PLI instrumental in making India global drone hub

The central government needs to expand the production-linked incentive (PLI) scheme and develop an ecosystem to realise the goal of making India a global drone hub, a report said. An incentive of Rs120 crore spread over three financial years was provided for Indian manufacturers of drone and drone components under the PLI Scheme notified on September 30, 2021. As per the Ministry of Civil Aviation projections, the Indian drone manufacturing industry is expected to reach Rs900 crore by 2025 from just Rs60 crore in 2020-21, according to a study conducted by Nexgen Exhibitions.

It also noted that the Indian drone market is expected to grow at 22.15 per cent CAGR (compounded annual growth rate) during the 2024-30 period. With innovation and expansion of its application portfolio, India has the potential of becoming the global drone hub by 2030, it stated.

The study highlighted that the key to realising India’s vision lies in boosting the domestic drone ecosystem. Other major factors are the expansion of the PLI scheme, government procurement, and pushing the Make in India initiative, it stated. The application of drones is already proven in the fields of Border Surveillance, Rescue Disaster Management, and Covid management, etc. The drone services industry’s operations in logistics, data processing, and traffic management etc are far bigger in scale and will outshine the other related sectors very soon, the report highlighted on Tuesday.