IMPLEMENTATION LEVEL

National

AFFECTED FLOW

Inflow

ANNOUNCED AS TEMPORARY

No

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

all

JUMBO

No

TARIFF PEAK

No
← back to the state act
Inception date: 06 Oct 2009 | Removal date: open ended
Still in force

State loan

On 17 December 2012, Germany notified the EU about the prolongation of the State aid scheme for cinematographic and audiovisual production, called'Mitteldeutsche Medienförderung'. The scheme will be extended until 31 December 2015.
 
The previous scheme was notified on 6 October 2009 and expired on 31 December 2012, while the initial scheme was communicated in July 2001 (N440/2001) and prolonged in 2004 (N411/2004) and 2007 (N231/2007). 
 
The overall budget of the new scheme is EUR 27 million over 3 years or EUR 9 million per year. This constitutes a decrease with respect to the initial scheme in 2001 (EUR 14 million per year) and its successors (EUR 11 million per year). The money is still distributed in the form of soft loans for project development, script writing, production as well as post production and the loan varies from 3 to 7%.
The loans are called 'zinsverbilligt' (page 2, N440/2001 ) and 'bedingt rückzahlbar' (page 2, N440/2001) which implies that that the interest rate is beneficial and under certain circumstances, no refund is required. This can be considered state aid, due to the fact that the 27 EUR millionconstitutes public money from the states of Saxony, Saxony-Anhalt and Thuringia.
 
The EC confirms that the public funding and the selective character of the measure are likely to favor a specific sector and potentially affects trade between member states as stated in German: 'Die Fördermaßnahmen werden aus öffentlichen Mitteln finanziert. Sie sind sektoraler Art und könnten durch Begünstigung eines bestimmten Wirtschaftszweigs den Handel zwischen Mitgliedstaaten beeinträchtigen.' (para. 7, N411/2004).

 
A state measure in the GTA database is assessed solely in terms of the extent to which its implementation affects the extent of discrimination against foreign commercial interests. On this metric, the state aid proposed here is discriminatory. This is not to deny that there may be other benefits from this measure.

AFFECTED COUNTRIES

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AFFECTED SECTORS AND PRODUCTS

483 Optical instruments & photographic equipment; parts thereof
3702 Photographic film in rolls, sensitised, unexposed, of any material other than paper, paperboard or textiles; instant print film in rolls, sensitised, unexposed.
370210 For Xray
370232 Other, with silver halide emulsion
370243 Of a width exceeding 610 mm and of a length not exceeding 200 m
370244 Of a width exceeding 105 mm but not exceeding 610 mm
370252 Of a width not exceeding 16 mm
370253 Of a width exceeding 16 mm but not exceeding 35 mm and of a length not exceeding 30 m, for slides
370254 Of a width exceeding 16 mm but not exceeding 35 mm and of a length not exceeding 30 m, other than for slides
370255 Of a width exceeding 16 mm but not exceeding 35 mm and of a length exceeding 30 m
370298 Of a width exceeding 35 mm

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