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Mint
08-07-2025
- Business
- Mint
India's drone industry grows rapidly but faces critical rare-earth magnet dependency
Sakshi Sadashiv India is swiftly expanding its drone manufacturing ecosystem, driven by increased defence demands, supportive government policies, and a burgeoning startup scene. The motors used in drones are made from rare-earth magnets, typically smaller brushless DC motors. Gift this article India's drone ecosystem is ramping up local manufacturing amid rising defence demand and policy push, and a swelling base of domestic startups. While there's growing domestic capability in airframes, batteries, and software, critical components such as flight controllers, sensors, and motors continue to be largely import-dependent. India's drone ecosystem is ramping up local manufacturing amid rising defence demand and policy push, and a swelling base of domestic startups. While there's growing domestic capability in airframes, batteries, and software, critical components such as flight controllers, sensors, and motors continue to be largely import-dependent. A key vulnerability lies in the reliance on rare earth magnets—essential for high-performance drone motors, which India currently lacks the capacity to produce at scale, industry executives said. With China tightening export controls on these magnets, especially for defence applications, industry executives warn this could become a bottleneck in India's goal of building a fully self-reliant drone manufacturing ecosystem. The motors used in drones are made from rare-earth magnets, typically smaller brushless DC motors. 'There are ongoing efforts to identify alternative options—both in terms of materials and designs—and to determine what can be used in place of Chinese-sourced rare earth magnets," said Sai Pattabiram, founder and MD of Zuppa, a drone-tech startup. Garuda Aerospace invested in the company this year, and it is also backed by MapmyIndia. Government support Currently, India is home to 515 drone-related companies, with 263 focused specifically on component manufacturing. In terms of funding, drone startups secured $108 million in 2024 and have already raised $39 million in 2025, according to Tracxn data. India is also set to roll out a $234 million incentive scheme aimed at boosting domestic production of drones for both civil and defence use, according to aReutersreport. Moreover, the production-linked incentive (PLI) scheme, along with initiatives like the defence ministry's iDEX and Technology Development Fund (TDF), has created a fertile ground for companies to invest in R&D and ramp up manufacturing. Drone companies interviewed by Mint echoed the sentiment that these schemes are not merely financial boosts, but strategic signals that India is committed to building a globally competitive drone ecosystem. Yet, India's reliance on foreign suppliers—particularly for magnets—has emerged as a serious issue. 'In India, most motors used in drones are permanent magnet motors, which rely on rare earth magnets. Unfortunately, there are currently no alternative suppliers for these magnets," said Srihari Mulgund, partner and New-Age Mobility leader, EY-Parthenon. 'There is currently no domestic source for drone-grade magnets in India. We need to start figuring this out, especially given the current situation," he said. With defence applications flagged by foreign suppliers, access to these critical parts becomes even harder. 'If the end use is defence-related, then suppliers—especially from China—won't ship the parts. That's a serious roadblock. You're essentially stuck if the supplier flags your application as defence," Mulgund added. In June, China issued six-month export licenses for select rare-earth materials following trade talks with the US, but continued to block exports of magnets intended for defence use, maintaining restrictions on military-grade components. 'Even automotive companies are struggling to secure these magnets—so how can drone companies expect to fare better?" Mulgund said. Rare-earth alternatives Currently, there is no viable recycling mechanism, and substituting with ferrite magnets or soft magnetic composites is not feasible, he added. These alternatives do not offer the same performance characteristics—such as magnetic strength, weight efficiency, or thermal stability—required for high-end drone applications. Moreover, manufacturers don't stock large inventories. 'Demand is relatively low, as drones aren't high-volume products; much of the production is order-driven. Companies typically receive an order first and then procure parts, operating largely on a just-in-time basis," Mulgund said. Substitutes like ferrite magnets and soft magnetic composites exist but offer significantly lower magnetic strength, making them unsuitable for drones that require compact, high-efficiency components, according to Mulgund. Yet investor appetite is evolving. As localisation deepens and strategic relevance grows, long-term capital is beginning to flow in. Recently, Raphe mPhibr raised $100 million, the largest fundraising effort in India's drone sector to date. However, CEO Vivek Mishra clarified that the funding isn't for a single product but will go toward expanding both R&D and manufacturing capacities—it is not tied to a specific product like drones. Also Read: How new rules may change your app-cab rides The startup started in 2017 with a modest 2,000-square-foot research space. Later, it scaled up to a 100,000 sq ft integrated research and manufacturing facility, which has now expanded to a 650,000 sq ft facility. The company serves over 10 Indian government clients, including the Army, Navy, Air Force, and armed police forces. Mishra said that the company has sold over 400 drones in the past 12 months alone. On the rare earth magnet front, Mishra said the company has been actively working with authorities and advocating for indigenous manufacturing. 