Services for Exporters

Market Development Grant (MDG)

MARKET DEVELOPMENT GRANT (MDG) - SUPPORT INITIATIVES FOR MALAYSIAN SME COMPANIES AFFECTED BY COVID-19

What is MDG?

The Market Development Grant (MDG) is a support initiative in the form of a reimbursable grant. MDG was introduced in 2002 with the objective of assisting exporters in their efforts to promote Malaysian made products or services globally. The lifetime limit of MDG is RM300,000 and it is specifically formulated for Malaysian SME Companies, Professional Service Providers, Trade and Industry Associations, Chambers of Commerce, Professional Bodies and Co-operatives

In 2020, export initiatives under MDG was further expanded to include:

  1. Recognised international Virtual Events, including virtual trade exhibitions and virtual trade missions, where business-to-business (B2B) meetings are an integral part of these virtual events
  2. Logistics costs for shipment of product to overseas by exporters affected by COVID-19 global shutdowns
  3. Financial compensation for postponements or cancellations of Trade Promotion Events

[Note: MDG reimbursements are subject to the availability of the government funds]

What are Virtual Events?

Virtual Events for the purpose of MDG is defined as an internationally recognised trade promotion activity held on a web platform, in a virtual venue that enables business interaction between people and entities, through online interactive tools. Smart phones, tablets, laptops and computer desktops are the most common tools used for this virtual interaction.

Reimbursement on Cost of Logistics Affected By COVID-19 Pandemic

This temporary relief granted through Market Development Grant (MDG) will allow for the reimbursement of up to 30% of total logistic costs subject to a maximum of RM15,000 per shipment, including the cost of transportation, warehousing and freight. This temporary support initiative is applicable for logistics costs incurred from 18 March until 31 December 2020 or until the COVID-19 pandemic is officially declared ended by the government, whichever comes first. The company can start applying from 27 July 2020.

Financial Compensation for Postponements or Cancellations of Trade Promotion Events

The temporary expanded scope of MDG now allows SME companies to claim for reimbursements of specific expenses incurred, due to cancellations or postponements of trade promotion events, such as non-refundable participation fees, airfares and accommodations, subject to the total of all three expense components not exceeding RM25,000 per event. This temporary relief is applicable for event start 18 March to 31 December 2020. The company can start applying from 1 August 2020.

What Activities Are Eligible For Grant Funding?

Current Events

  1. Participation in International Trade Fairs or Exhibitions held locally/overseas
  2. Participation in Trade & Investment Missions (TIM) or Export Acceleration Missions (EAM)
  3. Participation in International Conferences Held Overseas
  4. Listing Fees for Made in Malaysia Products in Supermarkets or Hypermarkets or Retail Centres or Boutique Outlets Located Overseas

Virtual Events

  1. Participation in Virtual International Trade Fairs In Malaysia Or Overseas
  2. Participation In Business To Business (B2B) Meetings Related To Virtual Trade Investment Missions And Export Acceleration Missions

Logistics Cost (18 March until 31 December 2020)

  1. Logistic costs

Postponement Or Cancellations Of Trade Promotion Events (18 March until 31 December 2020)

  1. Participation in International Trade Fairs or Exhibitions held locally/overseas
  2. Participation in Trade & Investment Missions (TIM) or Export Acceleration Missions (EAM)
  3. Participation in International Conferences Held Overseas
  4. Listing Fees for Made in Malaysia Products in Supermarkets or Hypermarkets or Retail Centres or Boutique Outlets Located Overseas

Who Is Eligible To Claim For MDG? (please refer to MDG Guidelines 2020)

  1. Small And Medium Enterprises (SMEs)
  2. Professional Service Providers (Sole Proprietor Or Partnership)
  3. Trade & Industry Associations, Chambers Of Commerce Or Professional Bodies
  4. Co-operatives

How Do I Submit My New Application Of Claims Or Request For Reimbursement Of Expenses?

  1. All COMPLETED applications except for logistics and cancellation/postponement of trade promotion event MUST be SUBMITTED ONLINE through MATRADE’s website at www.matrade.gov.my/mdg/
  2. Submissions for reimbursements must be made within 30 calendar days from the last date of the promotion activity.
  3. All COMPLETED applications MUST SEND to MATRADE Headquarters in HARDCOPY, 30 calendar days from:
    1. Logistic cost - the first day of shipment (based on receipt date). For shipment dated 18 March – 27 July 2020, 30 calendar days start from 27 July 2020
    2. Cancellations/ postponements of trade promotion events - The last date of event. For event start 18 March – 1 August 2020, 30 calendar days start from 1 August 2020.

