TECHNOLOGY DEVELOPMENT FUND - ECONOMY

News: DRDO sanctions seven new projects to the private sector under Technology Development Fund scheme.

 

What’s in the news?

Technology Development Fund (TDF) Scheme: Empowering Indigenous Defence Technologies

Initiative Overview:

  • The Technology Development Fund (TDF) scheme is a flagship program led by the Ministry of Defence and executed by the Defence Research and Development Organisation (DRDO) as part of the ‘Make in India’ initiative.

Objectives:

  • Grant in Aid:
    • Provide financial support to Indian industries, including MSMEs and Start-ups, as well as academic and scientific institutions.
    • Focus on the development of Defence and dual-use technologies currently unavailable in the Indian defence industry.
  • Engagement with Private Industries:
    • Cultivate a culture of Design & Development of Military Technology, especially in private industries, with a focus on MSMEs and Start-ups.
  • Niche Technologies:
    • Emphasize Research, Design & Development of niche technologies, particularly those being developed for the first time in the country.
  • Collaborative Ecosystem:
    • Create a collaborative platform involving the Armed Forces, research organizations, academia, qualifying/certifying agencies, and private sector entities.
  • Prototype Development:
    • Support futuristic technologies by providing funding for Proof of Concept, transforming them into prototypes.

Funding Support:

  • Grant Provision:
    • Funding through grants to the industry.
    • Consideration of project costs up to INR 10 Cr for funding, up to a maximum of 90% of the total project cost.
  • Collaboration Dynamics:
    • Industries allowed to collaborate with academia or research institutions.
    • Academic involvement capped at 40% of the total project cost.

Project Duration:

  • Timeframe: Maximum development period set at two years.