A new Defence Global Competitive Grant program is part of a strategy that aims to make Australia a top-ten global defence exporter.
Developing an internationally competitive, and in key areas sovereign Australian defence industry has been central to Australia's 2018 Defence Industrial Capability Plan.It has its basis in the 2016 Defence White Paper, in which industry capability is recognised as fundamental to Australia's defence capability.
However, with its 2018 Defence Export Strategy, the Australian Governement also acknowledged that despite its $200 billion ten-year investment in defence capability, long-term a viable defence industry will have to also succeed in international markets. But especially for SMEs the barriers to become successful exporters are significant.
Through its new Defence Global Competitiveness Grant scheme, the government aims to provide these smaller innovators some help towards accessing export opportunities.
Delivered through the Centre for Defence Industry Capability, the new program will provide up to $4.1 million each year to SMEs, with individual grants worth up to $150,000.
As part of its Defence Export Strategy the government also established a $3.8 billion Defence Export Facility (DEF). Administered by Efic, Australia's export credit agency, the facility provides a source of finance to Australian companies planning to export technology to overseas market.
In December, the DEF announced its first loans, including a $90 million loan to CEA Technologies, which will finance the construction of a new construction facility in Canberra for its radar systems.
A loan of up to $80 million will support Australian ship builder Austal in the potential sale of two patrol boats to the Government of Trinidad and Tobago (GoRTT).
According to the company, the loan facility will be made available to the GoRTT, while negotiations towards an effetive contract are still ongoing.
Back in 2008, Austal secured a contract to build six patrol boats for the GoRTT.