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India’s Defence Production Reaches ₹1.5 Lakh Crore in FY25, Says Rajnath Singh
Delhi

India’s Defence Production Reaches ₹1.5 Lakh Crore in FY25, Says Rajnath Singh

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Addressing a press conference in New Delhi, Singh said the surge in output is the result of sustained policy reforms, encouragement to private sector participation, and targeted investment in research and development.

India’s defence production has recorded a historic milestone in the financial year 2024-25, reaching an impressive ₹1.5 lakh crore, Defence Minister Rajnath Singh announced. The achievement reflects the country’s growing focus on indigenous manufacturing, technology development, and reduced dependence on imports in the strategic sector.

Addressing a press conference in New Delhi, Singh said the surge in output is the result of sustained policy reforms, encouragement to private sector participation, and targeted investment in research and development. “Our emphasis on Make in India and Atmanirbhar Bharat in defence has delivered remarkable results. This achievement is not only about numbers but also about strengthening our national security and economic resilience,” he stated.

Singh credited the achievement to the collaborative efforts of defence public sector undertakings, private manufacturers, startups, and research institutions. Over the last few years, the government has implemented measures such as simplified licensing, increased foreign direct investment limits, and the creation of dedicated defence corridors in Uttar Pradesh and Tamil Nadu to boost local production.

The minister highlighted that the domestic defence industry has also seen a substantial increase in exports. Indian-made equipment, including artillery guns, armoured vehicles, and naval vessels, is now being supplied to countries in Asia, Africa, and Latin America. In FY25, defence exports crossed ₹20,000 crore for the first time, demonstrating India’s growing role as a trusted supplier of defence hardware.

Singh noted that the rise in production has had positive ripple effects on employment and innovation. The sector has created thousands of new jobs, both directly in manufacturing units and indirectly through supply chains and ancillary industries. “The defence sector is becoming a powerful engine of economic growth, contributing to both national security and the economy,” he said.

To maintain momentum, the government is focusing on advanced technologies such as drones, artificial intelligence-based defence systems, electronic warfare capabilities, and space-based assets. Singh reiterated that future policies will continue to prioritise innovation and capacity building.

The increased output is also expected to enhance India’s operational preparedness. Indigenous production reduces procurement delays, ensures a steady supply of spare parts, and allows for customisation based on the needs of the armed forces. Experts say this self-reliance strengthens India’s strategic position in the region, especially in light of evolving security challenges.

The Defence Minister concluded by reaffirming the government’s commitment to further boosting domestic defence manufacturing. “We are on the right path towards achieving complete self-reliance in defence production. This is a collective success for the nation, and we must continue working together to secure our future,” Singh said.

With this milestone, India moves closer to its long-term goal of becoming a global hub for defence manufacturing, balancing economic growth with strategic security needs. 

“The defence sector is becoming a powerful engine of economic growth, contributing to both national security and the economy,” he said.