India is among the largest importers of drones, or unmanned aerial
vehicles, in the world. So far a bulk of the buying has been from
Israeli, Chinese, Korean, US and European companies, with negligible
purchases from trusted partner Russia. But that is set to change.
A
new Indo-Russian joint venture — Elcomponics Aerob Technologies India —
is planning to manufacture multi-purpose UAVs, or drones, here with
Russian design and technology. And what’s more, the drones will be made
here in India, bringing down costs significantly.
The Noida-based
joint-venture was formed in 2016 by Russia’s Aerob, a startup based in
Skolkovo Innovation Center near Moscow, and India’s EL Componics, a
component manufacturer for automotive electronics, and solar industries.
India
is the first foreign market for the Russian start-up, while for EL
Componics this is the first foray into the UAV market. In India, the
Aerob UAVs will be sold under Pavansut brand. The joint venture is
planning to market several types of drones: Pavansut 5AT, a light-weight
copter UAV; Pavansut BH, a solar UAV designed for search and rescue and
infrastructure surveillance; and the multi-purpose Pavansut 30VR UAV
(known as Aerob 4D globally).
But it is the Pavansut 30VR UAV
that the Indo-Russian venture is betting on: the mid-range fixed wing
UAV weighing just 30 kg can fly for 10 hours with maximum flight range
of 1,200 km one-way at heights ranging 300 ft-12,000 feet.
Ideal for surveillance ::
The
UAV has a 120 km/h cruising speed which makes it useful for
surveillance of large infrastructure projects like oil and gas
pipelines, electric power lines, highways, rail roads, sea and land
borders. The drone can carry various types of payload, from HD photo and
video cameras to laser scanners and radars with up to 8 kg weight.
“We
are mainly targeting the defence and the military sector for the
Pavansut 30VR and are in discussions with DRDO and BSF,” S N Dwivedi,
Managing Director of Elcomponics Group, told BusinessLine.
New facility ::
Elcomponics-Aerob’s
facility in Noida will produce 5-8 UAVs per month in the first year of
operations. However, the company is caught in Red Tape and is trying to
get a licence for manufacturing the UAVs from DIPP. “The delay in
getting an industrial license is a challenge to start the business
operations,” Dwivedi said.
The licence to manufacture drones in
India has so far been granted to 17 Indian companies including BHEL,
Ashok Layland, and Dynamic Technology.
Igor Kuznetsov, CTO of
Elcomponics-Aerob, told BusinessLine that the JV will first start
semi-knocked-down assembly in India and move towards localising up to 80
per cent of the components. “We will bring our own composites
manufacturing technology to India as well, since in Russia all our needs
for composite materials used in making of UAVs are satisfied by our own
facilities.”
Russian Aerob decided to localise manufacturing
after it realised the difficulties of importing readymade UAVs to India.
“ At the same time, manufacturing in India will allow us to price the
drones 20 per cent less than in Russia,” Kuznetsov said.
Growing market ::
The
global UAV drones market is expected to increase to $21.23 billion by
2022, according to research firm MarketsandMarkets. The commercial UAV
segment accounts for a small share of the total and may reach $2.07
billion by 2022, Grand View Research, a US-based market research and
consulting company estimates.
EY’s “Eye on defence” report notes
that till date India has bought UAV platforms worth about $1.5 billion
(₹8,350 crore in 2012 exchange rate). Q-Tech Synergy expects the market
to reach $5 billion by 2027.
Lt Cdr John Livingstone (Retd), the
Founder CEO and Product Architect of Johnnette Technologies, one of the
pioneers of the country’s UAV industry, estimates Indian UAV market to
reach around $3 billion (₹20,000 crore) in the next 10 years.
Stiff competition ::
Stockholm
International Peace Research Institute, a global think-tank, said in
the past two decades India has emerged as the largest importer of UAVs
with a 22.5 per cent share in global imports, although between 2010 and
2014, UK replaced India as the top importer of UAVs.
Israel has
been the major supplier of UAVs to India as well as globally accounting
for 60.7 per cent of world’s exports of UAVs. The Indian government have
approved a new purchase of 10 armed Herons worth $400 million in 2015.
Israeli companies are also looking at localising manufacturing of UAVs
here: in February, Israel Aerospace Industries (IAI) and Bangalore-based
Dynamatic Technologies Ltd (DTL) signed a cooperation agreement for the
production of mini UAVs in India, while last year Adani Enterprises
entered into JV with Israel’s Elbit Systems for the manufacturing of
UAVs in Ahmedabad.
The cost factor will be the major advantage of
Elcomponics Aerob’s UAVs. According to Kuznetsov, the Pavansut 30VR
drone may cost only a third as much as the Israeli machines.
Chinese,
Korean, US and European companies dominate India’s commercial drone
market. There are around 30 Indian start-ups manufacturing various UAVs.
The market share of India-made UAVs is currently 20-25 per cent,
Livingstone said, with the majority of indigenous drones supplied to
government organisations, armed forces and police rather than being used
for commercial purposes.
thehindubusinessline