Prime Minister Narendra Modi placed defence at the heart of India’s growth blueprint, naming defence power as the fifth ‘Shakti’ of his ‘Shakti Ki Saptadhara’ vision and calling for the country to move beyond self-reliance to become a global supplier of advanced military systems.

“The fifth strength of the Saptadhara is defence power. It is important for us to become self-reliant in defence. When the world is thinking about itself, India cannot remain merely a market for the world. We have to become global suppliers. We have to take leadership in hypersonic defence technologies,” PM Modi said in his Independence Day address from the Red Fort.

PM highlighted how the country’s ‘Sapt Shakti’ – Seven Streams of Strength – will help propel India to new heights. While addressing the nation on the 80th Independence Day, PM Modi said that the seven strengths of the country lie in Manufacturing power, Agriculture and Food Processing, Technology and Innovation, Gati Shakti, Defence Shakti, Green and Blue Economy, and India’s Soft Power.

From ‘Aatmanirbhar’ to global supplier: “India cannot remain merely a market”

PM Modi stressed that India must not only meet its own defence needs but also leverage next-generation technologies to capture a larger share of the global defence market.

“India must move beyond Aatmanirbharta in defence and aim to become a global supplier of defence equipment. He stressed that India needs to take the lead in developing and adopting new technologies, strengthening its domestic defence capabilities while building a larger role for the country in the global defence market,” the Prime Minister said.

His remarks came as Defence Minister Rajnath Singh, on the eve of I-Day, highlighted that annual defence production had reached a record Rs 1.78 lakh crore in FY 2025–26, up from Rs 46,000 crore in 2014.

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“Under the inspiring leadership of PM Shri @narendramodi, India’s defence production is reaching new heights every year. I am delighted to inform everyone that India’s annual defence production has surged to an all-time high of Rs 1.78 lakh crore in the Financial Year (FY) 2025–26,” Singh said.

World has realised there is no alternative to self-reliance in defence: PM Modi

PM Modi’s message tied defence self-reliance to a changing global order where countries are increasingly prioritising their own security and supply chains.

“World has realised that there is no alternative to self-reliance in defence,” he said, arguing that India’s own preparedness over the past decade has shielded it from external shocks in fuel, fertilisers, medicines and technology.

By combining a larger domestic production base, rising exports, hypersonic and next-gen technology programmes, and a clear policy push under the Saptadhara vision, the government is positioning defence as a core pillar of India’s journey towards Viksit Bharat and a respected global defence supplier.

Defence exports surge: Rs 38,424 crore in FY26, target Rs 50,000 crore by 2029

India’s defence exports have climbed sharply alongside production, touching a record Rs 38,424 crore in FY 2025–26, with Indian defence products now sold to more than 80 countries. The government is targeting defence exports of Rs 50,000 crore by 2029, building on a trajectory where defence production rose 15.6% in FY 2024–25 and 110% from Rs 84,643 crore in FY 2020–21.

According to the Ministry of Defence, indigenous defence production has increased nearly fourfold from FY 2013–14, reflecting the impact of ‘Aatmanirbhar Bharat’ and Make in India initiatives in shifting procurement towards domestic industry.

Private sector share at 24%: PSUs still dominate but industry base is widening

The defence industrial base is also getting broader, with the private sector accounting for 24% of total defence production in FY 2025–26, while Defence Public Sector Undertakings and other public sector entities contributed around 76%. This mix of PSUs and private firms is being pushed to scale up capacity, improve technology absorption and integrate more deeply into global supply chains, in line with PM Modi’s call that “from design to manufacturing, India must establish itself as a trusted global supply chain partner for the world.”

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Hypersonic edge: Scramjet test puts India in select club

On cutting-edge technology, PM Modi singled out hypersonic systems as a key area where India must take leadership. This focus is backed by recent Defence Research and Development Organisation (DRDO) advances, including the successful test of an active-cooled full-scale scramjet combustor for more than 1,200 seconds, a critical milestone that places India among a small group of countries capable of developing hypersonic missile technology. The country is also pursuing indigenous hypersonic glide and cruise missile technologies, along with long-range strike capabilities and advanced propulsion systems, to build a credible next-generation deterrent and export portfolio.

New systems validated: LRLACM, RudraM-II, NASM-SR and Pinaka LRGR

Defence Minister Rajnath Singh highlighted recent tests and induction of advanced systems as evidence of deepening indigenous capability. These include the Long-Range Land Attack Cruise Missile (LRLACM), RudraM-II air-to-surface missile, Naval Anti-Ship Missile–Short Range (NASM-SR) and Pinaka Long-Range Guided Rocket. Together, these programmes expand India’s precision-strike options across land, air and sea domains and create a stronger product base for potential exports to friendly foreign militaries.

R&D, capex and modernisation: Funding the push

Rajnath Singh underlined that modernizing the armed forces remains a key priority, backed by higher defence spending, capital expenditure and funding for research and development. This is intended to ensure the armed forces receive state-of-the-art platforms while the industrial base gains the technological depth needed to compete globally. The emphasis on R&D is also meant to support the development of exportable systems in areas such as missiles, radars, electronic warfare, unmanned systems and hypersonics.

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Saptadhara context: Defence sits alongside manufacturing, tech, Gati Shakti and green-blue economy

PM Modi’s defence push is part of a wider seven-point ‘Shakti Ki Saptadhara’ framework. The first ‘Shakti’ is manufacturing power, where he called for a complete value chain from design to manufacturing and adherence to global standards of “cost, quality and scale.” The second is agriculture and food production; the third is technology and innovation, covering AI, quantum, space, robotics and data centres. The fourth is Gati Shakti, focusing on high-speed rail, connectivity and port-led development.

The sixth is the green and blue economy, spanning green hydrogen, renewables, energy storage, fisheries, coastal tourism and ocean technology. The seventh is soft power, with yoga, Ayurveda, culture and digital content as global assets. Within this architecture, defence is positioned as both a security imperative and a high-tech manufacturing engine.