| Study Period | 2019 - 2032 |
| 2024 Market Size | USD 1550.2 Million |
| 2025 Market Size | USD 1805.0 Million |
| 2032 Forecast | USD 5574.6 Million |
| Growth Rate (CAGR) | 17.5% |
| Largest Application | ISRT |
| Fastest Growing Platform | Sensors |
| Nature of the Market | Fragmented |
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The Indian military drone market size was USD 1550.2 million in 2024, and it will grow by 17.5% during 2025–2032, to reach USD 5574.6 million by 2032.
The market is driven by the rising defense budget, growing tension with neighboring countries, and robust government support. In FY 2024–2025, the government spent USD 75 billion (INR 6.22 lakh crore) to buy and upgrade new technologies for the armed forces.
The growth of the market is due to the increasing use of advanced drones for surveillance, transportation, communication, spying, and electronic warfare, especially near borders. In May, Operation Sindoor saw the usage of advanced drones capable of flying and completing missions even in areas lacking GPS connectivity.
The government is also supporting local production through various schemes, such as the Digital Sky program and PLI, to reduce the reliance on imports. The center is also partnering with global defense contractors to design advanced, AI-integrated drones according to the armed forces’ specifications.
The rotary-wing category held the largest market share, of 55%, in 2024 because of their ability to float, take-off, and land vertically, flexibility, and adaptability. They also offer high performance in constrained areas for monitoring and tactical operations in challenging environments.
The hybrid category will have the highest CAGR, due to their greater flight range, akin to fixed-wing, and vertical take-off and landing, associated with rotary-wing variants. They offer improved operational flexibility in a wide range of applications, including surveillance and reconnaissance.
The types analyzed in this report are:
The remotely operated category held the largest market share, of 70%, in 2024 because they provide live decision capabilities, affordability, adaptability, and reliability. They are ideal for various military applications, including IRS and tactical missions. The DRDO Lakshya and IAI Heron are utilized by the Indian Armed Forces for surveillance operations.
The fully autonomous category will have the highest CAGR. This can be because these drones have the ability to operate without human intervention and use smart technologies, such as AI and ML, to carry out complex missions. This mode also helps in performing electronic warfare in GPS-signal environments. The Harop and Heron smart drones have powerful capabilities to operate even when GPS and communication signals are jammed, which was demonstrated during Operation Sindoor.
The modes of operation analyzed in this report are:
The ISRT category held the largest market share, of 50%, in 2024 because of the need to collect live information, target acquisition, and border monitoring. They are also used for enhancing decision-making and gaining situational awareness in missions.
The combat operations category will have the highest CAGR. This can be because of the increasing usage of UAVs for accurate strikes and anti-terrorist operations. The May hostilities between India and Pakistan saw the usage of attack drones by both neighbors.
The applications analyzed in this report are:
The cameras category held the largest market share, of 40% in 2024, since they provide clear, live visuals for target identification and monitoring and are helpful in decision-making during missions.
The sensors category will have the highest CAGR. This can be due to their ability to detect threats and operate across harsh terrains and in poor visibility. The need to get accurate data for unmanned operations drives the growth of this category. The Akashteer System, used in Operation Sindoor, uses radar and infrared sensors to detect missiles and drones with accuracy.
The platforms analyzed in this report are:
The small drones category held the largest market share, of 60% in 2024, due to its flexibility for various missions, including field operations, reconnaissance, and surveillance. The Indian Army has released a proposal to obtain 850 nano drones for special monitoring missions with a range of 2 km and flight duration of 30 minutes, to increase situational awareness and minimize the risk to personnel.
The tactical drones category will have the highest CAGR, due to the increasing demand for advanced monitoring, strike missions, and reconnaissance in border areas and war zones. These drones provide live intelligence and accurate strike abilities for national security operations. In May 2025, the Indian Army successfully tested the Ajeet Mini tactical drone from Zuppa Geo Navigation in high-altitude areas.
The sizes/classes analyzed in this report are:
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The market is fragmented because many niche players, large defense players, and global players sell to the Indian Armed Forces. Also, the government supports local players through programs such as iDEX, to help them compete and grow in the market. Besides, the requirements of the Indian Armed Forces are diverse, and no drone company satisfies all of them. Hence, the government contracts multiple defense OEMs for UAVs, which fragments the market.
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