces;

     c) if they are adopted during wartime or in other emergency circumstances in international relations, or

     as an obstacle for any Party to take any action in fulfillment of its obligations under the Charter of the United Nations to preserve world peace and international security.

     4. The obligations of the Parties arising in connection with the provisions of this Agreement do not apply to the legal relations of the Parties with third countries.

     5. This Agreement does not apply to subsidies, as defined in paragraph 3 of Article 2 of this Agreement, provided in the territory of the States of the Parties prior to the entry into force of this Agreement.

Article 2 Definitions

     For the purposes of this Agreement, the following definitions are used:

     1) administrative-territorial units - subjects of the Russian Federation (local self-government bodies) and/or regions of the Republic of Belarus and the Republic of Kazakhstan (including the cities of Minsk, Astana and Almaty);

     2) branch of the national economy - all producers of similar goods in the state of the Party or those of them whose share in the total volume of production of similar goods in the state of the Party is at least 25 percent;

     3) subsidy - financial assistance provided by the subsidizing body of the state of the Party (or a structure authorized by the state of the Party), as a result of which advantages are created (provided), and carried out through:

     direct transfer of funds (for example, in the form of non-repayable loans, loans or the acquisition of a share in the authorized capital or its increase, or obligations to transfer such funds (for example, loan guarantees);

     full or partial refusal to collect payments that should have been transferred to the revenue of the state of the Party (for example, tax benefits, debt cancellation). At the same time, the exemption of exported goods from duties and taxes levied on similar goods intended for domestic consumption, or a reduction of such duties and taxes, or a refund of such duties and taxes in an amount not exceeding the amount actually accrued, is not considered a subsidy.;

     provision of goods or services, with the exception of goods or services intended for the maintenance and development of a common infrastructure;

     purchases of goods;

     or any other form of income or price support that acts, directly or indirectly, to reduce the import of industrial goods from the territory of the State of either Party or to increase the export of goods to the territory of the State of either Party, resulting in an advantage;

     4) industrial goods - goods classified in groups 25-97 of the Commodity Nomenclature of Foreign Economic Activity of the EurAsEC (hereinafter referred to as HS), as well as fish and fish products, with the exception of goods classified in accordance with HS subheadings 2905 43, 2905 44, headings 3301, 3501 - 3505, subheadings 3809 10, 3824 60, positions 4101 - 4103, 4301, 5001 - 5003, 5101 - 5103, 5201 - 5203, 5301, 53021;

     5) subsidizing body - one or more state bodies or local self-government bodies of the states of the Parties that make decisions in the field of granting subsidies.

     The subsidizing body may assign or order any other organization to perform one or more functions assigned to it related to the provision of subsidies (hereinafter referred to as the authorized agent). Such actions of the authorized agent are considered as actions of the subsidizing authority.

     Acts of the Head of State of the Party aimed at providing subsidies are considered as actions of the subsidizing body.;

     6) damage to a branch of the national economy - material damage to a branch of the national economy, the threat of causing material damage to a branch of the national economy, or a significant slowdown in the creation of a branch of the national economy.

     Material damage to a branch of the national economy is a proven deterioration in the situation of a branch of the national economy that occurred as a result of the import of goods from the territory of the state of the Party that provided the subsidy for the production, transportation, and storage of these goods, and is expressed in a reduction in the volume of production and sale of similar goods on the territory of the State of the Party, a decrease in the profitability of production of such goods, and a negative impact on commodity prices. stocks, employment, wage levels, and investment levels in the industry.

     The threat of material damage to a branch of the national economy is the inevitability of material damage to a branch of the national economy, confirmed by evidence;

     7) a similar product is a product that is completely identical to a product that was manufactured, exported from the territory of the state of the Party or transported using a specific subsidy, or in the absence of such a product, another product that has characteristics similar to those of a product that was manufactured, exported from the territory of the state of the Party or transported using a specific subsidy.;

     8) competent authority - the public authority of the State of the Party responsible for conducting investigations;

     9) the recipient of the subsidy is the producer of the product, which is the beneficiary of the subsidy.

     _____________________________________________________________________

      1 Subheading 2905 43 - mannitol, subheading 2905 44 - sorbitol, heading 3301 - essential oils, heading 3501 - 3505 - albumin substances, modified starches, adhesives, subheading 3809 10 - substances for surface treatment, subheading 3824 60 - sorbitol, other products, headings 4101 - 4103 - hides and leather raw materials, item 4301 - uncultivated furs, items 5001 - 5003 - raw silk and silk waste, items 5101 - 5103 - wool and animal hair, items 5201 - 5203 - raw cotton, cotton waste, combed cotton fiber, item 5301 - raw flax, item 5302 - raw hemp.

     The description of the products provided is not necessarily exhaustive.

Article 3 Specific subsidies

     1. In order to determine whether a subsidy is specific to an industrial enterprise or industry or a group of industrial enterprises or industries (hereinafter referred to in this Agreement as certain enterprises) within the territory in which the subsidizing authority has authority, the following principles apply:

     1.1. if the subsidizing authority or the legal act under which the subsidizing authority operates clearly restricts access to subsidies only for certain enterprises, such a subsidy is considered specific, provided that the group of industrial enterprises or a group of industries does not include all industrial enterprises or industries in the territory of the state of the subsidizing authority.;

1.2. If the subsidizing authority or the legal act under which the subsidizing authority operates establishes objective criteria or conditions2 that determine the right to receive and the amount of subsidies, specificity does not exist provided that the right to receive is automatic and that such criteria and conditions are strictly met. The criteria and conditions should be clearly specified in a law, instruction, legal act or other official documents in such a way that they can be verified.;

     1.3. If, despite the appearance of non-specificity resulting from the application of the principles set out in sub-paragraphs 1.1 and 1.2, there are grounds to believe that the subsidy may actually be specific, then other factors may be taken into account. These factors include:

     the use of subsidies limited to a certain number of enterprises,

     preferential use of subsidies by certain enterprises,

     providing disproportionately large amounts of subsidies to some businesses,

     as well as a way to use the discreteness possessed by the subsidizing authority when deciding whether to grant a subsidy.3

     When applying this subparagraph, it is necessary to take into account the degree of diversification of economic activity within the territory in which the subsidizing body has authority, as well as the length of time during which such a subsidy is valid.

     2. A subsidy, the use of which is limited to certain enterprises located in a designated geographical region, which is part of the territory within which the subsidizing authority has authority, is specific. It is understood that the introduction or modification by a government agency of the State of the Party of tax rates applicable within the entire territory in which it has authority is not considered as a specific subsidy.

     3. Any subsidy falling under the provisions of Article 4 of this Agreement shall be considered as specific.

     4. The establishment of the fact of specificity in accordance with the provisions of this article should be based on evidence of the specificity of the subsidy.

     _____________________________________________________________________

      2 In this context, objective criteria and conditions mean criteria that are neutral, do not create advantages for some enterprises over others, are economic in nature and horizontal in application, such as the number of employees or the size of enterprises.

      3 In this regard, information on the frequency of refusals or approvals of subsidy applications and the reasons for the relevant decisions should be taken into account, in particular.

Article 4 Prohibited subsidies

     1. The following types of subsidies are prohibited:

     1.1. export subsidies - subsidies, the provision of which is linked,4 as the only or one of several conditions, with the results of the export of goods from the territory of the state of the Party providing this subsidy to the territory of the state of any other Party;

     1.2. substitution subsidies are subsidies, the provision of which is linked, as the only or one of several conditions, to the use of goods originating from the territory of the State of the Party providing the subsidy.

     2. If the result of the provision of a specific subsidy is damage to a branch of the national economy of the State of any Party, with the exception of the one that provides this subsidy, then such a subsidy is a prohibited subsidy.6

     3. The Parties shall not retain or introduce measures that are applied on the basis of a regulatory legal act or a legal act of the subsidizing authority of the State of the Party, compliance with which is necessary to obtain specific subsidies and which require:

     3.1. procurement or use by an economic entity of goods originating from the territory of the state of the Party introducing the measure, or from any local source specified by the subsidizing authority of the State of the Party, regardless of whether specific goods, their volume or cost, or a fraction of the volume or cost of its local production are determined.;

     3.2. that purchases or use by an economic entity of goods imported from the territory of the State of either Party should be limited to quantities related to the volume or value of goods exported by this economic entity originating from the territory of the State of the Party introducing the measure.;

     or which limit:

     3.3. import by an economic entity of goods from the territory of the state of either Party used in its local production or related to its local production, including, depending on the volume or value of goods originating from the territory of the State of the Party introducing the measure, exported by this economic entity to the territory of the state of either Party;

     3.4. the importation by an economic entity of goods from the territory of the state of any of the Parties used in its local production or related to it, by restricting the access of the economic entity to the currency of the state of any of the Parties by the volume of receipts of this currency due to the enterprise;

     3.5. the export by an economic entity of goods to the territory of the state of either Party or the sale by an economic entity of goods on the territory of the state of either Party, depending either on the specification of the goods, their volume or value, or on the proportion of the volume or value of local production carried out by this economic entity.

     4. Specific subsidies are prohibited, the provision of which leads to a serious infringement of the interests of either Party. A serious infringement of the interests of a Party occurs when the result of the provision of a specific subsidy is:

     4.1. displacement of similar goods from the market of the state of the subsidizing Party7 or curbing the growth of imports of similar goods originating from the territory of the state of either Party to the market of the state of the subsidizing Party7;

     4.2. displacement of a similar product from the market of a third-party state or curbing the growth of exports of similar goods originating from the territory of the state of either Party to the territory of the state of the third Party;

     4.3. significant underestimation of the price of a product, during production, transportation or export from the territory of the state of the subsidizing Party of which a specific subsidy was used, relative to the price of a similar product originating from the territory of the state of the other Party, in the same market of the state of either Party, or significant price restraint, falling prices or lost sales in the same market. The same market;

      4.4. The existence of a serious infringement of interests is determined in accordance with the provisions of Annex 2 to this Agreement.

