Govt relaxes limit for market development assistance
Updated: May 23, 2013 06:57:06pm
New Delhi, May 23, (KNN) Government today raised the limit of freight on board shipment from Rs 15 crore to Rs 30 crore for availing Market Development Assistance in its bid to penetrate the Latin American market.
“Now exporting companies with freight on board value of exports of upto Rs 30 crore in the preceding year will be eligible for MDA assistance. Earlier this limit was 15 crore. It was felt that penetration in LAC region, key region for government’s market diversification scheme in the wake of slowdown in the traditional markets, is costly,” said an official statement.
The government also increased the financial ceiling for participation in trade fairs and exhibitions due to escalation in cost and appreciation of international currency.
“The revised guidelines have substantially enhanced the financial ceiling for participation in trade fairs and exhibitions from Rs 1.80 lakh to Rs 2.5 lakh, for focus Latin American countries, from Rs 1.5 lakh to Rs 2 lakh for focus African countries, focus CIS countries, and Rs 80 thousand to Rs 1.5 lakh for focus ASEAN countries, Australia and New Zealand,” it said.
Furthermore, international exhibitions where the number of participants exceeds 75, export promotions councils will be eligible for a higher financial support to the tune of Rs 40 lakhs.
MDA scheme is under operation through the Department of Commerce to assist exporters for export promotion activities abroad. It assists approved organizations and trade bodies in undertaking exclusive nonrecurring innovative activities connected with export promotion efforts for their members and assists focus export promotion programmes in specific regions abroad like Latin America, Africa, CIS, ASEAN, Australia, and New Zealand. (KNN)
“Now exporting companies with freight on board value of exports of upto Rs 30 crore in the preceding year will be eligible for MDA assistance. Earlier this limit was 15 crore. It was felt that penetration in LAC region, key region for government’s market diversification scheme in the wake of slowdown in the traditional markets, is costly,” said an official statement.
The government also increased the financial ceiling for participation in trade fairs and exhibitions due to escalation in cost and appreciation of international currency.
“The revised guidelines have substantially enhanced the financial ceiling for participation in trade fairs and exhibitions from Rs 1.80 lakh to Rs 2.5 lakh, for focus Latin American countries, from Rs 1.5 lakh to Rs 2 lakh for focus African countries, focus CIS countries, and Rs 80 thousand to Rs 1.5 lakh for focus ASEAN countries, Australia and New Zealand,” it said.
Furthermore, international exhibitions where the number of participants exceeds 75, export promotions councils will be eligible for a higher financial support to the tune of Rs 40 lakhs.
MDA scheme is under operation through the Department of Commerce to assist exporters for export promotion activities abroad. It assists approved organizations and trade bodies in undertaking exclusive nonrecurring innovative activities connected with export promotion efforts for their members and assists focus export promotion programmes in specific regions abroad like Latin America, Africa, CIS, ASEAN, Australia, and New Zealand. (KNN)
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