The Export Market Development Grant aims to assist the development of exports by Australian firms. The grant provides financial incentives in the form of taxable grants, based on eligible expenditure, to promote exports. An applicant’s maximum turnover worldwide has to be under $50 million. The grant focuses on direct promotional activities and does not assist the general establishment of a business or product development. The Export Market Development Grant is administered by Austrade. The Grant reimburses up to 50% of eligible export promotional expenditure, provided that the total expenses are, at least, $15,000 in the year.
Eligible expenditure which can be claimed (subject to some category limits and an overall maximum grant of $150,000 per annum) includes:
- Overseas representation – all reasonable costs that you paid to have an overseas representative act on your behalf to monitor and promote your product – subject to a maximum of $200,000 per application claimable under this category.
- Marketing consultants – professional fees for the engagement of short-term market development consultants – subject to a maximum claim of $50,000 per applicant under this category.
- Overseas marketing trips taken to seek out potential export markets to promote your product to increase export sales. Expenditure relates to airfares outside Australia (only 65% of 1st class airfare may be claimed as an eligible Export Market Development Grant expenditure)
- Free samples – all reasonable expenses incurred to provide a free sample outside of Australia to a non-Australian resident.
- Free tourism samples – if you are an inbound tour operator who buys tourism amenities from other Australian tourism providers, you may claim the costs you paid for the amenities.
- Trade fairs and promotion events – directly related costs to participate in an international trade fair, seminar, in-store promotion, international forum, private exhibition or similar activity.
- Promotional, literature and advertising – for brochures, flyers, billboard advertising.
- Overseas buyers – bringing an overseas buyer to Australia who has the influence to purchase, or potentially purchase, your products and who travels to Australia in order to view, evaluate or have your products demonstrated to them. This category is capped at $45,000 per application, subject to a sub-limit of $7,500 for bringing an individual person to Australia
The closing date for the lodgement of Export Market Development Grant applications, in respect of the year ended 30th June 2018, is 30th November 2018.
If you feel this grant is relevant to you and would like assistance with your application or determining your eligibility, please contact our office on 02-4365 6789.