      5. Prohibited subsidies, including those specified in Annex 1 to this Agreement and the measures specified in paragraph 3 of this Article, are not provided or maintained on the territory of the States of the Parties.

     6. In all cases where either Party has reason to believe that the subsidizing authority of the other Party's State provides prohibited subsidies specified in subitems 1.1, 1.2, 4.1, 4.2, 4.3 of this Article and/or introduces measures specified in paragraph 3 of this Article, such Party has the right to apply to such other Party with requesting consultations on the abolition of such prohibited subsidies or measures.

     7. If, within two months from the date of receipt through official diplomatic channels of the notification of consultations referred to in paragraph 6, the Parties do not reach a mutual agreement, the existing differences shall be resolved in accordance with the provisions of Article 10 of this Agreement. If, based on the results of the dispute resolution procedure conducted in accordance with the provisions of Article 10 of this Agreement, it is decided that one of the Parties provides prohibited subsidies specified in subparagraphs 1.1, 1.2, 4.1, 4.2, 4.3 of this Article and/or applies the measures specified in paragraph 3 of this Article, then such Party The Party cancels such prohibited subsidies or measures referred to in paragraph 3 of this Article immediately and unconditionally, regardless of, whether the result of such prohibited subsidies or measures is damage to the national economy of the States of the other Parties, and introduces a compensatory measure in respect of such prohibited subsidy in accordance with paragraphs 6-12 of Article 7 of this Agreement.

     8. From the date of entry into force of the Protocol to this Agreement referred to in paragraph 2 of Article 15 of this Agreement (hereinafter referred to as the Protocol), specific subsidies that, in accordance with the criteria established by the Protocol, restrict, eliminate or prevent competition in the relevant commodity market and have a negative impact on trade between the Parties are prohibited.

      9. The subsidizing authorities of the States of the Parties shall have the right to provide subsidies provided for in Annex 3 to this Agreement during the established transitional period.

     _____________________________________________________________________

      4 Linking means, among other things, the existence of facts indicating that the grant of a subsidy, without being legally conditioned on the results of the export of goods from the territory of the State of the Party providing the subsidy, is actually related to actual or expected exports or export earnings. The mere fact that a subsidy is provided to an economic entity engaged in export cannot serve as a basis for considering it an export industrial subsidy.

      5 The word "linked" is interpreted in the same way as in subparagraph 1.1 of this article.

      6 Damage to a branch of the national economy must be proved in accordance with the provisions of Annex 2 to this Agreement.

7 Hereafter, in this Agreement, the subsidizing Party is understood to be the Party whose subsidizing authority provides the industrial subsidy.

Article 5 Permissible subsidies

     1. Subsidies that are not specific in accordance with the provisions of Article 3 of this Agreement and prohibited in accordance with the provisions of Article 4 of this Agreement shall be recognized as subsidies, the provision of which does not distort the mutual trade of the States of the Parties. The Parties have the right to provide such subsidies without restrictions, and the provisions of this Agreement on the application of compensatory measures, the application of retaliatory measures or a ban on the provision of subsidies do not apply to such subsidies.

      2. Subsidies that are specific in accordance with the provisions of Article 3 of this Agreement, but which are recognized by the Parties as not distorting mutual trade, do not provide grounds for taking compensatory measures in accordance with the provisions of Article 7 of this Agreement. An exhaustive list of such subsidies is set out in Annex 4 to this Agreement.

Article 6 Implementation of the provisions of this Agreement

     The Customs Union Commission shall ensure control over the implementation of the provisions of this Agreement within the limits of the powers specified in Article 12 of this Agreement.

     The Parties shall, within 30 calendar days from the date of entry into force of this Agreement, inform the Customs Union Commission of their authorized bodies responsible for implementing the provisions of this Agreement.

Articles 7 Introduction and application of compensatory measures

     1. The competent authority of the State of either Party shall have the right to conduct an investigation into the compliance of subsidies provided in the territory of the States of the other Parties with the provisions of this Agreement or an investigation into the application by other Parties of the measures specified in paragraph 3 of Article 4 of this Agreement. The competent authority that initiated the investigation informs the Parties about the beginning of the investigation. The competent authorities of the States of the Parties have the right to request the necessary information on the progress of the investigation.

     2. If, as a result of the investigation, the competent authority determines that the subsidizing authority of the State of the other Party provides a specific subsidy and this specific subsidy harms the branch of the national economy of the State of the Party whose competent authority is conducting the investigation, it may submit to such a Party an application for the introduction of a compensatory measure. The application for the introduction of a compensatory measure must contain a statement of the available evidence of the incompatibility of the subsidy with the provisions of this Agreement.

     3. From the date of entry into force of the Protocol, if the competent authority, as a result of an investigation, determines that the subsidizing authority of the other Party provides a specific subsidy that has not been approved by the Customs Union Commission, it may submit to such a Party an application for the introduction of a compensatory measure. The application for the introduction of a compensatory measure must contain a statement of the available evidence of the incompatibility of the subsidy with the provisions of this Agreement.

     4. The Party that has received an application for the application of a compensatory measure must consider this application within a period not exceeding two months. If the Party that received the application for the application of a compensatory measure does not agree with the content of the application, the Party that sent the application for the introduction of a compensatory measure has the right to initiate a dispute resolution procedure in accordance with the provisions of Article 10 of this Agreement.

     5. An application for the application of a compensatory measure may be satisfied voluntarily by the Party that received the application during the period of consideration of the application, or based on the results of dispute resolution in accordance with the provisions of Article 10 of this Agreement.

     6. A Party that has received an application for the application of a compensatory measure, the legality of which has been recognized voluntarily by such a Party or as a result of dispute resolution in accordance with the provisions of Article 10 of this Agreement, shall introduce a compensatory measure in accordance with the application within 30 calendar days.

     7. The compensatory measure consists of the amount of the subsidy provided8 and the interest accrued on this amount for the entire period of use of these funds (property) indicated in the satisfied application.

     The interest rate is equal to one and a half times the refinancing rate in effect at the time of the grant and set by the Central (National) Bank of the State of the Party whose subsidizing authority provided the subsidy. In this case, the interest rate is calculated by applying compound interest9 for the entire period from the date of grant to the date of execution of the compensatory measure.

     8. A compensatory measure is executed after the amount of the subsidy, taking into account the corresponding percentage, has been withdrawn from the recipient of the subsidy and transferred to the budget of the State of the Party whose subsidizing authority provided the subsidy.

     9. A compensatory measure is not executed if it is collected from any other sources other than those specified in paragraph 8 of this article.

     10. Notwithstanding the provisions of paragraph 9 of this Article, the sources of collection of a compensatory measure may be changed by mutual agreement of the plaintiff Party and the Defendant Party solely in order to avoid circumvention of payment by the recipient of the subsidy of the funds constituting the compensatory measure.

     11. The execution of a compensatory measure is a sufficient reason for a satisfied application for the application of a compensatory measure to be executed. In this case, the Party executes the satisfied application for the application of a compensatory measure within a period not exceeding one calendar year from the date of satisfaction of such application.

     12. If a Party fails to comply with a satisfied request for a compensatory measure within the prescribed period, the requesting Party has the right to initiate a dispute resolution procedure in accordance with the provisions of Article 10 of this Agreement in order to apply retaliatory measures that should be approximately proportional to the compensatory measure.

     For the purposes of this Agreement, retaliatory measures are understood to mean the temporary suspension of the fulfillment by the Party that introduces the retaliatory measure of its obligations towards the Party against whom the retaliatory measure is imposed, arising from trade and economic agreements in force between them, with the exception of those related to the oil and gas industries.

     The scope, proportionality and duration of retaliatory measures are determined based on the results of the dispute resolution procedure in accordance with the provisions of Article 10 of this Agreement. At the same time, all the terms of such a dispute resolution procedure will be half of the terms prescribed in Article 10 of this Agreement.

      13. The competent authorities of the Parties shall conduct an investigation into the compliance of subsidies provided in the territory of the States of other Parties with the provisions of this Agreement and an investigation into the compliance of the measures specified in paragraph 3 of Article 4 of this Agreement with the provisions of this Agreement in accordance with the procedure set out in Annex 2 to this Agreement.

     _____________________________________________________________________

      8 The amount of the industrial subsidy is calculated in accordance with the provisions of Annex 2 to this Agreement.

      9. Compound interest means the interest accrued each year on the amount with the interest accrued in the previous year.

Article 8 Notification

     1. The Parties annually, no later than December 1 of the current year, notify each other in accordance with the established form of all subsidies planned to be provided in the next year at the federal/republican and regional (municipal)/local levels. The Parties shall not transfer to the classified information section all subsidies provided, with the exception of those provided in industries not regulated by this Agreement in accordance with paragraphs 3 and 4 of Article 1 of this Agreement.

     2. The source of information for notifications in accordance with paragraph 1 of this Article are the expenditure parts of federal/republican budget projects, as well as budgets of administrative-territorial units of the states of the Parties, provided in terms of sections, subsections and types of functional and departmental classifications of expenditures and containing norms on the procedure and amounts of subsidies when introducing projects into legislative (representative) bodies and/or representative bodies of local self-government of the States of the Parties.

     In the event of a change in the state of one of the Parties to the draft law on the federal/republican budget or the draft law on the budget of an administrative-territorial unit of the States of the Parties in order to include or withdraw from them any subsidy program, the relevant Party shall notify the other Parties in writing no later than 30 calendar days after making changes to the project.

     In the case of amendments in the State of one of the Parties to the law on the federal/republican budget or the law on the budget of an administrative-territorial unit of the States of the Parties for the current year concerning the provision of subsidies, this Party shall notify the other Parties in writing no later than 20 calendar days prior to the entry into force of such amendments.

     3. The authorized bodies of the States of the Parties shall send each other notifications in the prescribed form on the subsidies provided at the federal/republican or regional (municipal)/local level no later than 60 calendar days after the entry into force of the regulatory legal act on the basis of which the subsidy is provided.

4. The authorized bodies of the states of the Parties shall send each other notifications in the prescribed form on subsidies provided at the federal/republican and regional (municipal)/local levels in the territory of the state of the Party for the reporting year before July 1 of the year following the reporting one. The notification must contain sufficient information for the authorized body of the State of the other Party to be able to assess the amount of subsidies provided and their compliance with the provisions of this Agreement.

     5. Within three months after the entry into force of this Agreement, the Parties shall send notifications in the prescribed form on all subsidies operating at the federal/republican and regional/local levels.

      6. Notifications of the Parties in accordance with the provisions of this Article are carried out in accordance with the form set out in Annex 5 to this Agreement.

Article 9 General exceptions

     The provisions of this Agreement do not prevent the Parties from using specific trade-distorting subsidies if such subsidies are introduced in exceptional circumstances and if their introduction is conditioned by the need for protection.:

     public morality, public order and State security;

     life or health of people, animals and plants;

     national treasures of artistic, historical or archaeological value;

     intellectual property rights;

     depleted natural resources, if such measures are carried out simultaneously with restrictions on domestic production or consumption;

     provided that the purpose of these measures is not to restrict the import of goods from the territory of the State of other Parties and such measures are not discriminatory.

Article 10 Dispute resolution procedure

     1. Disputes related to the interpretation and/or implementation of the provisions of this Agreement are primarily resolved through negotiations and consultations. If the dispute is not resolved through negotiations and consultations within 60 calendar days from the date of the official written request for their conduct sent by the Party initiating the dispute to the Respondent Party, the claimant Party has the right to apply to the Court of the Eurasian Economic Community or initiate consideration of the dispute in the Conciliation Commission.

     2. If the claimant Party decides to resolve the dispute in the Conciliation Commission, it sends a petition to the Respondent Party.

     3. The Conciliation Commission is temporary and is created to resolve a specific dispute, after the dispute is resolved, the Conciliation Commission is disbanded.

     4. Unless otherwise agreed by the Parties, the powers of the Conciliation Commission are to consider the issue of dispute resolution in the light of the relevant provisions of this Agreement, as stipulated in the request of either Party, and to make an opinion on the compliance of the proposed measures with this Agreement.

     5. Any Party has the right to submit disputes concerning the application and/or interpretation of this Agreement to the Conciliation Commission. The plaintiff party indicates in the petition those measures or practices that, in its opinion, constitute a violation of this Agreement, notes the provisions that, in its opinion, are relevant to this dispute, and submits this petition together with a notification of the appointment of its mediator to the Respondent Party. The claimant party also proposes up to three candidates for the position of Chairman of the Conciliation Commission.

     The respondent Party appoints a second mediator within 15 calendar days and suggests up to three candidates for the position of chairman of the Conciliation Commission.

     Both Parties shall seek to reach an agreement on the chairman within 20 calendar days after the appointment of the second mediator.

     6. If the Parties are unable to reach an agreement on the candidacy of the chairman within 20 calendar days, he shall be chosen by the representatives of the Parties by lot within one week from the total number of persons included in the sample lists of each of the Parties referred to in paragraph 9 of this Article and who are not nationals of the States of the Parties to the dispute.

     7. The Conciliation Commission consists of the mediators of each of the Parties involved in the dispute and the chairman. The date of establishment of the Conciliation Commission is the date of appointment of the Chairman.

     8. Persons who are ready and able to act as members of the Conciliation Commission should have special knowledge or experience in the field of law, international trade, and other areas related to the settlement of disputes related to international treaties in the field of international trade. They should act in their personal capacity, and not as representatives of States or representatives of any organization, act completely independently, cannot be associated with any of the Parties or receive any instructions from them. At least one third of the members of the Conciliation Commission should not be citizens of the States of the Parties to this Agreement.

     9. Each of the Parties, no later than 90 calendar days after the entry into force of this Agreement, will draw up an approximate list of no more than 15 persons who are ready and able to act as intermediaries, and five of them should not be citizens of the States of the Parties to this Agreement.

     10. The decisions taken by the Conciliation Commission are binding on each of the Parties.

     11. The parties ensure that the results of dispute resolution are open.

     12. Disputes are considered and all decisions are made on the basis of the principle of equality of the Parties involved in the procedure.

     13. At the request of a Party or on its own initiative, the Conciliation Commission may request information or technical advice from any person or body it deems necessary, subject to the consent of the Parties and on such terms as the Parties may agree.

     14. The Conciliation Commission does not meet with one of the Parties and does not have contacts with it in the absence of the other Party. No mediator may discuss the substance of the proceedings with a Party or both Parties in the absence of other mediators.

     15. The Conciliation Commission interprets the provisions of this Agreement in accordance with the norms of public international law.

     16. The Party claiming that the measure of the other Party does not comply with the provisions of this Agreement bears the burden of proving such inconsistency.

     17. A Party claiming that a measure falls under an exception under this Agreement bears the burden of proving the application of such an exception.

     18. Based on the results of the dispute consideration, the Conciliation Commission makes a decision.

     19. If the Conciliation Commission concludes that the Party against whom the complaint has been filed has not fulfilled its obligations under this Agreement, it shall make recommendations for the Respondent Party to take measures to remedy these violations and a reasonable period of time to implement its recommendations.

     20. The respondent Party must promptly stop the violation of its obligations arising from this Agreement by faithfully implementing the decisions of the Conciliation Commission.

     21. If the decisions of the Conciliation Commission are not implemented within the prescribed period of time, or if the Conciliation Commission decides that the measures notified by the Respondent Party do not comply with the provisions of this Agreement, the Conciliation Commission shall authorize the Claimant Party to take proportionate retaliatory measures. The scope, proportionality and duration of retaliatory measures are determined by the Conciliation Commission.

     22. Retaliatory measures are temporary in nature and are applied by the Claimant Party only until the measure violating the norms of this Agreement is canceled or changed in such a way as to comply with the norms of this Agreement, or until the Parties reach an agreement on dispute resolution.

     23. The Parties shall bear the costs of the conciliation procedure in equal shares. Other expenses are covered by the Party that allowed such expenses.

      24. From the date of entry into force of the Protocol, disputes related to the interpretation and/or implementation of the provisions of this Agreement are resolved within the framework of the Customs Union Commission. If an agreement is not reached within 60 calendar days from the date of the written request of the Party to the dispute to the Customs Union Commission, the dispute shall be resolved in accordance with the provisions of paragraphs 1-23 of this Article. In this case, the Parties have the right to submit the dispute to the EurAsEC Court or the Conciliation Commission for consideration without conducting negotiations and consultations provided for in paragraph 1 of this Article.

Article 11 Limitation period

     The limitation period for specific subsidies granted in violation of the procedure established by this Agreement is 5 years from the date of granting the specific subsidy.

Article 12 Powers of the Customs Union Commission

     The Customs Union Commission has the following functions:

     1) monitoring and conducting a comparative legal analysis of the relevant national legislation of each of the Parties for compliance with this Agreement, as well as preparing annual reports on the Parties' compliance with the provisions of this Agreement;

     2) assistance in organizing consultations of the Parties on the implementation of harmonization and unification of national legislation;

     3) after the entry into force of the Protocol, take binding decisions for the Parties provided for in the provisions of this Agreement with respect to the planned and current plans for the provision of specific subsidies, including:

     to make a decision on the admissibility or inadmissibility of specific subsidies based on the criteria approved in the Protocol;

Conduct investigations into the provision of specific subsidies and make binding decisions on them in cases stipulated by the Protocol.;

     to request and receive information on the subsidies provided in accordance with the procedure and conditions established in accordance with the Protocol;

     resolve disputes related to the interpretation and/or implementation of the provisions of this Agreement in accordance with paragraph 24 of Article 10.

Article 13 Challenging the Commission's decisions

      Decisions of the Customs Union Commission taken within the scope of their powers in accordance with the provisions of this Agreement may be challenged in the EurAsEC Court in accordance with the contractual legal framework of the Customs Union.

Article 14 Introduction of amendments

     By agreement of the Parties, amendments and additions may be made to this Agreement, which are formalized in separate protocols. Reservations to this Agreement are not allowed.

Article 15 Transitional provisions

     1. No later than January 1, 2017, the Parties will develop:

     The procedure for mandatory coordination with the Customs Union Commission of specific subsidies and decision-making by the Customs Union Commission;

     The procedure for conducting investigations, including on violations of the conditions and procedures for the provision and use of subsidies established by this Agreement;

     The criteria on the basis of which the Customs Union Commission will decide on the admissibility or inadmissibility of a specific subsidy.

     2. The obligations of the Parties specified in paragraph 1 of this Article are formalized by the Protocol to this Agreement, which will be an integral part of this Agreement. The Parties will ensure the entry into force of the said Protocol on January 1, 2017.

     3. From the moment the Protocol enters into force, the Parties may provide specific subsidies only based on the results of coordination with the Customs Union Commission, which decided on the admissibility of the subsidy in accordance with the provisions of the Protocol. The Parties have the right to provide the permissible subsidies referred to in Article 3 of this Agreement without coordination with the Customs Union Commission. The Customs Union Commission, guided by the provisions of Article 4 of this Agreement, does not approve prohibited subsidies as permissible.

     4. From the moment of entry into force of the Protocol referred to in paragraph 2 of this Article, the provisions of paragraphs 2, 4 of Article 4 of this Agreement and paragraph 2 of Article 7 of this Agreement shall lose their legal force.

Article 16 Final provisions

     The annexes to this Agreement are an integral part of it.

