The Performance Linked Incentive (PLI) scheme for the sector aims to make India a global drone hub by 2030

The drones and drone components manufacturing industry will see an estimated investment of over Rs 5,000 crore over the next three years, Union Civil Aviation Minister Jyotiraditya M Scindia said on Thursday.

Briefing the media about the details of the Production-Linked Incentive (PLI) scheme for drones and drone components, the minister explained that this investment will, in turn, bring a turnover of Rs 900 crore, and 10,000 job opportunities will be created.

Under the scheme, incentives of Rs 120 crore will be given for drones and drone components over the next three years. This amount is 1.5 times the combined size of the manufacturing drone sector, Scindia said.

The PLI scheme was cleared by the Union Cabinet chaired by Prime Minister Narendra Modi on Wednesday.

The scheme comes as a follow-through of the liberalised Drone Rules, 2021 released by the Central Government on 25 August 2021. The PLI scheme and new drone rules are intended to catalyse supernormal growth in the upcoming drone sector.

According to the civil aviation ministry, given its traditional strengths in innovation, information technology, frugal engineering and its huge domestic demand, India has the potential of becoming a global drone hub by 2030.

The objective is to establish India as a global drone hub by 2030, he pointed out, adding that the Ministry of Civil Aviation is committed to facilitate industry, service delivery and consumers in achieving this aforesaid target.

Under the scheme, the incentive for a manufacturer of drones and drone components shall be as high as 20% of the value addition made by them.

The PLI scheme covers a wide variety of drone components:

* Airframe, propulsion systems(engine and electric), power systems, batteries and associated components, launch and recovery systems

* Inertial Measurement Unit, Inertial Navigation System, flight control module, ground control station and associated components

* Communications systems (radio frequency, transponders, satellite-based etc.)

* Cameras, sensors, spraying systems and related payload etc.

* 'Detect and Avoid’ system, emergency recovery system, trackers etc. and other components critic

The ministry of civil aviation noted that drones offer tremendous benefits to almost all sectors of the economy.

These include– agriculture, mining, infrastructure, surveillance, emergency response, transportation, geo-spatial mapping, defence, and law enforcement to name a few.

Drones can be significant creators of employment and economic growth due to their reach, versatility, and ease of use, especially in India’s remote and inaccessible areas, the ministry added.