'Things have been moving, but they've picked up pace over the last couple of months. We are now setting up local manufacturing for these magnets as well. For a few months, there might be certain problems—but it's solvable," he toldMint. Defence capabilities 'There's growing investment in drone manufacturing in India, but there's no magic bullet—you can't just pump in money and expect startups to suddenly make everything indigenous," said Pushkar Singh, co-founder of investment firm Tremis Capital. 'The government is now focusing on manufacturing simpler, less complex components locally, as making high-precision components requires machining expertise we currently lack." Less complex components—such as frames, casings, or basic assemblies—are easier and quicker to manufacture compared to high-precision components, which demand advanced machining skills, tighter tolerances, and specialised equipment India is still developing. He added that while Indian startups are unlikely to make missiles or tanks, drones represent a strategic sweet spot, especially with rising demand in modern warfare. 'Modern warfare is shifting towards drones. The government wants to reduce dependency and boost exports. Many smaller countries can't afford fighter jets or missiles, but they can afford drones. That creates massive export potential for Indian startups." Mumbai-based IdeaForge says it has already built a fully proprietary autopilot stack—meaning all flight control software and systems have been developed in-house, without using any third-party or open-source code. 'We have written the software for our autopilot from the ground up. The PCB (printed circuit board), which connects and powers key electronic components, is also our own design—and we ensure that microcontrollers (chips that control drone functions), don't come from geographies of concern (countries that may pose security or trade risks)," said Ankit Mehta, co-founder of IdeaForge. He added that, depending on the product, their drones are around 70% indigenously built. US, Europe, Japan, Australia, and India have already begun allocating significant resources to rebuild rare-earth supply chains and reduce their dependence on China. Australia's Lynas Rare Earths has ramped up production, while the US has designated rare earths as critical minerals and is channelling funding into domestic mining and refining. Globally, countries are also investing in recycling technologies to recover rare earths from electronic waste and advancing R&D to develop magnet alternatives and reduce overall rare-earth usage in high-tech applications. 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Indian Express
08-07-2025
- Business
- Indian Express
MapmyIndia becomes first to integrate DIGIPIN for more accurate location information
MapmyIndia has announced it has integrated the India Post's DIGIPIN with its Mappls app, allowing users to generate a unique 10-character alphanumeric code for any address or location with 3.8m x 3.8m grid-level accuracy directly on Mappls platform. The integration aims to address persistent challenges in last-mile delivery and location accuracy while supporting efforts by Digital India and Aatmanirbhar Bharat to expand digital infrastructure by creating universally recognised digital addresses for every citizen and business. It is now live on the MappIs app and is available to all users as well as developers for adoption across their platforms and services. DIGIPIN, developed by India Post, is a 10-character alphanumeric code for precise geolocation. The MappIs app overlays this with its MappIs Pin, which provides contextual information such as building names, floor numbers, and nearby landmarks. The dual-layer approach enables users to locate remote or previously unmapped areas using DIGIPIN on the MappIs app. It can be useful for delivery workers, emergency services, and other stakeholders. Rakesh Verma, co-founder and CMD of MapmyIndia, called the integration a 'historic stride' and emphasised that it empowers 'over a billion Indians with a digital postal address for every home and business.' 'With MappIs Pin, we're adding an intelligent layer on top of DIGIPIN that bridges the gap between the physical and digital worlds – serving every user, whether relying on GPS or otherwise,' Verma said in a press release on Monday, July 7. India Post has also embedded MappmyIndia's Map APIs in its internal systems. This means that it will use MappIs' geospatial information to 'enhance its nationwide reach and services.' This development also marks a critical moment for the use of India's indigenous NavIC satellite navigation system, as the MappIs app is built natively on it, creating an end-to-end Indian digital geospatial stack from satellite to mobile. The DIGIPIN and MappIs Pin systems are intended to improve the accuracy of addresses in sectors like logistics, public service delivery, and emergency response services. By offering standardised digital identifiers, the integration may help reduce issues related to unclear or incomplete physical addresses.
