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Export Promotion Council for EOUs & SEZ Units
(Ministry of Commerce and Industry, Govt. of India)

705, Bhikaiji Cama Bhawan, Bhikaiji Cama Place, New Delhi-110066
Tel : 011-26167042/ 26165805/26166185 Fax : 011-26165538
Email : epces@vsnl.net

 
EPCES CIRCULAR NO.6
DATED 9.7.03

 

 

Subject : Procedure for disbursement of  Market Development Assistance (MDA) to EOUs and SEZ Units for export promotion activities abroad by Export Promotion Council for EOUs and SEZ Units

As informed vide our  EPCES Circular No.5 dated 9.7.03, Ministry of Commerce has recognized this Council as an agency for disbursement of Market Development Assistance (MDA) to EOUs and SEZ Units.  The Market Development Assistance (MDA) will be available to EOUs/SEZ Units for the following activities:

Participation in trade fairs/exhibitions abroad.

Publicity abroad through printed material.

Now EOUs and SEZ Units in the country can directly apply to EPCES for reimbursement of the expenses incurred for the above mentioned activities. 

I am enclosing herewith detailed guidelines, procedure, application proforma, claim form etc. for claiming Market Development Assistance in respect of above mentioned activities.  These guidelines have been formulated based on MDA Code published by Ministry of Commerce in 2001 and various circulars issued by Ministry of Commerce on the subject thereafter.  This information can also be accessed on government website i.e. www.commerce.nic.in  The step-by-step accessibility of the said website is as follows:

 
First Step www.commerce.nic.in
Second Step Trade Promotion Measures/Assistance/Infrastructural Development
Third Step MDA Code for Export Promotion Efforts


EXPORT PROMOTION COUNCIL FOR EOUs AND SEZ UNITS    

GUIDELINES FOR CLAIMING MARKET DEVELOPMENT ASSISTANCE

The Market Development Assistance (MDA) will be available to EOUs/SEZ Units for the following activities:

  1. Participation in trade fairs/exhibitions abroad.
  2. Publicity abroad through printed material.

  The detailed guidelines for claiming MDA are as under:

I.    MDA FOR PARTICIPATION IN TRADE FAIRS/EXHIBITIONS ABROAD:

i. The MDA is available for participation in trade fairs and exhibitions abroad two times in a financial year.  One additional tour to Latin American Countries and Focus African Countries would also be permissible.

ii.    The MDA is permissible for travel expenses by air, eurorail etc., in economy excursion class fare and/or charges of the built up furnished stall, electricity and water charges @ 90% for exporters having valid SSI registration certification and 75% for others including merchant exporters.

iii.   The upper ceiling would be Rs.1,10,000 per participation (Rs.1,40,000 for Latin American Countries and Focus African countries). 

This would also be subject to the following conditions:

a) A maximum number of three participations in a particular trade fair/exhibition would be eligible for MDA 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.

b) The Assistance would be permissible to one regular employee/ Director/Partner/Proprietor of the Company.

c) Assistance for participation in trade fair/exhibition, wherein national participation is arranged by ITPO/EPC/Commodity Board/Export Development Authority, would be provided if participated in the Indian Pavilion through the concerned organization or after getting waiver certificate from the concerned organization.

d) The Application must be received in the Council’s office with 14 days clear advance notice excluding the date of receipt of application and the date of departure from the country.

e) The Company shall not be under investigation/charged /prosecuted/ debarred/black listed under EXIM Policy of India or any other law relating to export and import business.

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

iv.  The Application Form for MDA is given at Annexure-I and Claim Form for MDA is given at Annexure-II.

2.   MDA FOR PUBLICITY THROUGH PRINTED MATERIAL:

i. The MDA is permissible towards cost of production of publicity material, like product catalogue, brochure, information handout etc., for use abroad during sale-cum-study tour, participation in trade fair/exhibition, EPC sponsored buyer-cum-seller-meet/trade delegation etc.  

ii.    The Assistance is available @ 25% of the total approved cost subject to an upper ceiling of Rs.15,000.  

This is Subject to the following conditions:

a) The Assistance would be provided once in a financial year.

b) A copy of the publicity material is to be submitted along with the claim.

c) Quotations from a  minimum of three printers is to be obtained and submitted alongwith the claim.  The MDA will be permissible on the lowest quotation subject to the upper ceiling as mentioned above.

d) The Application must be received in the Council’s office with 14 days clear advance notice excluding the date of receipt of application in the office of EPCES and the date of the publication of the material

e) The Company shall not be under investigation/charged /prosecuted/ debarred/black listed under EXIM Policy of India or any other law relating to export and import business. f)   Maximum MDA assistance shall be inclusive of MDA assistance received from all Govt.bodies/FIEO/EPCs/Commodity Boards/Export Development Authorities/ITPO etc.

iii.   The Application Form for MDA is given at Annexure-III and Claim Form  for MDA is given at Annexure-IV.