     This Agreement shall enter into force on the date of receipt by the depositary of the last written notification that the Parties have completed the internal procedures necessary for its entry into force.

     This Agreement is open for accession by other EurAsEC member States. The documents on accession to this Agreement shall be deposited with the depositary.

     In respect of the acceding State, this Agreement shall enter into force on the date of receipt by the depositary of the instrument of accession.

     Done in Moscow on December 9, 2010, in one original copy in the Russian language.

      The original copy of this Agreement is kept in the Integration Committee of the Eurasian Economic Community, which is its depositary and will send a certified copy to each Party.

Behind

Behind

Behind

Government

Government

Government

Republics

Republics

Russian

Belarus

Kazakhstan

Federations

 

 

Appendix 1 to the Agreement on Common Rules for the Provision of Industrial Subsidies

Illustrative list of* prohibited subsidies

     1. Programs that exempt the exporter** from the mandatory sale of a portion of foreign exchange earnings to the state or allow the use of multiple exchange rates through partial depreciation of the national currency, in connection with which the exporter gains an advantage due to the exchange rate difference.

     2. Domestic transport and freight tariffs for export shipments, which are set or levied by the state on terms more favorable than transportation on the domestic market.***

     3. Provision of goods and services used in the production of exported goods on more preferential terms than for those used in the production of similar goods sold on the domestic market.

     4. Full or partial exemption from payment, granting deferral or reduction of taxes or any other deductions paid or payable by business entities related to the results of exports or the use of goods originating from the territories of the State of the Party providing these benefits. At the same time, deferral is not necessarily a prohibited subsidy if penalties for non-payment of taxes are levied. Charging VAT on exported goods at a zero rate is not a sign of a prohibited subsidy.

     5. Special deductions linked to export results reduce the tax base of goods to a greater extent compared to similar goods sold on the domestic market.

     6. Exemption, reduction, deferral of taxes or special deductions applied to calculate the tax base for goods and services used in the production of export goods, to a greater extent than exemption from payment, reduction, deferral of taxes or special deductions applied to calculate the tax base for goods and services used in production of similar goods sold on the domestic market.

     7. Collection of customs duties on raw materials and materials used in the production of export products at rates lower than for the same raw materials and materials used in the production of similar products for consumption in the domestic market; or refund of customs duties on raw materials and materials used in the production of export products in a larger volume than for the same raw materials and supplies used in the production of similar products sold on the domestic market.

     8. Reduction or refund of import duties levied on imported raw materials and materials used in the manufacture of products, if the content of domestic materials or raw materials in the manufactured products is mandatory, regardless of whether specific goods, their volume or value, or a proportion of the volume or value of their local production are determined.

     9. Charging premiums that are insufficient to cover long-term operating expenses or losses under export credit guarantee or insurance programs, insurance or guarantees against an increase in the value of export goods or currency risks.

     10. Provision of export credits at rates lower than those that recipients of such loans would actually have to pay for using a comparable loan (the same loan repayment period, loan currency, etc.) in market conditions, or payment of all or part of the costs incurred by exporters or financial institutions in connection with obtaining a loan. Export credit practices that comply with the interest rate provisions of the Agreement on Official Export Credits developed by the OECD member countries will not be considered as subsidies.

     11. Reduction of tariffs for electricity or energy resources supplied to the enterprise, provided that such subsidies are clearly linked to the results of exports or with the use of domestic goods instead of imported ones.

     _____________________________________________________________________

           * The above list of prohibited subsidies is not necessarily exhaustive.

           ** Within the framework of this list, the export of goods is understood as the export of goods from the territory of the State of the Party providing the subsidy to the territory of the State of the other Party.

           *** Such industrial subsidies are not prohibited in accordance with the definitions of this annex and Article 4 of this Agreement, if their provision is possible in accordance with the Agreement on the Regulation of Access to Services of Natural Monopolies in the Field of Railway Transport, including the basics of tariff policy.

 

Appendix 2 to the Agreement on Common Rules for the Provision of Industrial Subsidies

The procedure for conducting investigations on the compliance of subsidies provided on the territory of the States of the Parties with the provisions of the Agreement on Common Principles for the Provision of Subsidies

      Additional definitions:

     1) subsidized product - a product in the production, transportation, storage or export from the territory of the state of the subsidizing Party of which a specific subsidy was used.

     2) producers of subsidized goods - producers of subsidized goods of the State of the Party that provided a specific subsidy.

     3) National producers of similar goods - producers of similar goods in the State of the Party conducting the investigation.

Article 1 Grounds for conducting an investigation

     1. An investigation in order to analyze the compliance of subsidies provided in the territory of the State of the other Party with the provisions of the Agreement on Common Principles for the Provision of Subsidies (hereinafter referred to as the Agreement), as well as to establish the existence of damage to the national economy due to the import of subsidized goods from the territory of the State of the Party that provided the specific subsidy, is conducted by the competent authority of the State of the Party (hereinafter referred to as the Agreement). - competent authority) on the basis of a written request submitted in accordance with the provisions of this article from national producers of similar goods registered in the territory of this Party, or on the competent authority's own initiative.

2. Domestic transport and freight tariffs for export shipments, established or levied by the state on terms more favorable than transportation on the domestic market.***

     3. Provision of goods and services used in the production of exported goods on more preferential terms than for those used in the production of similar goods sold on the domestic market.

     4. Full or partial exemption from payment, granting deferral or reduction of taxes or any other deductions paid or payable by business entities related to the results of exports or the use of goods originating from the territories of the State of the Party providing these benefits. At the same time, deferral is not necessarily a prohibited subsidy if penalties for non-payment of taxes are levied. Charging VAT on exported goods at a zero rate is not a sign of a prohibited subsidy.

     5. Special deductions linked to export results reduce the tax base of goods to a greater extent compared to similar goods sold on the domestic market.

     6. Exemption, reduction, deferral of taxes or special deductions applied to calculate the tax base for goods and services used in the production of export goods, to a greater extent than exemption from payment, reduction, deferral of taxes or special deductions applied to calculate the tax base for goods and services used in production of similar goods sold on the domestic market.

     7. Collection of customs duties on raw materials and materials used in the production of export products at rates lower than for the same raw materials and materials used in the production of similar products for consumption in the domestic market; or refund of customs duties on raw materials and materials used in the production of export products in a larger volume than for the same raw materials and supplies used in the production of similar products sold on the domestic market.

     8. Reduction or refund of import duties levied on imported raw materials and materials used in the manufacture of products, if the content of domestic materials or raw materials in the manufactured products is mandatory, regardless of whether specific goods, their volume or value, or a proportion of the volume or value of their local production are determined.

     9. Charging premiums that are insufficient to cover long-term operating expenses or losses under export credit guarantee or insurance programs, insurance or guarantees against an increase in the value of export goods or currency risks.

     10. Provision of export credits at rates lower than those that recipients of such loans would actually have to pay for using a comparable loan (the same loan repayment period, loan currency, etc.) in market conditions, or payment of all or part of the costs incurred by exporters or financial institutions in connection with obtaining a loan. Export credit practices that comply with the interest rate provisions of the Agreement on Official Export Credits developed by the OECD member countries will not be considered as subsidies.

     11. Reduction of tariffs for electricity or energy resources supplied to the enterprise, provided that such subsidies are clearly linked to the results of exports or with the use of domestic goods instead of imported ones.

     _____________________________________________________________________

           * The above list of prohibited subsidies is not necessarily exhaustive.

           ** Within the framework of this list, the export of goods is understood as the export of goods from the territory of the State of the Party providing the subsidy to the territory of the State of the other Party.

           *** Such industrial subsidies are not prohibited in accordance with the definitions of this annex and Article 4 of this Agreement, if their provision is possible in accordance with the Agreement on the Regulation of Access to Services of Natural Monopolies in the Field of Railway Transport, including the basics of tariff policy.

 

Appendix 2 to the Agreement on Common Rules for the Provision of Industrial Subsidies

The procedure for conducting investigations on the compliance of subsidies provided on the territory of the States of the Parties with the provisions of the Agreement on Common Principles for the Provision of Subsidies

      Additional definitions:

     1) subsidized product - a product in the production, transportation, storage or export from the territory of the state of the subsidizing Party of which a specific subsidy was used.

     2) producers of subsidized goods - producers of subsidized goods of the State of the Party that provided a specific subsidy.

     3) National producers of similar goods - producers of similar goods in the State of the Party conducting the investigation.

Article 1 Grounds for conducting an investigation

     1. An investigation in order to analyze the compliance of subsidies provided in the territory of the State of the other Party with the provisions of the Agreement on Common Principles for the Provision of Subsidies (hereinafter referred to as the Agreement), as well as to establish the existence of damage to the national economy due to the import of subsidized goods from the territory of the State of the Party that provided the specific subsidy, is conducted by the competent authority of the State of the Party (hereinafter referred to as the Agreement). - competent authority) on the basis of a written request submitted in accordance with the provisions of this article from national producers of similar goods registered in the territory of this Party, or on the competent authority's own initiative.

     2. The appeal referred to in paragraph 1 of this Article shall be filed by the national producer of a similar product or by an association of national producers, whose members include producers who form a branch of the national economy.

     The appeal referred to in paragraph 1 of this Article may also be submitted by representatives of these persons who have powers duly executed in accordance with the national legislation of the State of the Party in which the applicant is registered.

