The government has launched a $50 million Manufacturing Modernisation Fund to support small and medium sized Australian manufacturers to modernise, invest in new technologies, grow and create more local jobs.
Application for the fund is now open, and companies that are eligible are encouraged to consider this grant opportunity.
Who is the fund for?
The Manufacturing Modernisation Fund will greatly benefit manufacturing companies who are planning for technological upgrades, efficiency upgrades, or other bigger, transformative projects that will allow their businesses to produce new products or enter new markets.
Funding will be delivered through two streams:
a) about $20 million for grants up to $100,000 for small scale technology and efficiency investments
b) an estimated $30 million for grants up to $1 million for larger-scale transformative investments in technologies and processes
The maximum grant period is two years, and applications for the fund are now open until the end of October.
Who is eligible?
The fund is open to entities incorporated in Australia that are engaged in trading activities that form a significant or at least substantial proportion of its overall activities. Applicants must also be a manufacturing small-and-medium enterprise with up to 199 employees, and can clearly state the level of job creation expected.
There must be proof that the project is supported by your board, and that the project can be completed, and all costs not covered by grant funding can be met.
A stronger Australian manufacturing sector
The Manufacturing Modernisation Fund is definitely a great opportunity for manufacturing companies to improve and expand.
Applied Machinery’s Project and Marketing Manager, Daniel Fisher, is confident that the program can benefit businesses in the industry, and encourages manufacturers to look into it.
“With the recent announcement of the Manufacturing Modernisation Fund, the time is right for companies looking to invest in new equipment to improve processes and efficiencies,” said Daniel.
“At Applied, our range of equipment already offers a really attractive value proposition, and with the possible addition of a dollar-for-dollar contribution from the government, the numbers look even better.
“I strongly suggest taking a close look at the MMF to see how it could potentially benefit your company,” he said.
The manufacturing industry, which employs hundreds of thousands of Australians and contributes tens of billions in annual exports, has always been a key part of the Australian economy. The Advanced Manufacturing Growth Centre believes the sector has significant growth potential, estimating a growth of about 25 to 35 percent by 2026.
The Federal Industry and Science Ministry believes the Manufacturing Modernisation Fund would help manufacturers become more competitive, adding that strengthening the manufacturing industry is a key part of the government’s plan to create over 1 million new jobs over the next five years.
The government also hopes to help the manufacturing sector by growing exports, ensuring a world-class skilled workforce in Australia, and providing a level playing field for the manufacturing businesses.
To find out more about the Manufacturing Modernisation Fund, please go to: https://www.business.gov.au/assistance/manufacturing-modernisation-fund