Procurement And Marketing Support Scheme

Marketing is a strategic tool for the development of business as it is critical for the growth and survival of

MSMEs. Due to insufficient information, scarcity of resources and unorganised ways of selling/ marketing, the MSME sector faces obstacles in exploring new markets and in retaining the existing ones. To avoid all this, the Procurement And Marketing Support Scheme has been introduced to advance the marketability of services and products in the MSME sector.

Objective of the Scheme

The following are the objectives of the scheme.

Promoting new market access initiatives like organising/ participation in National/ International Trade Fairs/ Exhibition/ MSME Expo. Etc.
Creating awareness and to educate the MSMEs about the importance/ methods/ process of packaging in marketing, import-export policy and procedure, latest packaging technology, GeM Portal, MSME conclave.
Creating awareness about trade fairs, bar code, digital advertising, e-marketing, GST, GeM portal, public procurement policy and other related topics etc.

Eligibility Condition

Manufacturing/ service sector MSEs registered on the

Udyog Aadhaar (UAN) Portal.

Marketability Enhancement

Participation of individual MSEs in Domestic trade fairs/ exhibition across the country.

Component	Scale of Assistance
Charges for Space Rent	80% of the space rent is paid for General category units and 100% for SC/ ST/ women/ NER/ PH units limited to Rs. 30,000 or whichever is less. The space rent will be subjected to minimum booth/ stall size provided by the organiser.
Contingency expenditure	100% contingency expenditure for all kinds of units that are subjected to a maximum of Rs. 15,000.
An MSE would be permitted for a maximum of two events in a year and submit their claim online in the prescribed format within a month from the date of conclusion of the event.

Organising/ participation in trade fairs/ exhibition by the Ministry/ office of DC/ Government organisations.

Component	Scale of Assistance
Charges for Space Rent	The implementing agency hires bare space/ built-up space from the event organiser/ any other agency and mobilises the participating units. The maximum limit of the hiring of full space to organise/ participate in regional/ national/ international events will be Rs. 15 lakh, 25 lakhs and Rs. 40 lakh. The participating units will be offered space rent subsidy at 80% for General category units and 100% for ST/ SC/ women/ NER/ PH units subject to one booth/ stall per unit and maximum booth/ stall size. The exclusive trade fairs for Self Help Groups (SHGs)/ artisans/ NER MSEs will be held with 100% space rent subsidy.
Advertising and Publicity	Rs. 15 lakh maximum or the actual whichever is less for wide publicity of the event and various other related activities such as cultural program etc.
Approval of Empowered Committee will be required for exceeding ceiling limit subject to a limit of maximum 10-15%.

Capacity building of MSMEs in modern packing technique.

Eligible Items	Scale of Assistance
Unit-based interventions for specific packaging requirements	80% of the total cost paid to empanelled agency/ consultancy organisation for General category units and 100% for ST/ SC/ Women/ NER/ PH units limited to Rs. 50,000 or actual whichever is less for packaging consultancy.

Development of Marketing Haats.

Eligible Items	Scale of Assistance
In the initial phase, upgradation/ renovation/ modification of the existing facilities in marketing haats	For upgradation/ renovation/ modification in existing facilities maximum sanction amount will be Rs. 10 lakhs/ haat/city or actual whichever is less depending n the estimates that are prepared by the Government.
The selection of Haats will be made by the implementing agency using a committee consisting of Director MSME-DI as the Chairman and Member from Directorate of Industries and representatives of the local body, etc. The final approval of the Competent Authority will be required.

Vendor Development Program

Type of VDPs	Program	Scale of Assistance
State level vendor Development Programme	One day	Sanction of Rs. 30,000 per programme
National Level Vendor Development Programme	2-3 days	Consent per plan for organising these programmes would be Rs. 7 lakh maximum for class 'A' city and Rs. 5 lakh for other cities including J&K/ NER/ HP and minimum recovery of 25% and 10% respectively.
MSME - DI will make sure the participation of all stakeholders

International/ National Seminars/ Programs

Item	Scale of Assistance
International/ National/workshops/ seminars	Rs. 2 lakh per workshop/ seminar anywhere in the country/ or actual whichever is lower. An additional cost of Rs. 1.5 lakh towards the cost of air travel, boarding and lodging etc. for an international level event. The Government/ non Government reputed organisations having at least five years of experience in organising subject-specific workshops/ seminars will be hired.
The limit may be enhanced with the approval of Empowered Committee subject to a limit of maximum 10-15%.

