New Delhi: India’s defence manufacturing sector has reached a significant milestone, with the country’s annual defence production projected to touch a record ₹1.78 lakh crore in the financial year 2025-26, marking a 15.6 per cent increase from ₹1.54 lakh crore recorded in 2024-25. The achievement reflects the growing success of the government’s push for self-reliance in defence production and the increasing global demand for Indian-made military equipment.
According to the Ministry of Defence, the latest figures represent a remarkable 110 per cent increase compared to the ₹84,643 crore defence production recorded in 2020-21. The growth becomes even more striking when compared with the production value of ₹43,746 crore in 2013-14, indicating that indigenous defence manufacturing has expanded nearly fourfold over the past decade.
Prime Minister Narendra Modi highlighted the transformation of the sector in a post on social media platform X, stating that India’s defence capabilities have witnessed substantial progress over the last 12 years through a focus on self-reliance, technological advancement, innovation, and domestic manufacturing.
Indigenous Weapons Driving Growth
The Defence Ministry also showcased the success of several key indigenous weapon systems that have strengthened India’s military capabilities while opening new export opportunities abroad. Among the systems highlighted were the Tejas light combat aircraft, Akash air defence missile system, Pinaka rocket system, Agni missile series, and BrahMos supersonic cruise missile.
The Tejas fighter aircraft, inducted into service in 2015, has emerged as a symbol of India’s aerospace ambitions. Developed by Hindustan Aeronautics Limited (HAL), the aircraft demonstrated India’s ability to design and manufacture modern fighter jets domestically. With the development of the Tejas Mk-1A and Mk-2 variants, India is aiming to create a broader indigenous combat aviation ecosystem.
The Akash missile system, also inducted in 2015, is a fully indigenous supersonic surface-to-air missile developed by the Defence Research and Development Organisation (DRDO) and Bharat Dynamics Limited (BDL). It is capable of engaging fighter aircraft, helicopters, and drones at ranges of approximately 25 to 30 kilometres.
The Pinaka multi-barrel rocket launcher system, which entered service after the 1999 Kargil conflict, continues to play a vital role in India’s artillery capabilities. The system has evolved through multiple variants, with ranges extending from 40 kilometres in the original version to as much as 120 kilometres in the latest long-range guided versions.
The Ministry also pointed to the Agni-V missile, inducted in 2018, as one of India’s most powerful strategic assets. The missile’s successful testing with Multiple Independently Targetable Re-entry Vehicle (MIRV) capability placed India among a select group of nations possessing advanced missile technologies.
BrahMos Exports Gain Momentum
The BrahMos supersonic cruise missile, jointly developed by India and Russia, remains one of the most successful products of India’s defence industry. Recognised as one of the fastest operational cruise missiles in the world, BrahMos has become a key export offering.
India has already signed a deal worth approximately ₹3,200 crore with the Philippines for the missile system. A reported ₹5,800 crore agreement with Vietnam is awaiting formal announcement, while negotiations for a ₹3,600 crore deal with Indonesia are said to be in the final stages. Countries such as Malaysia and Thailand have also expressed interest in acquiring the missile system.
The development of BrahMos-II, which is expected to have a range of up to 1,500 kilometres, is currently underway.
Defence Exports Reach New Highs
India’s defence exports have also witnessed rapid growth, reaching ₹38,424 crore and extending to more than 100 countries worldwide. Major destinations include the United States, France, and Armenia.
The United States has emerged as the largest buyer of Indian defence systems and components, accounting for approximately $2.8 billion worth of purchases by major defence companies such as Boeing and Lockheed Martin. Meanwhile, countries like Armenia are purchasing complete Indian weapon systems, including the Akash and Pinaka platforms.
Exports of systems such as Akash-1S air defence missiles, Pinaka rocket launchers, and loitering munitions like Nagastra-1 and SkyStriker have generated growing international interest. The Ministry noted that countries in Africa and South America have shown interest in Indian air defence systems, while Cyprus has reportedly indicated procurement interest under its 2026-31 defence roadmap.
The government has set an ambitious target of achieving ₹50,000 crore in defence exports by 2029-30. Considering that defence exports stood at only ₹1,522 crore in 2016-17, the current growth trajectory highlights the rapid expansion of India’s defence industry.
Officials believe that the international attention received following Operation Sindoor has further enhanced confidence in Indian military technology and could accelerate future export opportunities.
