Exploring What the Drone Industry in India Hopes to Receive from Nirmala Sitharaman’s Budget

Nirmala Sitharaman, the current finance minister of India, is all set to announce the Budget 2021. With the government’s commitment to promoting the ‘Aatmanirbhar Bharat’ (Make-in-India) initiative, the drone industry in India is expecting a lot from the budget.

The global drone market is set to become a US$ 54 billion market by 2025, and estimates indicate that the drone manufacturing potential in India could be worth US$ 4.2 billion by 2025, growing to US$ 23 billion by 2030, contributing to the country’s target of a US$ 5 trillion economy. Considering the immense potential, the government has announced several initiatives to promote the growth of the drone industry in India.

For instance, the government has introduced a Drone Regulation 1.0 policy which is intended to promote the growth of the drone industry in India. This policy has enabled the commercial use of drones in India, allowing companies to use drones for a variety of operations such as surveying, mapping, and photography. In addition, the government has also announced several incentives and tax benefits for companies that are involved in the production of drones in India.

Drone Regulations: Crystal Ball Gazing

The Drone Shakti initiative announced in the 2021-22 Budget, is a welcome move for India’s burgeoning industry. This initiative, along with the government’s Production-Linked Incentive (PLI) scheme for drones, is expected to increase domestic manufacturing. Also, create employment and promote drones as a service through start-ups.

The Drone Shakti initiative is a major step towards the government’s vision of making India the drone hub of the world. The Shakti program will enable start-ups to develop and deploy drone-based solutions for commercial applications and create a vibrant ecosystem of entrepreneurs. This will provide access to the latest technology and resources for the industry, which will help to increase the number of businesses operating in the drone space in India.

The government’s support for manufacturing drones is also in line with the need to expand the drone industry and make it a global leader. This was further highlighted by the Drone Rules of September 2021, which superseded the Unmanned Aircraft System (UAS) rules of March 2021. The new rules simplified and eased the process of adoption of drones by removing the requirements of geo-fencing, no permission no take-off, and real-time tracking.

Drones as a Service- the dominant Future Direction?

One of the key areas of focus is the adoption of drones as a service. In many sectors, the realization is setting in that offerings are better taken up when considered as a service. This is particularly true in the Agri space, where land holdings are largely in small parcels. It is not viable for every farmer to own a drone and hire a pilot for activities such as crop health monitoring and yield estimation. Such farmers would, however, be open to the idea of ‘drones as a service’, in which they pay for what they get, without the added sunk cost of drone/ dronepilot at their disposal.

Skilling and Needs thereof

The budget is also likely to bring in incentives for drone services. There is immense potential for the use of drones in various sectors such as agriculture, urban infrastructure, logistics, and health care. The government is expected to focus on these areas and introduce schemes to boost the use of drones.

The private sector is also expected to contribute to the growth of the industry. Companies like Garuda Aerospace have launched ‘Drone Yatra 2.0’, which aims to cover all 775 districts of India in 75 days. This is a good way to spread awareness about the opportunities for skilled dronepilots/maintainers and to encourage more people to get into the industry.

Also, company like Atom Aviation Services Pvt Ltd, which have best drone services. Atom Aviation Services is a ISO certified aviation company which deals into multiple aspects of aviation across various parts of World. Company was founded  by young aspiring pilot after years of dedication and experience in aviation.

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