Export Challenge Fund

 

 

The Trade Facilitation and Customs Support (Tasdeer) programme, in collaboration with the Palestinian Federation of Industries (PFI), is introducing the Export Challenge Fund, which is a performance-based reward programme designed to support Palestinian exporters in expanding their exports to international markets excluding the 48th lands. It aims to reduce market dependency, de-risk investment, and foster sustainable economic resilience in the Palestinian private sector.

Programme Budget and Design

Tasdeer is dedicating a total budget of up to $1,000,000 to allocate through cash grants to exporters who achieve up to $1 million of additional exports by June 2026. This dedicated budget is subject to available funding by FCDO and could be reduced or increased based on donor’s instructions.

 

Additional exports will be calculated as exports to countries other than Israel exceeding the average exports of 2023 and 2024 (the baseline) and recorded over one of two periods: January 1st, 2025 to December 31st, 2025 or June 1st, 2025 to May 31st, 2026. Subscribers will have to select one period to report on. Both the PFI and Tasdeer will track and verify exports within the selected interval.

 

Subscribers who meet all the Terms and Conditions of the Challenge Fund programme will receive up to 10% of the additional export value (export value above the baseline), with a ceiling of $100,000 per company, based on a ‘first-come, first-served’  basis and availability of funding.

 

Target Group

Registered industrial and agribusiness exporting companies which can present evidence of export values and quantities for the years 2023 and 2024.

Eligibility and Selection Criteria

Eligible firms must meet the following criteria:

  • Registered with the Ministry of National Economy (MoNE) or Ministry of Industry (MoI) as a manufacturing facility.
  • Both registered and operating in the exporting business for at least 2 years.
  • Able to provide verified historical export data for the baseline period (2023 and 2024), as well as audited financial reports.
  • Good standing with the Income Tax Authority and VAT.
  • Possess the financial capability and willingness to commit to a results-based programme by signing a Letter of Intent (LOI).
  • Pass Tasdeer's standard due diligence, vetting and compliance checks.

Non-Eligible Firms: 

  • Grantees who received or about to receive funding support through any of Tasdeer’s other grants.
  • Tobacco production, processing, storage 
  • Alcohol, wine, spirits.
  • Real estate and property development.
  • Traders and re-exporters.
  • IT Companies  

How the Programme Works

 

Required Documents 

Applying firms must submit the following documents:

  • Completed application.
  • Valid (within one year) registration certification with the Ministry of National Economy (MoNE) or/ MoI operational licenses for industrial facilities.
  • Copies of owners and senior management IDs.
  • Audited financial reports for 2023 and 2024.
  • Valid Tax deduction at source.
  • Supporting export documentation for all export transactions in 2023 and 2024 including:
  1. Zero vat invoice for 2023 and 2024 for all exports excluding the 48th Lands.
  2. Certificate of origin for all exports through 2023 and 2024 excluding the 48th Lands.
  3. Export declaration from related customs authority.
  4. Bills of lading.
  5. Employment income tax deduction for 2023 & 2024
  6. Other documents as needed.

Monitoring, Data Collection and Verification

Applicants must ensure all provided information is true and accurate, and all supporting documents are authentic. Tasdeer/PFI may request additional information during the assessment and throughout implementation.

Participants will be required to submit exports data and documents on a monthly basis and quarterly progress report. Analysis will be done to ensure that the exporter is on the right track to achieve and exceed export baseline.  

Programme Description

The subscriber to the challenge acknowledges and agrees to the following terms and conditions:

  • Baseline Calculation: The agreed baseline export amount will be calculated and validated by the programme team based on the submitted documentation.
  • Conditionality: The grant is strictly conditional upon the company exceeding the baseline amount within a maximum implementation period of up to twelve (12) months from the LOI signing date and does not exceed May 31 st, 2026.
  • Challenge Period: The company willingly states the Challenge period based on their export plans, seasonality and sector, and cannot change it after signing the LOI. Challenge Cut-off-Dates: the date where final export increase calculation will be recorded. The two possible dates are: a) December 31, 2025, or b) May 31, 2026. Proof of Performance: Companies subscribing must submit full, verifiable documentation demonstrating the increase in exports beyond the established baseline amount. Only firms that meet this requirement will be moved to the final approval stage.
  • First-Come, First-Served Basis: Subscriptions will be processed on a first-come, first-served basis. Firms that reach and prove their export targets earlier will be prioritized for final approval of grant.
  • No Guarantee of Grant: Companies subscribing understand and acknowledge that subscribing to this challenge does not guarantee a grant. Final approval and disbursement are subject to meeting all conditions and subject to the availability of funds.
  • Validity: The LOI shall remain valid for a period of up to twelve (12) months from the date of signature, unless terminated in writing by Tasdeer.

Cancellations

PFI and Tasdeer have the right to cancel any letter of intent or grant subscription under any of the following circumstances: 

  • Should there be any discrepancies in figures submitted by the participating company in any of the data collection stages.
  • Should there be enough evidence that export targets might not be achieved within the forecasted or reasonable timeframe. 
  • Should there be any evidence or suspicion of misrepresented or fraudulent information or documentation 
  • Should the applicant own more than one company and seeks to submit selective export data from one company or the other. 
  • Should there be any force majeure, any political uncertainty, and/or decision by Tasdeer to exit, withdraw or terminate the programme.
  • Should the donor (FCDO) decide to cancel or reduce the fund.

In any of the above cases (except in case of donor cancellation or budget reduction), the following procedure shall be applied:

  • The company will be formally notified in writing of the issue(s) identified, along with clear reasons for possible cancellation. The notification will include a deadline (7 working days) for the company to respond and provide clarifications or justifications.
  • PFI and Tasdeer will assess the company’s response, and any supporting documents provided.
  • If the explanation is deemed insufficient or unconvincing, or if no response is received within the specified period, a Cancellation Letter will be issued formally confirming the termination of the subscription, effective immediately or on a specified date.

Apply now through this link: ''Export Challenge Fund'' Grant

If you have any questions, we are happy to help through WhatsApp: +972594082550

Applications Deadline: 30/09/2025

 

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