(MENAFN- KNN India)
New Delhi, Jan 23 (KNN) India's drone industry, a burgeoning sector with immense potential, has called for a substantial increase in allocations under the Production Linked Incentive (PLI) scheme in the upcoming Union Budget 2025-26.
Stakeholders believe this move is vital to strengthen domestic manufacturing, reduce import reliance, and position India as a global leader in drone technology.
The PLI scheme for drones, introduced in September 2021 with an initial outlay of Rs 120 crore over three years, aimed to bolster the production of drones, components, and software development.
However, industry leaders now advocate for a significantly larger fund to unlock the sector's potential.
“Given the scope of this technology, a PLI scheme worth Rs 1,000-2,000 crore over at least five years is needed,” said Ankit Mehta, CEO of Navi Mumbai-based Ideaforge Ltd, India's largest drone manufacturer.
Mehta emphasised that increased financial support would develop a robust domestic supply chain and mitigate import dependency.
Ideaforge, which has been manufacturing drones for nearly two decades and went public in 2023, reported revenue of Rs 37.10 crore in Q2 FY25.
Like many in the industry, Mehta is pushing for a dedicated research and development (R&D) fund to drive innovation.
“A dedicated R&D fund is critical for advancing technology, developing indigenous components, and fostering exports,” he noted.
The Drone Federation of India (DFI), representing over 200 manufacturers and 350 service providers, echoed these sentiments.
Smit Shah, DFI's president, urged for a revamped PLI scheme to attract investments and promote India's global competitiveness.
Additionally, the industry seeks a dedicated credit line to scale operations and a ban on imports of critical components from countries sharing land borders with India to ensure cybersecurity and promote indigenisation.
The sector also envisions increased drone adoption in governance, security, and infrastructure monitoring, alongside initiatives in healthcare, public safety, and disaster response.
These measures, industry leaders assert, will create sustained demand and accelerate growth.
As the Budget approaches, the drone industry hopes for strategic policy interventions to transform India into a drone powerhouse.
(KNN Bureau)
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