Small business exporters in Western Australia are entitled to apply for a federal government grant worth up to $70,000 this financial year, under a scheme administered by export agency Austrade.
Earlier this month, the government announced it had set the first-round ceiling amount for its Export Market Development Grants (EMDG) scheme at $70,000 for the third consecutive year.
The EMDG scheme reimburses small businesses for export-related expenses incurred in the previous financial year.
If successful, recipients will receive their grant in a single payment, following assessment of their application, while businesses that are eligible for larger grants will receive a second payment in June 2008.
About 80 per cent of EMDG recipients will receive their grant in a single sum.
Trade Minister Warren Truss said Austrade had increased the number of grants allocated by 2 per cent last financial year, and increased the value of grants by 6 per cent during the same period.
“In 2006-07, Australian businesses received a total of 3,548 grants through the EMDG scheme, totalling more than $145 million,” Mr Truss said.
This year, the scheme has been amended to broaden the eligibility requirements.
For the first time, SME exporters with a turnover below $30 million per year and an overseas marketing spend above $15,000 will be able to claim expenses for trade fairs and promotional literature.
An export earnings test has also been abolished, and companies with manufacturing operations overseas may claim support if there is a ‘significant net benefit’ for Australia from the sale or supply of product.
Other changes include increasing the claimable overseas visit allowance to $300 per day, and limiting the eligibility of cash payments to $10,000 per application.
This year, the total EMDG pool will be $159.28 million, of which an estimated 400 WA-based companies will receive a portion.
Applications for the EMDG scheme are open until November 30.
