subsidies
REPLIES TO QUESTIONS POSED BY AUSTRALIA[1] REGARDING
THE NEW AND FULL NOTIFICATION OF BRAZIL[2]
The following communication,
dated and received on 29 October 2024, is being circulated at the request of
the delegation of Brazil.
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3.2
Programme for Vessel Fleet Enlargement and Modernization
Australia
understands that the program relates to performance bonuses to recipients where
these recipients have taken out loans and the repayment of loan instalments are
on time and meet sustainability criteria and improvements in worker conditions.
Question
1
Could Brazil please clarify whether the loans are provided by
government or commercially?
Reply:
The resources for the loans could be provided by three public funds: Fundo da Marinha Mercante
(FMM), Fundo Constitucional de Financiamento do Norte (FNO) and Fundo
Constitucional de Financiamento do Nordeste (FNE).
Question
2
What is the purpose of these loans and what are the criteria for
recipients of the loans?
Reply:
PROFROTA Pesqueira was conceived to support
the development of the Brazilian fishing sector by providing resources for the
acquisition, building, conversion, modernization, replacement, repair,
adaptation and equipping of fishing vessels. The program seeks to help reducing
fishing pressure on overfished stocks; increasing the efficiency and
sustainability of the coastal and continental fishing fleet; promoting maximum
use of fishing captures and increasing national fishing production. It was also
conceived to promote better uses of fish stocks in the Brazilian Exclusive
Economic Zone, with a view to improving the quality of fish produced in Brazil;
reducing incidental captures of threatened species; improving working
conditions on board and reducing disposal of waste and substances that are
harmful to the environment.
There are technical and environmental
criteria for the substitution, construction, acquisition and conversion of
vessels. There are also criteria for the acquisition of fishing gear and
equipment.
Question
3
Do the criteria for these loans or the performance bonuses relate to,
or contingent on, where the fishing takes place?
Reply:
No.
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