Government backs manufacturers with $800 million in funding to encourage collaboration

The Australian Government has recently announced $800 million in funding to encourage Australian manufacturers to collaborate on major job-creating projects.

This funding is being made available under the Government’s $1.3 billion Modern Manufacturing Initiative (MMI) – Manufacturing Collaboration Stream.

A key element of the Modern Manufacturing Strategy, the MMI is the first step in a ten year plan designed to transform and diversify Australia’s economy. It will support local manufacturers with a focus on accelerating commercialisation and the commencement of large projects and creating jobs.

The Collaboration Stream

The Collaboration Stream is the largest component of the Modern Manufacturing Strategy. Focused on long-term industry-wide transformation, project funding under the Collaboration Stream is designed to foster collaboration between manufacturing businesses, as well as between manufacturers and research organisations.

Eligible projects can receive funding to cover up to one third of project costs between $20 million and $200 million. Importantly, projects must be linked to at least one of the six National Manufacturing Priorities: medical products, clean energy and recycling, food and beverage, defence, space, and resource technology and critical minerals.


To be eligible for funding, you must hold an Australian Business Number (ABN). Your project must align with one of the six National Manufacturing Priorities and it must show potential for either interstate or international trade.

There are several financial eligibility criteria, including a minimum of $60.6 million in eligible project expenditure. In addition, no more than 50% of a project can be funded by the Australian Government.

For further information on the eligibility criteria, review the Grant Opportunity Guidelines.

How to Apply

To apply for the Modern Manufacturing Initiative – Manufacturing Collaboration Stream, you will need to complete the online application form via

Before you start your application, be sure to read the Grant Opportunity Guidelines.

Applications open on Wednesday 11 August 2021 and must be submitted by Thursday 9 September at 5:00pm (AEST).

Further Information

For further information: