Industrial Cooperation Program (CIDA-INC)
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Program Description
Eligibility
Assessment Criteria
Application Process
Links
Program Description
The Industrial Cooperation Program (CIDA-INC) is a cost-sharing program that provides a financial incentive (a cash contribution) to Canadian companies to start a business or provide training in developing countries or countries in transition to a market economy.
CIDA-INC aims to stimulate private sector development and investment in developing countries in order to promote sustainable development and poverty reduction. CIDA-INC is linked to a key CIDA goal, which is to support private sector development in developing or in-transition countries by creating jobs, increasing local capacity, and strengthening local economies.
CIDA-INC's financial contribution is provided mainly for studies and training activities. Eligible projects are funded under one of two mechanisms:
- Investment Mechanism—CIDA-INC will fund viability studies and start-up activities by Canadian firms that produce goods or services in an eligible developing country; or
- Professional Services Mechanism—CIDA-INC will fund feasibility studies and implementation by Canadian consulting firms that wish to provide professional advice, or implement and transfer technology for a national or regional infrastructure project. These projects must have funding from the host country government or an international funding agency other than CIDA.
For more information, please refer to the CIDA-INC Program Guide.
 Eligibility
Eligible firms are those that:
- are subject to corporate income tax in Canada;
- have been in business in Canada at least three years and are financially sound;
- have had annual sales of more than $700,000 for at least two consecutive years;
- have a proven track record in their product or service;
- are committed to establishing long-term business relationships in a developing or in-transition country;
- can show that their proposed project has a connection to their corporate business plan;
- have established contact with a partner in a host country;
- have a potential source of funding; and
- are ready to invest in training, promote gender equality, and promote environmental responsibility as part of the project.
Firms that are not eligible include:
- federal and provincial government agencies;
- not-for-profit organizations;
- public educational institutions;
- research institutes; and
- individual consultants.
Projects that are not eligible include:
- product testing and marketing;
- selling or exporting activities;
- establishing business agency services;
- speculative activities such as mining exploration;
- management plans or studies not directly related to the proposed project;
- projects that might create negative economic consequences in Canada; and
- nuclear technology projects.
Assessment Criteria
Assessment criteria include:
- the viability of the project on a technical and commercial basis;
- the specific, measurable, benefits and developmental impacts for the host country;
- the level of risk in terms of access to funding, the local partner’s capacities, the project’s potential for success, and the country’s political situation; and
- the technical approach, level of experience, the proposed team, and the firm’s work methods.
An interdepartmental committee will also provide comments on your application. The committee is made up of representatives from:
- Foreign Affairs Canada;
- International Trade Canada;
- the Canadian embassy in the host country;
- Export Development Canada; and
- Industry Canada; and
- CIDA's technical, environmental, financial and social specialists, and regional staff.
The approval process includes:
- consulting with other federal institutions;
- consulting the Canadian embassy in the country where a firm intends to work; and
- reviewing the social, environmental aspects of the project and the financial capacity of the firm.
Approval process and average contribution:
- It akes about 16 weeks to process applications from the time all documentation is received.
- Average CIDA-INC contributions to Canadian firms range from $100,000 to $600,000, which generally reprensents a contribution of up to 75% of eligible costs.
Application Process
- Read the CIDA-INC Program Guide to see if your firm is eligible and to understand the next steps to take to make an application.
- Discuss the proposal with a Private Sector Directorate (PSD) contact to be sure the proposal will be considered.
- This person will explain what information is necessary to include in an application.
- Each of the two project phases (study and project support) that CIDA-INC will fund requires a separate application.
- Submit your project proposal through Doing Business Online with CIDA. For technical assistance, please contact the CIDA Help Desk at (819) 994-1904 or toll free at 1-866-353-0333.
Links
The following related sites provide necessary, relevant background documentation for CIDA-INC participants:
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