From 1 July 2021, the EMDG program will become an eligibility-based grant program with an upfront application required prior to spending.
The new EMDG rules apply to marketing spend from July 2021 onwards. The grant is approximately 50% of eligible marketing expenses with the maximum grant being between $40,000 and $150,000 per annum depending on the Tier you qualify for (and subject to overall demand). Grant approvals will be for 2 or 3 years of planned spending, with grants being paid after milestones are achieved.
IMPORTANT TO NOTE
The first round of the ‘new’ EMDG grant applications opens between 9 am AEST on 16 August and close at 5 pm AEST on 30 November 2021.
The process for receiving a grant will be as follows:
The business applies for a grant before spending money on any promotional activities.
Once all applications have been assessed, Austrade offers grant agreements to each eligible applicant.
The business enters into a grant agreement with Austrade.
The business undertakes promotional activities as agreed in the grant agreement.
The business requests milestone payments in accordance with the grant agreement.
The grant agreement will set out when milestone payments should be made& what might be needed in order to unlock these payments.
EMDG grants will be available in 3 tiers, designed to provide different levels of support to you as you grow your export markets at the different stages of your export journey:
Grants up to
Over 2 years
For eligible businesses new to exporting
Grants up to
Over 3 years
For exporters looking to expand their presence in current markets or enter into new markets
Grants up to
Over 3 years
For exporters looking to make a strategic shift in their exporting business
EMDG PLAN TO MARKET
All EMDG applications will now be required to include a ‘plan to market’ document.
A plan to market is a high-level document that shows Austrade what you intend to do to market your product overseas in the next 2 or 3 years and why.
Your plan to market will differ depending on what tier you are applying for and where your business currently is in it’s exporting lifecycle.
WHAT EXPENSES CAN BE CLAIMED?
Advertising & Promotion
Traditional, digital and online advertising used to promote your product in a country outside of Australia (and New Zealand).
- External costs of promotional material, such as:
- Videos and DVDs
- Advertising (including online advertising such as Google and Facebook) and
- Website development for international customers
Internal costs such as wages of staff are not claimable
A person who represents you or your company overseas.
Maintaining a representative in a foreign country for more than 6 months in a financial year so far as the representative is either:
- conducting research into the market in that country for your eligible products
- undertaking promotional activities to market your eligible products in that country.
This includes expenses such as salaries and wages of the representative, office rental costs, education of the representative’s children if relocated for the role, relocation expenses, and recruiting a replacement representative.
The cost price plus postage of providing a sample to an international client or influencer.
This includes expenses that are attributable to the actual cost of providing product samples free of charge. Your samples must be the same as your product that would be provided under any future sales agreements. This includes costs such as postage or freight to deliver samples overseas.
Patents & Trademarks
Costs associated with international patents and trademarks.
Seeking the granting, registration or extension of intellectual property rights of your eligible product in a foreign country.
This includes expenses such as payments to patent and trade mark attorneys and to relevant government trademark and patent offices.
A consultant engaged to help you market your business overseas.
The cost of engaging a consultant to undertake either:
- research into the market in a foreign country for your product
- promotional activities to market your eligible product in a foreign country
- the design of marketing material used to promote your product overseas
Trade Shows & Promotional Events
Attending as an exhibitor or attendee and the associated costs.
The cost of participating in:
- an international trade fair
- in-store promotion
- international forum
- private exhibition, or
- similar activity
The money it costs to participate eg:
- entry fees
- stand rental charges and
- the cost to freight your promotional materials to the trade fair
Travel Overseas & within Australia
Travel taken overseas or within Australia to help promote your business or product to foreign clients or buyers.
This includes expenses such as airfares, accommodation expenses, incidentals, ground transport and food.
- Expenses for a maximum of 21 days continuious travel are eligible.
- If for mixed purpose i.e. promotional and holiday, only those days dedicated to export promotion, up to a maximum of 21 continuous days, would be eligible.
Costs associated with bringing potential buyers to Australia to view or sample your product or service.
Up to 21 days’ continuous travel between Australia and a foreign country, and within Australia, of a prospective foreign buyer of your eligible product so you can undertake promotional activities to market your eligible products to that buyer.
This includes expenses such as airfares to and from Australia, accommodation, food and incidental travel expenses.
Eligibility for the new EMDG grant
To be eligible for this grant, you must be Australian and…
Have an ABN
Annual revenue (turnover) of less than $20 million
Have no outstanding disqualifications or be under insolvency administration
Be exporting or intend to export
Have not previously received 8 EMDG rebates
Products must be of substantial Australian origin