International Cooperation Scheme- Market Development Assistance

Details

The scheme “International Cooperation Scheme” was launched by the Ministry of Micro, Small and Medium Enterprises, Government of India with the aim to capacity build MSMEs for entering the export market by facilitating their participation in international exhibitions/fairs/conferences/seminars/buyer-seller meets abroad as well as providing them with actionable market-intelligence and reimbursement of various costs involved in the export of goods and services. The Scheme provides opportunities for MSMEs to continuously update themselves to meet the challenges emerging out of changes in technology, changes in demand, emergence of new markets, etc. Thus, in totality, all components of the scheme aimed at various aspects required to advance MSMEs’ position as emerging export players.

The Scheme would cover the following sub-components:

• Sub-Component-I: Market Development Assistance of MSMEs (MDA).

• Sub-Component-II: Capacity Building of First Time MSE Exporters (CBFTE).

• Sub-Component-III: Framework for International Market Intelligence Dissemination (IMID).

As on date, Sub-Component–I and Sub-Component-II are in operation. Sub-Component-III will be in operation soon.

Sub-Component I: Market Development Assistance of MSMEs (MDA):

Under this component, the following activities are covered:

Physical Medium:

1. Participation (as exhibitors) of MSME delegations of industry associations and government organizations, involved in the promotion of MSMEs, in international exhibitions, trade fairs and buyer-seller meets in foreign countries for exploring potential markets for exports, seeking joint ventures, awareness about latest technologies, etc.
2. Organizing international conferences/summits/workshops/seminars in India on themes relevant to MSMEs by the Industry Associations and Government organizations.
3. Organizing Mega international exhibitions/fairs/buyer-seller meets, conferences/summits/ workshops/ seminars abroad by the Ministry of MSME, its organizations solely or in partnership with industry associations for the promotion of the MSME sector.
4. Organizing Mega international conferences/ summits/ workshops/ seminars, bilateral/multilateral Government to Government Events in India by the Ministry of MSME, its organizations solely or in partnership with industry associations for promotion of the MSME sector.
5. Participation of Ministry-led Industrial delegations to International Exhibitions/Fairs/Conferences in foreign countries.

Virtual Medium:

1. Participation (as exhibitors) of MSME delegations of industry associations and government organizations, involved in the promotion of MSMEs, in international exhibitions, trade fairs and buyer-seller meets by foreign organizers for exploring potential markets for exports, seeking joint ventures, awareness about latest technologies, etc.
2. Organizing international conferences/ summits/ workshops/ seminars on themes relevant to MSMEs by the Industry Associations and Government organizations.
3. Organizing Mega international exhibitions/fairs/buyer-seller meets, conferences/summits/seminars/ workshops, bilateral/multilateral Government to Government Events by Ministry of MSME, its organizations solely or in partnership with industry associations for promotion of MSME sectors.

Benefits

1. Under this scheme component, financial assistance is provided on a reimbursement basis for airfare, Space Rent (Stall Charges), Duty allowance, Freight charges, advertisement & publicity charges, entry/registration fees, holding/organizing International conferences/ summits/ workshops/ seminars, etc.

Eligibility

ELIGIBLE ORGANISATION:

Events under the scheme can be organized by:

a) Ministry of MSME and organizations under the Ministry;

b) State/Central Government Organisations/Institutions; and

c) Registered Industry/Enterprise Associations

CONDITIONS:

1. The applicant organization should be suitably registered under the relevant Act (i.e., companies under the Companies Act, Societies under the Societies Act, etc.) with the primary objective of promotion and development of MSMEs.
2. The applicant organization should have regular audited accounts for the past 3 years.
3. Events, for which financial support under the Scheme is sought, must be from the list of approved exhibitions/ events/ buyer-seller meets finalized by the Ministry of MSME in each financial year.
4. Financial assistance to one applicant organization would normally be restricted to three events in a financial year. The Screening Committee may, however, recommend a relaxation of this condition for reasons to be recorded and allot more than 3 events.
5. The quantum of assistance shall only be supplemental in nature to the contribution of the organizer.
6. The Industry Associations/organizations are allowed to participate in a particular event continuously for 3 years. After participating in the particular event continuously for 3 years, they will be eligible to participate in the same event after a gap of 2 Years.
7. Selection of the participating units shall be based on the eligibility scorecard prescribed under the scheme (Annexure C) and in no case an MSME unit scoring less than 60 percent marks will be eligible for availing the benefits under the scheme. The applicant organization must satisfy itself in this regard before proposing the name of the MSME unit in the delegation and any discrepancy, if noticed later, shall be the sole responsibility of the applicant organization.
8. While selecting entrepreneurs/participants, the applicant organization should ensure that one MSME unit must not participate in more than 2 events in a financial year under the scheme.
9. The applicant organization should also ensure that the selection is done in a fair and transparent manner, taking into consideration factors like the track record, growth potential, export potential, etc.
10. In order to make representation in such events more inclusive and equitable, the following guidelines must be followed:

• Adequate representation would be given to SC/ST/Women/NER entrepreneurs in such events.
• While selecting entrepreneurs as well as representative(s) of the participating units, priority should be given to persons who have not participated in such events earlier with a Government grant.