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Kaasrahastanud Euroopa Liit kaksilogo, (EST)

Product development grant for defence-industry companies

We support the development of defence-industry companies

We are encouraging entrepreneurs to invest more in development activities that result in a new or substantially modified product or service that is internationally competitive.

The application process for the grant is ongoing.
A preliminary consultation must be attended before submitting an application.
The grant can be applied for in any amount from 250,000 to 3,000,000 euros.

Information about programme for applied research with support up to 2 000 000 euros here
Information about programme for applied research: small projects with support up to 250 000 euros here

Maximum grant
3 000 000
Self-financing
20% -80%
Total grant amount
23 800 000
Status
Open

Who is the grant intended for?

  • Companies listed in the Estonian Commercial Register
  • Before submitting an application, a company must attend a consultation
  • the project contributes to upholding the principles of estonia 2035 and achieving its goals (read more)

What Types of Projects Are We Looking For?

  • Drone technology solutions and cost-effective drone manufacturing technologies
  • Urban-based electronic warfare (EW) defence solutions
  • Development of combat systems
  • Solutions that enhance unit situational awareness
  • Development of explosives, explosive materials, and the production of ammunition and munitions
  • Deception devices (including imitation devices and electronic decoys)
  • Tactical food supplies and soldier equipment (including medical supplies)
  • National security platforms
  • Unmanned vehicles
  • Cybersecurity and software (e.g., simulation environments, communications)

What is the grant designed for?

  • Conducting applied research
  • Developing a product
  • Carrying out a feasibility study
  • Applying for the primary protection of intellectual property linked to applied research or product development

What qualifies for a grant?

Proportion of applied research grant depending on the size of the company:

  • 70% (small business)
  • 60% (medium business)
  • 50% (large business)

Proportion of applied research grant depending on the size of the company in the context of effective cooperation:

  • 80% (small)
  • 75% (medium)
  • 65% (large)

Proportion of product development grant depending on the size of the company:

  • 45% (small)
  • 35% (medium)
  • 25% (large)

Proportion of product development grant depending on the size of the company in the context of effective cooperation:

  • 60% (small)
  • 50% (medium)
  • 40% (large)

We will grant support for conducting feasibility studies as a preliminary step for conducting applied research or developing products. Grants are only given to feasibility studies that precede applied research or product evelopment activities.

  • 70% (small)
  • 60% (medium)
  • 50% (large)

Primary protection of intellectual property can be applied for if applied research or product development activities are carried out within the framework of the project.
The percentage of support for this grant is 50% if support is applied under GBER (applies for SMEs only) or 80% if support is applied under de minimis aid (applies to all enterprises).

What will change in my company?

Company will produce a competitive product or service

Company will benefit from greater innovation capacity

Company will be become more competitive internationally

Assistance for applicant

Please include the company name, planned activities, investment needs, and a short overview of your idea when contacting us. This helps us assist you more effectively.
Before reaching out, please review the support conditions.
For quick communication, you can find the chatbot in the bottom right corner of the page.

Customer Service
+372 627 9700
[email protected]

Read more about the terms and conditions of the grant in the grant regulation:

Grant regulation

Activities will be considered effective cooperation under the General Block Exception Regulations if the project is carried out:

  • between independent entrepreneurs, at least one of whom is an SME (small or medium sized enterprise), or if the project is carried out in at least two European Union Member States or a European Union Member State and a country involved in the European Comprehensive Trade and Economic Agreement and neither entrepreneur carries over 70% of the eligible costs
  • or between an entrepreneur and at least one R&D establishment that bears at least 10% of all eligible costs and who has the right to publish the results of their activities

Read more about applying grant in Estonian here

The application can be compiled and submitted in the online E-toetus environment

The application may be submitted after completing the mandatory preliminary consultation and receiving a preliminary assessment.
The project plan attached to the application must have received a positive preliminary assessment during the preliminary consultation.

Please prepare the documents in advance:

Project plan

Economic indicator table

Budget form

Find more information about the previous projects and the grants they received here:

Funded projects database

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