How to Apply for the PLI Scheme for Drones Manufacturers in India?

Under the PLI scheme, drone manufacturers will be eligible for financial incentives based on their production output. The scheme aims to boost the domestic production of drones and reduce the dependence on imports. It also seeks to promote innovation and create employment opportunities in the drone industry. To learn more about the features and eligibility – CLICK HERE.
  

Why Apply for the PLI Scheme?

 
Apart from the financial incentives offered to the eligible manufacturers, the manufacturers are also capable to avail the following benefits:

• With financial support, the manufacturers an also increase their scale of production, invest more in Research and Development and also adopt better technology.
• Manufacturers can also gain a competitive edge in the market by lowering their production costs and subsequently reducing the cost price of the products.
• Manufacturers can be encouraged towards improving the quality of the products as they need to meet certain domestic value addition and quality standards to be eligible for the PLI scheme. This could also help increase customer satisfaction and trust in the manufacturer.

 

What are some Key Obligations as a Recipient of the PLI Scheme?

 
Under the PLI Scheme, the manufacturers are expected to fulfil certain obligations in order to remain eligible for complete benefits of the scheme.
 

• The recipients are expected to meet certain production targets every year, this is regulated by the PMA.
• The recipients of the incentives are required to maintain a certain level of domestic value addition for the drones manufactured in in India. Therefore, certain components should be sourced from within India itself.
• A manufacturer is required to comply with the quality standards set by the Ministry of Civil Aviation (DGCA requirements and other relevant standards).
• It is required for the recipient to submit regular reports on their production and performance to the Ministry of Electronics and Information Technology.
• The recipient is expected to maintain complete records related to the production and sales of their products. These records are audited and submitted to the authorities as per the requirements set before disbursement of incentives.

 

How to Pitch for the PLI Scheme?

 
A manufacturer may need to provide a convincing pitch to the authorities in order to enjoy the benefits of the PLI scheme for manufacturing Drones and Drone Components in India. Here are some essential steps to pitch for the PLI scheme in drone:

• Research the PLI scheme for drones: Before you pitch for the PLI scheme, make sure to understand the objectives, requirements and eligibility of the scheme.
• Highlight your company's capabilities: It is important to highlight your company's experience, expertise, and capabilities in the field of drone manufacturing. It is important to share the company's track record, production capacity, and quality standards to demonstrate your ability to meet the production targets under the PLI scheme
• Present your investment and production plans: The PLI scheme for drones is designed to encourage investments in drone manufacturing in India. Therefore, clearly presenting investment plans, including the amount of investment, the sources of funding, and the timeline for investment is necessary. Also, a clear outline of the production plans and plan to achieve the targets can be beneficial.
• Emphasise the benefits of the PLI scheme: Highlighting the benefits of the PLI scheme for drones and how it will help you scale up your manufacturing operations is important.

 

Process of Application and Disbursement of Incentives:

 
The Production-Linked Incentive (PLI) scheme for drones is an initiative by the Indian government to promote the manufacturing of drones in India. To apply for the PLI scheme for drones, an eligible manufacturer may follow the following steps:
 

1. Register on the PLI portal: You can visit the PLI portal (https://pli-eda.gov.in/) and create an account by providing your basic details.
2. Fill in the application form: The application form may require you to provide details such as your company name, address, production targets, investment plans, etc.
3. Upload the required documents: You may also need to upload certain documents such as company registration certificate, PAN card, GST registration, etc.
4. Submit the application: After filling in the application form and uploading the required documents, you can submit your application for the PLI scheme for drones.
5. Wait for approval: Once you have submitted your application, it will be reviewed by the PMA. If your application is approved, the incentives shall disburse after completion of all pre-disbursal formalities.

 
By providing financial incentives to drone manufacturers based on their production output, the scheme aims to reduce the country's dependence on imports and create employment opportunities in the sector. The scheme also encourages the use of local components and technology, which can help in boosting the domestic economy.