More than 140 Australians suffering from Type-1 or Type-2 diabetes will participate in the study to be run by the Baker Heart and Diabetes Institute, Xinhua news agency reported.
A drug developed by researchers at Monash University that blocks a pathway through which NOX enzymes cause damage to the kidneys will be tested in the trial, which will begin in September.
Blocking the pathway in mice had prevented kidney damage and the drug has shown promise in repairing eye and heart damage related to diabetes, said Mark Cooper from Monash University.
The rights to the drug are owned by Swiss pharmaceutical company Genkyotex.
"In the diabetic kidney, three things happen: it scars, it gets inflamed, and it leaks the protein albumin," Cooper was quoted as saying by the Australian media on Wednesday.
"We were able to show this drug stopped the pr…