BUD FTA Highlights
- 50% of cost sponsored by Government
- 75% of total grant as initial payment
- Separate bank account NOT required
- HK$1,000,000 at most for each application
- HK$7,000,000 at most for eligible enterprise
- Applicable to the Free Trade Agreement with HK economies (incl. Macau)
If you need a BUD consultant, please contact BizMagnet.
BUD Fund – Background
In order to raise the competitiveness of Hong Kong companies in mainland China, the HKSAR government launched the Dedicated Fund on Branding, Upgrading and Domestic Sales (BUD Fund) in 2012. In 2018, the BUD Fund extended to the ASEAN members and separated into 2 programmes: Mainland programme and ASEAN programme. On 20th January 2020, the BUD Fund furthered to all Free Trade Agreement (FTA) economies. Ordered by date, FTA regions with Hong Kong include: New Zealand, European Free Trade Association (EFTA, consists of Iceland, Liechtenstein, Norway, and Switzerland), Chile, Macau, ASEAN, Georgia and Australia.
From 30th July 2021, the FTA Programme extended to Investment Promotion and Protection Agreement (IPPA) economies, Japan and Korea. The Programme renamed as “FTA and IPPA Programme”, and an eligible enterprise can get at most HK$6,000,000 from Mainland programme and FTA and IPPA programme. From 14th February 2022, the FTA and IPPA Programme extended to Austria, Belgo-Luxembourg Economic Union, Canada, Denmark, Finland, France, Germany, Italy, Mexico, the Netherlands, Sweden and the United Kingdom. From 27th June 2022, the Programme extended to Kuwait and the United Arab Emirates. From 31st October 2023, the Programme extended to Türkiye. From 3rd March 2024, the Programme extended to Bahrain.
From 7th November 2022, the maximum subsidy increases to HK$7,000,000.
BUD Fund – Eligibility
- Valid Hong Kong Business registration
- Non-listed company
- Both manufacturer and service provider are eligible
- Business in FTA regions is NOT a requirement
BUD Fund – Application document
- Company authorized application form
- Copy of business registration certificate
- Shareholder structure supporting (e.g. NAR1)
- Proof of substantive operation (e.g. MPF record)
- Proof of relation between Hong Kong applicant and FTA region business
Upper limit of Grant for each application
50% of the project total cost, ceiling at HK$1,000,000
BUD Fund – Application flow
- Submit application to BUD Secretariat
- Application approved
- Initial payment (75% of the total grant)
- Start the BUD project
- Submit progress report and annual audit report
(If more than 18 months) - Complete the BUD project
- Submit the final report and the final audit report
- Receive the remaining grant
BUD Fund – Scope
- Branding
- Marketing
- New employment
- New machinery
- Online or offline advertisement
- Exhibition and promotion event
BUD FTA Official website: https://fta.bud.hkpc.org/