Public call for participation in the 2020 Business Support Program for Export Promotion

The Development Agency of Serbia (hereinafter: the Agency) has decided to support the improvement of the export potential of domestic companies by creating the Support Program for Businesses for Export Promotion (hereinafter: the Program), with the aim of increasing income from exports of selected sectors, increasing the degree of utilization of their existing production capacities, improving their competitiveness, balancing the balance of payments of the Republic of Serbia and increasing the placement of domestic products on foreign markets.

TERMS FOR APPLICANTS

The right to participate and use grants is granted to the Applicant who cumulatively fulfills the following general and special conditions:

General conditions

1. that the Applicant is registered in APR as of January 1, 2018;
2. that the Applicant's capital is not in public ownership;
3. that the Applicant has settled the due obligations on the basis of taxes and contributions;
4. yes the Applicant is not in difficulties in accordance with the rules for granting state aid.

Special conditions:

Technical capacities:

1. yes the Applicant has an implemented ISO 9001 quality system;
2. yes The applicant has an implemented HACCP quality system, if it operates in the food industry sector.

Business capacities:

1. that the main activity of the Applicant is in the food industry sector or the wood industry sector (furniture production);
2. that the Applicant is mainly engaged in the production of final products from the above sectors, which are intended for retail.

Personnel capacities:

1. yes, the Applicant has a minimum of 15 employed persons, as of December 25, 2020, according to CROSO records.

Financial capacities:

1. yes, the Applicant generated business income in 2019 of at least 36,000,000.00 dinars;
2. that the value of the Applicant's fixed assets, in the balance sheet in 2019, is not less than 36,000,000.00 dinars;
3. that no previous bankruptcy proceedings, bankruptcy proceedings, reorganization proceedings or liquidation proceedings have been initiated against the Applicant;
4. that the Applicant in 2019 achieved exports of at least 12,000,000 RSD.

PURPOSE OF GRANTS

Grants approved in accordance with this Program can be awarded in connection with the implementation of project activities aimed at target markets, i.e. intervention measures related to:

• Consulting support for export marketing activities

• Analysis of the User's market and product range for export to target markets;
• Development of product placement analysis, including private label distribution channels;
• Development of a marketing plan and identification of distribution channels in the target market and establishing contacts with distributors;
• Development of a product branding plan according to the target market;
• Marketing activities on brand promotion or products of the User foreseen in the marketing plan or branding plan;
• Design and redesign of products, packaging and packaging in order to adapt to regulatory requirements of the target market or market analysis and marketing plan or branding plan.

Funds from this activity cannot be used for the costs of making packaging or labels and the costs of making printed and other promotional materials.

For this activity, a refund of up to 60% of the total value is possible. justified expenses, and in the maximum amount of 3,000,000.00 RSD.

• Exhibition at international fairs and business meetings

- Exposition at international fairs in the field of wood and food industry, in the target market;

Funds from this activity can be used for: renting space, making a stand and supporting services (electricity, water, internet, mandatory registration fee) and transport costs samples/exhibits;

- Visiting a customer or distributor as part of the company's mission;

Funds from this activity can be used for: hiring consultants to identify potential customers or distributors in the target market, establishing contact with potential customers or distributors, preparing the User for B2B meetings with potential customers or distributors within the scope of the company's missions.

- Participation in online fairs, webinars and events from the wood and food industry;

Funds from this activity can be used for participation costs for participating in these events.

For this activity, a refund of up to 50% of the total value of justified costs is possible, with a maximum amount of 1,500,000.00 RSD.

• Entering the target market and improving its position

- Costs of the certificate, homologation, certification of products and production processes required for the placement of products on the target market;

In the case of certification of products and production processes, funds from this activity can only be used for the costs of the first certification;

- Costs of listing the product in trade chains on the target market.

For this activity, a refund of up to 50% of the total value of justified costs is possible, with a maximum amount of 3,000,000.00 RSD.

