New growth grants to boost R&D in NZScience and Innovation
Research and Development (R&D) Growth Grants expected to be worth more than $41m over three years have been approved for 23 high tech companies by Callaghan Innovation, Science and Innovation Minister Steven Joyce announced today.
“These are innovative companies producing world-leading, high-value products and high-quality jobs for New Zealanders. They are all proven businesses that have committed to investing in R&D in this country,” Mr Joyce says.
“The Growth Grants will help them increase that investment, which will drive their growth and increase exports.”
R&D Growth Grants were introduced last year as part of changes designed to encourage more R&D by businesses in New Zealand. They provide 20 per cent public co-funding for qualifying firms’ eligible R&D expenditure, with an expanded cap of $5 million a year - up from the previous scheme’s $2.4 million.
To qualify for a Growth Grant, a business needs to commit to spend at least $300,000, and at least 1.5 per cent of revenue, a year on R&D occurring in New Zealand. The Grants are for three years, but after two years, businesses can be granted a further two-year extension of funding.
The latest companies to be approved for R&D Growth Grants are involved in a wide range of products, from accounting software, robotic walking devices to high tech trampolines. They are:
- ARANZ Healthcare
- AuCom Electronics
- Bayer New Zealand
- BBC Technology
- Best Bars
- Booktrack Holdings Limited
- Brand Developers Limited
- Caldera Health
- Comrad Medical Systems
- Core Builders Composites
- Focus Genetics Management Limited
- FoodCap International Limited
- Integrated Control Technology
- Rex Bionics
- Spark Dental Technology Limited
- Springfree New Zealand
- Tekron International
- TracPlus Global
- Wellnomics Ltd
In total 88 companies have now been approved for R&D Growth Grants estimated to be worth about $262 million (excluding GST) over three years.
Callaghan Innovation also operates R&D Project grants for smaller companies and those that are new to Research and Development, and R&D Student grants to give graduates the opportunity to work in innovative companies. Since February last year, Callaghan Innovation has approved funding across all three programmes for 702 different hi-tech companies.
The Callaghan Innovation Grants system was announced in Budget 2013, replacing and expanding an earlier programme. A total of $566 million is available over four years to encourage the development of a strong R&D ecosystem in New Zealand businesses.