Article:

R&D update: supply chain resilience initiative and manufacturing collaboration stream

11 August 2021

Nicola Purser, Partner, Research & Development |

This insight was originally published 02 July 2021 and was updated 11 August 2021.

As part of the Australian Government's Modern Manufacturing Strategy, Australian businesses can now apply for funding under the Supply Chain Resilience Initiative. In addition, the program guidelines and funding information under the Modern Manufacturing's Collaboration stream have also been released.

Supply Chain Resilience Initiative

The Supply Chain Resilience Initiative provides grants between $50,000 and $2 million to eligible manufacturing businesses or businesses within the manufacturing supply chain that are part of the critical product categories (Biopharmaceuticals and Agricultural Production Chemicals). The grant aims to establish or scale a manufacturing capability or related activity to address supply chain vulnerabilities for critical products or inputs identified in the Sovereign Manufacturing Capability Plan.

Eligibility criteria

To be eligible, you must:

  • Have an Australian Business Number (ABN)
  • Be non-tax-exempt
  • Be registered for Goods and Services Tax (GST)
  • Be an entity incorporated in Australia and a trading corporation.

For projects to be eligible, your application must show:

  • A minimum of $100,000 in eligible project expenditure
  • You are a manufacturing business or a business within the manufacturing supply chain
  • Your project addresses supply chain vulnerabilities associated with critical product categories identified in the Sovereign Manufacturing Capability Plan
  • Evidence from your board (or Chief Executive Officer or equivalent if there is no board) that the project is supported
  • You can complete the project and meet the costs of the project not covered by grant funding
  • How you will provide your share of project costs.

Applications can be submitted on the Government website by clicking here. Applications close at 5.00pm on Thursday 12 August 2021.

Modern Manufacturing Initiative - Manufacturing Collaboration Stream - Applications now open

The Manufacturing Collaboration Stream provides grants from $20 million to $200 million for a small number of large, transformational projects. Projects must either directly feature collaboration or create and facilitate collaborative ecosystems.

The MMI Collaboration Portal is now open. Please click here to submit your application.

Grant overview

The Manufacturing Collaboration Stream supports large-scale manufacturing projects with business-to-business collaboration or business-to-research collaboration at their core.

The stream will focus on private and public investment to help create an environment and incentivise Australian manufacturers to:

  • Collaborate
  • Scale-up
  • Move towards higher value-added activities
  • Become more competitive.

Applicants must show how their project aligns with the grant objectives, which are to:

  • Foster collaboration between businesses, research organisations, investors and other parties to realise transformation in Australia's manufacturers towards higher value-added segments of the manufacturing 'smile curve'
  • Support manufacturers to work together to build manufacturing networks and ecosystems, unlock complementary capabilities, overcome barriers to scale and grow, and access global markets
  • Support long-term job creation and a more highly skilled workforce in the Australian manufacturing sector
  • Increase investment in Australian manufacturing, particularly in high-value-added activities
  • Increase manufacturing capability, business acumen, knowledge diffusion and expertise.

Help me apply

To discuss either of these grants in more detail, or if you require help with your application, please contact your local BDO adviser.