• Consulting support for improving export capabilities

- Gaining knowledge related to sales on the foreign market/online sales;

- Financial management;

- Calculation of product prices and export costs;

- Gaining knowledge related to legal/customs/tax aspects of business on the foreign market.

Up to 50% refund is possible for this activity from the total value of the justified costs, and in the maximum amount of 1,000,000.00 RSD.

• Improving production capabilities

- Development of a new product according to the requirements of the target markets;

- Procurement of specific equipment in order to increase exports to the target markets;

Funds for this activity can be refunded only if all other activities from Intervention plan implemented and verified. The activity is conditioned by the implementation of other activities from the Intervention Plan and the consultant's report on the possible needs of the company for the procurement of equipment to enable export to the target market. The equipment must be identified through the requirements of the target market and in the function of improving export activities on the target market.

For this activity, a refund of up to 60% of the total value of the justified costs is possible, in the maximum amount of 4,000,000.00 RSD.

Costs that cannot be subject to co-financing under this program are:

- Costs of guarantees, insurance policy, interest, exchange rate differences;

- Customs and administrative costs;

- Enforcement costs.

The agency reserves the right to correct the final percentage share of co-financing for each activity, as well as the approved amount.

AVAILABLE FINANCIAL RESOURCES

For the implementation of this program, it has been determined budget in the amount of RSD 150,000,000.00.

Available funds are approved individually to Users, by refunding as co-financing up to a certain percentage of the amount of justified costs of project activities without VAT.

Each Applicant can submit one application, with the fact that within one application he must apply for more than one activity. The User can be granted a maximum amount of RSD 10,000,000.00 for all activities from the Intervention Plan, and upon its final approval.

The Agency co-finances the User's activities through reimbursement of costs up to a certain percentage, which represent acceptable costs in terms of this Program. Justified costs in relation to which grants are awarded do not include calculated VAT.

The reimbursement of costs is made after the complete implementation of the activities included in the Intervention Plan accepted by the Agency, with the submission of the requested documentation, and after the Agency verifies that the activities have been completed.

REGISTRATION METHOD

Public call for participation in the Program was announced 25. December 2020 and will last 60 days, i.e. until February 23, 2021.

Applications are submitted electronically, by creating a user account at the link https://prijave.ras.gov.rs/Izvoz. Creating a user account opens a page for entering data, as well as entering supporting documentation, and all within Form 1 - Application for participation in the Program. Each Applicant receives a notification of receipt of the application, the institutional number of the application and the Agreement on Confidentiality of Information. The application link is available until the end of the Public Call, after which it is no longer possible to submit an application.

Each Applicant may submit one application, with the obligation to apply for a minimum of two activities that are defined as acceptable

REQUIRED DOCUMENTATION FOR COMPETITION

Each Applicant is obligated to submit submit the application to the Agency's Portal and attach the following documentation:

1. Form 2 - Statement on the fulfillment of the conditions of the Program and the granted state aid de minimis, which was issued under full material and criminal responsibility;
2. Form 3 - Proposal for an intervention plan;
3. Declaration that the Applicant and his legal representative have not been convicted of criminal offenses against the economy;
4. Copy of the certificate of the competent tax authority administration that the Applicant has settled all due obligations based on taxes and contributions, no older than one month from the date of publication of the Public Call;
5. Copy of the ISO 9001 quality system certificate issued by the certification body accredited by ATS;
6. Agreement on confidentiality of information signed with the electronic signature of the Applicant's legal representative.

The applicant with The application can also be submitted with the following documentation:

• Evidence of an active commercial relationship with a foreign customer;
• Copies of industry-specific standards issued by the IAF MLA member for external audits, i.e. by the corresponding institution;
• Copies of export permits;
• Previously prepared target market analyses, product placement analyses, marketing plans, etc.;
• As well as other documentation that may have an impact on the evaluation of the application.

The program and all supporting forms are available on the website: www.ras.gov.rs

Supporting documentation:

• Text of the Public Invitation
• Support program for companies for export promotion in 2020 with instructions for enforcement
• Form 3 - Intervention Plan Proposal
• Confidentiality Agreement information