For more information, please download information as per link below:

Market Development Grant (MDG) 2020

Market Development Grant (MDG) Virtual Events 2020

Postponement or Cancellations of Trade Promotion Events

Reminder

      • All documents must be submitted online
      • Logistics cost and reimbursement for cancellation/ postponement of export promotion must be send to MATRADE Headquarters in hardcopy
      • All claim documents MUST be under:
        • Company’s name
        • If it is under the name of an individual, the name must be listed in the list of directors or shareholders or in EPF statement
      • * Submission of claim documents under names other than company or authorised individuals will not be accepted.
    • MDG Guidelines are applicable:
      1. Virtual Events - activities undertaken from 1 July 2020
      2. Logistics costs – activities undertaken from 18 March 2020 – 31 December 2020
      3. Cancellation/ postponement of export promotion - activities undertaken from 18 March 2020 – 31 December 2020

All enquiries/ submission of reports/ and application in hardcopy must be sent to:

Market Development Unit
8th Floor, East Wing, Menara MATRADE,
Jalan Sultan Haji Ahmad Shah,
50480 Kuala Lumpur, MALAYSIA
Tel: +603-6207 7593
Fax: +603-6203 7252
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

 

SEF provides assistance to Malaysian Service Providers (MSPs) to undertake activities to expand and venture into the international market. The assistance is extended in the form of reimbursable grant and soft loan. The grant and soft loan disbursed is according to the maximum amount of each activity and up to a total of RM5 million per company for the duration of the period 2015 – 2020.

The objectives are:

  • To increase the competitiveness of Malaysian Service Providers (MSPs) overseas;
  • To increase accessibility and expand export of MSPs in the global market;
  • To expand the scope for export promotion to gain market access and export opportunities for services; and
  • To raise the profile of Malaysia at the international level as competent service provider and brand Malaysia as a supplier of services. 

Eligible activities are:

A. Grant
Activity 1
  • Promoting Malaysian expertise in services at international events overseas as speaker in conferences, forums and participating in services industry related competitions.
  • Travelling expenses for tender bidding.
  • Procuring commercial intelligence / market reports for assessing business opportunity or projects overseas.
Activity 2
  • Rendering services for projects undertaken overseas.
  • Presentation to potential clients for assessing business and projects overseas.
  • Preparation of prototype, system customisation and localisation to meet projects requirements.
Activity 3 Initial Cost of Setting up Office Overseas.
Activity 4 Logistic cost of sending Malaysian products, equipment or merchandising for project abroad undertaken by Malaysian services companies.
Activity 5 Grant for conducting feasibility study for specific international project overseas.
B. Soft Loan (Soft Loan Scheme for Services Exports)
Activity 6 Costs incurred in preparation and submission of project proposals for overseas projects.
Activity 7 Expenses related to raising bank guarantee or performance bond to execute overseas project.
Activity 8 Collateral in issuance of bank guarantee or performance bond
Activity 9 Expenses for setting up and expansion of the office
Activity 10 Mobilization costs & other expenses

Apply Now Guideline for SEF

For more information, please contact us at:

Services Development Unit
8th Floor, Menara MATRADE,
Jalan Sultan Haji Ahmad Shah,
50480 Kuala Lumpur, MALAYSIA
Tel: +603-6207 7077 / 7593
Fax: +603-6203 7252
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

 

Mid-Tier Companies Development Programme (MTCDP)

The Mid-Tier Companies Development Programme (MTCDP) was established in 2014 to help local mid-tier companies (MTCs) in Malaysia to accelerate their export growth and to strengthen their core business functions. Only 50 high-performing MTCs will be selected per year to participate in this 9-month programme.  MTCs in Malaysia are defined as companies with annual revenues between RM50 million to RM500 million in the manufacturing sector and between RM20 million to RM500 million in other sectors.

Mid-Tier companies and their contribution to Malaysia

MTCs represent a key driving force behind the Malaysian economy. There are approximately 10,000 MTCs in Malaysia, and despite being just 1% of all Malaysian firms, they collectively contribute ~30% of the country’s GDP and employ over 22% of the workforce.  MATRADE is committed to their success, and the MTCDP programme is geared towards accelerating their growth and expansion into new markets.

Participation Criteria

This is a programme for high-performing MTCs. As a result, MTCs must meet the following robust & stringent criteria to qualify for the programme:

mid-tier-criteria

List of National Key Economic Areas (NKEA) or MITI High Impact Sectors:

  • Agriculture
  • Business and professional services
  • Chemical products
  • Construction
  • Education
  • Electrical and electronics
  • Financial services
  • Food and beverage
  • Forestry and paper
  • Healthcare services
  • Hospitality and tourism
  • Information and communications
  • Machinery and equipment
  • Medical devices
  • Metals
  • Oil and gas
  • Pharmaceuticals
  • Plantation (incl. palm oil and rubber)
  • Retail
  • Textiles and apparels
  • Transport equipment
  • Transportation and logistical services
  • Wholesale