Awareness Programs To create an overall awareness about the trade fairs, digital advertising, GST, e-marketing platform, GeM portal and other related topics.

Intake Capacity	Program Duration	Scale of Assistance
Minimum of 30 MSME participants	One Day	Financial support of Rs. 70,000 per program whenever important subject to expenses according to the Government o India existing rule. The plan would be conducted by the implementing agency. The honorarium and travelling allowance to guest faculty other than the Government official will be applicable as per the Government's rule.
The limit may be enhanced with the approval of the Empowered committee subject to a limit of maximum 10-15%.

Empowered Committee

The Empowered Committee will be the final authority for approval of proposals. The Empowered Committee Is chaired by AS&DC (MSME) with JS (SME) of his/ her representative. ADC (Market Service) or his/ her representative and JDC (Export Promotion) of his/ her representative and Director (Planning and Marketing), NSIC or his/ her representative and Nominee of IFW as members. Secretariat service that is offered by Market Service Division of Office of DC (MSME).

Provision for MSME-Development Institutes

An expenditure of Rs. 30,000, or actual, whichever is less, shall be allowed towards the stall that is charged and TA/DA etc. of the officer as per applicable rules. The scheme will be monitored by an integrated MIS by the implementing agency and the scheme management unit set up at the office of the DC (MSME) within one month with dashboard/ link to IFW for monitoring. DC MSME develops digital events management MIS so that all events across India could be monitor efficiently without any data breach and put in place in one month and dashboard/ link to IFW.

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Frequently Asked Questions

Common questions about Procurement and Marketing Support Scheme for MSMEs.

The Procurement and Marketing Support Scheme is a government initiative aimed at enhancing the marketability of products and services in the MSME sector. It provides assistance and support to MSMEs in areas like participating in trade fairs, creating awareness about marketing techniques, and improving packaging capabilities.

Manufacturing or service sector MSMEs registered on the Udyog Aadhaar (UAN) Portal are eligible to avail the benefits of the Procurement and Marketing Support Scheme.

Under the scheme, MSMEs can receive 80% reimbursement of space rent charges for general category units and 100% for SC/ST/women/NER/PH units, up to a maximum of Rs. 30,000 or the actual rent, whichever is less. Additionally, 100% contingency expenditure is covered, subject to a maximum of Rs. 15,000.

The scheme provides financial assistance for hiring bare or built-up space from event organizers for regional, national, and international trade fairs or exhibitions organized by government agencies. Space rent subsidies are offered to participating MSMEs, with 80% for general category units and 100% for SC/ST/women/NER/PH units, subject to certain limits.

Under the scheme, MSMEs can avail 80% of the total cost paid to empanelled agencies or consultancy organizations for unit-based interventions for specific packaging requirements, up to a maximum of Rs. 50,000 or the actual cost, whichever is less. For SC/ST/women/NER/PH units, 100% of the cost is covered.

The scheme provides financial assistance for the upgradation, renovation, or modification of existing facilities in Marketing Haats. The maximum sanction amount is Rs. 10 lakhs per haat per city or the actual cost, whichever is less, depending on the estimates prepared by the government.

The scheme supports State-level Vendor Development Programs (one-day programs with a sanction of Rs. 30,000 per program) and National-level Vendor Development Programs (2-3 day programs with a sanction of up to Rs. 7 lakhs for Class 'A' cities and Rs. 5 lakhs for other cities, including J&K/NER/HP).

The scheme provides financial assistance of up to Rs. 2 lakhs per workshop or seminar anywhere in the country, or the actual cost, whichever is lower. For international-level events, an additional cost of up to Rs. 1.5 lakhs is covered towards air travel, boarding, and lodging expenses.

The scheme provides financial support of Rs. 70,000 per one-day awareness program, subject to expenses as per government rules. These programs aim to create awareness about trade fairs, digital advertising, GST, e-marketing platforms, the GeM portal, and other related topics.

The Empowered Committee, chaired by the Additional Secretary and Development Commissioner (MSME), is the final authority for approving proposals under the Procurement and Marketing Support Scheme. It can also approve enhancements in certain limits, subject to a maximum of 10-15%.