IN NEW CALEDONIA
New Caledonia’s institutions have put different tools in place to support export and offer a variety of aids.
- The South Province’s CASE: The Economic Support Code is a provincial scheme offering entrepreneurs financial aid to enable them to benefit from the following support schemes (aid to export related/ logistical support employment /prospecting support)
- The Export Tax Credit: Two tax measures enable New Caledonian companies to benefit from a tax credit from 1 January 2018.
- A tax credit for up to 50 million available for no more than 15 straight years for expenses associated with export-oriented commercial prospection. This tax credit will mainly cover expenses for travel, showcase/mission participation, market research, translation and interpreting, industrial property rights protection on international markets, attorney fees associated with international contracts.
- A tax deduction to compensate for the payment of export additional cents, more commonly known as the export tax. New Caledonian exporters will benefit from a deduction equal to twice the amount of the additional cents integrated into the calculation of the patent. Additional cents are taxes calculated on the basis of annual export volumes.
- The Economic, Social and Cultural Cooperation Fund for the Pacific : also known as « the Pacific Fund » is France’s main regional cooperation instrument in the Pacific . It is financed by the Ministry for Foreign Affairs and contributes through this cooperation with Pacific independent States to New Caledonia’s, French Polynesia’s and Wallis & Futuna’s regional insertion.
In 2017, New Caledonia’s annual co-financing of this cooperation instrument amounted to 20 million XPF which were used to support projects from the priority themes identified by France:
- Projects enabling French collectivities to be associated to the fight against climate change and natural disaster risk prevention.
- Economic and industrial projects such as feasibility studies, impact studies, training activities, involving the know-how of French collectivities or benefiting them while participating in the strengthening of economic exchanges at the regional level.
- Health Security projects (fight against endemic non-communicable diseases or those caused by infectious vectors) and food security projects.
The Public Investment Bank (BPI) offers three products in New Caledonia (more information on www.icap.nc)
- The Hospitality Loan
- The Catering Loan
- The New Caledonia Loan
France’s tools and instruments aimed at supporting export are:
The Public Investment Bank (BPI) is a French funding and company development organization tasked with supporting small, midsize and innovative companies, alongside national and regional public policies. Since 2013, the Public Investment Bank seeks to be a preferred funding partner through the mobilization of investment funds or by providing guarantees.
BPI France offers 2 financial aid tools:
- The prospection insurance pays for the company’s prospection expenses which could not be covered by sufficient sales in the targeted geographical area.
- The export tax credit which pays for capital goods or services provided to a foreign client.
(More information on www.bpifrance.fr)
Business France : the organization seeks “to support international development of small and medium size companies and their exportations, inform and support foreign investors in France and promote France’s, its companies’ and its territories’ economic attractiveness and image” (More information on www.businessfrance.fr)
Thanks to its experience, its expertise and its privileged relationship with these different partners, NCT&I can act as the ideal intermediary for New Caledonian companies aiming to develop their exportations. The cluster is a point of entry into various existing support tools and supports companies through all the required procedures.
THE EUROPEAN INVESTMENT BANK
The European Investment Bank (EIB) grants funding (loans and guarantees) to investment projects (public, private or resulting from a public/private partnership) which meet some of the European Union’s objectives.
The EIB Group whose subsidiary is the European Investment Fund (EIF) enhances small and midsize companies’ environment through contributions, guarantees or the setting up of capital-investment regional structures. The EIB and the EIF generally cover around 1/3 of the project’s costs, sometimes 50 or 75 %.
Specialized in guarantee instruments, capital risks and technical assistance, the EIB also grants loans for:
- Support for big individual projects (whose investment costs exceed 25 million euros). The EIB generally funds 1/3 of the cost but its support can reach 50 %. Rates may be fixed, variable or adjustable.
- Loans with bank intermediaries (or lines of credit) which indirectly targets small and midsize companies or small local collectivities through banks and financial institutions which undertake a project analysis for projects whose cost is under 25 million euros.