India’s Defence Production Hits Record Rs 1.78 Lakh Cr
India achieves highest-ever defence output with rising private sector contribution
- Defence production reached a record Rs 1.78 lakh crore in FY 2025-26.
- Output registered a 15.6% growth compared to the previous financial year.
- Private sector contribution touched an all-time high of around Rs 42,000 crore.
- Growth in indigenous production supported record defence exports of Rs 38,424 crore.
GG News Bureau
New Delhi, 17th June: India’s annual defence production reached an all-time high of Rs 1.78 lakh crore in the financial year 2025-26, registering a growth of 15.6 per cent over Rs 1.54 lakh crore recorded in the previous fiscal.
The defence production has witnessed a sharp rise of 110 per cent since FY 2020-21, when the output stood at Rs 84,643 crore. The indigenous defence production has nearly quadrupled from Rs 43,746 crore in FY 2013-14.
Defence Public Sector Undertakings (DPSUs) and other PSUs contributed around 76 per cent of the total production, while the private sector’s share increased to 24 per cent, reaching an all-time high of nearly Rs 42,000 crore.
The rise in domestic defence manufacturing has also contributed to India achieving record defence exports worth Rs 38,424 crore in FY 2025-26, reflecting the growing momentum of the Aatmanirbhar Bharat initiative.
Defence Minister Rajnath Singh credited Prime Minister Narendra Modi’s leadership and praised the efforts of the Department of Defence Production, public sector units and private industry for achieving the milestone.
He said the continued policy support, new initiatives, increasing private sector participation and expanding export capabilities would further accelerate India’s defence manufacturing growth in the coming years.