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India’s Defence Production Hits Historic ₹1.51 Lakh Crore in FY 2024-25, Marking 90% Growth Since 2019-20

Strong public-private contributions, policy reforms, and record defence exports are driving growth under the Atmanirbhar Bharat initiative.
Indian Masterminds Stories

New Delhi: India’s defence manufacturing sector has achieved a record-breaking milestone, with annual production touching an all-time high of ₹1,50,590 crore in FY 2024-25. This marks an 18% surge over last year’s ₹1.27 lakh crore output and a staggering 90% growth since FY 2019-20, when production stood at ₹79,071 crore.

Raksha Mantri Rajnath Singh hailed the achievement as a clear indicator of India’s strengthening defence industrial base, crediting the Department of Defence Production, Defence Public Sector Undertakings (DPSUs), other PSUs, and the private industry for their collective efforts.

Public-Private Balance in Defence Manufacturing

DPSUs and other PSUs contributed around 77% of total output, while the private sector’s share rose from 21% in FY 2023-24 to 23% in FY 2024-25, underscoring its expanding footprint in the national defence ecosystem. Notably, the public sector recorded a 16% increase in production, while the private sector surged by 28% over the previous year.

Also Read: Operation Sindoor: IAF Chief Confirms S-400 Downed Five Pakistani Fighter Jets, AWACS & Destroyed F-16s on Ground

Policy Reforms Driving Growth

The growth trajectory reflects decade-long policy reforms, enhanced ease of doing business, and a strong push towards indigenisation under the Atmanirbhar Bharat initiative championed by Prime Minister Narendra Modi. The government’s emphasis on reducing import dependency and creating a robust domestic defence industrial base has begun delivering measurable results.

Defence Exports Also at Record Levels

Complementing the rise in production, India’s defence exports touched a record ₹23,622 crore in FY 2024-25 — an increase of ₹2,539 crore or 12.04% over the previous fiscal’s ₹21,083 crore.

With sustained policy backing, growing private sector participation, and rising export capabilities, India’s defence manufacturing sector is poised to continue its upward momentum, reinforcing the nation’s quest for strategic autonomy and global defence market presence.

Also Read: India Approves ₹67,000 Crore Defence Proposals to Boost Multi-Domain Combat Capabilities Across Services


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