PROCEDURE FOR CLAIMING MDA:

1.The Applications duly filled and signed [Annexure-I in the case of Participation in Trade Fairs/Exhibitions abroad and Annexure-III in the case of Publicity through printed material] as per proforma mentioned above  are to be submitted in the Council’s office with 14 days clear advance notice as explained in Paragraph 1 & 2 above.  

2. On receipt of the Application, the Council will issue an approval letter (as per Annexure-V enclosed) within five working days of the receipt of the application.  In case, any deficiency is observed, the application is liable to be rejected.

3.    The Claim along with the declaration duly completed shall be submitted by the exporter to the Council in the prescribed format (Annexure-II in case of  participation in Trade Fairs/Exhibitions abroad  and Annexure-IV in case of  Publicity through printed material) along with undermentioned papers immediately on return to India after completion of the activity but positively within three months of return to India after completion of activity.     -:

4 :- 1.For participation in trade fairs and exhibitions:

a) Details of participation in the past with MDA assistance in the same trade fair/exhibition.

b) Self-certified copy of the export house/trading house certificate, if applicable.

c) Self-certified copy of SSI registration certificate issued by the concerned Directorate of Industries, if applicable.

d) 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.

e) Original air-ticket/jacket used during the journey.  If original air ticket/jacket is lost, a legible photocopy of the same alongwith a certificate from the concerned airline indicating following may be sent:

*     Name of the traveler.    
*     Ticket Number.    
*     Flight No.    
*     Date of departure from India.    
*     Sectors/countries visited.    
*     Class  in which travelled.    
*     Economy excursion class fare for sectors/countries visited.  

f)   Self certified copy of receipts/bank advice etc., evidencing payment(s) made.

g) Self certified f.o.b. value export figures during the last three financial years, yearwise.

h) Brief report about the participation and achievements.

2.For Publicity through printed material:  

  • Copy of the publicity material, self-certified.  
  • Self certified copy of the invoice.   
  • Self certified copy of receipt/bank advice etc., evidencing payments made.
  • Copies of quotations from printers, self certified.   
  • Self certified f.o.b. value export figures during the last 3 financial years, yearwise.  

4.  The Claim Forms received after three months of return to India or wherein the deficiency in the claim as intimated by the Council are not fully completed within 30 days of the date of directions given in this regard by the Council will not be considered and rejected. ____________________

Annexure I

APPLICATION FORM FOR MARKETING DEVELOPMENT ASSISTANCE FOR PARTICIPATION IN TRADE FAIR/EXHIBITION ABROAD

Ref No. __________      Date : ____________

01

Name of the Firm with full address

Name :_____________________

Address____________________

IEC No. ____________________

02

EH/TH Certificate

No. & Date __________________

Valid upto __________________

03

FOB Value of exports during
last three financial years, year-wise

2002-03

2001-02

2000-01

04

Particulars of fair/exhibition

Name of fair :

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.

1. Participation in ______________   (fair/exhibition)

    During _____________________      (month/year)

07

Details of earlier participations in the same fair with MDA assistance

08

Whether national participation organized by ITPO, EPC etc

Yes/No.

09

Whether participating through ITPO, EPC etc

Yes/No.

10

Whether waiver certificate taken from ITPO, EPC etc

Yes/No./N.A.

11

Name and designation of the person going abroad

Place :

Date:     Signature

Annexure II

CLAIM FORM FOR MARKETING DEVELOPMENT ASSISTANCE FOR PARTICIPATION IN TRADE FAIRS/EXHIBITION ABROAD  

Ref. No. ________________   Date : ____________

01

Name of the firm with full address

Name :_____________________

Address____________________

IEC No. __________________

02

Approval letter No. and date

03

EH/TH Certificate

No. & Date ________________

Valid upto  ________________

(please attach self certified copy of the certificate issued by DGFT/DC)

04

Whether SSI ?

Yes/No.

(if yes, attach a self-certified copy of SSI Registration Certificate)

05

FOB value of exports during the last three financial years

(Rs. in crores)

2002-03

2001-02

2000-01

06

Particulars of fair/exhibition

Name :

City :

Country:

Duration of fair from ____ to ____

07

Date of actual departure from India

(please attach self certified photocopy of passport duly highlighting date of departure)

08

Date of actual arrival from India

____________________________ (please attach self certified photocopy of passport duly highlighting date of arrival)

09

Name & designation of person who attended the fair/exhibition

10

No. of proposals already submitted Participation in _________ (fair/exhibition) during ________________ (month/year)

11

Whether national participation in the fair/ exhibition organized by ITPO/EPC etc Yes/No

12

Whether participation through ITPO/EPC etc Yes/No

13.

