Objective:

• The Scheme aims to provide a major fillip to the defence manufacturing sector by encouraging the industry to innovate on defence technologies, in order to place India on the self-reliance trajectory. In addition to providing the grants-in-aid for the development of indigenous technology, the Scheme also provides the industry with various benefits.

Vision:

Mission:

Project Duration:

Focus Areas:

• Significant upgradation/ improvements/developments in the existing products/processes/applications.
• Technology readiness level upgradation from TRL 3 onwards to realization of products as per Tri-Services requirements.
• Development of futuristic technologies/innovative products which can be useful for defence applications.
• Import substitution of components whose technologies do not exist in the Indian industry.
• The scheme will be limited to development of technologies or prototypes of products having potential use for National Defence.

Funding Support:

• The project cost of up to INR 50,00,00,000/- will be considered for funding.
• The funding may be up to 90% of the total project cost.
• Industry may work in collaboration with academia or research institutions.
• The funding will be linked to mutually agreed milestones.
• Funds will be released either in advance against a bank guarantee of the same amount as collateral, or reimbursement based on the completion of milestones.
• Subsequent installments will be released on successful completion of milestones.

Purpose of Funding Support:

• Aims to provide financial assistance to startups for prototype development and trials.
• Proposes to target nascent startups for project requirements inclusive of funding support of up to 20% to the incubators associated with the startup.
• Option to create partnerships with academia, where the contribution of the academia is up to 40% of the total project effort.

• Public limited company, a private limited company, a partnership firm, a limited liability partnership, one-person company, sole proprietorship registered as per applicable Indian laws registered in India especially MSMEs and Startups.
• Startup must be recognized by Department for Promotion of Industry and Internal Trade (DPIIT) as per Government of India (GOI) guidelines.
• Startup incorporated for less than 3 years from date of submission of application will be considered as nascent startups.
• Nascent Startup should be incubated at one of the Central/State government assisted incubators.
• Startup should not have received any grants/grants-in-aid by any government scheme for a similar technology.
• The startup must be owned and controlled by a Resident Indian citizen with a shareholding of at least 51%.


1. Detailed Project Update Report
2. Utilization Certificate & Statement of Expenses (UC & SE)
3. Certificate from Chartered Accountant