     3. The appeal specified in paragraph 1 of this Article must contain:

     information about the applicant;

     product description, indicating the country of origin and the code of the unified Commodity nomenclature of foreign economic activity of the Customs Union;

     information about the availability, nature and amount of a specific subsidy;

     information about manufacturers of subsidized goods;

     information about well-known national manufacturers of similar goods;

     information on changes in the volume of imports of subsidized goods into the territory of the State of the Party to whose competent authority the relevant application is submitted, for the three calendar years preceding the submission of the application;

     information on changes in the volume of exports of similar goods from the territory of the State of the Party to whose competent authority the relevant application is submitted to the territory of other States of the Parties;

     evidence of damage to a branch of the national economy due to the import of subsidized goods. Evidence of material damage or threat of material damage to a branch of the national economy due to the import of subsidized goods is based on objective factors that characterize the economic situation of the branch of the national economy and can be expressed in quantitative terms (including the volume of production and sales of goods, the share of goods in the market of the state of the Party, the cost of production of goods, the price of goods, data on capacity utilization, labor productivity, and profit margins, profitability of production and sales of goods, the volume of investments in the sectors of the national economy);

     information on changes in the volume of imports of similar goods (in quantitative and monetary terms) to the single customs territory of the member States of the Customs Union for the three calendar years preceding the submission of the application;

     information on changes in the volume of exports of similar goods (in quantitative and monetary terms) from the single customs territory of the member States of the Customs Union for the three calendar years preceding the submission of the application;

     analysis of other factors that could have an impact on the branch of the national economy during the analyzed period.

     4. When specifying the monetary indicators contained in the circulation specified in paragraph 1 of this article, for the purposes of comparability, the monetary unit established for the maintenance of foreign trade statistics must be used.

     5. The appeal referred to in paragraph 1 of this Article, with its non-confidential version attached (if the appeal contains confidential information), shall be submitted to the competent authority and shall be subject to registration on the day the appeal is received by the said authority.

     6. The application referred to in paragraph 1 of this Article is rejected on the following grounds:

     non-compliance of the applicant with the requirements set out in paragraph 2 of this Article;

     failure to submit the materials specified in paragraph 3 of this Article when submitting the application;

     the unreliability of the materials submitted by the applicant, provided for in part 3 of this Article.

     Rejection of an application on other grounds is not allowed.

     7. Before making a decision to initiate an investigation, the competent authority shall notify in writing the authorized body of the State of the Party in whose territory the specific subsidy in question is being provided of the receipt of the request.

8. In order to make a decision on the initiation of an investigation, the competent authority shall, within thirty calendar days from the date of registration of the appeal referred to in paragraph 1 of this Article, examine the sufficiency and accuracy of the evidence and information contained in this appeal in accordance with the provisions of paragraph 3 of this Article. The specified period may be extended if it is necessary for the competent authority to obtain additional information from the applicant, but in all cases such period should not exceed forty calendar days.

     9. The appeal referred to in paragraph 1 of this Article may be withdrawn by the applicant before or during the investigation.

     If the appeal referred to in paragraph 1 of this article is withdrawn before the start of the investigation, such appeal shall be deemed not to have been filed.

     If the appeal referred to in paragraph 1 of this article is withdrawn during the investigation, it is terminated or continued by a decision of the competent authority.

Article 2 Consultations to establish the existence of a proposed specific subsidy

     1. After accepting the request specified in paragraph 2 of Article 1 of this Procedure for consideration and before deciding to initiate an investigation, the competent authority shall invite the authorized body of the State of the Party that provided the specific subsidy to hold consultations in order to clarify the situation regarding the availability, amount and use, as well as the consequences of providing a specific subsidy and reaching a mutually acceptable solution. Such consultations may continue during the investigation.

     2. Consultations in order to clarify the situation regarding the availability, amount and consequences of granting a specific subsidy do not prevent the competent authority from making a decision to initiate an investigation, as well as from preparing, based on the results of such an investigation, a conclusion on the compliance of a specific subsidy provided in the territory of the other Party's State with the provisions of the Agreement and/or causing damage to a branch of the national economy as a result of the import of subsidized goods from the territory of the State of the Party that provided the specific subsidy, and the transfer to the, in the territory of the State where "the specific subsidy in question is provided, applications for the introduction of a compensatory measure.

Article 3 Initiation of an investigation and its conduct

     1. The competent authority, before the expiration of the period specified in paragraph 9 of Article 1 of this Procedure, shall decide on the initiation of an investigation or on the refusal to conduct it.

     When making a decision to refuse to conduct an investigation, the competent authority shall notify the applicant in writing of the reason for the refusal to conduct an investigation within no more than ten calendar days from the date of making such a decision.

     When making a decision to initiate an investigation, the competent authority shall notify in writing the authorized body of the State of the Party that provided the specific subsidy, as well as other interested parties known to it, of the decision and ensure that the notice of the beginning of the investigation is published within no more than five working days from the date of the decision to initiate the investigation. The day of publication of the notice of the beginning of the investigation is recognized as the day of the beginning of the investigation.

     2. The competent authority may decide to initiate an investigation, including on its own initiative, if this authority has evidence of violations of the provisions of the Agreement and/or evidence of damage to the national economy as a result of the import of subsidized goods into the territory of the State of this Party or the displacement of a similar product from the state market by subsidized goods. The Party that provided the specific subsidy, or a third-party State.

     If such evidence is insufficient to conduct an investigation, such an investigation cannot be initiated.

     3. After making a decision to initiate an investigation, the competent authority shall send to the national producers of similar goods known to it and to the producers of subsidized goods that are the subject of the investigation a list of questions that they must answer in order to conduct an investigation.

     National producers of similar goods and producers of subsidized goods that are the subject of an investigation, to whom a list of questions has been sent, are given thirty calendar days from the date of receipt of such a list to submit their responses to the competent authority. At the reasoned and written request of national producers of similar goods and producers of subsidized goods that are not the subject of investigation, the specified period may be extended by the competent authority, but not more than ten calendar days.

     For the purposes of this article, the list of issues is considered to have been received seven calendar days after it was sent by mail or from the date it was sent directly to a representative of the national manufacturer or manufacturer of the subsidized product.

     In order to verify the information provided during the investigation or to obtain additional information related to the ongoing investigation, the competent authority may conduct an investigation in the territory of the State of the Party that provided the specific subsidy, subject to obtaining the consent of the relevant manufacturer of the subsidized product that is the subject of the investigation., and also subject to prior notification of representatives of the Government of the State concerned and the absence of objections from that State regarding the conduct of an investigation on its territory.

     In order to verify the information provided during the investigation or to obtain additional information related to the ongoing investigation, the competent authority has the right to send its representatives to the location of national manufacturers of similar goods, to consult and negotiate with interested parties, to get acquainted with samples of subsidized goods that are the subject of investigation, and to take other actions necessary for the investigation, not the Parties conducting the investigation contradict the legislation of the State.

     4. During the investigation, the competent authority may send requests for information relevant to the ongoing investigation to the authorized authorities of the State of the Party that provided or is providing the subsidy in question, as well as to interested persons.

     5. Interested persons have the right to submit, no later than the day specified in the notification of the start of the investigation, the information necessary for the purposes of the investigation, including confidential information, indicating the source of such information. The competent authority has the right to request additional information from interested persons.

     6. Evidence and information related to the investigation must be submitted to the competent authority in the official language of the State of the Party conducting the investigation, and the original documents drawn up in a foreign language must be accompanied by a translation (with proof of the submitted translation).

     7. The competent authority, taking into account the need to protect confidential information in accordance with Article 8 of this Procedure, during the investigation, provides interested persons, upon their request in writing, with the opportunity to familiarize themselves with the information provided in writing by any interested person as evidence related to the subject of the investigation. The competent authority shall provide the participants in the investigation with an opportunity to familiarize themselves with other information relevant to the investigation and used by them during the investigation, but not confidential, in accordance with the provisions of article 10 of this Annex to the Agreement.

     8. State authorities (administrations) of the States of the Parties authorized in the field of customs affairs, state statistics, other state authorities (administrations) of the States of the Parties and territorial (local) state authorities (administrations) must assist in conducting the investigation and provide, upon request of the competent authority, the information necessary for the investigation, in particular including those containing confidential information.

     9. The period of the investigation should not exceed six months from the date of the beginning of the investigation.

     The investigation is considered completed on the day the competent authority that conducted the investigation sends the results of the investigation to the Government of the Party concerned.

Article 4 Decision-making based on the results of the investigation

     1. Based on the results of the investigation, the competent authority prepares an opinion on the compliance of the subsidy provided in the territory of the other Party's State with the provisions of the Agreement.

     2. If, according to the results of the investigation, a violation of the provisions of the Agreement and/or damage to a branch of the national economy is proved, the Party whose competent authority conducted the investigation shall transmit to the Party in whose territory the specific subsidy in question is provided an application for the introduction of a compensatory measure.

Article 5 Specifics of defining a branch of the national economy

     1. When conducting an investigation preceding the introduction of a compensatory measure, the branch of the national economy is understood in the meaning established by Article 3 of the Agreement, with the exception of the cases specified in paragraph 2 of this Article.

2. When determining a branch of the national economy, the territory of the State of the Party whose competent authority is conducting the investigation may be considered as a territory in which two or more competing markets operate, and national producers within one of these markets may be considered as a separate branch of the national economy if such producers sell at least eighty percent of a similar product on such a market., produced by them, and the demand in such a market for a similar product is not satisfied to a large extent by the national producers of this product located in the rest of the territory of the State of the Party conducting the investigation. In such cases, damage can be established even if the main part of the national economy has not been damaged, provided that the sale of the subsidized product is concentrated in one of the specified competing markets and the import of the subsidized product causes damage to at least eighty percent of national producers of similar goods within one such market.

