International Cooperation Scheme — Capacity Building of First Time MSE Exporters (CBFTE)

What is the Capacity Building of First Time MSE Exporters scheme?

CBFTE (Capacity Building of First Time MSE Exporters) is a sub-scheme under the International Cooperation (IC) Scheme of the Ministry of Micro, Small and Medium Enterprises. According to the IC Scheme portal, it provides financial assistance towards the costs a first-time micro or small enterprise (MSE) exporter incurs on its export shipments, so that the expense of getting export-ready does not hold small firms back.

The International Cooperation Scheme has two broad components: one supports participation in international exhibitions, trade fairs and conferences, and the other; CBFTE, reimburses first-time MSE exporters for specific, documented costs. This guide covers the CBFTE component.

CBFTE targets a real gap. A small manufacturer taking its first order abroad has to obtain an export registration, insure the shipment against payment and transit risk, and often get its product tested or certified to meet the buyer's standards. These upfront costs fall due before any export earnings arrive. CBFTE shares those costs so that a first export becomes financially viable.

What are the benefits under CBFTE?

CBFTE reimburses three categories of cost, each on a reimbursement basis (the enterprise pays first and claims back the eligible share):

• Registration-cum-Membership Certificate (RCMC): 75% reimbursement, capped at Rs 20,000. The RCMC, issued by an Export Promotion Council or commodity board, is a basic requirement for availing export benefits.
• Export insurance premium: reimbursement of the premium up to Rs 10,000 per financial year, covering the cost of insuring an export shipment.
• Testing and quality certification: 75% reimbursement, capped at Rs 1 lakh per MSE per financial year, for up to three certificates in a year. This helps a first-time exporter meet the quality and safety standards its buyers or destination markets demand.

Together these cover the three biggest first-order hurdles, registration, risk cover and certification, for a new small exporter.

Who is eligible for CBFTE?

You can apply if:

• Your enterprise holds a valid Udyam Registration as a Micro or Small Enterprise.
• Your enterprise holds an Importer Exporter Code (IEC) that is not older than three years as on the date of the export shipment. The mark of a first-time or new exporter.
• The cost you are claiming — RCMC fee, export insurance premium, or testing and quality certification, was actually incurred and is backed by receipts, and the export shipment took place in the same financial year.

You cannot apply if:

• Your enterprise is a Medium enterprise, CBFTE is limited to micro and small units.
• You do not have Udyam Registration, or you are not registered as a manufacturer/service enterprise as required.
• Your IEC is older than three years on the shipment date, since the sub-scheme is meant for new exporters, not established ones.
• You are claiming a cost without proof of the underlying export shipment.

How to apply for CBFTE

1. Go to the International Cooperation Scheme portal at ic.msme.gov.in.
2. Register your enterprise by selecting the organisation type, then log in to your account.
3. Open the CBFTE component and start a reimbursement claim, entering your Udyam Registration and IEC details.
4. Upload the supporting documents. The RCMC and fee receipt, the export insurance premium receipt, or the testing/quality certificate and invoice, depending on which cost you are claiming.
5. Attach proof of the export shipment (shipping documents) for the same financial year and enter your bank account details for the reimbursement.
6. Submit the claim and track its status on the portal. Claims are processed on a reimbursement basis after verification.

What documents do you need?

Help and contacts

• IC Scheme portal: ic.msme.gov.in, registration, claims and status.
• Administrative queries: 011-23063526.
• Technical / portal queries: 011-23062354.

CBFTE is delivered directly by the Ministry of MSME through the IC Scheme portal, so there is no need for an agent. Because assistance is paid as a reimbursement, keep every fee receipt, certificate and shipping document, and file the claim in the same financial year as the export shipment.

How to check your application status

CBFTE claims are filed and tracked entirely on the IC Scheme portal, ic.msme.gov.in, there is no separate SMS or offline tracking channel for this sub-scheme.

1. Log in to your account on ic.msme.gov.in using the credentials created at registration.
2. Go to your dashboard or "My Claims" section. Every reimbursement claim you have filed under CBFTE, whether for RCMC, export insurance or testing and certification, is listed here with its current stage.
3. Check the claim status shown against your application. A claim typically moves through stages such as submitted, under scrutiny at the concerned office, and approved or reimbursed. If a document is found deficient, the portal usually flags the claim for resubmission rather than an outright rejection at this stage.
4. Open the claim record to see if any additional document or clarification has been requested. Respond from within the same claim, do not file a fresh claim for the same cost, since duplicate claims complicate verification and can delay both.
5. If the portal status has not changed for several weeks and you need a manual update, call the administrative helpline (011-23063526) for status on the reimbursement stage, or the technical helpline (011-23062354) if the issue looks like a portal or login problem rather than a processing delay. Keep your claim reference number ready before calling; it lets the office pull up your record without depending on your enterprise name or IEC alone.
6. Once a claim is approved, the reimbursement is credited to the bank account entered at the time of filing. If the credit does not arrive after approval is shown on the portal, verify the bank account details on file before escalating, a mismatched or since-closed account is the most common reason an approved reimbursement does not land.

Common reasons for rejection

• IEC older than three years on the shipment date. CBFTE is restricted to first-time exporters, so a claim tied to an IEC issued more than three years before the export shipment is rejected outright. There is no waiver for this condition. If your IEC has aged past the window, you are no longer eligible for CBFTE on any future shipment, regardless of whether you claimed under it before.
• Udyam Registration does not show Micro or Small status. Claims from enterprises registered as Medium, or not registered on Udyam at all, are rejected because CBFTE is limited to Micro and Small Enterprises. Before filing, confirm your current Udyam classification, investment and turnover growth can push a unit from Small to Medium between filings, which silently disqualifies a claim that would have been valid a year earlier.
• Export shipment does not fall in the same financial year as the cost claimed. The RCMC fee, insurance premium or certification charge must be tied to a shipment made in the same financial year as the claim. A claim for a certificate paid in one year but used for a shipment the following year is a common timing mismatch that gets rejected; keep the invoice date, the certificate or premium payment date, and the shipping date aligned before submitting.
• Missing or mismatched shipping proof. A claim without shipping documents that clearly establish the export, or where the exporter name, IEC or shipment date on the shipping document does not match the claim details, is sent back or rejected. Upload the same IEC and enterprise name used in your Udyam and IEC records, not a trade name or abbreviated version.
• Receipts do not match the claimed amount or category. Claiming the RCMC cap against an insurance premium receipt, or a certification invoice that does not itemise the testing or certification charge separately from other services, causes rejection or a request for a corrected invoice. Ask the certifying body or insurer for an invoice that clearly states the specific fee or premium being claimed.
• Certificate count exceeds the annual cap. Only three testing or quality certification claims are reimbursed per enterprise per financial year. A fourth claim in the same year is rejected even if each individual certificate cost is within the Rs 1 lakh ceiling; plan which certifications to claim if you obtain more than three in a year.
• Bank account details do not match the enterprise on record. A reimbursement cannot be credited to a personal account or an account under a different registered name than the enterprise's Udyam and IEC records. Use the enterprise's own current account or the account already linked to your Udyam profile to avoid a hold on an otherwise approved claim.