The present study was conducted as an alternative source of urea granule fertilizer in rice cultivation because of having due advantages for efficient use of resources in the rice production scenario so as to assess the agro-economic impact of nano urea application in scientific cultivation of rice with the existing farmers fertilizer practices in the state of Manipur. A sensitization programme was conducted through on-line mode with the IIFCO-Guwahati, IIFCO-marketing Manipur region along with the scientific and farming communities of Manipur under a novel initiative of ICAR-KVK, Imphal west. The IIFCO-Guwahati, ICAR-KVK agreed to conduct a trial on the farmers’ fields of 2 districts (Imphal west and Kakching districts) of Manipur. KVK approached a local agriculture Drone service provider (Glazing Info-Tech., Nameirakpam, Manipur) and the trial cum demonstrations on the application of nano urea using agriculture Drone was conducted on 25 farmers field covering 10 ha in Imphal West and 5 ha in Kakching district. Data on agronomic and economic attributes were taken to study the impact of Nano urea application on the agro-economic aspects under the supervision of ICAR-KVK, Imphal. The results of the demonstration were highly significant with a percent increased of 11.2% average yield over the Farmers Fertilizer Practice (FFP). The gross costs were found to Rs.71000 for FFP and Rs.70000 in the technology intervention with a net return of Rs.60000 for nano urea application over the FFP of Rs. 43000. The response of the farmers for nano urea application revealed that majority of them are not aware of the new technology intervention and they came to know only when the ICAR-KVK sensitized and implemented the technology in their field. Only 80%, 12%, 8% responded yes to perceptions such as the Know-how of nano urea application, use of agriculture drone and Power sprayer. However, 96% responded that the productivity of the rice increased in case of the nano urea application Thus, the nano urea application had resulted in cost & drudgery reduction, thereby saving resources, increased the yield by 11.12% and enhanced farmers’ income in rice production in the state of Manipur.