Supply Chain Resilience Initiative

What is the Supply Chain Resilience Initiative?

The Supply Chain Resilience Initiative is a grant opportunity which aims to establish or scale a manufacturing capability or a related activity to address supply chain vulnerabilities for a critical product or input identified in the Sovereign Manufacturing Capability Plan.

 

Background

The $107 million Supply Chain Resilience Initiative (SCRI) was established as part of the Modern Manufacturing Strategy. The SCRI aims to strengthen Australia’s ability to access critical products and inputs, better positioning us to respond to future supply chain disruptions. The initiative will run over 4 years from 2020-2021 to 2023-24 and includes:

  • working with industry to further develop our understanding of critical supply chains, to identify vulnerabilities and supply options to address them
  • the $100 million Supply Chain Resilience Initiative grants program  to incentivise business to invest in capabilities to address identified supply chain vulnerabilities.

 

Objectives

The program aims to:

  • improve Australia’s resilience to future supply chain shocks
  • facilitate diversification of supply options and increase investment in the economy
  • enable diversification into export markets and reduce reliance on domestic markets
  • improve collaboration between domestic and international manufacturers and suppliers
  • mitigate supply chain risks for critical products
  • enhance visibility and transparency of the supply chain for critical products
  • accelerate digitalisation and deeper integration of technology
  • optimise supply chain performance.

 

Funding

The Australian Government has announced a total of $100 million over three years for the program. For this grant opportunity, up to $50 million is available.

The minimum grant amount is $50,000 and the maximum grant amount is $2 million.

 

Eligible Projects

For your project to be eligible, your application must show:

  • a minimum of $100,000 in eligible project expenditure
  • that you are a manufacturing business or a business within the manufacturing supply chain
  • that 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
  • that 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.

Eligible activities may include:

  • acquiring new technology and/or purchasing intellectual property that will increase capability, create new market opportunities and reduce reliance on vulnerable supply chains
  • transforming existing manufacturing facilities through modifications or refits where this will support addressing vulnerabilities for critical products
  • acquiring, replacing, upgrading, designing, installing and commissioning new plant, equipment and machinery where this will support addressing vulnerabilities for critical products or inputs identified in the Sovereign Manufacturing Capability Plan
  • enhancing existing manufacturing techniques and processes, products and services including via technology adoption
  • non-recurring engineering associated with improving or qualifying a product, process or service
  • non-recurring engineering associated with improving or qualifying a product, process or service from an adjacent industry to support one of the critical areas listed in Section 2.1 of the guidelines
  • acquisition or development of software and digital technology to enable better visibility of supply chains
  • workforce training, upskilling and accreditations that directly support the achievement of project outcomes.

 

Eligible Applicants

To be eligible you must:

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

If you are a trading corporation, your trading activities must:

  • form a sufficiently significant proportion of the corporation’s overall activities as to merit it being described as a trading corporation; or
  • are a substantial and not merely peripheral activity of the corporation.

Applicants should demonstrate how their project:

  • builds a better understanding of critical supply chains
  • works with industry to identify supply options to address vulnerabilities
  • addresses vulnerabilities identified in the Sovereign Manufacturing Capability Plan by incentivising Australian businesses to invest in capabilities through new equipment, technology, skills and processes.

 

Timing

Grant is no longer available.

 

More Information

 

Latest News

07 April – $700M reserved for regional manufacturing and supply chain projects

The $1 billion increase to the government’s manufacturing strategy will mostly go to regional Australia, with $700m reserved for regional manufacturing and supply chain projects, and $328 million to be added to the existing non-regional programs.

The top up comes despite only a fifth of the original scheme’s funding being released in 18 months.

The biggest increase of $700 million in new funding is for “regional rounds” of the MMS, Industry department officials told a Senate Estimates hearing Friday.

This includes $500 million for manufacturing project grants from the MMI, and a near-doubling to $200 million for grants from the Supply Chain Resilience Initiative.

Source

07 December 2021 – $33 M in grants announced for Biopharma, AG Chemical Projects under Supply Chain Program

Twenty-seven projects have shared in a combined $33 million in grants under round one of the federal government’s Supply Chain Resilience Initiative.

The successful applicants were announced on Monday for round one of the SCRI, which is focussed on domestic production of biopharmaceuticals and agricultural production chemicals.

Projects must involve a minimum $100,000 investment from applicants, and grants between $50,000 and $2 million are available. The maximum amount went to projects including those by:

  • Sourci, to support a blockchain-based procurement hub;
  • Baxter Healthcare, to support manufacture of life-saving IV medicines;
  • Strike Energy, to support a  a large-scale facility using natural gas and green hydrogen feedstocks to make urea for agricultural fertiliser; and
  • Agrimin, to support its Mackay Potash Project.

