Eyeing to transform India into a global drone hub by 2030, the centre has increased production-linked incentives for local drone manufacturing by 37.5%, as per officials.
The central government has recently raised business incentives for drone manufacturing by 37.5%, bringing the total to ₹1.65 billion from ₹1.2 billion over three years. The information was disclosed anonymously by two officials, as per reports by the Hindustan Times. This increase aligns with the government’s focus on making India a global drone hub by 2030, boosting local production.
Last week, the union budget revealed a rise in the allocation to ₹570 million for the current financial year, up from ₹330 million in 2023-24. The production-linked incentive scheme for drones and their components, announced on September 30, 2021, aimed to boost local industry, cut import reliance, and create jobs.
The officials noted that the Indian drone industry has seen booming progress recently, including the establishment of 109 training organisations, issuing 10,603 remote pilot certificates, assigning 22,943 unique identification numbers for registered drones, and approving 67 drone models by the Directorate General of Civil Aviation (DGCA).
Besides, there are now over 400 startups in the drone sector, and extending the incentive scheme will enable more companies to participate and benefit, boosting local production.
The Economic Survey 2023-24 revealed India’s goal to be a leading drone centre by the next decade, driven by relaxed regulations and incentives. The expanding drone industry, crucial for sectors like agriculture, healthcare, and defence, mainly border security, is receiving increased focus.
As per reports, the Civil Aviation Authority has approved 116 remote pilot training organisations, which have issued 16,000 pilot certificates to date. Additionally, the DGCA has certified 70 unmanned aircraft system models.
Last week, junior aviation minister Murlidhar Mohol responded to a Rajya Sabha query that 48 Indian companies are currently involved in drone manufacturing. The PLI scheme has shortlisted 23 small enterprises, including 11 drone component manufacturers, for remote pilot training.
However, industry experts have noted that the government needs to do a lot more to enhance drone usage and boost India’s capability in the sector.
