Announcing the milestone on Saturday, Defence Minister Rajnath Singh credited the achievement to the “collective efforts” of the Department of Defence Production, Defence Public Sector Undertakings (DPSUs), state-owned manufacturers, and private industry. “This is a clear indicator of India’s strengthening defence industrial base,” he said in a post on X.
Public Sector Leads, Private Sector Gains Ground
Official data shows DPSUs and other public-sector units accounted for about 77% of total output, while the private sector contributed 23%, up from 21% a year earlier. Production grew 16% in the public sector and 28% in the private sector during the year.
Policy Push and Indigenisation Drive Growth
Officials attributed the robust growth to policy reforms, improved ease of doing business, and a decade-long push for indigenisation under the Atmanirbhar Bharat initiative. These measures have encouraged domestic manufacturing, reduced import dependence, and built capacity for exports.
Exports Touch Record Rs 23,622 Crore
Defence exports reached Rs 23,622 crore in FY25, up 12% from Rs 21,083 crore a year earlier. The growth underscores India’s rising profile as a global supplier of defence equipment.
Defence Research and Development Organisation (DRDO) Chairman Dr. Samir V. Kamat said the numbers reflect the strength of India’s R&D and manufacturing base. “Going ahead, this number will keep increasing,” he said, citing the confidence the industry now has in producing systems domestically for assured procurement.
With both public and private manufacturers expanding capacity, bolstered by supportive policies and foreign demand, the sector is expected to maintain its upward trajectory in the coming years.
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