Technology Development Fund (TDF) Scheme
DRDO's Technology Development Fund (TDF) supports Indian MSMEs and DPIIT-recognized startups building cutting-edge defence technology by funding up to 90% of project costs — with projects valued at up to ₹50 crore eligible. The scheme covers prototype development, import substitution of defence components, and technology readiness upgrades from TRL 3 onwards. Register and apply on the TDF portal at tdf.drdo.gov.in.
About This Scheme
DRDO's Technology Development Fund (TDF) supports Indian MSMEs and DPIIT-recognized startups building cutting-edge defence technology by funding up to 90% of project costs — with projects valued at up to ₹50 crore eligible. The scheme covers prototype development, import substitution of defence components, and technology readiness upgrades from TRL 3 onwards. Register and apply on the TDF portal at tdf.drdo.gov.in.
Full official description
Technology Development Fund (TDF) has been established to promote self-reliance in Defence Technology as a part of the 'Make in India' initiative. It is a programme of the Ministry of Defence. This programme is executed by the Defence Research & Development Organisation (DRDO) to meet the requirements of the Tri-Services, Defence Production and DRDO. The Scheme encourages participation of public/private industries, especially MSMEs and startups, so as to create an ecosystem for enhancing cutting-edge technology capability in the defence sector.
Objective:
- The Scheme aims to provide a major fillip to the defence manufacturing sector by encouraging the industry to innovate on defence technologies, in order to place India on the self-reliance trajectory. In addition to providing the grants-in-aid for the development of indigenous technology, the Scheme also provides the industry with various benefits.
Vision:
Building an ecosystem for enhancing cutting-edge technology capability for defence manufacturing to meet the requirements of Tri-Services, Defence Production and DRDO.
Mission:
Creating an ecosystem for promoting self-reliance by building indigenous state-of-the-art systems for defence applications.
Project Duration:
Maximum development period will be four (4) years.
Focus Areas:
- Significant upgradation/ improvements/developments in the existing products/processes/applications.
- Technology readiness level upgradation from TRL 3 onwards to realization of products as per Tri-Services requirements.
- Development of futuristic technologies/innovative products which can be useful for defence applications.
- Import substitution of components whose technologies do not exist in the Indian industry.
- The scheme will be limited to development of technologies or prototypes of products having potential use for National Defence.
Benefits
- Funding up to 90% of total project cost
- Maximum eligible project value: ₹50 crore
- Project duration: up to 4 years
- Up to 20% additional funding available to incubators linked with nascent startups
- Academia can contribute up to 40% of total project effort
- Funds released in tranches tied to agreed milestones — either advance (against bank guarantee) or reimbursement-based
Who Can Apply (Eligibility)
- Must be a registered Indian company (public/private limited, LLP, partnership, OPC, or sole proprietorship) — especially MSMEs and startups
- Startups must be DPIIT-recognized
- Startups incorporated less than 3 years ago (nascent startups) must be incubated at a Central or State government-assisted incubator
- Must not have received government grants for a similar technology previously
- Must be majority-owned (51%+) by a Resident Indian citizen
- Project must focus on defence technology development (TRL 3 and above)
How to Apply
Registration process:
- Every interested Industry /Technology expert/Academia must first register on the TDF portal: https://tdf.drdo.gov.in/user/custom-popup- Click on "Proceed to Login" button and then click on "Register".- Fill Name, Contact Details, Organisation Name and choose your value in "Register As" and in "Focus Area" option.- Click on the Check Box For Self-declaration of being an Indian Company with 51% of stakes with a Resident Indian Citizen.
- Agree to the Terms and Conditions by clicking the check box.
- Verify the captcha then click on "Register" button.
Post-Registration process:
- Visit: https://tdf.drdo.gov.in/user/custom-popup- Click on "Proceed to Login" button and enter Email, Password and verify the captcha.- Click on "Login" button and furnish all the details as required.
Frequently Asked Questions
What is Technology Development Fund (TDF) scheme?
Technology Development Fund (TDF) has been established to promote self-reliance in Defence Technology as a part of the 'Make in India' initiative. It is a programme of the Ministry of Defence.
Which department has launched this scheme?
Ministry of Defence has launched this scheme.
How is MSME defined for the purpose of the TDF Program ?
MSME is defined as per the MSMED Act 2006 for the purpose of the Technology Development Fund Scheme.
Is this Scheme specific to any sector ?
Yes (Defence and Aerospace).
Can an organisation apply in multiple TDF Projects simultaneously at the same time ?
Yes.
What is the nature of the proposals to be supported under TDF Scheme ?
A) Significant up-gradation/improvements/ further developments in the existing products/process/application etc. b) Technology readiness level up-gradation from TRL3 onwards to realization of products as per Tri-Services requirements. c) Development of futuristic technologies/innovative products which can be useful for the defence applications. d) Import substitution of components whose technologies does not exist with the Indian industry.
Is MSME/Startup firm still eligible to compete for TDF award if it forms a 50-50 joint venture with a non-profit or foreign firm ?
No, the Industry with excess of 49% foreign investment will not be eligible.
Can I empanel a consultant to apply on my behalf?
Yes.
Do I need to pay any service fee to DRDO/DTDF for applying for the scheme?
No.
How can non-profit research institutions qualify to participate in the TDF program ?
Non-profit research institution can only apply in collaboration/association with an Indian Industry. Indian Industry will be the Lead Bidder.
Ready to apply?
Visit the official government portal to apply for this scheme.
Apply on myScheme.gov.inDocuments Required
- Detailed Project Update Report
- Utilization Certificate & Statement of Expenses (UC & SE)
- Certificate from Chartered Accountant