What is the Defence Global Competitiveness Grant?
The Defence Global Competitiveness Grant is an initiative to help Australian businesses invest in projects that build their defence export capability.
The Government recognises that Australian defence industry cannot sustain itself on the needs of the Australian Defence Force alone. New markets and opportunities are required to unlock the full potential of Australian defence industry in order to grow, innovate, and support Defence’s future needs.
The objective of the Defence Global Competitiveness Grant is to build a stronger, more sustainable and globally competitive Australian defence industry by supporting eligible Australian SMEs to build export capability.
The intended outcome of the Defence Global Competitiveness Grant is a more sustainable and more globally competitive Australian defence industry to support Australia’s Defence capability needs. This will be demonstrated through eligible Australian SMEs being able to access increased export opportunities.
The Australian Government announced approximately $4.1 million each year from 2018-19 to 2028-29 for this grant opportunity. To support COVID response changes to co-contribution amounts, there is an estimated additional $1.5 million available over 2020-21 and 2021-22.
A grant of $24,000 to $240,000 for up to 80% of the cost of investing in projects that build export capability to build a stronger, more sustainable and globally competitive Australian defence industry. The maximum grant period is 18 months.
You need to contribute 20% of the eligible Defence Global Competitiveness Grant project value.
Defence Global Competitiveness Grant project activities can include:
- buying, leasing, constructing, installing or commissioning of capital equipment including specialist software to enhance cyber security
- design, engineering and commissioning activities
- workforce training and accreditations
The Defence export strategy defines Australian defence exports as ‘any defence-specific or dual-use goods or services exported by Australian defence industry, including as part of a supply chain, that are intended for a defence or national security end-user’.
To be eligible for the Defence Global Competitiveness Grant your business must:
- have fewer than 200 employees
- have an Australian business number (ABN)
- be a company incorporated in Australia or be an incorporated trustee on behalf of a trust
Also, you must:
- provide evidence from your Board (or Chief Executive Officer or equivalent if there is no board) that the project is supported, and that you can complete the project and meet the costs of the project not covered by grant funding
- provide an external accountant declaration form that confirms you can fund your share of the project costs
Now that the Australian federal election has been announced, the Australian Government assumes a caretaker role. During this period you can still apply for this grant, however a decision on your application may not be made until after the 2022 election outcome.
31 August 2021 – Six Firms Share Export Capability Grants
The federal government today announced more than $1.2 million in Defence Global Competitiveness grant funding to boost the export capability of six Australian small businesses.
Minister for defence industry Melissa Price said the increasing overseas demand these Australian small businesses are experiencing is a testament to their ingenuity and capability.
“By supporting these companies to invest in new equipment or to increase their manufacturing capabilities, it is enabling them to increase their production capabilities and offer more competitive priced equipment internationally.”