India

India Achieves Record Defence Production Growth, Eyes Global Hub Status

On Friday, Union Defence Minister Rajnath Singh reaffirmed India’s commitment to becoming a prominent global defence manufacturing hub, underscoring the government’s strides in indigenous defence production.

The Ministry of Defence reported unprecedented growth in fiscal year 2023-24, marking a significant milestone in India’s journey towards self-reliance.

During FY 2023-24, India’s defence production surged to a record-high of Rs 1,26,887 crore, marking a robust 16.7% increase from the previous fiscal year’s Rs 1,08,684 crore.

This achievement, driven by strategic policies and initiatives under Prime Minister Narendra Modi’s leadership, emphasizes the success of the ‘Make in India’ initiative.

Of the total production value, Defence Public Sector Undertakings (DPSUs) and other Public Sector Undertakings (PSUs) contributed 79.2%, while the private sector accounted for 20.8%.

Both sectors demonstrated steady growth, reflecting their pivotal role in enhancing India’s defence capabilities.

Defence Minister Rajnath Singh acknowledged the milestone, attributing it to proactive policy reforms and a conducive business environment fostered over the past decade.

He praised the industry’s collective effort, including DPSUs, PSUs, and private entities, for achieving this historic milestone.

Highlighting the impact of indigenisation efforts, the Ministry of Defence FURTHER emphasized the surge in defence exports, which reached an all-time high of Rs 21,083 crore in FY 2023-24, up by 32.5% from the previous fiscal year.

This growth underscores India’s growing influence in the global defence market.

Meanwhile, over the past five years, India’s defence production has steadily increased, showing a remarkable growth trajectory from Rs 79,071 crore in 2019-20 to Rs 1,26,887 crore in 2023-24, marking a 60% surge.

This upward trend underscores India’s emergence as a key player in defence manufacturing, driven by sustained indigenisation efforts and robust export growth.

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Mankrit Kaur

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