The Ministry of Civil Aviation vide its notification dated 11th March 2022 has invited applications from drone industry for Production Linked Incentive (PLI). The application form is of one page only, along with the certificate from the head of organisation and the statutory auditor.More than one company within a Group of Companies may file separate applications under this PLI scheme and the same shall be evaluated independently. However, the total PLI payable to such applicants shall be capped at 25% of the total financial outlay under this PLI scheme.Deadline for submission of application form is 31st March 2022.
As per the scheme, Minimum value addition norm is at 40% of net sales for drones and drone components instead of 50%, an exceptional treatment for drones. Eligibility norm for MSME and startups is at nominal levels.
Coverage of the scheme includes developers of drone-related software also. PLI for a manufacturer shall be capped at 25% of total annual outlay. This will allow widening the number of beneficiaries.In case a manufacturer fails to meet the threshold for the eligible value addition for a particular financial year, she will be allowed to claim the lost incentive in the subsequent year if she makes up the shortfall in the subsequent year.
