This guideline is for export promotion activities undertaken from 1 January 2020
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for export promotion activities undertaken in year 2019.
The Market Development Grant (MDG) is an export facilitation in the form of a reimbursable grant. MDG was introduced in 2002 with the objective to facilitate Malaysian exporters’ core expenses in promoting Malaysian made products or services globally. The maximum ceiling amount for Malaysian SMEs, Professional Service Providers, Trade and Industry Associations, Chambers of Commerce, Professional Bodies and Cooperatives will increase from RM200,000 to RM300,000 per life time effective 1 January 2020.
[Note that all MDG reimbursements are subject to the availability of government funds.]
What activities are eligible for MDG?
- Participation in International Trade Fairs or Exhibitions:
- International Trade Fairs or Exhibitions held in Malaysia
- International Trade Fairs or Exhibitions held overseas
- Participation in Trade & Investment Missions (TIM) or Export Acceleration Missions (EAM)
- Participation in International Conferences Held Overseas
- Listing Fees for Made in Malaysia Products in Supermarkets or Hypermarkets or Retail Centres or Boutique Outlets Located Overseas
What are expenses eligible for MDG?
- Participation fee or Booth rental
- Booth construction or Enhancement
- Air fare
- Public land transportation - bus, taxi or train from Malaysia to an ASEAN country destination only. (Does not include ground/ intercity transportation within that ASEAN country destination).
- Listing fees
Who is eligible for MDG?
- Small And Medium Enterprises (SMES)
- Professional Service Providers (Sole Proprietor Or Partnership)
- Trade & Industry Associations, Chambers Of Commerce or Professional Bodies
Who is not eligible for MDG?
- Public-listed companies (PLC) in the main board
- Subsidiaries of:
- Public-listed companies in the main board (PLC).
- Large firms, Multinational Corporations (MNCs), Government-Linked Companies (GLCs) or have any government equity (federal or state) in its shareholding, Syarikat Menteri Kewangan Diperbadankan (MKDs) and State-Owned Enterprises.
- Companies who are inactive in business (dormant) or less than one (1) year in operation.
- Companies who are fully subsidised or sponsored by any third party
What are the requirements for MDG Application?
- Must be registered as a MATRADE member
- At least 60% equity is owned by Malaysian
- Exporting Made in Malaysia product & services
- Active in business more than one (1) year in operation and able to provide Audited Financial Statement.
How do I submit my new application and request for reimbursement of expenses?
- All completed applications must be submitted online through MATRADE’s website at www.matrade.gov.my/mdg
- Submissions for reimbursements must be:
i) Within 30 calendar days from the last date of the promotion activity for:
- International Trade Fairs or Exhibitions held locally or overseas;
- Trade & Investment Missions (TIM) or Export Acceleration Missions (EAM);
- International Conferences held overseas.
ii) Within 30 calendar days from the first day of listing in Supermarkets or Hypermarkets or Retail Centres or Boutique Outlets located overseas.
- Submission of reports by the organiser must be submitted to MATRADE Headquarters:
i) Within 30 calendar days from the last date of the trade fair or exhibition (event held in Malaysia) - (format of the report as in Annex 2).
- Companies should deal directly with the organisers of trade fairs or exhibitions in Malaysia to ensure the organiser submits a copy of the Audited Trade Fair or Exhibition Report to MATRADE under Market Development Unit (MDG).
- Only endorsed event by MATRADE is claimable for MDG. Check endorsement for local event here.
ii) Within 14 working days from the last date of the Trade & Investment Missions (TIM) or Export Acceleration Missions (EAM) - (format of the report is as in Annex 3).
- Please submit complete documentation to avoid delay in processing. As MDG is an audited activity and is subject to strict timelines, late applications cannot be considered.
- This guideline is subject to change from time to time.