Article 6 Rules for calculating the amount of a specific subsidy

     1. The amount of a specific subsidy is determined based on the amount of benefit received by the recipient of such subsidy. When calculating the amount of benefit of a specific subsidy, the competent authority takes into account that:

     a) the participation of the subsidizing body in the capital of the organization is not considered as the provision of a specific subsidy, unless such participation can be regarded as inconsistent with normal investment practices (including the provision of risk capital) in the territory of the relevant State of the Party;

     b) a loan provided by a subsidizing authority is not considered as providing a specific subsidy if there is no difference between the amount that the recipient organization pays for a government loan and the amount that it would pay for a comparable commercial loan that this organization can receive on the credit market of the relevant State of the Party. Otherwise, the difference between these amounts is considered a benefit.;

     c) the guarantee of a loan by a subsidizing body is not considered as the provision of a specific subsidy if there is no difference between the amount that the organization receiving the guarantee pays for a loan guaranteed by the subsidizing body and the amount that it would pay for a comparable commercial loan without a government guarantee. Otherwise, the benefit is considered to be between these amounts, adjusted for the difference in fees.;

     d) the supply of goods or services by the subsidizing authority or the purchase of goods is not considered as providing a specific subsidy, unless the goods or services are supplied for less than adequate payment or purchases are not carried out for more than adequate payment. The adequacy of payment is determined based on the existing market conditions for the purchase and sale of such goods and services in the market of the relevant State of the Party, including price, quality, availability, liquidity, transportation and other conditions for the purchase or sale of goods.

     2. The amount of the subsidy is calculated per unit of goods (ton, cubic meter, piece, etc.) imported into the territory of the State of the Party whose competent authority is conducting the investigation, or sold on the market of the State of the Party in whose territory the specific subsidy is provided, or on the market of the state of a third Party.

     3. When calculating the amount of the subsidy, inflation rates in the State of the relevant Party should be taken into account if the inflation rate is so high that it may distort the results obtained.

     4. The amount of subsidy per unit of goods is determined based on the amount of expenses of the relevant State of the Party that provided the specific subsidy for these purposes.

     5. When calculating the amount of subsidy per unit of goods, the cost of such goods is determined as the total sales value of the recipient legal entity for the 12 months preceding the receipt of the subsidy and for which the necessary data is available.

     6. When calculating the amount of the subsidy, it is necessary to deduct from the total amount of the subsidy the amount of any registration fee or other expenses incurred to receive subsidies.

     7. If the subsidy is not provided in respect of a certain quantity of goods produced, exported or transported, the amount of subsidy per unit of goods is calculated by dividing the total amount of subsidy by the volume of production, sales or export of such goods during the subsidy period, taking into account, if necessary, the share of subsidized imported goods in the total volume of production, sales or export of goods.

     8. If a subsidy is provided in connection with the development or acquisition of fixed assets, the amount of the subsidy is calculated by allocating the subsidy for the average depreciation period of such fixed assets in the relevant economic sector in the relevant State of the Party that provided the specific subsidy. The calculation of the subsidy per unit of goods also includes subsidies that were provided for the purchase of fixed assets prior to the start of the period covered by the investigation, but whose amortization period has not yet expired.

     9. When calculating the amount of subsidy, if the amount of subsidy provided for different periods of time or for different purposes for the same product is different, weighted averages of the amount of subsidy are applied based on the volume of production, sales or export of goods.

     10. If the subsidy is provided in the form of tax benefits, the value of the product is determined based on the calculation of the total cost of its sales for the last 12 months during which the tax benefits were applied.

     11. Subsidies provided during a calendar year by different subsidizing authorities and/or for the implementation of different programs must be summed up.

Article 7 Definition of serious infringement of interests

     1. For the purposes of sub-paragraphs 4.1 and 4.2 of paragraph 4 of Article 4 of this Agreement, the fact of displacement of similar goods from the market of the State of the subsidizing Party, or from the market of the state of a third Party, or curbing the growth of imports of similar goods into the territory of the State of the subsidizing Party, or curbing the growth of exports of goods to the territory of the State of a third Party, is established if it is proved that an unfavorable change in the share of a similar product in the market of the State of the subsidizing Party, or in the market of the state of a third Party relative to the subsidized product. This fact is established over a period sufficient to prove clear trends in the development of the market for this product, which under normal conditions should be at least a year.

     An unfavorable change in the market share of the State of the subsidizing Party, or in the market of a third-party State, includes any of the following situations:

     a) increase in the market share of subsidized goods;

     b) the market share of the subsidized product remains unchanged in circumstances in which, in the absence of a specific subsidy, it should have decreased.;

     c) the market share of the subsidized product is falling, but at a slower rate than it would occur in the absence of a specific subsidy.

     2. The underestimation of prices specified in subparagraph 4.3 of paragraph 4 of Article 4 of this Agreement should be established on the basis of comparing the prices of the subsidized goods on the relevant market with the prices of goods that were not specifically subsidized during production, transportation or export to the territory of a State in which no specific subsidy was used. Comparisons should be made at the same trading level and over comparable time periods. Any other factors affecting price comparability should be taken into account during the comparison. If this direct comparison is not possible, the presence of underestimation of prices can be established on the basis of average export prices.

     3. In cases where two Parties are conducting a dispute in accordance with the provisions of Article 10 of this Agreement on the existence of a serious infringement of interests, as defined in accordance with the provisions of paragraph 4 of Article 4 of this Agreement and Article 7 of this annex, on the market of a third Party State, such Party shall provide the disputing Parties with available statistical information, related to the subject of the ongoing dispute, in relation to changes in the market of such a Party in the shares of goods originating from the territory of the State of other Parties conducting the dispute, as well as statistical information on the prices of the relevant goods. At the same time, such a Party has the right not to conduct a special analysis of the market or prices, as well as not to provide information that it considers a commercial or state secret.

     4. The fact of a serious infringement of interest cannot be established if one of the following circumstances exists during the relevant period of time:

     1) the existence of a ban or restrictions on the export of goods from the territory of the state of the Party establishing the fact of serious infringement of interests, or a ban or restrictions on the import of goods from the territory of the state of the Party establishing the fact of serious infringement of interests to the market of the state of a third Party;

     2) making a decision by the authorized body of the state of the Party that imports a similar product and practices a trade monopoly or state trade in this product, for non-commercial reasons, to redirect imports from the state of the Party that establishes the fact of serious infringement of interests to imports from another state;

3) natural disasters, strikes, transport disruptions or other force majeure circumstances that have a serious negative impact on the production, quality, quantity or price of goods intended for export from the State of the Party establishing the fact of serious infringement of interests;

     4) the existence of agreements restricting the export from the State of the Party establishing the fact of serious infringement of interests;

     5) voluntary reduction of the possibility of exporting this product from the state of the Party establishing the fact of serious infringement of interests (including, inter alia, a situation where the economic entities of the state of the Party establishing the fact of serious infringement of interests have independently reoriented the export of this similar product to new markets);

     6) non-compliance with standards and (or) other administrative requirements in the State of the importing Party.

      5. In the absence of the circumstances listed in paragraph 3, the existence of a serious infringement of interests is determined on the basis of information provided to the Conciliation Commission or information that was received by the Conciliation Commission independently, or on the basis of information provided to the EurAsEC Court or information that was received by the EurAsEC Court independently.

Article 8 Determination of damage to a branch of the national economy as a result of the import of subsidized goods

     1. Damage to a branch of the national economy as a result of the import of subsidized goods is established on the basis of the results of an analysis of the volume of imports of subsidized goods, the impact of such imports on the prices of similar goods on the market of the State of the Party whose competent authority is conducting the investigation, and on national producers of similar goods.

     2. When analyzing the volume of imports of subsidized goods, the competent authority determines whether there has been an increase in imports of subsidized goods (in absolute terms or relative to the production or consumption of similar goods in the State of the Party whose competent authority is conducting the investigation).

     When analyzing the impact of the import of subsidized goods on the prices of similar goods on the market of the State of the Party conducting the investigation, the competent authority shall establish:

     were the prices of the subsidized product lower than the prices of a similar product on the market of the State of the investigating Party;

     has the import of subsidized goods led to a decrease in the prices of similar goods on the market of the State of the Party conducting the investigation;

     whether the importation of subsidized goods prevented the price increase of a similar product on the market of the State of the investigating Party, which would have occurred in the absence of such importation.

     3. The analysis of the impact of the import of subsidized goods on the branch of the national economy consists in assessing the economic factors relevant to the state of the branch of the national economy, including:

     the reduction of production that has occurred or is possible in the future, the sale of a similar product, its market share in the state of the Party conducting the investigation, profits, labor productivity, income from attracted investments or the use of production facilities;

     factors affecting the prices of similar goods on the market of the State of the Party conducting the investigation;

     the negative impact that has occurred or is possible in the future on cash flows, stocks of similar goods, employment levels, wages, production growth rates, and the ability to attract investment.

     4. The impact of the import of subsidized goods on a branch of the national economy is assessed in relation to the production of a similar product in the State of the Party conducting the investigation, if the available data allow us to identify the production of a similar product based on criteria such as the production process, the sale of the product by its manufacturers and profit. If the available data do not allow us to single out the production of a similar product, the impact of the import of a subsidized product on a branch of the national economy is assessed in relation to the production of the narrowest group or range of goods that include a similar product and about which the necessary data is available.

     5. The determination of damage to a branch of the national economy as a result of the import of subsidized goods should be based on an analysis of all relevant evidence and information available to the competent authority. In particular, the competent authority analyzes the dynamics and impact of import shipments of similar goods to the single customs territory of the Customs Union and shipments from other states of the Parties. At the same time, none or several factors from among the factors identified as a result of an analysis of the volume of imports of subsidized goods and the impact of such imports on a branch of the national economy can be crucial for the purpose of determining damage to a branch of the national economy due to the import of subsidized goods. In addition to the import of subsidized goods, the competent authority analyzes other known factors that cause damage to a branch of the national economy during the same period. The specified damage to a branch of the national economy should not be attributed by the competent authority to damage to a branch of the national economy due to the import of subsidized goods.