Whether waiver certificate taken from ITPO /EPC etc. Yes/No

14.

Details of participations made with MDA assistance in the past in the same fair/ exhibition

15

Whether assistance availed from other Govt. Bodies/EPCs/Commodity Boards/ APEDA/ MPEDA/ITPO etc for the activity under reference ? Yes/No. (If yes, please give full details)

16.

Expenditure incurred
a)   Actual return airfare by economy excursion class
b)  Actual expenditure incurred on stall, decoration, water and electricity charges.

Rs.______________________ Rs. _____________________ (Please attach original air ticket/ jacket used during the journey along with self certified photocopies of receipt, bank advice etc evidencing payment made)  

17

Amount claimed Rs.

Declaration

I solemnly declare that the particulars given in the above statement are correct. I bound myself and the company accountable and responsible for any incorrect information given in the above statement and shall immediately refund amount received on the basis of wrong information provided in the above statement.

Signature _______________

Name __________________

Designation _____________

Office seal ______________

 

 

Place :

Date :          

 

Annexure III

APPLICATION FORM FOR MARKETING DEVELOPMENT ASSIATANCE FOR PRODUCTION OF PUBLICITY MATERIAL

Ref. No. _________________      Date : ____________

01

Name of the Firm with full address

Name :_____________________

Address____________________

IEC No. _____________________

02

EH/TH Certificate

No. & Date __________________

Valid upto ___________________

03

Details of product catalogue/ brochure/ Handout etc. to be brought out.

(Please attach dummy copy also)

04

Name of the fair/exhibition, city and country where release of publicity material is planned.

05

Expected date of release of publicity material

06

Number of copies to be printed.

07

Estimated expenditure

Place : ___________________ Date : ___________________

Signature

Annexure IV

CLAIM FORM FOR MARKETING DEVELOPMENT ASSISTANCE FOR PRODUCTION OF PUBLICITY MATERIAL

Ref No._______________      Date : ____________

01

Name of the firm with full address

Name :_____________________

Address____________________

IEC No. __________________

02

Approval letter No. and date

03

Whether SSI ?

Yes/No.

(if yes, attach a self-certified copy of SSI Registration Certificate)

04

EH/TH Certificate

No. & Date ________________

Valid upto  ________________

(please attach self certified copy of the certificate issued by DGFT/DC)

05

Details of the event where the publicity material was used.

(Please attach a self certified copy of the publication used)

06

No. of copies of publicity material prepared.

07

Payment particulars

Amount paid ________________

(Please attach self certified photcopies of the quotations received and of the receipt/ bank advice etc. evidencing payment made)

08

Whether assistance availed from other Govt. Bodies/EPCs/Commodity Boards/ APEDA/ MPEDA/ITPO etc for the activity under reference ? Yes/No. (If yes, please give full detils)

09

Amount claimed Rs

Declaration

I solemnly declare that the particulars given in the above statement are correct. I bound myself and the company accountable and responsible for any incorrect information given in the above statement and shall immediately refund amount received on the basis of wrong information provided in the above statement.

Signature _______________

Name __________________

Designation _____________

Office seal ______________

 

Place :

Date :

 Annexure V

(Sample approval letter to be issued by EPCES)

No. Dated :

Dear Sir (s)

Sub : MDA Assistance

Ref : Your application No. ____________________

     Dated _________________________________

  We are glad to inform you that your above mentioned application received on _________ has been registered and the approval is hereby accorded subject to fulfilling relevant conditions mentioned in MDA Code (June 2001) and also subject to the approval from the EPCES at the final stage after submission of claim by your company.

Prescribed claim form duly completed and properly authenticated - Self-certified copy of Export/Trading House Certificate, if applicable - Self-certified copy of SSI registration certificate issued by the concerned Director of Industries, if applicable. - Legible photocopy of passport highlighting the entries about departure from and arrival in 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. Original air ticket/jacket used during the journey.

If Air Ticket/Jacket is lost, a legible photocopy of the same along with a certificate from the airline indicating following may be sent:

a)   Name of Traveller
b)   Ticket Number
c)   Flight No.
d)   Date of Departure from India
e)   Sectors/Countries visited
f)   Class in which travelled
g)   Fare in economy excursion class for sectors/countries visited

- Self certified FOB value export figures during the last three financial years, year wise - Self certified copies of receipt, bank advice etc. evidencing payment made towards stall charges, water and electricity (for fair/ exhibition only) - Waiver Certificate from ITPO, EPC etc if participated directly in a fair/exhibition wherein national participation was organized by ITPO, EPC etc (for fair/exhibition only) - Details of past activities for same event. - Self certified copy of the publicity material (for publicity material only) - Self certified copy of quotations   (-do-) - Self certified copies of receipt, bank advice etc of payment made (-do) - Brief report on the activity undertaken and achievements.

Thanking you,

Yours faithfully,