The £967,955 Scottish Enterprise funding will help secure more than 70 jobs, as well as create further roles at the site.
The Dumfries factory makes polymer film, which is used for a wide range of applications and sectors such as healthcare, alternative energy, durable media, electronics, packaging, electrical insulation and capacitors.
Announcing the funding during a visit to the factory, Minister for Business Innovation and Energy, Paul Wheelhouse, said: "This award of close to £1 million to a key employer in Dumfries not only provides a boost to those workers who will see their jobs secured, but also benefits the wider economy of the South of Scotland and Scotland as a whole.
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"DTF is a graduate-based business with a firm commitment to youth employment, and this grant is a strong indicator of the significance the Scottish Government places on both support for innovation to grow Scotland's economy and on developing Scotland's STEM subject specialisms."
Moray Mackenzie, operations & site manager at DTF's Dumfries site, said: "We welcome this R&D grant from Scottish Enterprise which has been key in helping secure an important investment for the Dumfries site. This will introduce new polymer and film capabilities to the site to support the development and manufacture of innovative films targeted at meeting the needs of hi-tech speciality markets across Europe and the USA."
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