     6. When determining the threat of material damage to a branch of the national economy due to the import of subsidized goods, the competent authority takes into account all available factors, including the following factors:

     the nature and amount of the subsidy or subsidies and their possible impact on trade;

     the growth rate of imports of subsidized goods, indicating the real possibility of a further increase in such imports;

     the availability of sufficient opportunities for producers of subsidized goods in the State of the Party that provided the subsidy, or the obvious inevitability of their increase, which indicate the real possibility of increasing the import of subsidized goods;

     the price level of the subsidized product, if such a price level can lead to a decrease or deterrence of the price of a similar product on the market of the State of the investigating Party and a further increase in demand for the subsidized product;

     stocks are held by the manufacturer of the subsidized product.

     At the same time, none or several of the factors listed in this part can be decisive for the purposes of establishing the threat of material damage to a branch of the national economy as a result of the import of subsidized goods.

     A decision on the threat of material damage to a branch of the national economy is made if, during the investigation, based on the analysis of the factors specified in this part, the competent authority has concluded that it is inevitable that the subsidized goods will continue to be imported and that such importation will cause material damage to the branch of the national economy if a compensatory measure is not taken.

Article 9 Interested persons during the investigation

     1. Interested persons during the investigation may be:

     national producer of a similar product, an association of national producers, the majority of whose participants are manufacturers of a similar product;

     a manufacturer of a subsidized product that is the subject of an investigation, an association of manufacturers of a subsidized product that is the subject of an investigation, the majority of whose participants are manufacturers of this product;

     The Party and (or) the authorized body of the State of the Party that provided the subsidy;

     public associations of consumers, if the product is primarily consumed by individuals;

     consumers of a subsidized product that is the subject of an investigation, if they use this product in the manufacture of products, and associations of such consumers.

     2. The interested persons specified in paragraph 1 of this Article shall act independently or through their representatives during the investigation, who, in accordance with the legislation of the State of the Party conducting the investigation, have duly executed powers.

     If the person concerned acts through an authorized representative during the investigation, the competent authority shall inform the person concerned of all information about the subject of the investigation only through this representative.

Article 10 Confidential information

     1. Information submitted by an interested person to the competent authority shall be considered confidential when that person submits justifications indicating that disclosure of such information will provide an advantage in competition to a third party or entail adverse consequences for the person who provided such information or for the person from whom the person received such information. Confidential information should not be disclosed without the permission of the person who submitted it, except in cases provided for by the legislation of the States of the Parties.

     The competent authority has the right to require an interested person submitting confidential information to provide a non-confidential version of it. The non-confidential version should contain sufficient information to understand the nature of the confidential information provided. In cases where, in response to the request of the competent authority to provide a non-confidential version of confidential information, the person concerned declares that confidential information cannot be presented in this form, this person must provide evidence of the impossibility of presenting confidential information in this form.

If the competent authority determines that the justifications provided by the interested person do not allow the submitted information to be classified as confidential information, or the interested person who has not provided a non-confidential version of the confidential information does not provide a justification for the impossibility of presenting confidential information in this form, or provides information that does not justify the impossibility of presenting confidential information in such a form. However, the competent authority may not take this information into account.

     2. The competent authority shall bear the responsibility provided for by the legislation of the State of the Party conducting the investigation for the disclosure of confidential information.

 

Appendix 3 to the Agreement on Common Rules for the Provision of Industrial Subsidies

List of exemptions Part 1.

     The parties have the right to apply to the Customs Union Commission in order to obtain approval for the provision of a specific subsidy.

     The Parties do not apply compensatory measures to subsidies that are provided for a period, on the terms and in the amounts authorized by the Customs Union Commission.

 Part 2. The Russian Federation:

Description of the measure

Validity period

transitional

period1

regarding the measure

1. Measures regarding investment agreements,

prisoners before February 28, 2011 who

include the provisions established by the Decree

The President of the Russian Federation on February 5

1998 No. 135 "On additional measures

to attract investments for development

the domestic automotive industry",

By Decree of the Government of the Russian Federation

Of the Russian Federation No. 413 dated April 23, 1998

"On additional measures to attract

investments for the development of domestic

automotive Industry", by Resolution

Government of the Russian Federation dated March 29

2005 No. 166 "On Amendments

to the Customs Tariff of the Russian Federation

with respect to automotive components imported for

industrial assembly", by the Decision of the Commission

Customs Union No. 130 dated November 27, 2009

"On the Common Customs and tariff regulation

the Customs Union of the Republic of Belarus,

Of the Republic of Kazakhstan and the Russian Federation"

Validity period

agreements,

installed when

their signing,

and the opportunity

extensions

for a period of time,

provided by

in the Protocol

about joining

Russian

Federation to

Worldwide

trading

organizations, but not

more than two

calendar years

2. Measures applied in accordance with

with the Federal Law of January 22, 1996

No. 13-FZ "On the Special Economic Zone

in the Kaliningrad region"

until April 1st

in 2016

3. Measures applied in accordance with

with the Federal Law of May 31, 1999

No. 104-FZ "On the Special Economic Zone

in the Magadan region"

until January 1st

In 2015

 

Republic of Kazakhstan:

Description of the measure

Validity period

the transition period

regarding the measure

Subsidizing the interest rate on loans

banks of export-oriented industries

in accordance with the Government Decree

Of the Republic of Kazakhstan dated April 13, 2010 No.

301 "On the approval of the Roadmap Program

business 2020"

until July 1

2016 by

loans granted

credit cards

organizations

until July 1, 2011

Exemption of goods recognized as

Kazakhstani in accordance with the criteria

sufficient processing, from customs duties

and taxes on export from the customs regime

"Free warehouse" to the customs territory

Customs Union in accordance with the Code

of the Republic of Kazakhstan dated June 30, 2010 "On

customs affairs in the Republic of Kazakhstan",

The Law of the Republic of Kazakhstan "On Taxes and

mandatory payments to the budget" (Tax

Code) dated December 10, 2008 No. 99-I,

By Decree of the Government of the Republic

Kazakhstan dated October 22, 2009 No. 1647 "On

approval of the Rules for determining the country

origin of the goods, preparation and issue

the act of examination on the origin of the goods and

registration, certification and issuance of a certificate

on the origin of the goods", an agreement between

By the Government of the Republic of Belarus,

By the Government of the Republic of Kazakhstan and

By the Government of the Russian Federation on June 18

2010 "On Free Warehouses and Customs

free warehouse procedure"

until January 1st

2017

Exemption of goods recognized as

Kazakhstani in accordance with the criteria

sufficient processing, from customs duties

and taxes on export from the territory of special

economic zones to the customs territory

Customs Union in accordance with the Agreement

between the Government of the Republic of Belarus,

By the Government of the Republic of Kazakhstan and

By the Government of the Russian Federation on June 18

2010 "On the issues of free (special,

special) economic zones in the customs territory

territories of the Customs Union and the customs

procedures of the free customs zone", by Law

Of the Republic of Kazakhstan "On Special

economic zones in the Republic of Kazakhstan"

dated July 6, 2007, with the Code of the Republic of

Kazakhstan dated June 30, 2010 "On Customs

the case in the Republic of Kazakhstan", by Resolution

Government of the Republic of Kazakhstan dated 22

October 2009 No. 1647 "On Approval

Rules for determining the country of origin

goods, preparation and issuance of an expert examination report on

the origin of the goods and the registration, certification and issuance of a certificate of

the origin of the goods"

until January 1st

2017

 

      1The period of validity of the transitional period means the time period during which the provisions of this agreement do not apply.

 

Annex 4 to the Agreement on Common Rules for the Provision of Industrial Subsidies

A list of specific subsidies, the provision of which is not a basis for taking compensatory measures

     1) assistance for research activities carried out by firms, as well as higher education institutions and scientific organizations on a contractual basis with firms, provided that 1 such assistance covers 2 no more than 75% of the cost of industrial research3 or 50% of the cost of development at a pre-competitive stadium4, 5;

     and provided that it is provided solely to cover:

     a) Staff costs (researchers, technicians and other support staff engaged exclusively in research activities);

     b) expenses for tools, equipment, land and facilities used exclusively and permanently (except for sale on a commercial basis) for research activities;

     c) expenses for consulting and equivalent services used exclusively for research activities, including the purchase of research results, technical knowledge, patents, etc.;

     d) additional overhead costs incurred directly as a result of research activities;

     e) other current expenses (for materials, supplies, etc.) incurred directly as a result of research activities;

     2) assistance to disadvantaged regions in the territory of the State of the Party, which is provided within the general framework of regional development6, is non-specific (within the meaning of Article 3 of this agreement) and is distributed among the relevant regions, provided that:

     a) each disadvantaged region should be a clearly defined compact administrative and economic zone;

     b) such a region is considered to be disadvantaged on the basis of neutral and objective criteria,7 showing that the region's difficulties arise not only due to temporary circumstances; such criteria should be clearly defined in laws, regulations or other official documents so that they can be verified;

      c) the criteria include the measurement of economic development, which is based on at least one of the following indicators:  

     per capita income or household income, or the size of GDP per capita, which should not exceed 85% of the average for a given territory.;

     the unemployment rate, which should be at least 110% of the average for the given Territory;

     measured over a three-year period; however, such a measurement may be complex and may take into account other factors;

     3) assistance in adapting existing productions8 to new environmental protection requirements imposed by legislation and/or regulations, which entail additional restrictions and increase the financial burden on firms, provided that such assistance:

     a) is a one-time, non-recurring measure; and

     b) amounts to no more than 20% of the adaptation costs; and

     c) does not cover the costs of replacement and operation of subsidized equipment, which should be fully borne by enterprises; and

     d) is directly related to and proportional to the planned reduction of pollution by the company and does not cover the savings on production costs that can be achieved; and

     e) available to all companies that may switch to new equipment and/or production processes.

     _____________________________________________________________________

      1 The provisions of this Agreement do not apply to fundamental scientific research independently conducted by higher educational or scientific institutions. The term "basic research" means the expansion of general scientific and technical knowledge unrelated to industrial or commercial purposes.

