NEW DELHI: India’s annual defence production reached an all-time high of Rs 1.78 lakh crore in the financial year 2025-26, marking a significant milestone in the country’s push for self-reliance in defence manufacturing under the Aatmanirbhar Bharat initiative.
According to official figures, defence production registered a growth of 15.6% over the previous fiscal year’s output of Rs 1.54 lakh crore. The latest achievement also represents an increase of more than 110% compared to Rs 84,643 crore recorded in FY 2020-21. Since FY 2013-14, when indigenous defence production stood at Rs 43,746 crore, the sector has expanded nearly fourfold.
Defence Public Sector Undertakings and other public sector entities accounted for around 76% of the total production, while the private sector contributed 24%, according to an official statement.
The private sector’s share rose from 22% in FY 2024-25 to an all-time high of approximately Rs 42,000 crore in FY 2025-26, highlighting its growing role in the country’s defence manufacturing ecosystem.
The rise in domestic defence production has also contributed to record defence exports worth Rs 38,424 crore during FY 2025-26, reflecting increasing global demand for Indian-made defence equipment and systems.
Defence Minister Rajnath Singh attributed the achievement to the leadership of Prime Minister Narendra Modi and praised the efforts of the Department of Defence Production, public sector undertakings, and private industry stakeholders.
In a post on X, Singh said the record production figures demonstrate the growing strength of India’s defence industrial base. He expressed confidence that continued policy support, new initiatives, greater private sector participation, and expanding export capabilities would further accelerate growth in the sector.
The latest figures underscore the government’s sustained focus on boosting indigenous manufacturing capabilities and reducing dependence on imports while strengthening India’s position as a key player in the global defence market.
