SUBSIDIES (D.3)

4.30 Definition:

Subsidies (D.3) are current unrequited payments which general government or the Institutions of the European Union make to resident producers, with the objective of influencing their levels of production, their prices or the remuneration of the factors of production.

Other non-market producers can receive other subsidies on production only if those payments depend on general regulations applicable to market and non-market producers as well. By convention, subsidies on products are not recorded on other non-market output (P.13).

4.31 Subsidies granted by the Institutions of the European Union cover only current transfers made directly by them to resident producer units.

4.32 Subsidies are classified into:

1. subsidies on products (D.31):
   (1) import subsidies (D.311);
   (2) other subsidies on products (D.319).
2. other subsidies on production (D.39).