The India Military Drone Market size reached USD 597.88 Million in 2025 and is projected to reach USD 1,917.42 Million by 2034. The market is expected to grow at a CAGR of 13.82% during the forecast period of 2026-2034. Growth is fueled by government procurement initiatives, strategic technology partnerships, indigenous manufacturing, and the integration of artificial intelligence and autonomous systems into unmanned platforms. The report presents a thorough review featuring the India Military Drone Market outlook, share, trends, and research of the industry.
STUDY ASSUMPTION YEARS
- Base Year: 2025
- Historical Year/Period: 2020-2025
- Forecast Year/Period: 2026-2034
INDIA MILITARY DRONE MARKET KEY TAKEAWAYS
- Current Market Size (2025): USD 597.88 Million
- CAGR (2026-2034): 13.82%
- Forecast Period: 2026-2034
- The Indian government's significant procurement of 87 Medium Altitude Long Endurance drones valued at INR 30,000 crore prioritizes indigenous manufacturing with mandatory local content.
- Strategic joint ventures like Larsen and Toubro with General Atomics facilitate technology transfer and domestic production.
- Expansion of counter-UAS systems integrates multi-sensor detection and electronic and kinetic countermeasures with indigenous content requirements.
- Indigenous drone programs such as TAPAS-BH-201 (Rustom-2) have faced delays and performance shortfalls, increasing reliance on foreign platforms.
- Engine dependencies on foreign suppliers, including components from Chinese-owned Austro Engine, create strategic vulnerabilities.
Sample Request Link: https://www.imarcgroup.com/india-military-drone-market/requestsample
MARKET TRENDS
Government procurement initiatives are a key market trend reshaping the India military drone landscape. In August 2025, the Defence Acquisition Council approved procurement of 87 MALE (Medium Altitude Long Endurance) UAVs valued at about INR 30,000 crore, emphasizing indigenous content mandates such as locally manufactured aerostructures and navigation systems. This initiative underscores India's strategic focus on fostering domestic capabilities while balancing foreign acquisitions, driven by the need to address intelligence and reconnaissance gaps, especially along high-altitude borders and maritime domains.
Strategic partnerships are driving technology transfer and localization, fostering a vibrant military drone ecosystem. The joint venture between Larsen and Toubro and General Atomics Aeronautical Systems, finalized in late 2025, aims to manufacture MALE remotely piloted aircraft wholly within India. Larsen and Toubro will act as the prime bidder while General Atomics provides technology, creating jobs and supporting manufacturing hubs in Talegaon and Coimbatore. These partnerships accelerate the development of indigenous design, manufacturing skills, and position Indian firms competitively for global export opportunities.
The expansion of counter-drone systems and autonomous capabilities is aggressively progressing. On May 29, 2025, the Indian Army issued a Request for Information for Ground-Based Counter Unmanned Aerial Systems, mandating at least 50% indigenous content under the Buy Indian category. These systems integrate radio frequency sensors, radar, and electro-optical infrared sensors capable of both soft-kill electronic jamming and hard-kill actions via weapon systems and swarm drones, deployable up to 14,500 feet altitude. This technology convergence showcases India's comprehensive approach to unmanned warfare defense and offensive applications.
MARKET GROWTH FACTORS
The Indian government's commitment to indigenous manufacturing through massive procurement schemes is a primary growth driver. The August 2025 Defence Acquisition Council program for 87 MALE UAVs incorporates stringent indigenous content requirements aligned with Make in India and Atmanirbhar Bharat initiatives. This strategic approach not only addresses critical operational gaps but fosters a diversified supply chain and competitive bidding landscape, projecting significant market expansion during 2026-2034.
Technology transfer through strategic joint ventures fuels market expansion. The partnership between Larsen and Toubro and General Atomics Aeronautical Systems exemplifies direct foreign collaboration combined with local talent and manufacturing assets. This synergy promotes advanced MALE drone production within India, encouraging innovation, job creation, and export potential, thereby strengthening market growth underpinned by policy support and defense modernization ambitions.
Increasing security challenges along India's borders with China and Pakistan, coupled with the integration of artificial intelligence, are accelerating market growth. AI deployment enables autonomous decision-making and real-time threat prioritization, demonstrated in May 2025's Operation Sindoor with 94% accuracy identifying enemy assets. Budget allocations exceeding USD 11 million for AI in defense reflect strategic investments driving autonomous combat operations and drone swarm capabilities, which will transform battlefield dynamics and operational efficiency, propelling market demand.
MARKET SEGMENTATION
Type:
- Fixed-wing: Unmanned aerial vehicles characterized by fixed wings offering endurance and range capabilities.
- Rotary Blade: Drones equipped with rotors for vertical takeoff and landing, used for maneuverability and diverse applications.
- Hybrid: Drones combining features of fixed-wing and rotary blade for enhanced versatility and performance.
Operation Mode:
- Remotely Piloted: Drones controlled by human operators from a distance.
- Partially Autonomous: Systems with some autonomous functions but retaining human oversight.
- Fully Autonomous: Drones capable of independent operations with minimal or no human intervention.
Range:
- Visual Line of Sight (VLOS): Drones operated within the visual line of sight of the operator.
- Extended Visual Line of Sight (EVLOS): Operations beyond direct sight but within aided visual range.
- Beyond Visual Line of Sight (BVLOS): Drones operated beyond the operator's visual sight using advanced controls and sensors.
Application:
- Intelligence, Surveillance and Reconnaissance (ISR): Drones deployed for gathering intelligence and monitoring.
- Logistics and Supply: Use of drones for delivery and supply chain operations.
- Others: Additional miscellaneous military applications.
Maximum Takeoff Weight:
- <150 Kg: Lightweight drones with limited payload capacity.
- 150 - 1000 Kg: Medium weight class drones for various operational roles.
- >1000 Kg: Heavyweight drones with high payload and endurance capabilities.
End Use:
- Air Force: Aerial warfare and surveillance applications for the Indian Air Force.
- Army: Land-based military drone applications.
- Navy: Naval drone use for maritime surveillance and operations.
Region:
- North India
- South India
- East India
- West India
REGIONAL INSIGHTS
The report does not specify the dominant regional market by share or CAGR explicitly. It provides a comprehensive analysis of major regions: North India, South India, East India, and West India. Specific market statistics or dominant region data is not provided in the source.
RECENT DEVELOPMENTS & NEWS
In October 2024, India finalized a USD 3.5 billion government-to-government agreement with the United States to procure 31 MQ-9B armed High Altitude Long Endurance Remotely Piloted Aircraft Systems from General Atomics. The contract includes 15 SeaGuardian maritime surveillance variants for the Indian Navy and 16 SkyGuardian land-attack variants allocated between the Indian Air Force and Indian Army. Additionally, a performance-based logistics contract was signed with General Atomics Global India for in-country depot-level maintenance, repair, and overhaul services.
KEY PLAYERS
- Defence Research and Development Organisation laboratories
- ideaForge
- Tata Advanced Systems
- Adani Defence
- Larsen and Toubro
- General Atomics Aeronautical Systems
If you require any specific information that is not covered currently within the scope of the report, we will provide the same as a part of the customization.
ABOUT US
IMARC Group is a global management consulting firm that helps the world’s most ambitious changemakers to create a lasting impact. The company provide a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.
CONTACT US
IMARC Group,
134 N 4th St. Brooklyn, NY 11249, USA,
Email: [email protected],
Tel No: (D) +91-120-433-0800,
United States: +1-201-971-6302
