India’s Defence Production Hits Record High
Annual Output Surpasses ₹1.5 Lakh Crore Amidst Strategic Growth
India’s annual defense manufacturing output has reached an unprecedented milestone, soaring to over ₹1.5 lakh crore in the 2024-25 fiscal year. This significant achievement underscores the nation’s rapidly advancing indigenous defense industrial capabilities, according to Defence Minister Rajnath Singh.
Robust Growth Trajectory
The reported figure represents a substantial 18% increase compared to the previous fiscal’s output of ₹1.2 lakh crore. Furthermore, it marks a remarkable 90% surge from the ₹79,071 crore recorded in 2019-20. **Rajnath Singh** attributed this upward trend to the concerted efforts of the Ministry of Defence’s Department of Defence Production and all stakeholders, including public sector undertakings and private industry players.
Private Sector’s Expanding Role
The nation’s defense exports have also seen considerable growth, amounting to ₹23,622 crore during the same period. While Defence PSUs and other public sector manufacturers accounted for 77% of the total production, the private sector’s contribution grew to 23%, up from 21% in the preceding year. This rise in private sector involvement highlights its increasingly vital role within the country’s defense ecosystem.
Consistent year-on-year growth in both segments of the industry has been fueled by policy reforms, improved ease of doing business, and a decade-long strategic focus on indigenization. As an official noted, “Emphasis on reducing import dependence and building a defence industrial complex that caters to domestic needs has yielded positive results.”
Global Context in Defence Manufacturing
This surge in Indian defense production aligns with global trends. For instance, the United States, a leading defense manufacturer, saw its defense industry revenue reach approximately $1.4 trillion in 2023, according to industry analysis by PwC. India’s progress signifies its growing influence and self-reliance in this critical sector.
The ongoing focus on self-reliance and technological advancement is expected to further bolster India’s defense manufacturing capabilities, positioning it as a significant player in the global defense market.