India’s defence production climbs to record Rs 1.5 lakh crore in 2024-25, exports also hit new high
INDIAN DEFENCE
India’s push for self-reliance in defence manufacturing has reached an unprecedented milestone, with official figures for 2024–25 showing total domestic defence production surging to a record ₹1.5 lakh crore.
In parallel, India’s defence exports have also touched a new peak, showcasing the growing international demand for domestically built platforms such as the BrahMos supersonic cruise missile, offshore patrol vessels, artillery systems, and electronic warfare equipment. This export growth is not only strengthening India’s defence industrial base but also enhancing its strategic influence by cementing partnerships with friendly nations across Southeast Asia, Africa, and Latin America.
The numbers for 2024–25 underline a transformative shift in India’s defence ecosystem—one that has moved beyond dependency on imports toward building a robust, self-sustaining supply chain. A major catalyst has been the government’s consistent push to reserve a significant portion of the annual capital acquisition budget for domestic industry, coupled with policy reforms like the Defence Acquisition Procedure (DAP) 2020 and expanded positive indigenisation lists that ban the import of certain platforms and subsystems. Investment in research and development, particularly in emerging domains like artificial intelligence, space-based assets, and next-generation combat systems, has further fueled innovation. Simultaneously, the Defence Ministry’s export promotion cell, combined with proactive diplomatic outreach, has opened up new markets for Indian products, with deals in progress with countries looking for cost-effective yet high-quality alternatives to Western or Chinese systems. While challenges remain in scaling up production to meet both domestic and export demands, the momentum of 2024–25 signals that India is on course to become not just a defence manufacturing hub for itself, but a key player in the global arms market—a development that carries significant economic, strategic, and geopolitical weight for the years ahead.
This historic achievement reflects a sharp acceleration in indigenous manufacturing across both the public and private sectors, driven by sustained government policy support, Make in India initiatives, and a significant increase in procurement from Indian vendors by the armed forces. Defence Public Sector Undertakings (DPSUs) like Hindustan Aeronautics Limited (HAL), Bharat Electronics Limited (BEL), and Mazagon Dock Shipbuilders have delivered major projects ahead of schedule, while private firms have expanded their footprint in advanced systems, unmanned platforms, and high-precision components.