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6. In trying on the one hand to implement the recommendation made by the FAO Committee of Fisheries (COFI) in 2001 and, on the other hand, to address the conclusions of the first FAO Expert Consultation on fishery subsidies[1] it became apparent that the lack of detailed data on the nature, magnitude and impact of subsidies on the sector constituted a formidable obstacle to progress. The FAO Fisheries Department then decided as a first technical step, to try to develop a methodology for generating quantitative data of relevance for assessing the impact of subsidies. A Guide helping to identify, assess and report on subsidies - without going into their potential secondary effects outside the recipient enterprises - could constitute the first step in a strategy that in a second and subsequent step would help to develop quantitative indicators of the importance of these secondary effects (on trade, environment and development) as well as facilitate their analysis.

7. In the course of 2002, FAO Fisheries Department of FAO developed a draft “Guide for Identifying, Assessing and Reporting on Subsidies in the Fisheries Sector” (the Guide). The work was undertaken as follows:

[1] Expert Consultation on Economic Incentives and Responsible Fisheries (Rome, 28 November-1 December 2000) - FAO Fisheries Report No.638
[2] The report resulting from the study carried out in Trinidad and Tobago is attached as Information document FI:ECFS/2002/Inf. 4 - Study on Subsidies in The Fisheries Sector of Trinidad and Tobago

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