Disclaimer: This English translation is provided for informational purposes only. In the event of any discrepancy, inconsistency, or difference in interpretation between this translation and the original German version, the original German version shall prevail.

Overall Description

KMU-innovativ: Bioeconomy supports technologically ambitious and high-risk R&D projects led by SMEs and medium-sized companies. Projects should combine biological knowledge with innovative technologies to develop sustainable, climate-neutral products, processes or services based on biogenic resources and residual material streams.

The programme aims to accelerate technology transfer, strengthen the market position of innovative companies and support the transition toward a sustainable, circular bioeconomy.

Funding Amount

• Funding per project: No fixed minimum or maximum specified.
• Total programme budget: Not specified.
• Industrial research: Companies may generally receive up to 50% of eligible project costs.
• Experimental development: Companies may generally receive up to 25%.
• SME bonus: Up to 20 percentage points for small enterprises and up to 10 percentage points for medium-sized enterprises, subject to State-aid rules.
• Large enterprises: Up to 25% of eligible costs where their participation supports commercial implementation.
• Universities and non-university research institutions: Up to 100% of eligible project expenditure for non-economic activities.
• Universities: May additionally receive a 20% project allowance.
• Funding instrument: Non-repayable project grant.
• Typical project duration: Approximately three years.

The final funding rate depends on the project’s proximity to market, applicant size and applicable State-aid rules.

Submission Deadlines

Project outlines are assessed twice annually:

• 15 April
• 15 October

The next assessment deadline is 15 October 2026. Outlines can generally be submitted at any time, but those received after an assessment date may be considered in the next round.

Submission Conditions

• The application process has two stages:
  1. Submission of a project outline through the designated online outline portal.
  2. Submission of a formal application through easy-Online following a positive evaluation.
• The project outline may contain no more than 12 pages.
• The outline and short project description must be prepared in German.
• Collaborative outlines must be submitted by the coordinating SME or medium-sized company.
• Projects must be technologically ambitious and involve significant scientific, technical and economic risk.
• The project must be relevant to the applicant’s market position and commercial development.
• Applicants must present a credible exploitation and commercialisation strategy.
• The work plan, milestones, budget, financing of the applicant contribution and partner responsibilities must be clearly described.
• Projects compete based on excellence, innovation, bioeconomy contribution, feasibility, market potential and sustainability.
• In collaborative projects, participating companies must perform the majority of the R&D work.
• Consortium partners must conclude a written cooperation agreement.
• Applicants must have sufficient financial capacity to provide their required own contribution.
• A German establishment, branch or other operational presence must exist when funding is paid.
• Projects must not begin before approval unless an authorised exception applies.

Eligible Types of Businesses

Eligible for individual or collaborative projects:

• SMEs meeting the EU definition.
• Medium-sized companies with fewer than 1,000 employees and annual turnover not exceeding €100 million.

Eligible only as partners in collaborative projects:

• Universities and higher-education institutions.
• Non-university research institutions.
• Large enterprises where their participation supports the commercial implementation of the results.

Eligible Countries

• Germany
• Funded applicants must have an establishment, branch or other operating facility in Germany by the time the grant is paid.
• Foreign companies and research organisations may participate as associated partners but generally receive no German funding under the programme.