Export Market Development Assistance Scheme (EMDA) for Jute Products

The Department of Commerce has reinforced its support with the Marketing Development Assistance (MDA) Scheme to bolster the export trade of jute products. Owing to governmental interventions and the guidance of the Jute Technology Mission (JTM), there has been a significant rise in the production and export of jute goods. This article explores the details of the Export Market Development Assistance Scheme and its benefits for jute industry exporters.

Fundamentals of the Scheme

The Export Market Development Assistance (EMDA) scheme motivates manufacturers and exporters of jute products to participate in international fairs worldwide. Initiated by the National Jute Board (NJB), EMDA promotes the export of lifestyle and Jute Diversified Products (JDPs) with the following objectives:

1. Ensure active participation of Micro, Small, and Medium Entrepreneurs (MSMEs) and JDP Manufacturers in fairs showcasing their lifestyle jute products.
2. Confirm effective marketing of Lifestyle and JDP jute products.
3. Encourage B2B opportunities for sellers and buyers to understand each other's demands.
4. Increase exports by creating awareness of the international quality of JDPs and lifestyle jute products.
5. Facilitate mutual business agreements and relationships.

EMDA Scheme

The scheme targets different segments of Lifestyle and JDP jute products across varied markets through three modes of participation:

1. Individual participation of exporters in recognized gift fairs/exhibitions to market items such as floor mats.
2. Support by the National Jute Board for new and small entrepreneurs in organizing export fairs and exhibitions.
3. Business Meet (BSM) organizations for export promotion activities.
4. Engagements with business delegations attending international conferences.
5. Interactions with government authorities.

Significance of the Scheme

The Jute Corporation of India (JCI) procures raw jute at a Minimum Support Price (MSP) to safeguard the interests of jute growers when market prices fall. According to the Ministry of Textiles, there was a 5% increase in jute product exports in the last financial year, which forecasts employment generation for approximately 225,000 individuals in the jute sector.

Participant's Eligibility

1. Eligibility for one government-assisted scheme at a time, with no dual assistance claims.
2. Registration as a Manufacturer or Merchant Exporter of Jute products with Export Promotion Councils (EPCs).
3. Submission of a bonafide certificate from the Jute Manufacturing/Export unit to NJB for registration.
4. Past participation in NJB's Retail Outlet Scheme for domestic sales within a year.
5. First-time participation in international fairs under the NJB banner.
6. Applications to NJB for fairs, delegations, and BSMs.

The Government of India prioritizes participants from North-Eastern states.

Participation Guidelines for Fairs

Details of fair participation for eligible participants:

• Up to a maximum of six participations per year for existing participants/exporters/entrepreneurs.
• A minimum of two NJB-organized fairs must be attended.
• For proprietors with multiple firms, the participation limit applies collectively to all firms.
• New entrepreneurs may participate under the NJB banner, with direct applications allowed for the first two events only.
• Participation allowed in up to three NJB-organized delegations/BSMs per year.

Promotion of Thrust Products

The Jute Diversified Products (JDPs) eligible for promotion at the fairs include:

1. Hand and Shopping Bags
2. Floor Coverings
3. Home-Textiles & Made Ups
4. Jute Handicrafts and Gift Items
5. Other Made Ups, etc.

Support Provided to Participants

Participants can claim support from the scheme by submitting relevant documents. Support includes:

1. 50% reimbursement, up to Rs.3.75 lakhs, for existing entrepreneurs.
2. 75% reimbursement, up to Rs.5.63 lakhs, for new entrepreneurs under specific schemes, subject to conditions.

Support for Delegations and BSMs includes:

1. 50% coverage of economy air fare and hotel stay.
2. Local conveyance for group delegations.
3. Complete funding for organizing delegations, BSMs, and conferences, with total support ranging from Rs.20-30 lakhs per visit.

How to Apply

• Participants must register with NJB in an approved format.
• Online application and participation fee (Rs.25,000 per fair) are mandatory.
• Delegation/BSM application requires a fee of Rs.10,000 per meeting.
• Failure to participate after securing a stall results in debarring and fee withholding.
• Submit a three-year P&L statement showing export revenue in FOB value.
• Ensure registration as a Jute Exporter, with online applications submitted three months prior to the event.
• Provide an original Business Activity Report and supporting documents within 60 days of event completion.
• Assistance is exclusive to Indian nationals without foreign passports working for the company.

All claims are settled within 45 days following valid report submissions.

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