India Drones

A drone, also referred to as an Unmanned Aerial Vehicle, is an aircraft that can fly and navigate through the air without having a person on board. It is either teleoperated or self-driven through flight scripts, geographical position, and inherent instruments. Drones are armed with cameras, sensors, or with some sort of payload for the intended purpose, surveillance, mapping, delivery, etc.

The India Drones market is set to show a growth rate of about 20.50% during the forecast period (2025-2033F). The rise of the drone market in India can be attributed to the encouraging Government policies and measures such as the new Production-Linked Incentive (PLI) scheme, Drone Rules 2021, and Kisan Drones. These positions have been informed by the emerging need to have automatic systems for agriculture, cattle herding, tracking, and construction, amongst others, hence the commercial application. Moreover, there is growing interest in domestic original equipment manufacturers, drones from a service perspective, and other related fields. The support from a growing number of startups, R&D centers, and friendly policies continues to build market demand.

For instance, on March 18, 2025, The Ministry of Electronics and Information Technology (MeitY), in collaboration with the Drone Federation India (DFI), launched the National Innovation Challenge for Drone Application and Research (NIDAR) under the ‘SwaYaan - Capacity Building for Human Resource Development in Unmanned Aircraft Systems’ initiative. The event was held at Electronics Niketan, with MeitY government representatives, industry experts, and students from across the nation, through an online video-conferencing mode.

• Based on the type, the market is segmented into fixed wing, rotary wing, and hybrid VTOL. Among these, the fixed-wing market held the dominant share of the market in 2024. Fixed-wing drones are increasingly being used in India because of better range, better endurance, and being better suited for area coverage. The use of these in surveys, borders, and agricultural areas makes them well-suited for government and enterprise. In line with the demands of infrastructure construction and defense operations, which require long-endurance surveillance, fixed-wing UAVs are gradually emerging as indispensable assets. This is making organizations invest in and design and develop modern fixed-wing structures locally. On April 13, 2025, for the first time, India showcased its capability to shoot down fixed-wing aircraft, missiles, and swarm drones using a 30-kilowatt laser-based weapon system. India has joined the list of selected countries, including the US, China, and Russia, that have shown such a capability, as per the News on Air government.
• Based on the point of sale, the market is segmented into original equipment manufacturers (OEM), aftermarket. Among these, the original equipment manufacturers (OEM) segment held the dominant share of the market in 2024. The ongoing entry of domestic OEMs is improving the indigenous manufacturing capability of drones in India and decreasing dependence on imports. OEMs are planning to set up their manufacturing facilities for the airframes, electronics, and subsystems with the help of PLI schemes and ‘Make in India’. This enhances vertical integration and puts the companies in a position to provide customized and cheap solutions.
• Based on the mode of operation, the market is segmented into remotely piloted aircraft (RPA), fully autonomous, and semi-autonomous. Among these, the fully autonomous drone market is expected to grow with a significant CAGR during the forecast period (2025-2033). This segment is most dynamic as it allows operations without the input from humans, thus mitigating risks that come with human input. It is also very efficient in activities such as surveillance, mapping, and delivery, among others. These are suitable for Beyond Visual Line of Sight (BVLOS) and repetitive operations required in industries and are highly scalable to increase reliability. In November 2024, an Odisha-based startup Bon V Aero launched a fully autonomous logistics drone service called Air Orca. The launch of the drone service was made in the presence of venture capitalist Tim Draper.
• Based on the end-users, the market is segmented into defense & homeland security, agriculture, infrastructure, retail and supply chain, energy and power, media and entertainment, and others. Among these, the agriculture segment is expected to grow with a significant CAGR during the forecast period (2025-2033). The use of drones has been increasing exponentially, particularly in the agricultural market in India, due in large part to Kisan Drones and governmental subsidies. Drone is applicable in spraying, crop monitoring, and yield analysis, leading to the increased effectiveness of the farm. As awareness is increasing and more rural areas are being developed, there is an increasing demand for agritech drones. This serves to motivate companies to design specialized UAVs for precision farming and crop use. On March 25, 2025, Prime Minister Narendra Modi handed over 1000 Kisan drones to 1,000 Namo Drone Didis across 10 locations across the country and disbursed bank loans to Self Help Groups (SHGs) in the Sashakt Nari - Viksit Bharat programme at the Indian Agricultural Research Institute, Pusa in New Delhi.
• For a better understanding of the market adoption of the India Drones market, it is analyzed based on its state-wise presence in India, such as North India, East India, West India, and South India. South India dominates the market in 2024. The States like Tamil Nadu, Karnataka, and Telangana are at the forefront in consolidating drone technology and the manufacturing industry in South India. The two states of Karnataka and Telangana are major players in the drone manufacturing industry due to state-supported policies for innovation as well as drone zones. The development of a talented tech talent pool that is constantly being nurtured provides the right setting for supporting research, development, and testing, as well as integrating drone software into various sectors. In addition, the large-scale use in energy, mining, and urban infrastructure is also driving commercial-scale adoption across the southern states.
• On January 24, 2025, the Government of Telangana entered a Memorandum of Understanding with JSW UAV Limited, a subsidiary of JSW Defence, to establish a state-of-the-art Unmanned Aerial Systems manufacturing facility in the State. As part of this strategic initiative, JSW UAV, in collaboration with a leading US-based defence technology company, is set to invest approximately Rs 800 crore in the project.
• Some major players running in the market include ideaForge Technology Ltd, Garuda Aerospace Private Limited, Zen Technologies Limited, Asteria Aerospace Limited, Adani Group, insideFPV Ventures Private Limited, Paras Defence and Space Technologies Limited, Throttle Aerospace Systems pvt ltd., General Aeronautics Pvt. Ltd., Dhaksha Unmanned Systems Private Limited.