Trade Promotion Scheme
Trade Promotion Scheme
The Indian Government has initiated the “Trade Promotion Scheme” for the exporters under the Department of Export Development and Promotion of Spices. Under this scheme, it is proposed to grant financial assistance to the exporters/ research institutions for effective brand promotion programs and export business development. This scheme intends to promote Indian Spice Brands and assist exporters in market development and penetration. In this article, we look at the Trade Promotion Scheme in detail.
To know about Trade Infrastructure for Export Scheme
The exporters must satisfy the below following criteria to apply for the scheme.
- In the case of assistance for sending business samples abroad, all registered exporters having a Spice House Certificate (SHC), Spices Board Logo, Brand Registration with the Board, or Organic Certification are eligible to apply for this scheme.
- In the case of assisting in packaging development and barcoding, all the registered exporters are eligible for availing assistance under the scheme.
Activities Assisted Under the Scheme
The below following are activities supported for promoting spices and spice products which are assisted under the Trade Promotion Scheme are as follows:
- Sending Business Samples Abroad
- Printing Promotional Literature/ Brochures
- Packaging Development and Bar Coding Registration
- Assisting these above components are essential for developing export business, securing orders, more beneficial presentation of capabilities to the buyers, and promoting scientific/modern packaging for the retail market.
Scale of Assistance
- Sending business samples abroad: To meet the cost of courier/air freight charges for sending the business samples to the buyers abroad, financial assistance up to Rs. 50,000/- per exporter per financial year is provided under the scheme. However, the sample of one consignment must not exceed 1 kg in the case of spice oil and oleoresin, and for other spices and spice products, the sample must not exceed 10 kg.
- Printing promotional literature/ brochures: Financial assistance at 50% of the cost is subject to a maximum of Rs. 2 lakhs per brochure. Such service will be extended a maximum of twice per exporter during the plan period.
- Packaging Development and Bar Coding Registration: Financial assistance will be 50% of the cost of packaging development and barcoding registration, subject to a ceiling of Rs.1 lakh per exporter per year.
The required documents must be furnished along with the application form are as follows:
- Application in the prescribed format.
For Sending Business Samples Abroad:
- Original of the courier waybill
- Proof of Delivery (POD) and proof of payment
- Proof of SHC/ Logo/ Organic Certification/ Brand Registration
For Printing Promotional Literature/Brochures:
- Promotional activity details along with the draft literature or brochure etc.
- Copy of Logo/ SHC/ Organic Certification/ Brand Registration
- Quotation for the design, consultancy, dummy, printing, paper (and sample), packing material, etc.
For Packaging Development and Bar Coding Registration:
- Details of barcoding registration/traceability standards
- Test Certificate of packing material from IIP
- Any other documents required in support of the application
Note: The Board would accord, in principle, approval to proceed with the work. However, in the case of payment of courier/ air freight charges, prior permission is not required.
On completion of the activity, the applicant has to submit the following documents to the Export Board:
- Two copies of final versions of the printed literature/brochure/CD/video film/packages developed etc.
- Proof of bills, vouchers, and receipts (self-attested)
- Proof of payment of the expenditure
- Pre-stamped receipt for the eligible amount.
- Expenditure statement/ record duly certified by the Chartered Accountant (CA)
- On receiving the claims of the above activities and satisfactory completion of the activity, the Board will consider providing qualified assistance in aid to the exporter.
Release of Grant
Based on the completion of the activity and verification report, the Board would refund the qualified assistance in aid to the exporter, the nominated agency, or any institution. In this case, if courier or air freight charges, the exporters can raise the claims for the payment every quarter, and the bills relating to the last quarter of the financial year must be submitted before the specified date.