e-Export Supports have started for Turkish Exporters

August 27, 2022by Bünyamin Esen0

With the Presidential Decision No. 5986 which is published in the Turkish Official Gazette dated 25th of August, 2022 and numbered 31934, “e-Export Supports Programme” has entered into force for Turkish enterprises engaging with export activities. As a very important public support programme e-Export Supports Programme aims to create Turkish export platforms.

The relevant decision will enable companies, marketplaces and retail e-commerce sites to be prepared for e-export, to display and promote Turkish products and brands online in foreign markets and marketplaces, to support the expenses related to fast delivery for overseas orders, and to enable companies to perform e-exports. It is aimed to cover the expenses related to the activities of the e-Export Consortiums and the Turkish e-Export Platform. The supports within the scope of the decision will be paid from the Support and Price Stabilization Fund (DFIF) of the Ministry of Commerce of Republic of Turkey.

Within the scope of the decision; e-Export consortiums, retail e-commerce sites and marketplaces will be supported from the defined rates and amounts. A summary of each item of the grants and supports brought within the scope of the decision is shared below:

 

Digital Marketplace Promotion Support

For companies, e-export consortiums and retail e-commerce sites; digital marketplace promotion expenses, which do not exceed 20% of the total sales returned through digital advertisements realized through foreign marketplaces, can be supported at a rate of 50% for each marketplace for up to 3 (three) years. This support shall not exceed TRL 7.5 million per year depending on the level of the companies, TRL 15 million per year for retail e-commerce sites, and TRL 25 million per year for E-Export Consortiums.

E-Export Promotion Support

Expenditures of e-export consortiums, retail e-commerce sites, B2B platforms and marketplaces regarding other marketing activities determined by the Ministry of Trade, excluding the promotional activities specified in the Article 4 of the Presidencial Decision, can be supported by 50% and for up to 3 (three) years for each country. This support shall not exceed TRL 4 million per year for B2B platforms, TRL 15 million per year for E-Export Consortiums, TRL 25 million per year for retail e-commerce sites, and TRL 30 million per year for marketplaces.

Order Fulfillment Service and Warehouse Rental Support

Expenses for order fulfillment services that do not exceed 10% of the total e-commerce sales of companies, e-export consortiums, retail e-commerce sites and marketplaces in the relevant country can be supported by 50% for a maximum of 3 years for each country.

As to ensure fast delivery of products and to manage their return processes, rent expenses for warehouses abroad can be supported for e-Export Consortium, retail e-commerce sites and marketplaces, within the rate of 50% per unit, for a maximum of 3 (three) years for each country and up to TRL 5 million per year. Rental expense support can be used for a maximum of 25 units.

The supports within the scope of this item shall exceed TRL 7.5 million per year, TRL 15 million per year for marketplaces, TRL 25 million per year for retail e-commerce sites and E-Export Consortiums, depending on the scope of companies.

International Marketplace Integration Support

For e-Export Consortium, retail e-commerce sites and marketplaces, integration services to foreign marketplaces can be supported within the rate of 50% for the integration of a maximum of 6 marketplaces and a maximum of 3 years per marketplace for each integration. This support will be applied up to TRL 200.000.

German Service Support from Online Store and Target Country E-Commerce Stakeholders

Expenses of companies, e-Export Consortiums and retail e-commerce sites for opening online stores in foreign markets of target countries, annual payments of these stores and services to be received from the e-commerce stakeholders of the countries can be supported for up to 3 (three) years for each country at a rate of 50%. e-Export Consortiums can be supported up to a maximum of TRL 3 million per year, and other beneficiaries up to a maximum of TRL 1.5 million per year.

Marketplace Commission Expense Support
For companies, E-Export Consortiums and retail e-commerce sites; marketplace commission expenses in target countries, which are realized through foreign marketplaces, will be supported by a rate of 50% for up to 3 (three) years. This support shall not exceed TRL 750.000 per year depending on the level of the companies, TRL 2.5 million per year for retail e-commerce sites, and TRL 3 million per year for E-Export Consortiums.

Upper Limits for Beneficiaries
The sales rate of Turkish products and the sales rate of branded products within the scope of the Brand and TURQUALITY® support program will be taken as a basis in calculating the support rate for the payments within the scope of the above-mentioned supports.

From the supports within the scope, according to the level of companies, up to TRL 15 million per year, and for e-Export Consortiums, retail e-commerce sites and marketplaces up to TRL 45 million per year shall be covered. For B2B platforms this limit will be applied as TRL 4 million TL per year.

Sectoral Trade and Buying Committee Support

Transportation, accommodation, promotion and organization expenses related to sectoral trade delegation activities covering general retail products suitable for e-commerce can be supported by cooperation organizations at the rate of 50% and up to TRL 1.5 million per activity.

Transportation, accommodation, promotion and organization expenses related to sectoral purchasing committee activities covering general retail products suitable for e-commerce can be able to be supported by cooperation organizations at the rate of 50% and up to TRL 1.25 million per activity.

Expenses related to virtual trade delegation activities, which are organized by cooperation organizations under the coordination of the Ministry and cover general retail products suitable for e-commerce, can be supported at the rate of 50% and up to TRL 1 million per activity.

e-Export Promotion Project Support

Expenses related to the promotion, consultancy, market research studies and reports to be carried out by the cooperation organizations within the scope of the project they will be submitted to the Ministry for the purpose of promoting e-commerce and general retail products in foreign markets and digital platforms deemed appropriate by the Ministry of Commerce General Directorate of Export can be able to be supported. This support shall not exceed 2 (two) expenses at the same time. For each project, the support shall be applied at the rate of 75% and up to TRL 4 million per year for at least 1 (one) and at maximum 4 (four) years.

Cooperation organizations will be able to benefit from e-export promotion support for a maximum of 2 projects in the same country.

e-Export Development Project Support

The digital marketplace promotion, e-export promotion, order fulfillment service, warehouse rental, overseas marketplace integration, online marketplace promotion, which are included in the second section, to be carried out by cooperation organizations in order to enable their members to act jointly towards e-export and to facilitate market entry conditions in target countries, can be supported. The expenses related to the projects consisting of opening a store, services received from e-commerce stakeholders and marketplace commission expenses will be supported by 75%, for a maximum of 2 projects at the same time and up to TRL 15 million per project.

Turkey e-Export Platform Support

Establishment and operation of the Turkey E-Export Platform, which will be established under the coordination of the Ministry of Trade and by the cooperation organization to be appointed by the Ministry, and which will enable digitalization of Turkey’s exporter inventory, twinning of importers and exporters, receiving and fulfillment of orders, digitization of export transactions and use of new generation technologies, shall be supported.

The expenses of the cooperation institution for the promotion of the company can be supported at the rate of 75% and for a maximum of 5 years, up to a maximum of TRL 150 million per year. In this context, a maximum of 1 project can be supported.

Execution of e-Export Support Programs and Project Based Supports

For the implementation of these mentioned supports, all of the software, employment, training, organization, promotion, consultancy and report expenses related to the e-export supports of the Turkish Exporters Assembly can be able to be supported up to a maximum of TRL 30 million per year.

Bünyamin Esen

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