Marketing Assistance Scheme for MSE’s

Fast changing global economic scenario has thrown up various opportunities and challenges to the MSMEs in India.Marketing, a strategic tool for business development, is critical for the growth and survival of micro, small & medium enterprises. Ministry of Micro, Small & Medium Enterprises, through National Small Industries Corporation (NSIC), a Public Sector Enterprise of the Ministry, has been providing marketing support to Micro & Small Enterprises (MSEs) under Marketing Assistance Scheme.

What is the Scheme?

The marketing assistance scheme offers MSME businesses the necessary finance so that they can engage in following marketing activities for their business :

  1. Organisation of exhibitions abroad and participation in international exhibitions/ trade fairs.
  2. Co-sponsoring of exhibitions organised by other organisations/industry associations/ agencies.
  3. Organising buyer-seller meets, intensive campaigns and marketing promotion activities.

What are the Objectives of the Scheme?

The broad objectives of the scheme are : 

  1. To enhance marketing capabilities & competitiveness of the MSMEs.  
  2. To showcase the competencies of MSMEs.  
  3. To update MSMEs about the prevalent market scenario and its impact on their activities.  
  4. To facilitate the formation of consortia of MSMEs for marketing of their products and services.  
  5. To provide platform to MSMEs for interaction with large institutional buyers.  
  6. To disseminate/ propagate various programmes of the Government.  
  7. To enrich the marketing skills of the micro, small & medium entrepreneurs.

Who can apply?

Micro, Small and Medium Enterprises, industry associations and organisations which are related to the MSME sector can avail the Marketing Assistance Scheme for funding their marketing activities. 

Scale of Assistance :

1. Organizing International Technology Exhibitions in Foreign Countries by NSIC and participation in International Exhibitions/Trade Fairs:

2. Organizing Domestic Exhibitions and Participation in Exhibitions/ Trade Fairs in India:

Built up space would be provided by the implementing agency i.e. NSIC, to MSMEs in various domestic exhibitions at subsidised rates to enable them to exhibit their products and services. The rates of subsidy available on space charges would be as under:

General Category

  • Micro Enterprises : 75%
  • Small Enterprises : 60%
  • Medium Enterprises : 25%

Enterprises belonging to NE Region/ Women / SC/ST category

  • Micro Enterprises : 95%
  • Small Enterprises : 85%
  • Medium Enterprises : 50%

3. “Techmart” exhibition by NSIC

NSIC has been organising “Techmart” exhibition every year during India International Trade Fair (IITF) in the month of November. This is an international exhibition showcasing the best MSME products, technologies and services of India. No subsidy would be available to General Category entrepreneurs participating in this exhibition. Upto 30% of the total area may be allocated for the entrepreneurs belonging to the Special Category i.e. Entrepreneurs belonging to NE Region/ Women / SC/ST category, keeping in mind the instructions and guidelines issued in this regard from time to time. The rates of subsidy available on space charges for the Special category would be as under:-

  • Micro Enterprises : 95%
  • Small Enterprises : 85%
  • Medium Enterprises: 50%

4. Support for Co-sponsoring of Exhibitions organized by other organisations/ industry associations/agencies:

The scale of assistance to the applicant organisation/agency for co-sponsoring of an exhibition/trade fair would depend on the place of the event. The budgetary support towards partially meeting the expenditure on hiring of exhibition ground/hall, erection of stalls, publicity etc. for co-sponsoring the event and would be limited to 40 % of the net expenditure (gross expenditure – total income), subject to maximum amount of –

  • Rs. 5 lakh in case of ‘A’ class cities.
  • Rs. 3 lakh in case of ‘B’ class cities.
  • Rs. 2 lakh in case of ‘C’ class cities.
  • Rs. 1 lakh in case of rural areas.

The assistance towards co-sponsoring the event shall be provided to the applicant organisation on reimbursement basis after the event, on submission of event report and other relevant documents.

5. Buyer-Seller Meets:

No subsidy would be available to General Category entrepreneurs participating in such meets. However, the entrepreneurs belonging to North-East/women/SC/ST category, would be provided space at subsidized rates for participation in Buyer-Seller Meets as per the rates mentioned hereunder:-

  • Micro Enterprises : 95%
  • Small Enterprises : 85%
  • Medium Enterprises : 50%

The budget for organizing the Buyer-Seller Meet would depend upon the various components of the expenditure, i.e. space rental, interior decoration, advertisement, printing material, transportation etc. However, the net budgetary support for the Buyer-Seller Meet would be subject to the following limits:-

  • Rs. 5 lakh in case of the meet is held in ‘A’ class cities.
  • Rs. 3 lakh in case of the meet is held in ‘B’ class cities.
  • Rs. 2 lakh in case of the meet is held in ‘C’ class cities.
  • Rs. 1 lakh in case of the meet is held in rural areas.

6. Intensive Campaigns and Marketing Promotion Events:

Expenditure incurred for organizing Intensive Campaigns and Marketing Promotion Events would be met out of the budgetary support provided by the Government under the Scheme, subject to a maximum limit of : –

  • Rs. 80,000 in case of ‘A’ class cities.
  • Rs. 48,000 in case of ‘B’ class cities.
  • Rs. 32,000 in case of ‘C’ class cities.
  • Rs. 16,000 in case of rural areas.

No financial assistance would be given to the participating units for attending the event. The participating MSMEs have to attend these programmes at their own cost.

How to Apply?

Applications/proposals seeking assistance under the scheme should be submitted to the Branch Manager of the nearest office of the National Small Industries Corporation, with full details and justification in support of the application.

In Conclusion :

Growing any business requires right investments for it to pay off. As an MSME, paucity of funds should not restrict your growth. The Marketing Assistance Scheme can be a great support in your promotional efforts and become the wind beneath the wings of your venture.

Data Source : https://msme.gov.in/node/1766#A21

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