The Technology Development Fund (TDF) Scheme, part of the ‘Make in India’ initiative, has aided 41 MSMEs and 20 startups, according to the Minister of State in the Defence Ministry. Managed by the Defence Research and Development Organisation (DRDO), the TDF Scheme aims to enhance India’s self-reliance in defence technology. It encourages participation from public/private industries, particularly MSMEs and startups, fostering a cutting-edge technology ecosystem for defence applications. Eligible entities include Indian-registered MSMEs, startups, and controlled Indian-owned industries with up to 49% foreign investments. The scheme provides grants, supporting projects up to INR 10 crore, with funding linked to milestones over a maximum two-year development period.
Prelims pointer
- Technology Development Fund (TDF) Scheme: An initiative under the ‘Make in India’ campaign, executed by the Defence Research and Development Organisation (DRDO), promoting self-reliance in defence technology.
- Defence Research and Development Organisation (DRDO): The organization responsible for military research and development in India, playing a key role in the advancement of defence technologies.
- MSMEs: Micro, Small, and Medium Enterprises, crucial drivers of economic growth, innovation, and employment. The TDF Scheme supports their involvement in defence technology.
- ‘Make in India’: An initiative launched to encourage manufacturing and promote India as a global manufacturing hub, thereby enhancing self-reliance and job creation.
- Funding Support: The TDF Scheme provides grants to eligible entities, with projects costing up to INR 10 crore eligible for funding, covering up to 90% of the project cost.
- Academia Collaboration: Collaboration with academic institutions or research centers is allowed, but academia’s contribution cannot exceed 40% of the total project cost.
- Project Duration: Projects supported by the TDF Scheme have a maximum development period of two years, aimed at efficiently fostering defence technology innovations.
