Archive for August 20, 2015

EMDG Assessment


Complete the form below to find out if you are eligible to receive funds from the Australian Government’s Export Market Development Grant.

Please Enter Your Business Details

(24 months for first time applicants)

EMDG Overview

What is EMDG?

The Export Market Development Grants (EMDG) scheme is a key Australian Government financial assistance program for aspiring and current exporters. Administered by Austrade, the scheme supports a wide range of industry sectors and products, including inbound tourism and the export of intellectual property and know-how outside Australia.

Key Features:

In the 2016-17 financial year grants worth $131.4 million were paid to 3,166 businesses.
The average grant was $40,921(2015/16)

  • 891 businesses entered the scheme for the first time
  • Businesses that received grants reported generating $3.8 billion in exports.
  • Three quarters of recipients were small businesses, reporting annual income of less than $5 million.
  • By broad industry classification, 65 per cent of EMDG recipients were from the services industries, with a further 30 per cent in manufacturing and five per cent in the primary sector.

The EMDG scheme:

  • encourages small and medium sized Australian businesses to develop export markets
  • reimburses up to 50% of eligible export promotion expenses above $5,000 provided that the total expenses are at least $15,000 (Note: You spend the money first and then you claim a grant from Austrade in the next financial year)
  • provides up to eight (8) grants to each eligible applicant.

Introduction to EMDG

(four minute video)

Who Can Apply for an EMDG?

Any Australian individual, partnership, company, association, co-operative, statutory corporation or trust that has carried on export promotion activities during the year for which they wish to apply for an export grant.

To be eligible, the business must have:

  • income of not more than $50 million in the grant year
  • incurred at least $15,000 of eligible export expenses under the scheme (first-time applicants can combine two years expenses)
  • principal status for the export business – you must own the product – (some exceptions apply)

Your product must be promoted for export and be one or more of the following:
› a good made in Australia;
› a good made outside Australia where Australia will derive a significant net benefit from its sale overseas;
› a service except those specified as ineligible in the EMDG Regulations;
› a tourism service;
› an event held in Australia;
› an intellectual property right that mainly resulted from work done in Australia;
› a trade mark first used in Australia, or which has significantly increased in value from its use in Australia; or
› know-how that mainly resulted from work done in Australia.

Goods not made in Australia may be eligible. Contact us to find out more.

Eligibility for EMDG

(five minute video)

Grants entry

First-time applicants are required to satisfy grant entry requirements, which include providing financial statements and some information that explains your business and your product or service.

What Can You Claim?

You may claim for expenditure on specific export promotion activities undertaken during 2016–17. If this is your first grant application, you may claim expenses incurred during 2015–16 and 2016–17.
EMDG supports eight categories of promotional activities. You can claim:

1, Overseas representatives

  • all reasonable costs that you pay to have an overseas representative act on your behalf on a long-term basis to market/promote your product
  • the portion of the fee or expense paid to your overseas representative that relates to promotion of your Australian products. You cannot claim the costs of commission, non-promotional activities your representative carries out for you such as supplying after-sales service, post-contractual training, sourcing of products, arranging clearance, warehousing or collection of goods, importing or promoting ineligible products
  • a maximum of $200,000 per application is claimable under this category. However, you should include all eligible expenses that you wish to claim in your application to ensure your grant is maximised.

Note: Austrade conducts detailed checks on overseas representative claims and may contact your representative by phone or in person as part of these checks. If you are claiming expenses for overseas representatives, you may be asked to provide additional supporting documentation with your application form.

2, Marketing consultants

  • the cost of engaging an arms-length consultant to undertake export market research or marketing activities
  • a maximum of $50,000 per application is claimable under this category. However, you should include all eligible expenses that you wish to claim in your application to ensure your grant is maximised.

If you are claiming expenses under the overseas representatives and marketing consultant’s categories, you must have documentary evidence that shows the role and function of the representative or consultant.

3, Marketing visits

  • the cost of air travel during the marketing visit, including departure taxes (only 65 per cent of first-class airfares may be claimed). You should note that from 1 July 2017 you cannot claim ground transport costs.
  • an allowance of $350 per day while you are overseas to help defray accommodation, entertainment, living expenses and ground transport costs (capped at 21 days).

If you are claiming expenses under the marketing visits category you must have trip reports, boarding passes, diary notes and/or other evidence which substantiate the details of the trip.

4, Free samples

  • the cost of providing free samples of the product you are promoting for export
  • a maximum of $15,000 per application is claimable under this category. First time applicants should note this cap does not apply if they are combining two years of expenses, and one of these years in the 2015–16 grant year.
  • all eligible expenses should be included in your claim in your application to ensure your grant is maximised.

Note: Free samples of intellectual property or know-how are not eligible. Contact us for more details.

5, IP registration and related insurance

  • the cost of granting, registering or extending rights under foreign laws in relation to eligible intellectual property (up to a maximum of $50,000 per application)
  • the cost of obtaining insurance to protect these rights.

6, Trade fairs, seminars, in-store promotions

  • external costs directly related to participating in an international trade fair, seminar, in-store promotion, international forum, private exhibition, or similar activity.

7, Promotional literature and advertising

  • external costs of promotional material, such as brochures, videos, advertising and website development.

8, Overseas buyers

  • the cost of bringing potential buyers who are non-residents to Australia for an eligible export promotion purpose
  • a total of $7,500 per buyer per visit, totalling $45,000 per application.

To be able to claim EMDG for any of the above activities:

  • you must have spent the funds to seek out, create, or increase demand for your product in an export market;
  • you must be the intended principal in export transactions, i.e. not an agent (exemptions apply for manufacturers or Approved Body applicants, events promoters, suppliers to inbound tour operators or in situations where a company closely related to the applicant owns the product intended for export);
  • the expense must have been paid by you during 2016–17 (i.e. it must be taken up as an expense in your books of account, not just in consolidated accounts or in the accounts of a related entity). If this is your first grant application, these expenses may have been incurred during 2015–16 and 2016–17;
  • the item paid for must have been provided to you; and
  • you must have evidence of the expense and what it was incurred for (i.e. invoices, bank statements etc.).

An EMDG is designed to assist export promotion, it does not support expenses arising from production or from product development, distribution or certification.

Ineligible Expenses:

As EMDG is designed to assist export marketing, it does not support expenses incurred for product development, production, distribution or certification.
Also, you cannot claim expenses that:

  • were incurred by a related business entity
  • relate to business with the Democratic People’s Republic of Korea (North Korea) and New Zealand, and to Iran up to and including 17 January 2016 (for first-time applicants combining two years of expenses)
  • are not promotional (such as product development/refinement, sourcing and financing)
  • were incurred by you when you were not a resident of Australia
  • relate to after-sales activities
  • have or will be subject to reimbursement by a third party (other than EMDG)
  • relate to an illegal or unlawful activity
  • are commissions or discounts
  • are in payment of an Australian tax, levy or charge (except Australian departure tax)
  • relate to any form of pornographic material with a classification equivalent to the X-rating for
  • Note: The eligibility of cash payments is limited to $10,000 per application.

Note: You cannot claim export earnings from Democratic Peoples Republic of Korea (DPRK), Iran and New Zealand.

Contact us now to answer your questions regarding your EMDG Grant at:
0425 322 997


Suite 3, Level 6, 10 Bridge Street
Sydney, NSW, AUSTRALIA 2000
Phone: 0425 322 997
ABN: 71 607 604 580


Important: This site has been setup for informational purposes and all the content is designed to educate but not advise you on EMDG applications & claims. Please contact one of our advisors for specific advice on your business.