South African export subsidies for small and medium enterprises

Growing your business means not only providing products and services to the South African market, but also doing the same in other markets. Expanding into other markets requires understanding and complying with export laws and regulations. For most small businesses, exporting not only means more compliance efforts, but also more capital. To address this, the government issues export subsidies through the Department of Trade, Industry and Competition (DTIC).

Between March 2025 and March 2026, South Africa's exports increased by R15.6 billion (9.56%) from R163 billion to R179 billion, and imports increased by R8.3 billion (5.62%) from R148 billion to R156 billion. South Africa's top exports were platinum (R26.1 billion), motor vehicles (R14.2 billion), gold (R11.4 billion), iron ore (R10.1 billion), and coal, briquettes and similar manufactured solid fuels (R9.9 billion).

These figures highlight the export potential for companies. However, SMEs still make up a small proportion of businesses exporting outside South Africa, accounting for an estimated 7.6% of total sales by SME manufacturers.

Local businesses looking to enter export markets can take advantage of state-supported resources such as export subsidies to ensure adequate capital and support to expand into other markets.

This article explains what export subsidies are, the different subsidies offered by DTIC, and the requirements you must meet to qualify.

What is an export subsidy?

Export subsidies in South Africa are government-funded financial aid designed to help local businesses develop international markets, subsidize the costs of global trade missions, and encourage foreign direct investment (FDI). The grant will be administered by DTIC.

Benefits of exporting for small and medium-sized enterprises

The benefits of exporting for South African SMEs are numerous.

Increased sales and profits: With the vast potential of customers in the global market, you can reach far beyond the limits of your domestic market. Economies of scale: Expanding production to serve larger markets improves cost efficiency and makes products and services more competitive locally and internationally. Brand awareness and reputation: Establishing an export presence increases your brand visibility and credibility internationally and can attract new domestic customers. Currency diversification: Earnings in foreign currencies can reduce the risks associated with rand fluctuations and increase financial stability. Knowledge transfer and innovation: Exposure to new markets, technologies, and business practices fosters innovation and continuous improvement within small businesses.

Main features of small business grants

Grant financing for small and medium-sized enterprises primarily uses a mixed finance model that combines non-repayable grants with low-interest loans or equity. These programs are deeply connected to socio-economic transformation and strictly target historically disadvantaged populations (HDI) to stimulate job creation and local manufacturing.

The main features are:

Blended financial instruments: Direct grants that do not require repayment are rare. Most governments and development agencies offer a combination of grants and soft loans (often with capped interest rates, for example 5%) to ensure that business owners share financial responsibility. Transformation and capital requirements: To qualify, most funds require that at least 51% of the business be owned by black South Africans and that the owners be actively involved in the day-to-day running of the business. Mandatory compliance: Businesses must be duly registered with the Companies and Intellectual Property Commission (CIPC), have a valid tax certificate from SARS, and be in good standing with the Unemployment Insurance Fund (UIF). Non-financial support: Funding agencies bundle financial services with pre- and post-investment business development, such as mentoring, technical skills training, and product certification assistance. Sectoral focus: Grants and grants will prioritize designated sectors, particularly agro-processing, digital innovation, manufacturing and green economy initiatives.

Export subsidies for small and medium-sized enterprises

The following are grant programs administered by DTIC that aim to enable small and medium-sized enterprises to participate in global markets through exports.

Export Marketing and Investment Assistance (EMIA)

The Export Marketing and Investment Assistance (EMIA) program aims to partially compensate existing and potential private exporters for eligible costs incurred in respect of activities aimed at developing export markets for South African products and services, and to attract new foreign direct investment into South Africa.

The EMIA program consists of the following individual participation incentive products:

Individual exhibition support and in-store promotion EMIA primary market research (PMR) and foreign direct investment research Inward missions for individuals

The EMIA scheme achieves its objectives by providing support to exporters including:

Patent registration, quality and product marking support Marketing Identifying new export markets through market research FDI missions and research to grow FDI

Who is eligible?

South African exporters and manufacturers whose products have more than 40% locally sourced content or added value, including South African companies of packaging and raw materials owned by export trading companies representing historically disadvantaged individuals (HDIs) or three or more small and medium-sized enterprises (SMMEs). South African Commission agent representing three or more HDI-owned companies or SMMEs. South African industry associations, export councils and joint action groups (JAGs) representing five or more South African businesses.

Eligibility criteria

The business has been trading for more than one financial year (two financial years for SA Pavilion) The business must be registered as a South African legal entity (unless a partnership or sole trader) The applicant must be a registered taxpayer in good standing with the South African Revenue Service (SARS) and be able to produce a tax return Completed application form is submitted to DTIC 3 to 6 months before the start date of the planned event South African Customs Union (SACU) Exporters to countries will: Not eligible Individual Participation Grant applications are limited to four per calendar year Only one company representative is eligible for support (ideally someone with authority to enter into contracts on behalf of the company, such as a senior executive)

General eligibility criteria:

Export readiness Export or production performance Export and marketing capabilities of the individuals selected to visit the foreign (exporting) country Availability and availability of production and export capabilities Quality of marketing plans for export Type of exported product and its performance in the local market Complexity of the product (location, labor absorption, technical requirements, etc.) The industry in which the company operates Complete and timely submission of documentation and compliance with the standards specified for each EMIA scheme offering

How EMIA classifies export subsidies and incentives

The EMIA program classifies export subsidies and incentives as follows:

Individual participation – applies to DTIC Industrial Finance Branch (IFB) Group offering – applies to DTIC Trade and Investment South Africa (TISA) Sectoral Support Scheme (SSAS) and Capital Project Feasibility Program (CPFP) – applies to IFB