India’s Defence Industry is Growing!
India’s defence manufacturing sector has entered a new era of self-reliance. For the first time, around 65% of defence equipment used by the Indian armed forces is now being made domestically. This milestone reflects years of effort under the “Atmanirbhar Bharat” mission to reduce import dependency and strengthen national security.
According to data released by the Ministry of Defence, total defence production in FY 2023-24 reached an all-time high of ₹1.27 lakh crore, a sharp increase from ₹46,429 crore in FY 2014-15. Even more impressive, defence exports surged to ₹21,083 crore, marking a 32.5% rise compared to the previous year and a 30-fold jump in the last decade.
India’s Indigenous Achievements
A new generation of made-in-India defence platforms is proving the nation’s growing capabilities:
- LCA Tejas: India’s light combat aircraft, developed by HAL and DRDO, symbolizes technological independence in aviation.
- Arjun Main Battle Tank: Designed by DRDO, this tank represents domestic excellence in heavy ground systems.
- INS Vikrant: India’s first indigenously built aircraft carrier, a symbol of naval engineering mastery.
Together, these systems showcase the progress from licensed production to true innovation, combining Indian design with advanced research and materials.
Private Sector’s Growing Role
Another striking development is the rising participation of private companies, which now contribute around 21% of total defence production. Firms like Larsen & Toubro, Tata Advanced Systems, Bharat Forge, and several startups under the iDEX (Innovations for Defence Excellence) initiative are taking on active roles in producing aircraft components, drones, naval systems, and smart weapons.
This shift marks a major policy success for the government, which has been encouraging private participation through the Defence Production & Export Promotion Policy (DPEPP 2020) and relaxed industrial licensing. The goal is to blend public sector experience with private innovation and speed.
Exports Expanding Worldwide
India’s defence exports are reaching more than 100 countries, with major clients in Asia, Africa, and South America. Products like surveillance radars, coastal patrol vessels, avionics, and ammunition are gaining international recognition for quality and cost-effectiveness.
The government aims to increase exports to ₹50,000 crore by 2029, supported by easier export clearance procedures and the creation of a Defence Export Promotion Cell (DEPC). This aligns with India’s larger ambition to join the world’s top defence exporters.
Economic and Strategic Impact
The rise of indigenous manufacturing is more than an industrial achievement — it’s an economic and strategic revolution.
- Job Creation: Thousands of engineers, technicians, and suppliers benefit across defence corridors in Uttar Pradesh and Tamil Nadu.
- Technology Ecosystem: Indigenous R&D strengthens related sectors like aerospace, AI, and advanced materials.
- National Security: Reduced import reliance enhances India’s resilience against supply chain disruptions or geopolitical constraints.
These gains also contribute to GDP growth, with defence manufacturing emerging as a key driver of high-tech employment and export revenue.
Challenges Ahead
Despite rapid growth, several hurdles remain. Many critical subsystems — such as jet engines, advanced radars, and electronic warfare suites — still rely on foreign imports. Domestic companies face long procurement cycles and limited global exposure.
To address this, the government is focusing on joint ventures, technology transfers, and academic collaboration. The establishment of Defence Industrial Corridors, along with rising FDI in defence, is expected to close these gaps over the next few years.
A New Era of Self-Reliance
With production crossing record highs, exports booming, and private innovation accelerating, India’s defence industry stands on the threshold of global prominence. From building world-class aircraft carriers to exporting advanced drones, the message is clear: India is no longer just a buyer — it’s a builder of defence power.
Source (with citation, not repeated):
Press Information Bureau, Government of India. “India’s Defence Production Hits Record ₹1.27 Lakh Crore, Exports Cross ₹21,000 Crore in FY 2023-24.” Published June 2024. PIB.gov.in
