India Civilian UAV Market

Source Pexels.com

Corporations use Unmanned Aerial Vehicles (UAV) t for construction, logistics, agriculture, feasibility studies and security. Government agencies have used them for law enforcement, first responders, governmental survey operations, disaster relief, mapping and border surveillance. The industry has further expanded into academia, civil and recreational markets.

Industry Insights

The global unmanned aerial vehicle (UAV) market was valued at $14.3 billion in 2020. It is projected to grow to approximately $53 billion by 2030. The international trade data isn’t comprehensive enough as the first international Harmonized System (HS) code designation for civil UAVs were designated by the World Customs Organization (WCO) in June 2019. The UAVs traded before the classification have been listed under a broad range of categories with varying degrees of accuracy. The vast majority of civil/commercial UAS are small (under 55 lbs/25 kg).  China is the largest manufacturer of non-military drones, with the majority being made by DJI, followed by U.S manufacturers like Intel and 3D Robotics.

Exports to India

Recently the DGCA import approval requirement and prohibitions on foreign ownership of domestic drone firms have been eliminated by the MoCA. Under Prime Minister Narendra Modi’s $20 billion strategy to entice the best brands in the world to produce their goods in India and export them around the world, India plans on providing incentives for drone manufacturers worth $16 million. This has opened avenues for foreign firms like Japan that has partnered with Indian firm (Aerodyne)

UAV Industry in India

General Atomics Predators, source Wikipedia

India has developed a conducive policy system to support local production of UAVs.. The Drone Ecosystem Policy Roadmap opened the Indian market for commercial drones. Soon enough, India became one of the largest importers of UAVs. The current regulatory landscape has revamped the industry by incentivizing local manufacturers like Paras Aerospace, Throttle Aerospace, General Aeronautics and Redwing Labs. The dominant usage by government began during COVID-19 for medical supply provision, agricultural activities like Hara Bahara project, and aerial surveillance for disaster management.  The permissions required to operate UAVs have been reduced from 25 to five and different charges reduced from 72 to 4. The introduction of certification scheme for unmanned aircraft systems (CSUAS) helped to streamline the process and timeline of receiving drone type certificate.

Additionally,  commercial drones and their application for the public good are one aspect of India and the United States’ alliance that needs more research and attention as their bilateral partnership continues to grow. The moment is opportune for both U.S and India together on the growth of their commercial drone industry, by means of the new policy framework to enable safe and effective usage of commercial drones as well as the scalability of the technology.