The Made in Queensland (MIQ) Program aims to support QLD-based small and medium sized manufacturers with up to $2.5 million in grant funding with the aim of increasing international competitiveness, productivity and innovation via the adoption of new technologies, and to generate high-skilled jobs for the future.

Deadlines and Timings

Applications will open on 16 October 2023 and close 11 December 2023.

The key timeframes for the assessment process will vary based on the number and complexity of applications received by the Department. As such, indicative dates will be provided as assessments progress. The Department anticipates that assessment of Stage 1 applications will take up to 16 weeks (4 months) from the closing date for applications depending on the volume received. Assessment of Stage 2 applications will take up to eight weeks (two months) from the closing date for Stage 2 applications, depending on the volume of applicants invited to submit Stage 2 applications.

Overview and Grant Amount

An MIQ grant will support an eligible Queensland-based manufacturing SME by reimbursing up to 50% of the eligible project costs. The objectives of MIQ are congruent to the strategic direction set by the QLD government by:

• increasing the productivity and international competitiveness of Queensland-based manufacturing SMEs
• encouraging Queensland-based manufacturing SMEs to become advanced manufacturers by adopting industry leading equipment, technologies, processes and systems
• supporting traditional manufacturing jobs and creating the new high-skilled manufacturing jobs of the future

The MIQ Program will also support SME manufacturers to achieve energy efficiency, export, reshoring, and advancement of decarbonisation and net zero outcomes through Industry 4.0 and 5.0 transformation projects.

Grants of between $50,000 and $2.5 million (excluding GST) will be awarded per grant under a 1:1 match funding contribution scheme. This program follows a two-stage competitive selection process:

• Stage 1: An open application process in which applicants demonstrate how their project meets the eligibility criteria and assessment criteria. Stage 1 applications will be evaluated and scored against the assessment criteria.
• Stage 2: A process where applicants with the highest ranked Stage 1 applications are invited to submit further information for the value for money and due diligence assessment. Applications will then be ranked and, grants will be awarded to those shortlisted applicants with the highest ranked applications until the funding is exhausted.

MIQ Round 6 has also set aside a funding allocation of up to Up to $2.5 million of available funding has also been set aside for applications which do not involve the purchase of equipment and are seeking less than $250,000 each in funding. These applications will proceed through the same two-stage competitive selection process as all other applications.

Eligibility and Criteria

To be eligible for an MIQ grant, an applicant must be one standalone entity or a group of entities that:

• is a Queensland-based business whose principal activity and majority annual turnover is derived from manufacturing, as defined under Division C of the Australian Bureau of Statistics’ Australian and New Zealand Standard Industrial Classification (ANZSIC), 2006
• be registered for GST and hold an active Australian Business Number (ABN)
• operates independently and has control of its own corporate governance and decision making
• be an SME with between five and 200 full-time equivalent (FTE) employees; minimum 5 FTE employees must be located in Queensland
• have a proposed eligible project that meets the requirements
• owns the existing equipment used in its manufacturing operations and will own any equipment to be purchased under the proposed eligible project
• have the financial capacity and standing necessary to conduct the proposed eligible project recognising that the grant payments are made in arrears
• accept that the department may require security over any or all of the funded items for the duration of up to seven (7) years
• does not have, and must not be, an associated entity that has received (or be about to receive) funding under the MIQ Program that in aggregate exceeds, or will exceed $2.5 million
• does not have made, and must not be an associated entity that has made, an application under Round 6 of the MIQ Program that in aggregate exceeds, or will exceed $2.5 million
• is not insolvent or have owners or directors that are an undischarged bankrupt
• is not a federal, state or local government entity, statutory authority or special purpose vehicle or not-for-profit organisation

Applicants should note that a detailed due diligence and probity review may be undertaken on the applicant including, but not limited to, the checks and searches below:

• applicant bona fide checks (status, corporate structure, ownership, directors review etc.)
• background and probity searches (ACCC, Banned & Disqualified, Bankruptcy, Adverse Media, Courts)
• financial capability (historical financials) and viability (funding capacity and sources)
• business and project risks, and planned mitigations

Eligible Activities

The project must:

• be consistent with the program objectives
• be for one or both of the following industry leading activities:
  • implementing advanced robotics and/or industry 4.0 and/or 5.0 equipment, that demonstrates it will enable the applicant’s products/processes and markets to be different from those of its Queensland manufacturing competitors
  • implementing a sector-relevant technology, system or process

The project may additionally include development of a plan or strategy

• be designed to achieve significant business transformation (i.e., not duplication of the applicant’s existing equipment or system updates) that embraces Industry 4.0 and/or 5.0 (e.g., digitisation, interconnected factory, big data analytics)
• demonstrate expected outcomes, such as productivity, profitability and international competitiveness improvements, for the applicant’s existing business activities
• have a project site address in Queensland
• be able to be completed within 12 months of execution of a funding agreement
• Not have commenced, and not be scheduled to commence, until after a funding agreement has been executed
• not be the same as a project approved under any previous round of MIQ where an agreement has already been entered into (or about to be entered into) between the Department and the applicant
• not be subject to funding under any other local, state or federal government grant or scheme

Eligible Project Costs

Your project may include one or more of the below project examples and associated critical costs:

Advanced robotics and/or Industry 4.0 and/or 5.0 equipment (new equipment, purchase, installation, commissioning and training) including:

• simulation or digital twin
• new and advanced robotics or cobotics
• equipment which automates existing processes
• autonomous equipment
• augmented or virtual reality equipment

Equipment should be integrated with existing systems, processes or workflow, and must not duplicate existing equipment within the business or its associated entities regardless of location.

