How the grant is paid

Once we assess your application under the EMDG scheme, we calculate your provisional grant entitlement. Your grant is then paid under a split-payment system.

Assessment procedure

When you submit your application under the EMDG scheme:

  • Austrade checks you have provided all the required information
  • assigns your application to an EMDG assessor
  • the assessor contacts you when they begin to assess your claim.

Assessors work to process your application quickly. You can assist by ensuring that your application is complete and accurate.

Once you have lodged your application, the EMDG Act places strict limitations on adding to the amount you claim.

Assessment of your application may involve a telephone call or a visit to your premises. You should maintain documentation for all your claimed expenses and export earnings and have them readily available to be verified.

To find out more about the documentation you need to provide for each expense category, see A Guide to Applying for EMDG (PDF).

Split-payment system

Once we complete assessment of your application we calculate your provisional grant entitlement. Your grant is then paid under a split-payment system. This system ensures that spending under the EMDG scheme is kept within budget, and that all eligible applicants receive a grant.

Under this split-payment system, we pay grants in 2 rounds:

  • Round 1: an initial payment of grant entitlements up to the initial payment ceiling amount
  • Round 2: a second-tranche payment of grant entitlements above the initial payment ceiling amount (subject to available funds)

Calculating your provisional grant entitlement

For your first 2 grants, Austrade will calculate your provisional grant entitlement based on a formula:

  • 50 per cent of (total eligible expenses - $5,000 non-reimbursable threshold amount)

For example, if total eligible expenses were $55,000, the provisional grant entitlement would be $25,000. A minimum grant of $5,000 applies. The maximum grant for eligible applicants is $150,000, subject to funds available in the scheme.

From your third grant onwards, you must satisfy the requirements of an EMDG performance measure to receive subsequent grants. You must choose one of two performance measures, Option A or Option B, and indicate your choice in the application form.

Initial payment

The initial payment ceiling amount is the maximum amount payable as an initial payment to eligible EMDG scheme applicants. The initial payment ceiling is announced in June each year.

If your provisional grant entitlement is below the initial payment ceiling amount, you will receive your full entitlement in one payment shortly after Austrade has processed your application.

If your provisional grant entitlement is above the initial payment ceiling amount, you will receive:

  1. part of your entitlement in an initial payment equal to the initial payment ceiling amount shortly after Austrade has processed your application, and
  2. a second-tranche payment at the end of the financial year.

Second-tranche payment

The value of your second-tranche payment will be based on 2 factors:

  1. the amount of your provisional grant entitlement above the initial payment ceiling amount
  2. a payout factor that Austrade will determine at the end of the financial year based on the amount of funding remaining in the EMDG budget once initial payments have been made to all recipients

You should not plan or make financial commitments that assume you will receive any level of second-tranche payment for which you provisionally qualify. Austrade accepts no liability for any loss arising from the actions of an applicant who assumes any level of payment under the EMDG scheme.