      2 The acceptable level of assistance, which does not give grounds for taking measures, referred to in this subparagraph, is determined in relation to the total amount of the relevant costs incurred during the period of implementation of a particular project.

3 The term "industrial research" means planned research or critical research aimed at discovering new knowledge in the expectation that such knowledge may be useful in developing new goods, processes or services, as well as for significantly improving existing goods, processes or services.

      4 The term "development at the pre-competitive stage" means the translation of the results of industrial research into a plan, drawing or layout of new, modified or improved goods, technological processes or services intended for sale or use, including the creation of a first prototype unsuitable for commercial use. It may also include the formulation of the concept and design of alternative products, methods or services, as well as initial demonstration or pilot projects, provided that they cannot be adapted or used for industrial applications or commercial exploitation. It does not cover ongoing periodic changes to existing products, production lines, processing processes, services, and other routine operations, even if such changes lead to improvements.

      5 In the case of programs combining industrial research and pre-competitive developments, the permissible level of assistance that does not provide grounds for action should not be higher than the usual average of the permissible levels for these two categories, calculated taking into account all relevant costs specified in (i)-(v) of this subparagraph.

      6 The "General framework for regional development" means that regional subsidy programs are part of an internally consistent and universally applied regional development policy, and that subsidies for regional development are not provided to individual geographical locations that have little or no impact on the development of the region.

      7 "Neutral and objective criteria" means criteria that do not provide benefits to certain regions beyond what is necessary to eliminate or reduce differences between regions within the framework of regional development policy. In this regard, regional subsidy programs should include the maximum amounts of assistance that can be provided for each subsidized project. Such maximum amounts should be differentiated depending on the level of development of the regions being assisted, and expressed in the form of investment costs or job creation costs. Within these amounts, assistance should be distributed widely enough to avoid the preferential use of subsidies or the provision of disproportionately large amounts to certain enterprises, as provided for in article 3.

      8 The term "existing production facilities" means production facilities that have been in operation for at least two years prior to the introduction of new environmental requirements.

 

Appendix 5 to Agreement on Common Rules for the Provision of Industrial Subsidies

Subsidy notification forms Instructions for filling out the notification:

      1. The name of the subsidy program, if any, and a brief description or designation of the subsidy, for example, "Small Business development." The name of the subsidy program may also coincide with the name of the legislative or regulatory act in accordance with which the subsidy is submitted.

      2. The period specified in the notification.

      3. The main purpose and/or purpose of the subsidy. Data on the purpose of the subsidy can usually be found in the regulatory legal act according to which the subsidy is provided.

      4. The legal basis for the grant. In this section, you must provide the name of the regulatory legal act in accordance with which the subsidy is provided, as well as a brief description of this act.

      5. The form of subsidy (i.e., grant, loan, tax benefit, etc.).

      6. To whom and how the subsidy is provided (producers, exporters or other persons). Describe the means by which the subsidy is provided; with a fixed or variable amount per unit of product; in the second case, it is necessary to explain the mechanism for determining the amount. Describe the mechanism and conditions for granting subsidies.

      7. The amount of the subsidy. A subsidy per unit of production, or, where this is not possible, the annual or total amount allocated for this subsidy (indicating the average subsidy rate per unit of production in the previous year). If information about the subsidy per unit of production (for the year specified in the notification, for the previous year, or both) cannot be provided, a full explanation must be provided.

      8. The duration of the subsidy and/or any other time limit applicable to the subsidy, including the date of opening/termination of the subsidy.

      9. Data on the effect on trading. Statistical data to evaluate the trade effects of the subsidy. Whenever possible, the information should contain statistics on the production, consumption, import and export of subsidized goods or sectors.:

     (a) for the last three years for which statistics are available;

     (b) for the previous year - the last year preceding the introduction of the subsidy or as preceding the last important change in the subsidy.

      Table 1.* General form of notification.

Title

programs

subsidize-

What

Period,

by

to which

predos-

They 're being treated

data

Goal

predos-

provisions

subsidies

Grounds

for

predos-

provisions

subsidies

Description

forms

subsidize-

What

To whom and

how

subsidy

predos-

It 's being updated

Size

subsidies

Duration

-nost

subsidies

Data on

the effect

on

trade

1

2

3

4

5

6

7

8

9

 

      Table 2. The form of subsidies is a grant.

Title

programs

subsidize-

What

Period,

by

to which

provided by-

They are

data

Goal

provided by-

leniya

subsidies

Grounds

for

provided by-

leniya

subsidies

To whom and how

subsidy

provided by-

It is

The amount

grant

Duration-

the

subsidies

Complete it-

telnaya

information

1

2

3

4

5

6

7

8

 

      5. To whom and how the subsidy is provided. In this section, it is necessary to specify the recipient of the grant and describe in sufficient detail the mechanism and conditions for its provision, in particular, which person directly decides on the grant and provides the subsidy, under what conditions the subsidy is provided, on what depends and how the amount of the subsidy is determined.

     _____________________________________________________________________

           * It is used when other forms in other tables cannot be applied.

      Table 3. The form of subsidies is a loan on preferential terms.

Title

programs

subsidize-

What

Period,

by

to which

provided by-

They are

data

Goal

predos-

provisions

subsidies

Grounds

for

predos-

provisions

subsidies

To whom and

how

subsidy

predos-

It 's being updated

The amount

credit

% rate

Duration-

the

subsidies

Complete it-

telnaya

informa-

operation

1

2

3

4

5

6

7

8

9

 

      5. To whom and how the subsidy is provided. In this section, it is necessary to specify the recipient of the loan and describe in sufficient detail the mechanism and conditions for its provision, in particular, which person directly decides on the grant and provides the subsidy, under what conditions the subsidy is provided, on what depends and how the amount of the subsidy is determined. If the entities are divided into categories during financing (for example, by industry), each category must be specified separately.

      6. The loan amount. This section provides the amount of the loan actually granted for the reporting period.

      7. % rate. It is necessary to specify the interest rate of the loans provided. If several loans were provided at different rates, it is necessary to provide data on each separately. This information is necessary to calculate the amount of subsidies.

      Table 4. Form of subsidies - tax and customs privileges.

Title

programs

subsidize-

What

Period,

by

to which

predos-

They 're being treated

data

Goals/

tasks

predos-

provisions

subsidies

Grounds

for

predos-

provisions

subsidies

To whom and

how

subsidy

predos-

It 's being updated

Form

subsidies

Duration-

the

subsidies

Size

subsidies

Complete it-

telnaya

informa-

operation

1

2

3

4

5

6

7

8

9

 

      5. To whom and how the subsidy is provided. In this section, it is necessary to specify the entities to which tax benefits are provided or a reference to a legislative or regulatory act that defines such entities, as well as to specify under what conditions these entities receive benefits.

      6. The form of subsidies. Specify the form of the tax benefit provided, for example, exemption from land tax, VAT, etc. If there has been a reduction in the amount of tax, you must specify the rate or amount of tax.

      8. The amount of subsidies. Specify the amount of subsidy for the reporting period.

      Table 5. The form of subsidies is the sale of goods or services on preferential terms.

Title

programs-

we

subsidize-

What

Period,

by

to which

predos-

They 're being treated

data

Goals/

tasks

predos-

provisions

subsidies

Base-

research institutes for

predos-

provisions

subsidies

To whom and

how

subsidy

predos-

It 's amazing-

xia

Form

sub-

sitting

Once-

measures

sub-

sitting

Volume

sub-

sitting

Price/

rate

on

product/

the service

without

accounting

benefits

For-

tel-

the

subsi-

dii

Additional information-

nitel-

naya

information-

mania

1

2

3

4

5

6

7

8

9

10

11

 5. To whom and how the subsidy is provided. In this section, you must specify the entities that purchase goods or services on preferential terms, and specify under what conditions these entities receive benefits. Also, provide information on the sale of which type of product or service a subsidy is provided. For example, the transmission of electricity.

      6. The form of subsidies. It is necessary to specify the form in which the subsidy is provided. For example, reducing tariffs and prices.

      7. The amount of subsidies. The amount of the subsidy for the reporting period is indicated in monetary terms.

      8. The amount of subsidies. The amount of subsidies is indicated in the unit of measurement (ton, Watt, etc.).

      9. The price / tariff for the product/service, excluding benefits. It provides information on the price or tariff at which a product or service is sold, excluding benefits.

      Table 6. The form of subsidies is debt cancellation.

Title

programs

subsidize-

What

Period,

by

to which

provided by-

They are

data

Goals/

tasks

provided by-

leniya

subsidies

Grounds

for

provided by-

leniya

subsidies

To whom and how

subsidy

provided by-

It is

The amount

debt

Duration-

the

subsidies

Complete it-

telnaya

information

1

2

3

4

5

6

7

8

 

     I hereby certify that this text is a complete and authentic copy of the original Agreement on Common Rules for the Provision of Industrial Subsidies, signed on December 9, 2010 in Moscow: from the Republic of Belarus - Deputy Prime Minister of the Republic of Belarus A.V. Kobyakov, from the Government of the Republic of Kazakhstan - First Deputy Prime Minister of the Republic of Kazakhstan U.E. Shukeev, from Government of the Russian Federation - First Deputy Chairman of the Government of the Russian Federation I.I. Shuvalov.

     The original copy is kept in the Integration Committee of the Eurasian Economic Community.

     Everything is laced, fastened

     signed and stamped 60 sheets

      Head of Legal Department

      Department of the Secretariat

      The EurAsEC Integration Committee. Knyazev

      13.12.2010

 

  

President    

Republic of Kazakhstan     

© 2012. RSE na PHB "Institute of Legislation and Legal Information of the Republic of Kazakhstan" of the Ministry of Justice of the Republic of Kazakhstan  

 

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