The Export Market Development Grants program provides grants to eligible Australian small to medium businesses, and to their representative bodies. Grants can be spent on additional eligible marketing, promotional, and training activities that help create, expand, and diversify export markets. It's a matched funding program. Successful applicants must always match the amount of their EMDG grant by spending an equal amount of their own money on the eligible activities. EMDG is administered by the Australian Trade and Investment Commission, aka Austrade.
In recent years, demand on the EMDG program has grown, leading to grant amounts decreasing significantly. So, after extensive consultations with stakeholders, changes have been made to the program. The grant amounts will be set and allocated to eligible applicants until the funds run out, but successful applicants will receive a more impactful grant amount that should make a greater difference to their exporting outcomes.
Austrade has also identified and examined the common characteristics of successful exporters. So the government has introduced eligibility requirements to support businesses most likely to succeed. This means even if you've received an EMDG grant before, you should read the Austrade website and grant guidelines and check you're eligible under the new rules.
So who is eligible now? For a start, your enterprise must meet eligibility for one of 4 grant tiers. Tier one is for businesses new to export and ready to export. Tier 2 is for businesses growing their exporting within existing markets. Tier 3 is for businesses growing exports into new key markets. And there's a tier for representative bodies that support their members to achieve export success through promotion and/or export readiness training. To apply for tiers one, 2, or 3, your Australian business must have an eligible product of Australian origin; and have operated for 2 years with the same ABN; meet a minimum annual turnover, which differs for each tier; and show you have capacity to spend the minimum amount on eligible promotion activities.
Some tiers have other specific requirements too. If you're applying for tier one, you will need to do an Austrade recognised export training course, or pass an online Austrade Export Readiness Test. If you're already exporting and applying for tier 3, you must diversify into specifically identified markets. If you're an eligible representative body, you must show how you'll support trade diversification in your plan for export training, or the marketing activities that you're undertaking on behalf of your members. Finally, for all tiers, applicants must produce a high-quality plan that justifies your planned spending, be up to date with your tax obligations, and act ethically and professionally.
Like any program, grant funding is limited. Maximum grant amounts are included in the guidelines though, so you'll know upfront how much you may be able to apply for and receive, if successful, and match your grant. Great for business planning! When a grant round opens, you can submit your application yourself through the EMDG online portal. Keep in mind, we usually receive a large volume of applications, and Austrade treats all applicants the same. We assess applications in the order they are received. Once all grant funds for a tier are allocated, that tier's round will close, and that could happen quite quickly. Some applicants may miss out, so we recommend you start planning ahead. There are plenty of resources on our website to help guide you through EMDG. Just go to austrade.gov.au/emdg to get started.