India's Drone Industry Braces For Impact As Govt Plans Stricter Regulations India may reverse some of its relaxed rules and regulations for drone usage in the country.

India is looking to change its drone rules that may have a big impact on the related industry and hobbyists as well.

India's Civil Aviation Ministry has come up with a "Draft Civil Drone (Promotion and Regulation) Bill, 2025" which seeks stricter penalties, including criminal provisions, for offenses as well as reintroduction of compulsory certification, among others.

The proposed bill is quite different and stricter from the liberalised rules that were announced in 2021.

As mentioned above, current rules have decriminalised most offenses whereas the maximum penalty for violations was slashed to INR 1 lakh. The proposed bills, however, brings back criminal provisions, including imprisonment for up to three years on serious violations as well as confiscation of drones on suspicion.

"Whoever wilfully disobeys any direction lawfully given by any person or authority empowered under this Act to give such direction, or obstructs any person or authority in the

discharge of their functions which such person or authority is required or empowered under this Act to discharge, shall, if no other penalty is provided for such offence, be punishable with a fine up to Rs. 50,000/- or an imprisonment which may extend to three months or both, and for any second or subsequent offence with a fine up to Rs. 1,00,000/- or an imprisonment which may extend to six months or both," according to the provisions of the proposed bill.

Similarly, the government has done away with remote pilot licences for micro drones and non-commercial use and nano drones. The proposed bill brings back remote pilot certificate requirements for users, including those used for recreational and hobby purposes.

Earlier, the government allowed manufacturers to generate unique Identification Numbers (UINs) through a self-certification route for select drones. Now, the bill proposes DGCA-issued UINs and type certification for all drones.

Obviously, there are exceptions for the security forces.

"The provisions of this Act shall not apply on the Unmanned Aircraft Systems having all up weight above 500kgs. Such Unmanned Aircraft Systems shall be governed by the provisions

of the Bharatiya Vayuyan Adhiniyam, 2024 and the rules made thereunder," according to the proposed bill.

Note that these are draft provisions and the drone industry and the public have another couple of weeks to submit their response and feedback.

The proposed revision in the drone rules come in the wake of the India and Pakistan conflict, wherein both the sides extensively used drones in the warfare. We also saw drones being extensively deployed in the ongoing conflict between Ukraine and Russia.

Apart from that, there have been increasing concerns over the misuse of drones. According to the Narcotics Control Bureau (NCB) annual report released earlier this week, there has been exponential growth in drone-related drug drops along the India-Pakistan border in Punjab. The report says the number of seizures rose from a mere 3 cases to 179 in 2024.

Agnishwar Jayaprakash, Founder and CEO, Garuda Aerospace notes that the new draft bill presents a significant step towards the drone industry. He underlined that while the previous rules provided the initial impetus for rapid growth, the new bill's focus on stricter compliance and safety protocols is essential for the long-term sustainability and credibility of our sector.

"We view these new measures not as burdens, but as a necessary framework that fosters a professional ecosystem built on trust and accountability. By adhering to these higher standards, we are confident in strengthening our operational viability and reinforcing our business model, which has always prioritised safety and ethical operations. This move aligns perfectly with our vision of building a robust and responsible drone industry that can truly serve national interests," he told Entrepreneur India.

Jayaprakash is also not critical of the proposed certification regime. Describing it as a "positive and proactive measure", the founder stressed that mandatory registration and type certification will ensure every drone in the sky meets a minimum quality and safety standard, which is crucial for public safety and national security.

Entrepreneur India has also reached out to Drone Federation India for comments on the same. We will update the story as soon as we hear from them.

Apart from the drone industry, including the enterprise users, the proposed bills also impact the recreational and hobbyist users. It is worth mentioning that drones are now extensively used in films, outdoor shoots, weddings, and much more.

India's drone market was pegged at approximately USD 0.47 billion in 2025 and is projected to grow to USD 1.39 billion by 2030, at an impressive CAGR of 24.4%, according to a report by MarketsandMarkets.

The growth is driven by factors such as government initiatives like the Drone Shakti scheme and the Production-Linked Incentive (PLI) scheme. The government initiatives, however, look at a broader spectrum of drone applications, including in areas like agriculture, defense, and logistics, as well as advancements in drone technology.

One of the most remarkable initiatives has been the Drone Didi Scheme, which aims to provide drone pilot training to women in rural areas to make them more self-dependent and technologically savvy.

The proposed bill, if implemented, may see a course correction in the drone industry, which, as mentioned above, is growing at a fast pace. Though, it remains to be seen whether the correction will slow down the growth or not.

ideaForge CEO Ankit Mehta tells Entrepreneur India that the draft Civil Drone Bill, 2025, though well-intentioned, introduces some stricter regulations, risks diluting the historic liberalisation introduced by the Hon'ble Prime Minister through the Drone Rules 2021.

"The bill's proposals for new criminal offences, wide-ranging regulatory powers, and large insurance liabilities, implemented without adequate input from the industry experts, consultants, etc., risk hindering ease of doing business and stalling India's ambition to lead the global drone market by 2030, as envisioned by our Hon'ble Prime Minister of India," he said.

He also pointed out that India's drone ecosystem is creating jobs, advancing innovation, promoting exports, and strengthening the Atmanirbhar Bharat policy appealed by the Hon'ble Prime Minister, which aimed to make the country and its citizens independent and self-reliant in all senses.

"We are confident that the Government will consider industry's request to revisit the draft, align it with its own vision for cutting-edge sectors like drones, and engage meaningfully with industry to craft a framework that is balanced, practical, and future-ready," he added.