Time of India
08-07-2025
- Business
- Time of India
MapmyIndia's Mappls integrates DIGIPIN to generate digital addresses
New Delhi: Homegrown navigation firm MapmyIndia has integrated India Post 's DIGIPIN platform in its Mappls map to generate digital addresses , the company said on Monday. The postal department has developed the DIGIPIN (Digital Postal Index Number) as an open source, interoperable, geo-coded, grid-based digital address system in collaboration with IIT Hyderabad and NRSC, ISRO. "MapmyIndia Mappls -- the nation's leading digital mapping and deep-tech pioneer -- proudly joins hands with India Post to bring to life India's first comprehensive digital address system through the integration of DIGIPIN into the Mappls app platform," MapmyIndia Mappls Co-Founder and Chairman & Managing Director Rakesh Verma said in a statement. DIGIPIN generates a code or coordinates for a block size of 3.8-metre square block across India. Users are required to point pin on the DIGIPIN platform for generating the digital coordinates that can be used along with postal addresses for higher degree of accuracy. Verma said Mappls pin, along with DIGIPIN, will be able to even show the floor and even house or flat number of the digital address generator. "In areas where the Mappls PIN is not active like rural areas then, Mappls will generate PIN, making the nearest landmark as a reference point," he said.
Business Standard
07-07-2025
- Business
- Business Standard
C.E. Info Systems launches India's first ever comprehensive Digital Address System
Integrates Mappls App with India Posts's DIGIPIN to offer 'Last Mile Digital Address Connectivity' C.E. Info Systems (MAPMYINDIA) has launched India's first ever comprehensive Digital Address System by integrating the flagship Mappls App with India Posts's DIGIPIN. Just as MapmyIndia Mappls revolutionized digital mapping in India by providing house-level addresses through its maps and location technologies, the integration of the MapmyIndia Mappls App with DIGIPIN now takes this empowerment further. It enables every individual to generate a precise, easy-to-use, and universally recognized Digital Pina unique DIGIPIN from India Postfor any location or address across India. This collaboration reflects a seamless integration effort from both sides. MapmyIndia has embedded India Post's DIGIPIN system into its Mappls app, enabling every Indian to create and access a unique, precise, and verifiable digital address. Simultaneously, India Post has integrated MapmyIndia's advanced Map APIs into their own systems, leveraging state-of-the-art geospatial intelligence to enhance its nationwide reach and services. Together, this partnership lays the foundation for a smarter, more connected India where every address is digitally mapped out.
Business Upturn
07-07-2025
- Business
- Business Upturn
MapmyIndia & India Post launch DIGIPIN to offer last mile digital address connectivity
By Aman Shukla Published on July 7, 2025, 08:14 IST In a move set to redefine how India navigates, locates, and delivers, MapmyIndia Mappls and India Post launched the country's first-ever comprehensive Digital Address System. At the heart of this innovation lies the integration of Mappls' advanced geospatial technologies with India Post's newly introduced DIGIPIN—marking a major milestone in India's digital infrastructure journey. MapmyIndia, known for its indigenous location tech and deep-mapping solutions, has built a legacy around transforming the way Indians access addresses and navigate their world. Now, with DIGIPIN—a 10-character, government-backed, location-specific digital code—being embedded directly into the Mappls app, users across India can generate unique, precise, and universally verifiable digital addresses. This is not just a leap forward in mapping, but a complete transformation of how India approaches last-mile connectivity. This collaboration goes both ways. While MapmyIndia's app now enables every Indian to create and access a DIGIPIN for any address, India Post has also integrated Mappls' cutting-edge Map APIs into its nationwide postal systems. The result? A more connected, geospatially aware delivery ecosystem that bridges the digital and physical world, from metro cities to the remotest corners of the country. DIGIPIN codes are smart, easy to use, and ultra-precise—accurate down to a 3.8m x 3.8m grid. They're shareable, secure, and respect user privacy, as no personal data is stored. Combined with Mappls Pin—MapmyIndia's own intelligent location identifier—users and businesses now get even more contextual information like apartment names, floor numbers, and landmarks. This powerful combination solves India's long-standing last-mile addressing and navigation challenges once and for all. For citizens, this means faster, more accurate deliveries, better access to services, and an easier way to share their exact location with just a simple code. For businesses—from e-commerce and logistics to emergency services and fintech—this dual-pin system opens up a world of opportunities for smarter, more efficient operations. Backed by India's NavIC satellite system and built entirely on an Indian digital geospatial stack, the Mappls app represents a fully Atmanirbhar innovation. This initiative is in perfect alignment with the Government of India's Digital India and inclusive development goals, ensuring no home, business, or remote village is left unaddressed. By fusing the power of DIGIPIN with the intelligence of Mappls Pin, MapmyIndia is leading the charge towards a digitally mapped and precisely connected Bharat—where every doorstep is reachable, every service is accessible, and every location has its own unique identity in the digital universe. Ahmedabad Plane Crash Aman Shukla is a post-graduate in mass communication . A media enthusiast who has a strong hold on communication ,content writing and copy writing. Aman is currently working as journalist at
