Benefits of APEDA Registration for Agricultural and Processed Food Exporter

  • February 25, 2023
  • Dushyant Sharma
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The agricultural Sector makes up 6% of overall industrial investment in India with 13% of overall exports accounting to agricultural produce. The Agriculture Products Industries are scaling to curve because of various government initiatives to promote agriculture through the following schemes:

  • Soil Health Cards
  • Storage Warehouses
  • Necessary Infrastructure
  • Water Irrigation schemes

The Agricultural and Processed Food Products Export Development Authority or simply the APEDA is one such organization. APEDA is a government organization that offers funding, training, and consultancies to scheduled product manufacturing businesses. The APEDA came into being as per the recommendations of the APEDA Act. As per the Acts regulations, every scheduled products as well as its exporters must register for the APEDA registration. The purpose is to promote the export of scheduled products, by undertaking functions under the supervision of the Central Government, which sets the rules and regulations for the APEDA and effectively implements them. This article will focus on the on the specifics of the benefits & subsidies offered to APEDA licensed exporters.


Why opt for APEDA Registration as an Agri-Exporter in India?

For a country to flourish economically in today’s time, its exports must soar to new heights. For India, which exports a large number of agricultural commodities, APEDA Registration for export, as a successful government scheme of the Central Government, maintain the quality and quantity of such exports.

The APEDA License Registration benefits are not reserved exclusively for Exporters. The Farmers & Merchants can also benefits from the APEDA scheme. However, major benefits of APEDA Registration for Export is available to agri-based Exporters directly, so they can boost their business through the offered assistance. Some of the benefits for APEDA License Registration are as follows:

  • Promote participation in Training Sessions to improve their product’s quality and quantity
  • Increasing Trade through by getting international customers
  • Entering newer Agreements for Commodity Packaging
  • Establishing a Export Directory record
  • Expolit benefits from Government schemes by demonstrating your product’s reputation


Financial Assistance Scheme & Benefits under APEDA

APEDA is an Export Council in India responsible for regulating export activities such as promoting exports through financial assistance in three different categories. Every exporter under APEDA Registration incurring expenses under three categories can claim refunds with the APEDA.

APEDA Initiatives for Market Growth and Maintenance

The Department of Commerce is furthering MDA or Marketing Development Assistance scheme according to the present macroeconomic circumstances, by emphasizing exports and allowing initiatives to widen the country’s export trade.

For such purposes, APEDA provides financial assistance for growing product design and development through the following:

  • Various Feasibility studies
  • Trial Shipping of Horticulture items
  • Brand Registration abroad

After that, claimants can claim up to 40% of the entire cost, with at most Rs 10 lakhs for one activity. The APEDA allocated Rs 46 crores for Market Development and Maintenance under its Financial Assistance Scheme.

Development of Export Infrastructure in India

APEDA also finances Exporters on harvesting infrastructural development for new horticultural produce such as the following:

  • Integrated export produce packaging houses
  • Shielded & Refrigerated Transport for Produce
  • Portable Pre-Cooling Units at the facilityPlantain Cable Handling Systems

The APEDA-registered Exporter can opt for reimbursement up to 40% of the overall cost. The maximum it can go for Rs 100 Lakhs per activity.

Financial Assistance for Export Quality Development

Exporters can opt for reimbursement of the incurred cost to improve the quality of products. For instance, to implement FSMS (Food Safety Management Systems) such as ISO 22000, the exporter must adhere to the International Quality Standards under ISO 9001 certification. He must also acquire hand-held devices for catching farm-level peripheral information for traceability systems eligible for a refund at 40% of the total incurred cost.

Here, the maximum refund that the APEDA exporter can avail is up to Rs. 4 Lakhs per applicant. The Union Government in 2019’s budget raised Rs 56.6 crores for quality development under the APEDA-offered Financial Assistance scheme.

For more on APEDA-related schemes, connect with the APEDA License consultants at Registrationwala.


Also Read: What is APEDA, and why is it important for businesses?

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Dushyant Sharma
Author: Dushyant Sharma

Hey there, I'm Dushyant Sharma. With the extensive knowledge I've gained in past 8 years, I have been creating content on various subjects such as banking, insurance, telecom, and all the important registration and licensing processes for various companies. I'm here to help everyone with my expertise in these areas through my articles.

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