Manufacturing Modernisation Fund Round 2
Round 2 of the Manufacturing Modernisation Fund supports transformation in small and medium manufacturing businesses. It provides co-funded grants to transform manufacturing and to support job growth and a more highly skilled workforce. $50 million will be available for this grant opportunity from 2020-21 to 2022-23
The Modern Manufacturing Strategy
The Manufacturing Modernisation Fund is the first of the key initiatives to launch as part of the Australian Government’s Modern Manufacturing Strategy, which aims to help Australian manufacturers scale-up, compete internationally and create jobs.
Learn more about the Modern Manufacturing Strategy.
What do you get?
Co-funding grants of between $100,000 and $1 million, up to 25 per cent of eligible project expenditure.
Who is this for?
Round 2 of the Manufacturing Modernisation Fund supports manufacturers by co-funding capital investments and associated reskilling to:
- adopt new technologies
- encourage innovation
- become more productive and competitive in the market and
- create more jobs.
The program aims to support SMEs through:
- investment in transformative manufacturing technology and processes
- jobs growth and a more highly skilled workforce in the manufacturing sector.
Round 2 will run over 3 years (2020-21 to 2022-23) and supports transformative investments in technologies and processes including:
- buying, constructing, installing or commissioning of manufacturing plant and equipment
- integrating production-related software that is directly related to your capital investment
- relevant training and skills development to assist you to integrate the new technology into your business, including upskilling and accreditation in advanced processes.
- process design and engineering directly related to your capital investment
- fit-out, alterations and/or extensions to buildings directly related to your capital investment.
The maximum project period is 2 years.
To be eligible you must:
- have an Australian Business Number (ABN)
- be non-tax exempt
- be registered for the Goods and Services Tax (GST)
- an entity incorporated in Australia, including start-ups, and a trading corporation where your trading activities:
- form a sufficiently significant proportion of your overall activities as to merit it being described as a trading corporation; or
- are a substantial and not merely peripheral activity of your corporation.
You must also be:
- a manufacturing small and medium-sized Australian enterprise (SME) with up to 199 employees (headcount)
- have a minimum of $400,000 in eligible project expenditure
- able to identify the level of Australian job creation expected from your project
- able to demonstrate your project aligns with one or more of the six National Manufacturing Priorities:
- resources technology and critical minerals processing
- food and beverage
- medical products
- recycling and clean energy
You must also be able to provide evidence that:
- the project is supported by your board
- you can complete the project
- you can meet the costs of the project not covered by grant funding.
For more information on eligibility please read the Grant opportunity guidelines.