The aviation ministry announced on Wednesday that Adani’s joint venture company with Israeli firm Elbit, as well as IdeaForge Technology, have been selected as beneficiaries of the production-linked incentive (PLI) scheme to increase drone manufacturing in India.
The incentive for a maker of drones and drone components under the PLI plan, which was announced last year, will be 20% of the value addition achieved by the company over the next three years.
On March 10, the Ministry of Civil Aviation asked the drone industry to apply for the PLI scheme. On September 16, 2021, the ministry launched a PLI scheme for drones and drone components with a budget of Rs 120 crore spread over three years.
“The list of beneficiaries is likely to be increased further,” the ministry said on Wednesday, “since some additional manufacturers are likely to exceed the eligibility criteria for the full financial year 2021-22.”
Advertisement“After a thorough examination of their financial records and other relevant documentation, the final list of PLI beneficiaries is likely to be provided by June 30,” it stated.
According to the ministry, the PLI plan requires a minimum annual sales revenue of Rs 2 crore for drone enterprises and Rs 50 lakh for drone component makers, as well as value addition of more than 40% of sales turnover.
The PLI plan was introduced in September 2021 as a follow-up to the ministry’s liberalised Drone Rules, 2021, which were issued on August 25, 2021.
The Indian drone industry will have a total turnover of up to Rs 15,000 crore by 2026, according to Aviation Minister Jyotiraditya Scindia, who stated on September 16, 2021 that the government has given the sector a huge boost with the PLI scheme.
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