Sector-relevant technology, system or process (introduction of Industry 4.0 and/or 5.0 technologies, systems and processes to the business, including installation, implementation and integration of):

• big data, artificial intelligence (AI) analytics, digital connectivity, Internet of Things (IoT), digital twin
• enterprise resource planning (ERP) system, manufacturing execution system (MES), material requirements planning (MRP) system
• carbon monitoring system
• sustainability management software
• supply/value chain integration management system
• lean manufacturing, lean audit, value stream mapping, error and down time reduction, life cycle assessment

Technology, systems and processes must demonstrate a link to the applicant’s manufacturing process, rather than being related to general business operations.

Ineligible Costs

Applicants must identify their expected total project costs (including eligible project costs and ineligible project costs), and the grant amount requested. The grant amount must not exceed 50% of the total eligible project costs. Applicants will be entitled to claim funding only for eligible project costs incurred and paid by the applicant.

Eligible project costs mean those costs and expenses reasonably incurred by the applicant in connection with the eligible project but excluding any ineligible project costs. Applicants will not be entitled to receive funding in respect to ineligible project costs. Ineligible project costs mean costs and expenses associated with

• project costs incurred or paid prior to the execution of the MIQ funding agreement
• MIQ Round 6 proposed project or project item/s that are the same as a project or project item/s approved under any previous round of MIQ where an agreement has already been entered into between the department and the applicant
• MIQ Round 6 proposed project or project item/s that are the same as a project or project item/s subject to funding (either already under contract or contract pending) under any other local, state or federal government grant or scheme
• preparing an application for the MIQ program, including any third-party consultant costs involved in the preparation of materials in support of a Stage 1 and/or Stage 2 application or any associated reports used as the basis for an application
• salaries for staff or the costs associated with recruitment activities
• project items where the applicant (or associated entity) is the supplier
• normal operations (e.g., utilities charges, telecommunications charges, standard tool or machinery hire/purchases, licensing fees, membership fees etc)
• repair, maintenance or replacement of existing equipment, technology, systems or processes
• duplication of or modifications to existing equipment within the business or its associated entities regardless of location
• duplication of or upgrades to existing software within the business or its associated entities regardless of location
• equipment, technology, systems or processes not considered to be industry leading
• equipment, technology, systems or processes which do not constitute, relate to or improve a manufacturing process
• equipment, technologies, systems or processes which are standard, mundane, ‘everyday’, not advanced or not industry leading
• second-hand, leased or hire-purchased equipment, or purchase of equipment to be leased or sold to a third party (i.e., not an applicant entity)
• freight or carriage services other than those associated with eligible project items
• modifications or extensions to existing infrastructure or construction of new infrastructure (including wiring, cabling and plumbing installation, renovations of buildings, building extensions, telecommunications, server rooms, etc.
• design and printing of promotional materials, website design and development, advertising and animation, copyright and development of promotional material or any online content
• exhibiting at trade shows, visiting overseas trade events, study tours or conventions
• travel and accommodation
• general on-the-job training and supervision, training courses, training programs and further education (e.g., Certificates III & IV)
• vehicle repair, maintenance, purchasing or leasing
• fees and charges associated with quality accreditation, certification, compliance, and registering domestic or international patents or other intellectual property protection
• legal advice and intellectual property rights advice of any kind
• consultants or contractors that are associated entities
• research and development
• commercialisation of new products (products not yet in the market with no history of sales) that are not currently associated with the current product range or business capability
• funding for project contingencies or cost overruns
• installation and training not demonstrated to be critical to the correct functioning of equipment, technologies, systems or processes which is part of a MIQ eligible project
• other project costs that the Department considers, acting reasonably, are not reasonably incurred by the applicant primarily for or in connection with the eligible project

Applicants are encouraged to thoroughly read the program guidelines set by the funding grant. Submissions must be lodged through the program online portal.

Expert Assistance

We have over 15 years of experience preparing EMDG and R&D tax incentive claims and can assist in making sure you receive your maximum rebate.

Working with us means you get the maximum grant with minimum risk and effort. Our expertise includes R&D Tax Incentive registration and tax schedules, Export Grants, Capital Expenditure and Infrastructure Grants.

Get in touch with us and let’s discuss this more in detail.

For information about other Australian Government Grants, visit Treadstone New Grants page and sign up to our newsletter!