$17.3 million awarded to SMEs via Defence Industry Development Grants program

Forty grants totalling approximately $17.3 million have been awarded by the federal government under the Defence Industry Development Grants program.

According to a statement on Friday from defence industry minister Pat Conroy, the second wave of grants follows 58 grants announced in May last year under the $170 million program. 

Grants are between $5,000 and $1 million for eligible small and medium enterprises for projects “that enhance Australia’s defence manufacturing capabilities, export competitiveness and technical skills development”. They cover up to half of a project’s costs. 

Six of the projects, totalling $3.6 million in value, are funded by the Australian Submarine Agency “to uplift Australia’s industrial base and support the AUKUS nuclear-powered submarine program”.

Some of the grants appear to have been made public before, including two grants (each worth $1 million) to Veem. These cover investment in a 3D sand printer for moulds, as well as a multi-axis CNC machine “required for nuclear-powered submarines (NPS) and other naval vessels.” 

Another is a $544,333 grant to Aurora Labs, which the company shared news of last month and which will support scaling production of gas turbine propulsion systems, alongside supporting maintenance and production of parts for aerospace or maritime applications. 

Both Veem and Aurora are publicly traded.

Other grants on the list include:

• $715,370 to Nupress Tools for “5-axis machinery and automation components to establish an advanced manufacturing cell to enable fast and compliant production for guided weapons parts”; and
• $550,651 to Baker & Provan for “a CNC lathe with milling capability to manufacture components for the Hunter Class Frigate program.”

Picture: credit Aurora Labs

Further reading

Aurora Labs wins $544,000 defence grant for production scale-up

Veem awarded $2 million to invest in new 3D printer, CNC machine supporting nuclear ambitions