Market Development Assistance to MSMEs: Assistance to MSME Manufacturing Sector Participation in the Exhibition (National and International)

What is Market Development Assistance Scheme 1 in Gujarat?

Market Development Assistance (MDA) is a group of three incentive components run by the Industries Commissionerate of the Industries and Mines Department, Government of Gujarat, to help Gujarat's manufacturing MSMEs find buyers outside their own district. Scheme 1 of that group is titled "Assistance to MSME manufacturing sector participation in the Exhibition through Industries Association / Federation / Chambers", and it is the component that pays for stall and space rent when a trade body takes a group of member units to an exhibition.

According to the Industries Commissionerate scheme page, Market Development Assistance was notified under Government Resolution No. GFC-102014-923625-P dated 27 February 2015 and later revised by Government Resolution No. MSM-102017-1404-Ch dated 18 August 2017. Scheme 1 is administered through the District Industries Centre (DIC) network, with the MSME Commissionerate and the State Level Implementation Committee (SLIC) approving the exhibitions that qualify.

The design of Scheme 1 is deliberately collective. Instead of reimbursing a single MSME for one stall, Gujarat funds an association-led pavilion so that small units that could never book international exhibition space on their own get a share of a group booking. The scheme is often referred to in Gujarati correspondence simply as the MDA yojana.

Main features

• Reimbursement of 60% of rent paid for stall or space at an approved exhibition.
• Ceilings of Rs 5 lakh (state), Rs 7 lakh (national) and Rs 10 lakh (international) per exhibition.
• Minimum 5 MSME manufacturing member units must participate through the association.
• Prior approval of the General Manager, DIC, is mandatory.
• The exhibition must be approved by the SLIC before participation.

Who is eligible for MDA Scheme 1?

Who can claim this assistance:

• A Chamber of Commerce and Industries, an Industries Association, a Federation of Industries or a similar registered body representing manufacturers.
• The body must coordinate the participation of at least 5 MSME member units from the manufacturing sector.
• The exhibition must be one that the State Level Implementation Committee or the MSME Commissionerate has approved or recognised.
• Prior approval from the General Manager of the concerned District Industries Centre must be on record before the exhibition takes place.

Who cannot apply:

• An individual MSME applying on its own for a single stall is not eligible under Scheme 1; that case belongs to MDA Scheme 2, which covers an MSME's own participation in trade fairs outside Gujarat or international trade fairs outside India.
• Trading and pure service units are outside the manufacturing-sector scope of this component.
• An association that takes fewer than 5 MSME member units to the event is not eligible.
• Participation in an exhibition that was never approved by the SLIC, or for which prior DIC approval was not obtained, is not eligible even if the rent bills are genuine.
• Organisers of an exhibition inside Gujarat do not claim here; MDA Scheme 3 covers assistance to organisers.

What documents are required for MDA Scheme 1?

The Industries Commissionerate also publishes a document titled "Instructions for Exhibition" alongside the form; associations should read it before booking space, because it sets out how the exhibition list is finalised.

How to apply for Market Development Assistance Scheme 1

1. Confirm that the exhibition you plan to attend is on the approved or recognised list published by the MSME Commissionerate and cleared by the State Level Implementation Committee.
2. Apply in writing to the General Manager of your District Industries Centre for prior approval of the participation, before booking stall space or paying rent.
3. Enrol at least 5 MSME manufacturing member units and book the stall or space in the name of the association, keeping the rent invoice in the association's name.
4. After the exhibition, fill in application form AF-01 and attach checklist CL-01, the prior approval letter, the participant list, rent bills and payment proof.
5. Submit the complete file to the concerned District Industries Centre.
6. Respond to any query raised during DIC scrutiny and verification of the claim.
7. Collect the sanction order issued by the DIC; disbursement follows subject to availability of government grant.

How do you check the status of an MDA claim?

Market Development Assistance Scheme 1 is processed at the district level, so the District Industries Centre that received your file is the first place to check. Ask for the inward number given when the file was submitted and quote it in every follow-up. The Investor Facilitation Portal at ifp.gujarat.gov.in is the state's centralised system for tracking industrial incentive applications and publishes a helpline on 1800 233 1847, working days from 10:30 am to 6:10 pm. For scheme-level questions the MSME incentive branch at Udyog Bhavan, Gandhinagar, can be reached on +91 79 23252584 or at icdciinc@gujarat.gov.in.

Why are MDA claims rejected?

• No prior approval from the General Manager, DIC, before participation. This is the single most common reason and it cannot be cured afterwards.
• The exhibition was not approved by the State Level Implementation Committee.
• Fewer than 5 MSME member units actually participated.
• Rent bills in the name of individual units rather than the applicant association, so the association cannot evidence the payment it is claiming against.
• Incomplete checklist, especially missing registration papers or authorised-signatory proof.
• Duplicate claim for the same expenditure under another state scheme. Assistance under state and central schemes together cannot exceed the actual expenditure incurred.

Key dates and current status

Market Development Assistance was notified in February 2015 under the Gujarat Industrial Policy 2015 and revised in August 2017. The Industries Commissionerate page for Scheme 1 records an operative period of 1 January 2015 to 31 December 2019, and the MSME Commissionerate has since issued clarificatory circulars, including one dated 1 August 2019 on the MDA scheme and one dated 29 November 2018 on the time limit to apply under Schemes 1 and 3. Gujarat's later incentive framework is the Aatmanirbhar Gujarat Scheme for assistance to MSMEs, notified under Government Resolution No. MIS-102022-1271(1)-I(Ch) dated 5 October 2022. Because the published MDA operative period has lapsed, an association should get written confirmation from the MSME Commissionerate that the component is live for the year in question before it commits money to stall rent.

Where do you raise a grievance?

• Deputy Commissioner of Industries (MSME Incentive), Udyog Bhavan, Sector 11, Gandhinagar 382 017 — +91 79 23252584, 23252588, 23252593.
• Email icdciinc@gujarat.gov.in or msmeinc@gujarat.gov.in.
• Investor Facilitation Portal helpline 1800 233 1847 for application tracking issues.
• The State Level Implementation Committee, chaired by the Commissioner MSME, interprets the resolution, and its decision on scheme provisions is final and binding.

No fee is payable to any agent for filing an MDA claim. The forms, the checklist and the exhibition instructions are all free downloads from the Industries Commissionerate website.