Programme Benefits – Helping Mid-Tier Companies Expand Globally

The Government of Malaysia and MATRADE recognize the importance of Malaysia’s MTCs and have established the MTCDP with the objective of helping MTCs grow their business internationally through a customized programme via these 4 activities:

1. Broaden MTCs’ reach into high potential markets

  • Expand MTCs’ business network (potential business partners, distributors, or customers) through country immersion visits, expert advice and MATRADE’s international network
  • Help MTCs to identify and manage their distributors and business partners

2. Provide tailored business advice to MTCs

  • Advise MTCs on export challenges, supported by practical tools and guidance from international advisors and industry experts
  • Help MTCs to get relevant market or industry intelligence

3. Provide access to funding to MTCs

  • Facilitate introductions to local, international financial institutions or private investors as needed

4. Facilitate introductions to new technology

  • Assist MTCs in exploring new technologies and product innovations based on research, international trends and practical experience
  • Introduce MTCs to potential technology partners as needed

MATRADE’s expectations from participating companies

MTCs participating in the programme must be:

  • Willing to bear ancillary expenses - e.g., travel expenses for any promotional events overseas. Consultation costs for 2014 participants will be borne entirely by MATRADE
  • Fully committed, with the CEO and senior management dedicating  about 1 day/month to the programme over the course of 9 months
  • Willing to share company-specific information (with non-disclosure agreement  in place), engage deeply on action plan, and adopt recommendations from MTC programme advisors to accelerate growth and increase your business performance

Mid-Tier Ramp-up Programme

The Mid-Tier Ramp-Up Programme is a new program started in 2016. It is actually a two-year extension programme for MTCs who have graduated from MTCDP. During the two years, MTCs will continue to receive customised assistance to further enhance their market access and export capabilities.

Other than serving as a conduit for continuing export support, the Mid-Tier Ramp-Up Programme also monitors and tracks the progress and development of MTCs. This helps MATRADE to tweak and re-evaluate the effectiveness of support assistance rendered. Former graduates of MTCDP are also automatically enrolled as members of an alumni, called the CEO Club. The CEO Club is an informal avenue for MTCs to network, exchange ideas and share possible solutions on common issues. The first CEO Club meeting was held on May 31, 2016.

The Participants

List of Malaysian Mid-Tier Companies participants

Benefits of being in the programme:

Mid-Tier Ramp-Up Programme will help MTCs to:

  • Secure effective distribution channels in the marketplace;
  • Intensify market deepening in high potential markets (e.g. through strategic partnerships, acquisition of companies or new business start-ups); and
  • Collectively penetrate new markets through the pooling and sharing of costs and resources, which can mutually elevate and improve visibility of Malaysian businesses in foreign markets.

Who can apply?

As it is an extension of the MTCDP, only graduates of MTCDP are eligible to apply.


For further information about the programme or if you are interested in applying, please contact us at:

Mid-Tier Companies Development Unit
15th Floor (East Wing), Menara MATRADE,
Jalan Sultan Haji Ahmad Shah,
50480 Kuala Lumpur
Email: This email address is being protected from spambots. You need JavaScript enabled to view it. 

 

Integrated Centre for Export (ICE)

ICE

ICE is a customised consultation platform in MATRADE on export related matters. Consultation can be related to trading support, standards and certification, rules on health certification, rules on sanitary & phytosanitary, Halal certification, Malaysia exports procedures, financial facilities, etc.

It is available for establishments such as trade association, business council, chamber of commerce, government agency and GLC. They can liaise with MATRADE in order to work out a customised programme for their members. Based on the request, MATRADE will coordinate with relevant government agencies and schedule to meet through a customised half or full day programme. ICE is held at Business Information Centre, Level 2 Menara MATRADE on Wednesday or Thursday during office hours.

Through this platform, all pertinent enquiries can be addressed conveniently at the same place and same time (one-stop-centre). This will avoid the hassle of going to different agencies with different enquiries.

For further information, kindly contact:

Ms. Nurul Farhana Hamzah / Ms. Siti Juliana Jailani
Tel: 03-6207 7635 / 7636
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

 

Online Application User Guide

This User Guide will help you get started and learn more about using our online application in this portal.

Step 1: To access the online application, go to "For Malaysian Exporters" section.

Exporters 1

Step 2: At the "For Malaysian Exporters" section page, choose "Online Applications" in the MATRADE Online Services information.

Exporters 2

Step 3: Choose the online applications or download the application forms.

Exporters 3

 

Updated by Trade Statistics Unit

matrade podcast

Infographics

Press Releases

More...

News Clippings

More...

Quick Links

  • Warna Merah / Red Color
  • Warna Biru / Blue Color
  • Warna Hijau / Green Color
  • Warna Asal / Original Color