The “International Cooperation Scheme” was launched by the Ministry of Micro, Small and Medium Enterprises, Government of India, to enhance the capacity of MSMEs for entering export markets. The scheme facilitates MSMEs’ participation in international exhibitions, trade fairs, conferences, seminars, and buyer-seller meets abroad. It also provides actionable market intelligence and reimburses various export-related costs. This initiative aims to keep MSMEs updated with emerging technologies, changing demand patterns, and new markets, thereby strengthening their position as emerging export players.
The scheme comprises three sub-components:
- Sub-Component I: Market Development Assistance of MSMEs (MDA)
- Sub-Component II: Capacity Building of First Time MSE Exporters (CBFTE)
- Sub-Component III: Framework for International Market Intelligence Dissemination (IMID)
At present, Sub-Components I and II are operational, while Sub-Component III is slated for launch soon.
Benefits
Under Sub-Component I (Market Development Assistance), financial assistance is provided on a reimbursement basis for various expenses such as:
- Airfare
- Space Rent (Stall Charges)
- Duty Allowance
- Freight Charges
- Advertisement & Publicity Charges
- Entry/Registration Fees
- Costs related to organizing or holding international conferences, summits, workshops, or seminars
These reimbursements help lower the cost burden for MSMEs participating in international events and enable them to explore potential export markets, seek joint ventures, and become aware of the latest technologies.
Eligibility
Eligible Organizations:
Events under the scheme can be organized by:
- The Ministry of MSME and its associated organizations
- State/Central Government organizations or institutions
- Registered Industry/Enterprise Associations
Conditions:
- The applicant organization must be registered under the relevant Act (e.g., Companies Act, Societies Registration Act) with the primary objective of promoting and developing MSMEs.
- It should have maintained regular audited accounts for the past 3 years.
- Events for which financial support is sought must be from the approved list finalized by the Ministry of MSME in each financial year.
- Financial assistance to one applicant organization is normally restricted to three events per financial year (relaxation of this limit may be considered by the Screening Committee for documented reasons).
- The assistance provided is supplemental to the organizer’s own contribution.
- An organization may participate continuously in a specific event for 3 years; after that, a gap of 2 years is required before re-participation.
- Selection of participating MSME units is based on an eligibility scorecard with a minimum qualifying score of 60%. Moreover, one MSME unit must not participate in more than 2 events per financial year.
- The selection process should be fair and transparent, ensuring adequate representation of SC/ST, women, and North Eastern Region (NER) entrepreneurs, with priority given to those who have not previously benefited from a government grant.
Application Process
Online
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Submission of Application:
The applicant organization must submit an online application for financial assistance along with relevant documents and a detailed budget estimate in the prescribed proforma via the IC Scheme Portal (https://ic.msme.gov.in/IC_APP/IC_Welcome.aspx). -
Registration:
- New users should click on “New User Register Here” to register by selecting the appropriate organization type.
- Once registered, log in with valid credentials to access your dashboard.
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Proposal Details:
Complete the online form with all required details about the proposed event, ensuring that the budget estimate aligns with the scheme’s criteria. The financial assistance is calculated based on this budget and is subject to the discretion of the Screening Committee. -
Approval Process:
- Proposals submitted by organizations such as Coir Board or KVIC will be consolidated and approved in principle by the Screening Committee.
- The participating MSME units will be selected based on a “Score Card” provided by the applicant organization, which must meet a minimum threshold of 60%.
Documents Required
- Budget estimate for the proposed event.
- Copy of the Registration Certificate of the applicant organization (one-time submission).
- Copy of the Memorandum and Articles of Association (one-time submission).
- Copies of audited financial statements (Balance Sheet, Profit & Loss Account/Income and Expenditure Account) for the last 3 years.
- For claim settlement under the Foreign Trade Policy (FTP), additional documents must be physically submitted to the IC Section of the Ministry of MSME and uploaded on the IC Scheme Portal.
- At the time of claim, the following are required:
- Outcome report, Utilisation Certificate, and CA-certified audit account statements (to be submitted within 60 days post-event).
- Certificate declaring no financial assistance has been sought from another ministry.
- Udyam Registration Certificates of all participating MSME units.
- For physical events: copy of e-ticket (with complete fare details), original boarding passes or a certificate from the airline if originals are unavailable, original invoices, and receipts for stall charges, freight, advertisement, registration, platform, and interpretation charges.
- All documents must be self-attested or certified with the organization’s seal.
Frequently Asked Questions
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What is the “Market Development Assistance of MSMEs (MDA)” scheme?
It is a component of the International Cooperation Scheme that provides financial assistance to MSMEs for participating in international events to explore export markets and promote joint ventures. -
Which department has launched this scheme?
The scheme is launched by the Ministry of Micro, Small and Medium Enterprises, Government of India. -
What are the benefits provided under the scheme?
Financial assistance is offered on a reimbursement basis for various expenses including airfare, stall charges, duty allowances, freight, advertisement, registration fees, and costs for organizing or participating in international events. -
Who can apply under this scheme?
Eligible applicants include Ministry of MSME and its affiliated organizations, state/central government institutions, and registered industry/enterprise associations. -
What are the eligibility criteria to apply under the scheme?
The applicant organization must be duly registered, have audited accounts for the last 3 years, and the event must be one of the approved international exhibitions or buyer-seller meets. Additionally, MSME units participating must score at least 60% on the prescribed eligibility scorecard. -
How many times can an applicant organization participate in events in a financial year under the scheme?
Normally, financial assistance is limited to three events per financial year, although exceptions can be made by the Screening Committee. -
How do I apply under this scheme?
Applications must be submitted online through the IC Scheme Portal after registering and logging in. -
How will the grant be released under the scheme?
Financial assistance is provided on a reimbursement basis according to the approved budget estimate and subject to meeting the stipulated conditions and submission of required documents.