2/1/2004-E&MDA (Part)

Government of India

Ministry of Commerce & Industry

Dept. of Commerce

 

MARKETING DEVELOPMENT ASSISTANCE SCHEME

(REVISED GUIDELINES W.E.F. 01.04.2006)

 

Export promotion continues to be a major thrust area for the Government. In view of the prevailing macro economic situation with emphasis on exports and to facilitate various measures being undertaken to stimulate and diversify the country’s export trade, Marketing Development Assistance (MDA) Scheme is under operation through the Department of Commerce to support the under mentioned activities:

 

(i)                  Assist exporters for export promotion activities abroad

 

(ii)                Assist Export Promotion Councils (EPCs) to undertake export promotion activities for their product(s) and commodities

 

(iii)               Assist approved organizations/trade bodies in undertaking exclusive nonrecurring innovative activities connected with export promotion efforts for their members

 

(iv)              Assist Focus export promotion programmes in specific regions abroad like FOCUS (LAC), Focus (Africa), Focus (CIS) and Focus (ASEAN + 2) programmes.

 

(v)                Residual essential activities connected with marketing promotion efforts abroad.

 

2.                     Administration of the Scheme

(i)                  The utilization of scheme is administered by the E&MDA Division in the Department of Commerce, Government of India, Udyog Bhavan, New Delhi – 110 011. Recognized EPCs on product grouping basis, Commodity Boards and Export Development Authorities are eligible for MDA assistance for development and promotional activities to promote exports of their products and commodities from India.

 

(ii)                MDA budget allocation to recognized EPCs and other export promotion organizations for export promotion activities including specific special development and promotional projects are finalized in annual meetings with the respective EPCs, which are chaired, by the Additional Secretary and Financial Advisor (AS&FA), Department of Commerce. Proposals for adhoc grants for exclusive innovative export promotional activities, which are considered helpful to promote exports of Indian products and commodities are examined by the E&MDA Division and decided with the approval of the AS&FA.

 

(iii)               Proposals of individual exporters for eligible MDA supported activities like participation in EPC led Trade Delegations/BSMs/Trade Fairs/Exhibitions for reimbursement of MDA assistance will be considered and approved by the Chief Executive Officer of the Export Promotion Councils/FIEO etc.

 

The MDA Committee in the Dept. of Commerce shall test check 10% of the cases approved by the EPCs etc. through a random selection method, based on the monthly progress reports to be send by the EPCs.

 

Assistance to individual exporters for export promotion activities abroad – Participation in EPC etc. led Trade Delegations/BSMs/Trade Fairs/ Exhibitions:

       

I.                    Exporting companies with an f.o.b. value of exports of upto Rs. 15 crore in the preceding year will be eligible for MDA assistance for participation in trade delegations / BSMs / fairs / exhibitions abroad to explore new markets for export of their specific product(s) and commodities from India in the initial phase. This will be subject to the condition that the exporter is having complete 12 months membership with concerned EPC etc. and filing of returns with concerned EPC/organisation regularly. However, this condition would not apply in case of a new EPC for a period of 5 years from the date of its creation.

 

II.                  Assistance would be permissible on travel expenses by air, in economy excursion class fair and/or charges of the built up furnished stall. This would, however, be subject to an upper ceiling mentioned in the table per tour.

 

 

S No.

(1)

Area/Sector

(2)

No. of visits

(3)

Maximum Financial Ceiling per event

(4)

1.

Focus LAC

1

Rs. 1,80,000

2.

FOCUS AFRICA (including WANA Countries)

1

Rs. 1,50,000

3.

FOCUS CIS

1

Rs. 1,50,000

4.

FOCUS ASEAN+2

1

Rs. 1,50,000

5.

General Areas

1

Rs. 80,000*

TOTAL

5

General Areas

 

The participation of individual companies in the above activities shall be subject to the following conditions:

 

1.                  For EPC etc. led Trade Delegations / BSMs only air-fare by Economy Excursion class upto a maximum of Rs. 70,000 (Rs. 1,00,000 in case of Focus LAC) shall be permissible. For participation in Trade Fairs/Exhibitions reimbursement shall be permissible subject to ceilings mentioned in the column 4 in the above table.

 

2.                  Maximum number of permissible participations shall be five in a financial year as indicated in above table (No travel grant is permissible for visit to General Areas).

 

However, for priority sectors, having large employment generation potential, viz.  Agriculture including food items, Handicrafts, Handlooms, Carpets, Leather & Minor Forest Produce including LAC, 2 (two) participations in General Areas would be admissible with the assistance of Rs. 1,50,000 for each participation. The exporters availing of assistance under this provision would, however, be in addition to these participations, eligible for only any 2 Focus Area participations.

 

3.                  Assistance shall be permissible to one regular employee / director /  partner / proprietor of the company. Assistance would not be available to exporter of foreign nationality or holding foreign passport.

 

4.                  Intimation application must be received in the concerned EPC etc. with a minimum of 14 days clear advance notice excluding the date of receipt of application in the office of the concerned organization and the date of departure from the country.

