MSME Market Development Assistance (MDA) Scheme

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As an MSME owner, you know how important it is to find new markets for your products. The Market Development Assistance (MDA) Scheme is designed to support you in marketing your products both in India and abroad. It helps you participate in trade fairs, exhibitions, and buyer-seller meets, so you can connect with more buyers and partners, and grow your business with confidence.

Let’s understand how this scheme will help you in your business.

What is the MSME Market Development Assistance (MDA) Scheme?

The MSME Market Development Assistance (MDA) Scheme is a government initiative launched in 2001 to help MSMEs like yours promote their products in domestic and international markets. This scheme gives you financial support for participating in exhibitions, trade fairs, and other marketing events, making it easier for you to reach new customers and boost your business presence.

Objectives of the MSME Market Development Assistance (MDA) Scheme

  • Help you access new markets and increase your sales potential.
  • Encourage your participation in trade fairs, exhibitions, and buyer-seller meets.
  • Give you a chance to learn from global best practices and improve your competitiveness.
  • Support you in promoting your products across India and internationally.
  • Build valuable business connections and partnerships for your enterprise.

Key Features of the Market Development Assistance Scheme for MSMEs

  • You receive financial support to join domestic and international marketing events.
  • The scheme covers costs for product promotion and branding activities.
  • Assistance is provided for specific events, with timelines set in the guidelines.
  • There’s no interest rate, since you get direct financial support instead of loans.
  • You can get help with travel, stall charges, and freight costs for exhibitions and fairs.
  • Special provisions are available if you are a woman, SC/ST, or minority entrepreneur.

Financial Assistance Offered Under the MDA Scheme

1. Participation in International Exhibitions, Trade Fairs, and Buyer-Seller Meets (Physical Mode)

Eligible Item

Scale of Assistance

Space Rent (Stall Charges)

100% of space rent, up to ₹3 lakh or actual rent paid (whichever is less) per MSME unit

Air Fare (Entrepreneurs)

100% of economy class airfare, up to ₹1.5 lakh or actual fare (whichever is less) per MSME unit

Air Fare (Office Bearer)

100% of economy class airfare, up to ₹1.5 lakh or actual fare (whichever is less)

Duty Allowance (Office Bearer)

₹12937.99 (USD 150) per day for the approved event duration

Freight Charges

Actuals up to ₹50,000 per MSME unit (₹75,000 for Latin American countries)

Advertisement & Publicity

Up to ₹2.5 lakh (delegation ≤14 units); up to ₹5 lakh (delegation ≥15 units), based on actual bills

Registration Fee

Up to ₹5,000 or actual (whichever is less) per MSME unit

Govt. Official Participation

Reimbursement as per entitlement, separate from industry association grant

Maximum Assistance per Event

₹2 crore (higher ceiling possible with Secretary MSME approval)

ZED Certified MSMEs

Eligible for additional incentives on airfare, stall rent, and freight

2. Organizing International Conferences/Summits/Workshops/Seminars in India (Physical Mode)

Eligible Item

Scale of Assistance

Event Organization (venue, catering, etc.)

Up to ₹10 lakh or actuals (whichever is less); non-5-star venues only

Airfare for Foreign Speakers/Experts

Up to ₹5 lakh or actuals (whichever is less); minimum 3 foreign speakers required

3. Organizing Mega International Events Abroad or in India (Physical Mode)

No expenditure ceiling for events organized by the Ministry of MSME or its organizations, alone or with industry associations; spending is decided by the Secretary (MSME).

4. Ministry of MSME Led Delegations to International Events

  • Up to 10% of the scheme’s budget is for Ministry-led delegations (including industry association executives, MSME owners, and officials).
  • Reimbursement for air fare and daily allowance 12937.99 ($150/day) for approved event duration.
  • Delegate selection by a committee headed by the Secretary (MSME).

