MARKETING DEVELOPMENT ASSISTANCE
SCHEME
(REVISED
GUIDELINES W.E.F. 1.4.2006)
Salient Points
of Revised Guidelines of MDA Scheme (w.e.f. 1.4.2006) are
reproduced below for the information of
member-exporters:
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.
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.
| Sl. No |
Area/Sector |
No. of visits
eligible |
Maximum Financial ceiling
per event |
| 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) Member exporters of
EPCs etc. would also be eligible for MDA assistance for
participation in events organized by ITPO abroad. Their
applications/claims would by routed/reimbursed through
concerned EPC etc.
(7) Maximum MDA assistance
shall be inclusive of MDA assistance received from all Govt.
bodies/FIEO/EPCs/Commodity Boards/Export Development
Authorities/ITPO etc.,
(8) 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.
DOCUMENTATION FOR REIMBURSEMENT OF
ASSISTANCE TO EXPORTERS:
(i) Intimation application in Annexure V duly completed and signed shall be
submitted by the exporter to the concerned EPC etc. giving
clear 14 days advance notice. Intimation and the application
must be sent electronically by email also.
(ii) Concerned
Organization (FIEO, EPC etc.) on receipt of intimation shall
immediately issue acknowledge receipt. Thereafter
they will examine and issue approval letter to the exporter
preferable within 5 working days of the receipt of the
intimation, in the prescribed format (Annexure-VI).
(iii) Claim along with the
declaration duly completed and the Certificate (as per
Annexure VIII) duly signed by a Chartered Accountant shall be submitted by the exporter to the concerned
Organization (FIEO), EPC etc.) in the prescribed format (Annexure-VII) along with under mentioned
papers immediately on return to India after completion of the
activity but positively within 45 days of their return to
India:
- Details of activity undertaken earlier with
MDA assistance to the same country/countries.
- Legible photocopy of passport highlighting
the entries about departure from and arrival into India and
also the countries visited. In case, passport does not have
arrival/departure dates regarding visits to various
countries, some documentary evidence such as Hotel Bills,
Boarding pass, lodging pass etc. be submitted.
- Original air ticket/jacket
used during the journey. If Original air ticket/jacket is
lost, a legible photocopy of the same along with a
certificate from the concerned airline indicating following
may be sent :
(a) Name of the
traveler
(b) Ticket number
(c) Flight No.
(d) Date
of departure from India
(e) Sectors/countries
visited
(f) Class in which traveled
(g) Economy
excursion class fare for sectors/countries
visited.
- Self certified f.o.b. value
export figures during the last three financial years, year
wise.
- Brief report about the activity participated
and achievements made.
(iv) Claim
forms duly filled in and complete in all respects must be
submitted to the concerned EPC, FIEO etc., within 90 days of
return to India. However, claims submitted within 30 days from
the expiry of the 90 days period may be entertained by or
wherein the deficiencies in the claim as intimated by the
concerned EPC, FIEO etc., with 10% deduction. The claims which
are submitted after 120 days of return to India shall not be
entertained under any circumstances. Any deficiencies in the
claim as intimated by the concerned EPC, FIEO etc., must be
completed within 30 days of the date of directions given in
this regard failing which the claim shall stand rejected
without any further intimation or reminder in this regard by
the concerned EPC, FIEO etc.
Downloads:
Annexure V- Application Form
Annexure VI- Sample Approval Letter
Annexure VII- Claim Form
Annexure VIII- Chartered Accountant
Certificate |