Source

 

Round 1 Recipients

Applicant DetailsGrant Amount SupportedTotal InvestmentProject DescriptionSMCP Critical Product CategoryState
Agrimin Limited$2,000,000$5,891,985Mackay Potash ProjectAgricultural ChemicalsWA
Alphapharm Pty Ltd$1,000,000$2,150,000New One Billion Dose Manufacturing SuiteBiopharmaceuticalsQLD
Aspen Asia Pacific Pty Ltd$2,000,000$13,260,973Project Wallaby – Securing Australia’s Sovereign Supply CapabilityBiopharmaceuticalsNSW
Australian Agribusiness (Holdings) Pty Ltd$1,490,500$2,981,000Project BeetlejuiceAgricultural ChemicalsNSW
Australian Agribusiness (Holdings) Pty Ltd$2,000,000$4,353,122Project RivenAgricultural ChemicalsNSW
Australian Agribusiness (Holdings) Pty Ltd$276,171$552,343Project BalanceAgricultural ChemicalsNSW
Australian Growing Solutions Pty Ltd$1,573,250$3,146,500Expansion of Tyabb Manufacturing Lines for Critical MixesAgricultural ChemicalsVIC
Baxter Healthcare Pty Ltd$2,000,000$4,659,000Securing local IV medical manufacturingBiopharmaceuticalsNSW
Biocontrol Australia Pty Ltd$149,098$298,197Expanding production efficiency of crop disease bio pesticides.Agricultural ChemicalsTAS
Converte Pty Ltd$129,900$259,800Building Capacity for Phosphorus Efficiency and Utilisation on FarmAgricultural ChemicalsNSW
Farmn Pty Ltd$232,500$465,000Supply chain collaboration for local nitrogenous fertiliser manufacturing.Agricultural ChemicalsSA
FMC Australasia Pty Ltd$2,000,000$5,372,375Increased Supply Security for Crop Protection Active IngredientsAgricultural ChemicalsNSW
Incitec Pivot Limited$2,000,000$6,400,000Technology deployment securing DAPMAP fertiliser manufacturing supply chainAgricultural ChemicalsVIC
Indorama Ventures Oxides Australia Pty Limited$450,000$900,000Imported Raw Material Handling AgilityAgricultural ChemicalsVIC
Ixom Operations Pty Ltd$1,964,944$3,929,889Local manufacture of MCA to reduce 2,4-D supply chain vulnerabilityAgricultural ChemicalsVIC
Liquaforce Pty Ltd$489,690$989,690Upgrade Enhanced Efficiency Fertiliser Plants to Manage Supply DisruptionsAgricultural ChemicalsQLD
Mediport Pty Ltd$1,041,500$2,083,000Expanding Last Mile Cold Chain and Controlled Temperature Chain CapacityBiopharmaceuticalsVIC
New Edge Microbials Pty. Ltd.$2,000,000$12,306,938New Bacillus factoryAgricultural ChemicalsNSW
Nufarm Australia Limited$2,000,000$7,283,0002,4-D Synthesis Modernisation and Sovereign Capability Retention ProjectAgricultural ChemicalsVIC
Nutrifield Pty Ltd$320,791$641,584Enhanced manufacturing capabilities for a novel, high-efficacy, fungicideAgricultural ChemicalsVIC
Regard Investments Pty Ltd$683,141$1,366,282AgriHenAgricultural ChemicalsVIC
Rowater Australia Pty Ltd$200,000$400,000Pharmaceutical Grade Sterile Purified WaterBiopharmaceuticalsSA
Sipcam Pacific Australia Pty. Limited$550,000$1,106,600Sipcam Agchem and Fertiliser Production Plant and Supply Chain EnhancementAgricultural ChemicalsVIC
Sourci Pty Ltd$2,000,000$4,020,059CenProHub: A Trusted Multi-Party Blockchain Centralised Procurement HubAgricultural ChemicalsVIC
Strike Energy Limited$2,000,000$29,728,333Project Haber – Breaking Australia’s reliance on imported fertiliserAgricultural ChemicalsWA
Sustainable Liquid Technology Pty Ltd$1,000,000$2,017,808Substantial Increase to Capacity & Productivity of Manufacturing FacilityAgricultural ChemicalsVIC
Verita Pharma Pty Ltd$1,583,174$3,166,349Verita Pharma SCRI Sterile Biopharma ProjectBiopharmaceuticalsNSW

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