The Development Agency of Serbia (RAS) has prepared two new support programs for domestic firms, primarily for the small and medium-sized enterprises (SMEs) sector, which will start with the issuing of public calls that are scheduled for March and April 2020.

It is a brand new Export Promotion Support Program and a Support Program for companies to enter the chains of suppliers of multinational companies, which was first launched in mid-2019 and is already showing positive reactions by domestic companies. 

A public call for a Multinational Company Supply Chain Support Program was launched on March 2, 2020. It is intended for the manufacturing industry sector (mechanical, metal, automotive, electronic and electrical, rubber and plastics industries), with a budget of 290 million dinars.

This Program identifies the type of intervention that a company needs to improve its performance and potentially become a supplier to multinational companies. Interventions can be different, from corrections in business operations and management, through acquiring certain certificates or investing in the equipment and modernizing production. After determining what needs to be improved in the business of the potential supplier's company, the allocation of funds from the Program for the targeted improvement follows.

“We currently have 19 First Cycle Program beneficiaries, with whom we signed contracts last December.  The initial reactions of domestic companies are positive, and the commitment of the companies to the activities that are part of the Program is particularly visible, " it was said in the statement of the Development Agency of Serbia.  

The Export Promotion Support Program is a brand new RAS program that provides institutional support to export-oriented companies in the food and wood industries (furniture industry). The program envisages a support of 250 million dinars, while the official call for proposals is expected in April.

This program is designed to enable enterprises to improve their business operations in three key areas: marketing, manufacturing processes and logistics and sales, which the entrepreneurs themselves highlighted as the areas where they lacked the knowledge on doing better business with the world. This means that home-based companies will be able to expect a percentage of money to reimburse the activities that are part of these three major areas, which can be the activities ranging from branding, digital marketing, study visits, through new product development, IP protection, testing and certification, to knowledge on financial management, business conditions in foreign markets, customs and tax aspects of doing business abroad and the like. 

The aim is for companies to gain knowledge on the ways of marketing products, an effective production process and on finding contacts to appear on foreign markets, while encouraging the bonding of export-oriented Serbian companies to exchange information and appear together on specific international markets.

“What distinguishes these two new SME support programs from all previous programs launched by the RAS for the SME sector is that a business performance diagnostics phase was introduced before the award decision was made. In doing so, we were able to identify the companies and sectors that have the greatest potential for growth and to properly identify the needs of the beneficiaries, and then to identify the support package that will give the best results in improving their performance and creating opportunities for new jobs, " the Agency stated.

The public call to participate in the program of support to companies wishing to enter the chains of suppliers of multinational companies in 2020 is available on  http://www.ras.gov.rs/javni-poziv-za-ucesce-u-programu-podrske-privrednim-drustvima-za-ulazak-u-lance-dobavljaca-multinacionalnih-kompanija-u-2020-godini

Source: Development Agency of Serbia and Coordination Body