The Government announced the launch of the Pilot Subsidy Scheme for Third-party Logistics Service Providers on 12, October 2020. The $300 million Pilot Scheme, by providing financial assistance to third-party logistics service providers, aims to encourage the logistics industry to enhance productivity through the application of technology. It is expected to benefit about 300 logistics enterprises.

Eligibility for Application

All non-listed enterprises registered in Hong Kong under the Business Registration Ordinance (Cap. 310) with substantive business operations in Hong Kong, which also meet the following conditions, are eligible to apply:

• Providing third-party logistics services, i.e. value-added services in supply chain and distribution;
• Being related to either inbound or outbound cargo; and
• Maintaining eligibility throughout the period of project implementation.

Subsidy Amount

• The total cumulative subsidy ceiling per applicant enterprise under the Pilot Scheme is HK$1,000,000 (including project audit fee).
• Project auditing is required for every project. The maximum audit fee to be provided is HK$10,000, which will be counted towards the cumulative funding per applicant enterprise.
• Funding support will be granted to each applicant enterprise for a maximum of 4 approved projects, with each approved project to be completed within 24 months.
• The actual subsidy will be determined on the basis of the actual costs incurred by the successful applicant enterprise for the approved project(s) or the cumulative subsidy ceiling, whichever is the lower.
• Any approved projects cannot be subsidised under any other funding schemes of the Government at the same time.

Scope of Funding (But not limited to)

• Warehouse/Distribution Centre Management System（WMS）
• Transportation Management System（TMS）
• Enterprize Resources Planning System（ERP）
• Internet-of-Things (IoT) and RFID Applications

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