R&D tax credits for the manufacturing and food industries

Taking, for example, the food and drink sector, we find qualifying R&D expenditure in activities like increasing shelf life, reducing (or increasing) sugar or alcohol content without impairing flavour or the development of new or improved bottling or canning processes. Lots of businesses are working to improve the health and nutritional profile of food and drink products, often to meet current legislation in non-routine ways.

More generally we see manufacturers developing new processes to scale up to make larger volumes, which may be based on small batch trials and may involve a pilot to investigate a concept or new process. Manufacturers often trial and test materials, components, substances ,chemicals, non-routine prototypes, methods or techniques. And of course there is innovation in streamlining manufacturing processes through automation.

Improvements to product packaging can also qualify as R&D if they represent a functional improvement, not just a design feature.

R&D can also come in the transfer of existing technology or adaptation of new technologies from other industries for novel applications to improve manufacturing processes or products.