5. Participation in International Events by Foreign Organizers (Virtual Mode)

Eligible Item

Scale of Assistance

Space/Stall Charges (Virtual)

Up to ₹1.5 lakh or actual (whichever is lower) for participation package

Advertisement & Publicity (Virtual)

Up to ₹2.5 lakh (≤14 units); up to ₹5 lakh (≥15 units), based on actual bills

Maximum Assistance per Virtual Event

₹1 crore

  • Minimum 10 MSME units per delegation.

6. Organizing International Conferences/Summits/Workshops/Seminars in India (Virtual Mode)

Eligible Item

Scale of Assistance

Virtual Space/Platform/License Fee

Up to ₹2 lakh or actuals (whichever is less)

Publicity/Marketing

Up to ₹5 lakh or actuals (whichever is less)

Translation/Interpretation

Up to ₹1 lakh or actuals (whichever is less)

  • A minimum of 5 international speakers and 300 participants are required.

Note:

  • All assistance is subject to actual expenses and submission of proper bills/receipts.
  • Selection and participation are based on the eligibility scorecard and scheme guidelines.

Eligibility Criteria for the Market Development Assistance Scheme

Eligibility

  • Your enterprise must be registered as a micro, small, or medium enterprise.
  • A valid Udyam Registration or Udyog Aadhaar Memorandum is required.
  • MDA benefits for the same event should not have been availed in the past three years.
  • The business should be engaged in manufacturing or service activities.

Non-Eligibility

  • Enterprises not registered as MSMEs are not eligible.
  • If you have already received MDA support for the same event in the last three years, you cannot apply again.
  • Businesses involved only in trading (not manufacturing or services) are excluded.
  • Applications missing required documents or submitted after deadlines will not be considered.

Documents Required for the MDA Scheme

  • Udyam Registration Certificate or Udyog Aadhaar Memorandum.
  • Proof of participation in the event (invitation/confirmation).
  • Air ticket and boarding pass for airfare reimbursement.
  • Invoice for stall rental and freight charges.
  • Bank account details and cancelled cheque.
  • Identity proof of the applicant.
  • Declaration/undertaking as per scheme guidelines.
  • Any other document required as per the guidelines.

How to Apply for the Market Development Assistance Scheme?

Step 1: Visit the official MSME website or the myScheme portal.

Step 2: Register your enterprise and complete the MDA Scheme application form online.

Step 3: Upload all required documents as listed.

Step 4: Submit your application before the event’s deadline.

Step 5: Track your application status online and respond to any queries from authorities.

Step 6: After participating, submit post-event documents for reimbursement.

Benefits of the Market Development Assistance Scheme for MSMEs

  • Expand Market Reach
    You get the chance to present your products to new buyers in India and abroad, opening up fresh business opportunities and helping your business grow.
  • Financial Relief
    Major marketing expenses like travel, stall rentals, and freight are covered, so you can focus on showcasing your products without worrying about costs.
  • Brand Building
    Support for branding and promotional activities helps you create a stronger, more recognizable business identity in the market.
  • Networking Opportunities
    By participating in events, you connect with potential partners, buyers, and industry experts, building valuable relationships for future growth.
  • Competitive Edge
    Exposure to new markets and best practices gives you insights and ideas to innovate, stay ahead, and compete better.

Real-World Examples of the MDA Scheme for MSMEs

  • MSME participation in international trade fairs
  • Women-led MSMEs receiving support for export promotion
  • Regional MSME clusters showcasing products at national exhibitions

Scheme Name

How it Links with MDA Scheme

International Cooperation Scheme

Provides additional support for MSMEs to participate in overseas events

RAMP Scheme

Enhances MSME competitiveness, complementing MDA's marketing assistance

Stand Up India Scheme

Offers financial support for MSME entrepreneurs, synergizing with MDA goals

SMILE Scheme (SIDBI)

Provides term loans for MSME growth, supporting expansion into new markets

Final Words

If you’re ready to take your MSME to new heights, the Market Development Assistance Scheme is your partner in growth. With financial support, networking opportunities, and a platform to showcase your products, you can confidently step into bigger markets and make your business dreams a reality. Don’t miss out, explore the MDA Scheme and see how far your business can go!

MSME Market Development Assistance Scheme - Bullit