Why is it in the News?

Ahead of the interim Budget 2024, exporters have urged the government to allocate funds worth $3.88 billion for the Market Access Initiative (MAI) scheme to promote Indian exports and help them hit the ambitious $2 trillion target by 2030.

What is the Market Access Initiatives (MAI) Scheme?

• The Market Access Initiative (MAI) Scheme is an Export Promotion Scheme envisaged to act as a catalyst to promote India’s exports on a sustained basis.
• The scheme is formulated on a focus product-focus country approach to evolve specific markets and specific products through market studies/surveys.
• Assistance would be provided to Export Promotion Organizations/Trade Promotion Organizations/National Level Institutions/ Research Institutions/Universities/Laboratories, Exporters etc., for enhancement of exports through accessing new markets or through increasing the share in the existing markets.
• Under the Scheme, the level of assistance for each eligible activity has been fixed.
• The following activities will be eligible for financial assistance under the Scheme:
  • Marketing Projects Abroad
  • Capacity Building
  • Support for Statutory Compliances
  • Studies
  • Project Development
  • Developing Foreign Trade Facilitation Web Portal
  • To support Cottage and handicraft units

How does the MAI Scheme work?

• The scheme’s primary goal is to facilitate export growth by enabling entities to enter new markets or enhance their presence in existing markets.
• To accomplish this, the scheme provides predetermined levels of assistance for each eligible activity.
• By directing attention to key products and specific markets, the MAI Scheme serves as a catalyst for driving India’s export expansion in a sustainable and strategic manner.

Who is eligible to receive assistance under the MAI Scheme?

• Various entities are eligible to receive financial assistance under the MAI Scheme, including:
  • Export promotion organizations
  • Trade promotion organizations
  • National level institutions
  • Research institutions
  • Universities
  • Laboratories
  • Individual exporters
  • Start-ups

Who administers the MAI Scheme?

• The MAI Scheme is administered by the Ministry of Commerce and Industry, Government of India, through the Directorate General of Foreign Trade (DGFT).