Role of APEDA in Promoting Agricultural Exports
6.3 Trade promotion assistance
Marketing development assistance (MDA) scheme
It 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.
Assistance to individual exporters for export promotion activities abroad or Participation in EPC etc. led BSMs/Trade Fairs/ Exhibitions:
Sr.
No.
Area /Sector No. of Visit Maximum Financial Ceiling per event
1 Focus LAC 1 Rs 2,50,000
2 Focus Africa (Including WANA)
1 Rs 2,00,000
3 Focus CIS 1 Rs 2,00,000
4 Focus ASEAN + 2 1 Rs 2,00,000
5 General Areas 1 Rs 1,50,000
Total 5
LAC: Latin American Countries : 26, ASEAN: Association of Southeast Asian Nations : 8+2 CIS: Commonwealth of Independent States (former Soviet Republics)
The participation of individual companies in the above activities shall be subject to the following conditions:
Any exporter having FOB value of Export up to 30 crores.
Having 12 months membership of APEDA
Maximum number of permissible participations shall be five in a financial year as indicated in above table. 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.
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.
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
Schemes for market development Sr
No. Components Pattern of Assistance
1 Assistance to exporters for use of packaging material as per standards and specifications developed or adopted by APEDA
25% of the total cost of packaging material (including inner packaging materials viz.
punnets, sleeves, rubber band etc), subject to a ceiling of Rs 5 lakh
2 Assistance for conducting feasibility studies etc.
50% of the total cost subject to a ceiling of Rs 10 lakh
3 Conducting surveys, feasibility studies etc. for the common benefit of a number of exporters who may be the members of the Associations
Assistance will be in line with the guidelines of MDA Scheme
4 Brand publicity (Product specific Indian Brands) through advertisement in international print/ electronic media etc.
25% of the total cost subject to a ceiling of Rs 50 Lakh .Not to be extended to an exporter beyond 3 consecutive years.
Scheme for infrastructure development Sr
No. Components Pattern of Assistance
1 Establishment of common infrastructure facil- ities by APEDA or any other Government or Public Sector
90% grant-in-aid by APEDA and 10% from other govt /pub- lic sector
2 Purchase of specialised transport units for ani- mal products, horticulture and floriculture sector
40% of the cost subject to a ceiling of Rs 7.5 lakh
3 Setting up of sheds for intermediate storage and grading / storage / cleaning operation of pro- duce.
40% of the cost of equipment subject to a ceiling of Rs 10.00 lakh
4 Setting up of mechanized handling facilities such as sorting, grading, washing, waxing, rip- ening, packaging & palletisation, pre-cooling, cold storage, fumigation, X-ray screening, hot water dip treatment, Water softening plant, etc.
40% of the cost of equipment subject to a ceiling of Rs 25.00 lakh
5 Setting up of integrated post harvest-handling system (pack houses with any two or more of the above facilities
40% of the cost subject to a ceiling of Rs 75.00 lakh 6 Setting up of cable cars (covering minimum of
50 ha of plantation) for banana and other crops
-do- 7 Setting up of vapor heat treatment, electro-nic
beam processing or irradiation facilities
40% of the cost subject to a ceiling of Rs 50 lakh
8 Setting up of environment control system e.g.
pollution control, effluent treatment etc
40% of the cost subject to a ceiling of Rs 35 lakh
9 Setting up of specialized storage facilities such as high humidity cold storage deep freezers, controlled atmosphere (CA), etc for fresh and processed horticultural produce
40% of the cost subject to a ceiling of Rs 25 lakh
Schemes for quality development Sr
No. Components Pattern of Assistance
1 Assistance for installing quality testing equipments
50% of the cost subject to a ceiling of Rs 25 lakh.
2 Installing quality management, quality assurance and quality control systems such as ISO series, HACCP, BRC, GAP etc. including consultancy and certification
50% of the cost subject to a ceiling of Rs 5 lakh.
3 Testing of water, soil, residues of pesticide, veterinary drugs, toxins, heavy metal contaminants in fruits and vegetables, processed products, floriculture, animal products.
50% of the total cost subject to a ceiling of Rs 5000/- per sample where residue monitoring is proposed by APEDA.
4 Adoption of global standards for traceability
registration for Global Company Prefix Number 25% of the fee subject to a ceiling of Rs 1 lakh.
Schemes for capacity building Sr
No. Components Pattern of Assistance
1 Upgradation of APEDA recognized labs for export testing
50% of the cost for private labs;
75% for State Govt. /University lab;
and 100% for the Central Government labs; The above is subject to a ceiling of Rs 75 lakh.
2 Assistance for technical skill upgradation of personnel of exporters in India for export development
Rs 20,000 per personnel per residential training (not more than 5 personnel from single organization per year) in a recognized training institutes. Assistance will be limited to an average cost of Rs 5000 per day per personnel 100% for APEDA representatives.
3 Assistance for organizing seminars/
group activities including study tour within the country and for bringing out information literature
50% of the total cost subject to a ceiling of Rs 1 lakh for national seminar and Rs 2 lakh for international seminar.
4 Assistance to carry out relevant applied Research & Development activities for export enhancement
100% by APEDA through ICAR institutions or State Agriculture Universities. In case of assistance to exporters associations in cooperative/private sector up to 50% of the total cost subject to a ceiling of Rs 50 lakh per project.
Scheme for transport assistance
The norms for TA calculation are as follows:
TA Norms for Exports by Air Least of:
10% of FOB Value 25% of Freight
Specific rate (Rs per kg)
TA Norms for Exports by Sea For eligible products exported
in non-reefer containers
For eligible products exported in reefer containers
Least of: Least of:
10% of FOB value 10% of FOB value
25% of Basic Ocean Freight 33% of Basic Ocean Freight (inclusive of inland freight in reefer containers & basic ocean freight) (see note below)
Specific rate (Rs per kg) Specific rate (Rs. per kg)
* Note: Inland freight by Reefer container (from factory to port) will be included in the freight norm used for TA calculations subject to the following conditions:
1. The reefer container is factory stuffed (i.e. inland movement from factory to port is by reefer container truck).
2. Copies of the excise and customs bonded seal (for inland movement) are included with the TA claim.
3. The total quantum of TA does not exceed 50% of the ocean freight.
Eligible items and permissible destinations for air / sea transport assistance are listed below: