The MP-IDSA Fellow’s Seminar presentation by Gp. Capt. (Dr.) R.K. Narang (Retd.), Senior Fellow, MP-IDSA, on “The Necessity of Military – Civil Fusion (MCF) for Making India a Global Drone Hub@2030” was held on 27 August 2024. It was chaired by Dr. V.K. Saraswat, former Secretary, Defence Research and Development Organisation (DRDO), currently Member NITI Aayog. The External Discussants for the paper were Professor Hari Babu Srivastava, former DG DRDO, currently Professor of Practice at IIT Delhi, and Cmde. Jaideep Maolankar (Retd.) from Newspace Research & Technologies Pvt. Ltd. The Director General, MP-IDSA, Ambassador Sujan R. Chinoy, the Deputy Director General, Gp.Capt. (Dr.) Ajey Lele (Retd.) and scholars of the Institute participated in the Seminar.

Executive Summary

The session deliberated on making India an atmanirbhar (self-reliance) drone hub @2030, emphasising military-civil drone technology development initiatives, challenges and the way forward. Key challenges include reliance on imports, lack of civil drone R&D ecosystem, gaps in defence UAV development programs and reducing import dependence of critical systems. Recommendations by the speaker included military-civil technology fusion (MCTF), designating an existing ministry as a nodal ministry for drone technology, launching civil drone R&D initiatives, fostering design capabilities, building testing infrastructure, creating indigenous content certification mechanism and formulating Indian standards among others, on which further discussion took place.

Detailed Report

Amb. Sujan R. Chinoy, Director General, MP-IDSA opened the session by introducing Dr. V.K. Saraswat, Member of NITI Aayog, as the Chairperson. He highlighted India’s progress towards greater self-reliance, emphasising that this does not equate to self-sufficiency. Self-reliance, he explained, allows ample room for international collaboration. India has actively engaged with countries such as the United States, the United Kingdom, France and others. It is negotiating with global partners on the development of aero engines and other technologies.

Dr. V.K. Saraswat noted thatIndian industry’s efforts toward aatmanirbharta (self-reliance) in the field of Unmanned Aerial Vehicles (UAVs) have been limited, particularly in the development of those with strategic value. However, he acknowledged significant progress in civilian drone technology, with applications ranging from entertainment and agriculture to logistics. The core technology behind drones remains consistent, with variations primarily in payloads and command and control systems. In the civilian sector, however, the understanding of drone technology in India is limited, with only a few companies excelling in this area.

Furthermore, Dr. Saraswat underlined that due to lack of focus, the civilian sector has largely depended on import of critical components. There are also distinct differences in the requirements for civilian versus military applications. As future warfare is likely to involve large-scale deployment of unmanned systems, achieving self-reliance in UAV technology requires a mission-driven approach to develop all critical components.

Gp. Capt. (Dr.) R.K. Narang (Retd.) began his presentation by highlighting the critical role of the Semi-Conductor Laboratory (SCL) in Chandigarh in hand-holding of the drone startups, aimed at exploring the feasibility of developing chips to enhance security. He noted that his presentation addresses four key areas: military-civil drone policies, technology development, ecosystems and military-civil technology fusion (MCTF). He emphasised the need for significant reforms in the civilian drone sector, as well as some improvements in the defence sector.

According to Gp. Capt. Narang, while India has set the ambitious goal of becoming a global drone hub, the definition of what this entails remains unclear. He defines it as a “technology and innovation-driven, high-tech, high-value civil-military drone industry, where India is self-reliant in critical technologies, while also being a global leader in certain niche technologies.”

The growth of the Indian drone industry, he explained, will depend on proactive R&D, innovation and the creation of drone technologies. Additionally, the formulation of Indian standards, standardisation and trial-based certifications of emerging and enabling drone technologies will play a crucial role in achieving this vision. With standards for drones still evolving, India must adopt a proactive approach to formulate Indian standards to remain competitive in this sector.

Gp. Capt. Narang further elaborated on the contribution of civil drone policy initiatives, beginning with the Drone Rules 2021, which significantly transformed India’s drone sector by addressing operations, certification, training, and Production-Linked Incentives (PLI). He also highlighted certain gaps and limitations in the drone policies. He observed India does not have a policy on certification by a drone technician. The PLI scheme supported drone manufacturing by domestic industry while simultaneously easing the import of drone components, which, in turn, made the industry reliant on imports. Although India has an airworthiness certification mechanism, there is no indication of whether products or components are indigenous. He also called for reforms in certification of drone batteries by citing an example where an Indian company developed innovative batteries, but the Bureau of Indian Standards (BIS) found it difficult to deviate from predefined standards to give them certification.

Gp. Capt. Narang pointed out that policy initiatives were focused on facilitating drone operation and not on development or the validation of indigenous drone technologies. Notably, the Ministry of Civil Aviation lacks policies, structures and mechanisms for atmanirbharta in civil drone technologies. Discussing development challenges, he emphasised the lack of focus of innovation hubs on addressing the technology gaps. Furthermore, civil drone development initiatives by the Department of Science and Technology, MeitY and others are not focused on developing specific drone technologies. Globally, civil aviation entities are leading development of enabling technologies and integration of drones into their national airspace; however, similar initiatives by Ministry of Civil Aviation/Directorate General of Civil Aviation are lacking.

Gp. Capt. Narang explained that a major limitation in India is the absence of an R&D vertical within the Ministry of Civil Aviation. In the private sector, investment in R&D is alarmingly low—that generally varies between 1 to 5 percent in most companies as compared to 10-20 % by global leaders—indicating a lack of focus on technological innovation. He stressed the need for greater demands on industry bodies and the private sector to drive meaningful technological progress.

Gp. Capt. Narang explained that India must also prioritise building an ecosystem for civilian drone test sites, as some Indian companies are currently forced to test their drones abroad. Accreditation remains a challenge for the Indian drone industry, and there is a pressing need to archive civil drone test data to facilitate the validation of technologies. Currently, drone education in India is limited, with only a few courses like the M.Tech program at IIT Kanpur and a handful of other universities offering specialised education. Strengthening higher education in the drone sector is essential to foster deep research in critical drone technologies within the country.

Focusing on the defence UAV sector, Gp. Capt. Narang mentioned that significant policy measures have been implemented, such as the MAKE-1, MAKE-2, and Indigenously Designed, Developed, and Manufactured (IDDM) categories in the Defence Acquisition Procedure (DAP). Initiatives like iDEX and the Mehar Baba Competition have also played a key role in advancing technological development in the drone sector. Additionally, he recommended induction of test pilots and test engineers by the Defence Research and Development Organisation (DRDO), National Aerospace Laboratories (NAL) and industry to help them in bridging the gap between drone designs and user expectations in UAV programs and the broader development of aviation technologies.

On the issue of indigenous content (IC), Gp. Capt. Narang emphasised the need for an expert body dedicated to IC certification, which is currently lacking. India does not have a mechanism to identify indigenous content, and he stressed the importance of creating one. He drew attention towards the need for archiving indigenous designs and content within Defence Public Sector Undertakings (DPSUs) and the DRDO. He recommended reforming the Development Cum Production Partner (DcPP) model to a Development Production and User (DPU) model, where the user becomes a partner in the process rather than merely a reviewer of technology.

Gp. Capt. Narang also suggested that platforms like GeM should include verticals for iDEX, Mehar Baba, or IDDM to promote indigenous technologies. Also, there is a need to standardise trial methodologies that are universally accepted, which would help reduce challenges faced by startups in the drone industry.

Gp. Capt. Narang further highlighted the long-standing lack of interest in developing drone engines, emphasising the urgent need to address this gap. According to him, internal combustion (IC) engines, in particular, remain a weak area for India, with challenges in commercialisation, as well as competing with global Original Equipment Manufacturers (OEMs) in terms of quality and efficiency. Another issue is the increasing acquisition of promising Indian startups and talent by foreign companies and VCs, which calls for concerted efforts to prevent the loss of domestic talent and innovation.

Gp. Capt. Narang proposed the development of a mechanism to test the indigenous content (IC) of materials and software components for greater transparency and clarity. Moreover, he advocated for the creation of a National MCTF initiative, alongside a policy for aatmanirbharta in civil drone technology. He also called for designation of an existing ministry as a nodal ministry for civil UAV technology, a National UAV Technology Mission, and a National UAV Technology Fund to focus efforts in this critical domain. Additionally, there is a need for a Positive Indigenisation List across all ministries and the creation of civil drone testing corridors and sites.

Lastly, he proposed introducing an “IC 1” rating, in addition to L1 and T1 criteria, to recognise the highest levels of Indigenous Content in drone technology.

Prof. Hari Babu Shrivastava made several observations and recommendations, raising key questions such as what defines a “hub” and how the MCTF initiative would benefit society, industry, and the economy as a whole. He referenced a report by Federation of Indian Chambers of Commerce and Industry, expressing concern that India’s indigenisation process may not keep pace with the country’s projected capabilities by 2030. He also noted that countries like Turkey and Iran have made significant advances in drone exports, emphasising the need for India to accelerate its efforts in this sector to remain competitive on the global stage.

Cmde. Jaideep Maolankar (Retd.) expressed concern that specific recommendations may not be effective if the mechanisms and processes for implementation remain unchanged. He also raised concerns on the draft of the Military Airworthiness Bill, pointing out that many issues stem from deep-rooted cultural challenges, such as a risk-averse mindset and siloed working practices. He noted that many countries are already ahead of India in drone technology, and instead of following the same path, India should think ahead and adopt a different approach.

For instance, he suggested that India should focus on collaborative robotics rather than UAVs. He emphasised the importance of understanding business models and advised companies to prioritise customer needs over their own preferences, highlighting the necessity of focusing on requirements engineering to align with real market demands.

Questions and Comments

Ambassador Chinoy, in his remarks, posed the question of how drone technologies can be developed to meet the specific needs of infantry, particularly in terms of supply delivery and stock management. He also said that regarding engine testing, the Gas Turbine Research Establishment (GTRE) already has robust facilities, such as those used for the Kaveri engine. If India’s private sector develops its own engines, these testing facilities can be made available to support the testing and validation of their designs, encouraging collaboration between public and private sectors.

In his concluding remarks, Dr. Saraswat said that in India, the technological lag often leads organisations to import new technologies for commercial use, rather than focusing on developing their own innovations. This approach creates challenges in increasing indigenous content, especially in critical technologies. Indigenous content should be measured in terms of critical technology development, not merely by the percentage of cost of local components in a product.

Another issue is India’s reliance on foreign designs, which are re-engineered and manufactured locally, highlighting the need to strengthen domestic design capabilities. Additionally, India should aim to leapfrog technological advancements rather than merely trying to catch up with advanced technologies.

Report prepared by Mr. Rohit Kumar Sharma, Research Analyst, North America & Strategic Technologies Centre.