In the last one year, India has witnessed a 34% surge in the number of drone startups. Drones are everywhere around us - from being used to drop medicines to patients in remote areas (Medicines from the Sky project, Telangana) to being used for pesticide spraying (Kisan drones) and security systems. As the drone industry is slated to reach a turnover of over $120 billion by 2026, Compliance Calendar traces the novel journey of drone manufacturing and drone services in India. We also highlight compliance requirements and challenges for drone businesses in India.
India has great potential to become a hub for drone manufacturing as well as drone services, given its vast talent pool, favourable government policies, and growing demand for unmanned aerial vehicles (UAVs) in various sectors such as agriculture, mining, surveillance, and logistics.
Here are a few notable announcements for promoting adoption of drones in India:
PLI Scheme for Drones:
» In 2021, the Union Cabinet approved a production-linked incentive scheme for the drone industry in India worth 120 crores.
» It is a direct payment to subside manufacturing capabilities of the drone industry.
» It covers a wide variety of drone components, including airframe, propulsion systems, power, batteries, ground control and communications, spraying systems, trackers, sensors among others.
»This is poised to bring over 5000 crores in investments and lead to incremental production worth1500 crores.
A task force has recommended Drone Policy 2.0 to provide regulatory architecture for autonomous flying, deliveries via drones and long distance drone flights.
The policy includes provisions for certification, regulation, and operation of drones, which will help in creating a conducive environment for drone manufacturing and innovation.
In India, to operate a drone legally, it is mandatory to obtain a drone licence from the Directorate General of Civil Aviation (DGCA) and comply with certain regulations. Through the Drone Rules, 2021, the government has made compliances for the drone sector easier.
The compliances required for obtaining a drone licence as well as drone operations include:
Coverage: The new Drone Rules, 2021 apply to drones weighing upto 500 kilograms.
Compliance with privacy regulations: The drone operator must comply with privacy regulations and ensure that the drone does not infringe on the privacy of individuals or violate any other laws.
Penalties under Drone Rules, 2021: Maximum penalty applicable for violation of Drone Rules, 2021 has been brought down to 1 lac.
Several Indian startups such as IdeaForge, Aarav Unmanned Systems, and Skylark Drones have already made their mark in the drone industry, both domestically and globally.
The demand for drones in various sectors is expected to grow rapidly in the coming years, and India can capitalise on this opportunity to become a significant player in the drone manufacturing market.
Overall, India has all the necessary resources and potential to become a hub for drone manufacturing, and with the right policies and investments, the country can emerge as a global leader in the UAV industry.
Infrastructure: The lack of adequate infrastructure, such as testing facilities and dedicated airspaces for drone operations, can hinder the growth of the drone industry in India.
Funding and investment: The drone industry requires significant investments in research and development, testing, and manufacturing facilities. However, the availability of funding and investment in India is still limited compared to other countries like China and the United States.
Competition from China and US:
As leaders in drone development, China and the U.S. have a head start in terms of technology and market share, and India needs to develop a competitive edge to establish itself as a significant player in the drone manufacturing market.
The DGCA, Ministry Civil Aviation and regulatory bodies continue to outline detailed guidelines for drone operations in India. With our team of business and technology experts, Compliance Calendar ensures that drone operators stay updated with any changes in regulations to ensure compliance. Our last-mile approach effortlessly gets you all filings, DGCA and other business compliances in place.