 

5.                  The company shall not be under investigation/charged/prosecuted/ debarred/black listed under the Foreign Trade Policy of India or any other law relating to export and import business.

 

 

6.                  Maximum MDA assistance shall be inclusive of MDA assistance received from all Govt. bodies / FIEO / EPCs / Commodity Boards / Export Development Authorities / ITPO etc.,

 

A Maximum of three participations in a particular trade fair/exhibition would be eligible for MDA assistance and exporting companies after availing assistance three times including past cases for a particular fair/exhibition, have to participate in that fair, if any, on self-financing basis.

 

 

LIST OF COUNTRIES COVERED UNDER FOCUS – LAC FOR

REIMBURSEMENT OF MDA TO INDIVIDUAL EXPORTERS

 


1.                  Argentina

2.                  Brazil

3.                  Chile

4.                  Mexico

5.                  Paraguay

6.                  Uruguay

7.                  Venezuela

8.                  Bolivia

9.                  Colombia

10.              Ecuador

11.              Peru

12.              Costa Rica

13.              El Salvador

14.              Guatemala

15.              Honduras

16.              Nicaragua

17.              Barbados

18.              Belize

19.              Guyana

20.              Jamaica

21.              Trinidad & Tobago

22.              Antigua

23.              Dominica

24.              Grenada

25.              Montserrat

26.              St. Kitts-Nevis-Anguilla

27.              St. Lucia

28.              St. Vincent

29.              Bahamas

30.              Bermuda

31.              British Virgin Islands

32.              Cayman Islands

33.              Cuba

34.              Dominican Republic

35.              Falkland Islands

36.              French Guiana

37.              Guadeloupe

38.              Haiti

39.              Martinique

40.              Netherlands Antilles

41.              Panama

42.              Suriname

43.              US Virgin Islands

44.              Turks and Calicos Islands


 

 

 

LIST OF COUNTRIES COVERED UNDER FOCUS – CIS FOR

REIMBURSEMENT OF MDA TO INDIVIDUAL EXPORTERS

 

  1. Armenia
  2. Azerbaijan
  3. Belarus
  4. Georgia
  5. Kazakhstan
  6. Moldova
  1. Russia
  2. Kyrgyz Stan
  3. Tajikistan
  4. Turkmenistan
  5. Ukraine
  6. Uzbekistan

 

 


LIST OF COUNTRIES COVERED UNDER FOCUS – ASEAN + 2 FOR

REIMBURSEMENT OF MDA TO INDIVIDUAL EXPORTERS

 

  1. Brunei
  2. Cambodia
  3. Indonesia
  4. Lao PDR RP
  5. Malaysia
  6. Myanmar
  7. Philippines
  8. Singapore
  9. Thailand
  10. Vietnam

+ 2 COUNTRIES

 

  1. Australia
  2. New Zealand

 

 

LIST OF COUNTRIES COVERED UNDER FOCUS – AFRICA FOR

REIMBURSEMENT OF MDA TO INDIVIDUAL EXPORTERS

 

SOUTHERN AFRICA

 


  1. Angola
  2. Botswana
  3. Lesotho
  4. Mozambique
  5. Namibia
  6. South Africa
  7. Swaziland
  8. Zambia
  9. Zimbabwe

 

 

 

WEST AFRICA

  1. Benin
  2. Burkina Faso
  3. Cameroon
  4. Canary Is
  5. Cape Verde Is
  6. Congo P Rep
  7. Equtl Guinea
  8. Gabon
  9. Gambia
  10. Ghana
  11. Guiena
  1. Guinea Bissau
  2. Cote D’ivoire
  3. Liberia
  4. Mali
  5. Mauritania
  6. Niger
  7. Nigeria
  8. Sao Tome
  9. Senegal
  10. Sierra Leone
  11. ST Helena
  12. Togo

 

 

 

CENTRAL AFRICA

  1. Burundia
  2. C Afri Rep
  3. Chad
  4. Malawi
  5. Rwanda
  6. Uganda
  7. Congo D. Rep.

EAST AFRICA

  1. Comoros
  2. Djibouti
  3. Ethiopia
  4. Kenya
  5. Madagascar
  6. Mauritius
  7. Reunion
  8. Seychelles
  9. Somalia
  10. Tanzania Rep.

 

NORTH AFRICA

  1. Egypt
  2. Algeria
  3. Morocco
  4. Tunisia
  5. Sudan
  6. Libya

 

 

 

Annexure-V

 

Application Form For Marketing Development Assistance

For participation in Trade Fair/Exhibition/BSM/Trade delegation abroad

 

Ref.No. ________________   Date: ____________

 

01

Name of the firm with full address.

02

IEC NO.

EH/TH Certificate NO. & Date

Valid up to______________

03

FOB value of exports during the last Financial year (Rs.in crores)

04

Particulars of fair/exhibition/BSM/

Trade Delegation

Name of the event

Place

Country

From                        to

05

Particulars of visit

Date of departure from India

Date of arrival in India

06

Details of proposal(s) already Submitted in the same financial year.

07

Details of earlier participations in the same Event with MDA assistance.

08

Name & Designation of the person going Abroad.

 

Place:

Date: Signature & Stamp: