TAIPEI (Taiwan News) — A Taiwan-India investment forum on Tuesday highlighted opportunities for Taiwanese firms to expand into India’s rapidly developing drone industry.
Senior Indian state officials presented investment policies and industrial development plans at the event. Gaurav Daga, senior vice president of Tamil Nadu’s investment promotion agency, invited Taiwanese firms to establish production facilities in India, according to CNA.
Daga said the southern state is building a drone industry ecosystem, with different cities specializing in separate segments of the supply chain. Chennai, the state capital, has developed a cluster of Taiwanese companies focused on avionics and electronics manufacturing.
Hosur has emerged as a hub for drone airframe production. Coimbatore is developing capabilities in precision components.
Drone applications in India are expanding across agriculture, healthcare, defense, and disaster management. However, under current policy, India prohibits the import of complete drone systems, requiring much of the chain to be localized.
Daga said this creates opportunities for Taiwanese manufacturers, which are strong in key components such as sensors, motors, and batteries. He encouraged Taiwanese firms to establish production facilities in India to participate in the growing sector.
Taiwan’s drone supply chain is built on a strong information and communications technology base and a comprehensive electronics ecosystem. Key components include batteries, flight control chips, camera lenses, image processing systems, and global positioning modules, according to Sinotrade.
Industry players include Asia Optical Co., which specializes in imaging lenses; Nuvoton Technology Corp., which develops flight control and image processing chips; and Holtek Semiconductor Inc., which produces microcontrollers and related integrated circuits.
Department of Investment Promotion official Lu Chen-huei (呂貞慧) said the current period presents an important opportunity for Taiwanese companies to enter the Indian market. Analysts say India is poised for a “golden decade” of robust economic growth through 2035, according to the Kellogg School of Management.
The Indian government aims to position the country as a global drone hub by 2030. According to India’s Civil Aviation Ministry, the country’s drone industry is expected to reach between NT$47.2 billion (US$1.5 billion) and NT$59.8 billion this year, according to Klynveld Peat Marwick Goerdeler.
