Business

Defence Production Doubles In A Decade, Exports Multiply Tenfold Since FY15

India has made significant strides towards self-reliance in defence manufacturing. Defence production has more than doubled over the past decade, growing from ₹46,429 crore in FY15 to ₹1.27 lakh crore in FY24. The government expects this figure to rise to ₹1.6 lakh crore in FY25.

Robust Growth In Defence Manufacturing

Between 2019-20 and 2023-24, defence production grew at a compound annual growth rate (CAGR) of 12%, surpassing the 11.2% growth rate recorded in the government’s first term. On January 15, Prime Minister Narendra Modi commissioned three indigenously designed and developed naval combatants. These include INS Surat, with 75% indigenous components, and INS Nilgiri, designed by the Indian Navy’s Warship Design Bureau.

This push for indigenous defence production has also bolstered India’s export capabilities. Defence exports in FY24 reached ₹21,083 crore, marking a 33% increase from the previous year. Since FY15, defence exports have expanded tenfold from ₹1,900 crore.

Despite the robust growth, private sector participation in defence production has remained limited. Private firms accounted for only 19-21% of total production between 2016-17 and 2023-24, according to Defence Ministry data.

Defence public sector undertakings (PSUs) continue to dominate. Their share in total production rose from 54.6% in 2016-17 to 58.4% in 2023-24. Conversely, the share of new defence PSUs fell from 20% to 15.3% during the same period.

India’s defence manufacturing is not only meeting domestic needs but also strengthening its global footprint. The government’s push for self-reliance and export-oriented growth has laid the foundation for a more robust and sustainable defence sector.

Also Read: India’s Electronics Exports Surge 35% To $3.58 Billion In December; Reach 24-Month High

Ajaypal Choudhary

Recent Posts

Pakistan’s Digital Frontline: Jokes, Memes And Savage Self-Roasts

While tensions between India and Pakistan escalate post the tragic Pahalgam terror attack, something unexpected…

1 hour ago

Reliance Industries Q4 Net Profit Rises 6.4% As Retail And Digital Units Offset Energy Weakness

Reliance Industries delivered a strong Q4 FY25 performance, with Y-o-Y net profit rising 6.4% to…

1 hour ago

Yash Pratap Singh And Mehak Jaiswal Top UP Board Exams With Outstanding Scores

Yash Pratap Singh of Jalaun tops Class 10 with 97.83%, while Prayagraj’s Mehak Jaiswal secures…

1 hour ago

Yogi Adityanath Calls For Reforms To Make Madrasa Education Modern And Employment-Oriented

Chief Minister Yogi Adityanath on Friday emphasised the need for sweeping reforms in the madrasa…

2 hours ago

Tulsi Gabbard Backs India’s Hunt For Pahalgam Terror Attack Perpetrators

United States Director of National Intelligence (DNI) Tulsi Gabbard on Friday expressed strong support for…

3 hours ago

World Leaders Head To Rome For funeral Of Pope Francis

Indian President Droupadi Murmu will also attend, representing India alongside Union Minister Kiren Rijiju, Minister…

4 hours ago