India has taken a major step towards self-reliance in advanced defence technologies with the successful development of its first indigenous 350 kg thrust-class expendable turbojet engine, a milestone that could reshape the country’s future missile and unmanned warfare capabilities.

Developed by the Defence Research and Development Organisation‘s (DRDO) Gas Turbine Research Establishment (GTRE) and manufactured by Hyderabad-based Azad Engineering, the engine is designed to power a new generation of cruise missiles, jet-powered loitering munitions, target drones and tactical unmanned aerial vehicles (UAVs).

The first production engine was formally delivered to GTRE on July 22, 2026, with the Ministry of Defence describing it as a historic milestone in India’s indigenous jet engine programme.

Beyond its technological significance, the development has also put Azad Engineering, the listed private-sector manufacturing partner, firmly in focus as India’s defence manufacturing ecosystem continues to expand under the Make in India and Aatmanirbhar Bharat initiatives.

Strategic Significance: Why DRDO’s Turbojet Engine Breakthrough Matters

Jet engine technology is widely regarded as one of the most complex engineering disciplines in the aerospace industry. While India has made significant advances in missile technology over the past two decades, propulsion systems have remained one of the country’s most challenging areas, often requiring imports or foreign collaboration.

Unlike rocket engines, which carry both fuel and oxidiser, turbojet engines continuously draw in atmospheric air, compress it, mix it with fuel and generate sustained thrust. Building such systems requires expertise across aerodynamics, combustion engineering, turbine design, precision machining and high-temperature metallurgy.

Only a handful of countries, including the United States, Russia, France, the United Kingdom and China, have developed indigenous compact military turbojet engines. With this achievement, India joins that select group.

DRDO’s Turbojet Milestone: Powering India’s Next-Gen Missiles

MILESTONE
India delivers its first indigenous expendable turbojet
DRDO’s Gas Turbine Research Establishment (GTRE) designed the 350 kg thrust-class engine; Hyderabad-based Azad Engineering manufactured it. The first production unit was delivered to GTRE on July 22, 2026.
1
Select global club
Only the US, Russia, France, UK and China had developed indigenous compact military turbojet engines. India now joins this group.
2
Built for one mission, not decades
Unlike fighter jet engines built for thousands of flying hours, this expendable engine is optimised for compact size, low cost and reliability for a single mission.
3
Government-industry collaboration
DRDO GTRE handled design; Azad Engineering handled manufacturing and assembly — a model the MoD wants replicated across programmes.
1
Jet-powered loitering munitions
Jet-powered kamikaze drones can exceed 400 kmph versus under 200 kmph for propeller-driven variants. India’s Agniveg (Peacekeeper) already approaches 450 kmph.
2
Next-gen cruise missiles
The biggest application: India’s future Long-Range Land Attack Cruise Missiles (LR-LACM), which need compact, fuel-efficient engines for low-altitude, long-range flight.
3
High-speed target drones
Used to simulate incoming enemy aircraft and cruise missiles, letting India test its air defence interceptors under realistic conditions.
4
Tactical UAVs
Supports specialised unmanned aircraft for reconnaissance, electronic warfare and precision-strike missions.
STRATEGIC SIGNIFICANCE
Propulsion was India’s missing piece
While India advanced rapidly in missile technology, propulsion systems remained a persistent gap, often requiring imports. Turbojets are far more complex than rocket engines, demanding expertise in aerodynamics, combustion, turbine design and high-temperature metallurgy.
MAKE IN INDIA
A replicable model for defence manufacturing
The Ministry of Defence has held up the DRDO-Azad Engineering partnership as proof that government research and Indian industry can collaborate effectively — a template it wants extended across missile, aerospace and naval programmes to cut import dependence.
Rs 2,310
Share Price (Aug 3, NSE)
Rs 14,920 Cr
Market Cap
112x
P/E Ratio
COMPANY PROFILE
Precision manufacturing across aerospace, defence and energy
Azad Engineering makes 1,700+ components across 45 specialised processes for global OEMs. It listed in December 2023 via a Rs 740-crore IPO, debuting at nearly a 29% premium. The stock currently trades below its 52-week high of Rs 2,530, having touched an intraday high of Rs 2,372 on Aug 3.
Express InfoGenIE | Financial Express

What Is an Expendable Turbojet Engine and How Does It Function?

Unlike fighter aircraft engines that are expected to operate for thousands of flying hours over several decades, an expendable turbojet engine is designed for a single mission. Once a missile or loitering munition is launched, the engine powers the platform until it reaches its target. It is not recovered or reused. As a result, engineers optimise these engines differently.

Instead of focusing on long service life, designers prioritise:

-Compact dimensions
-Low manufacturing cost
-High reliability
-Simpler architecture
-Sufficient thrust for one-time missions

Why modern warfare is increasing demand for such engines

The importance of compact turbojets extends well beyond engineering. Modern conflicts, from Ukraine to the Middle East, have demonstrated how precision-guided missiles and unmanned strike platforms are increasingly replacing expensive fighter aircraft for attacking strategic targets.

Instead of risking pilots, militaries now prefer long-range cruise missiles and loitering munitions capable of striking:

Enemy command centres
Air defence systems
Ammunition depots
Radar stations
Logistics hubs
High-value infrastructure

A reliable indigenous turbojet engine provides India with a domestic propulsion solution for these weapons, reducing dependence on foreign suppliers while improving operational flexibility.

What can the engine power?

Jet-powered loitering munitions

The engine can also power high-speed kamikaze drones. Unlike conventional propeller-driven loitering munitions that typically fly below 200 kmph, jet-powered variants can exceed 400 kmph, dramatically reducing enemy reaction time.

India has already inducted the Agniveg (Peacekeeper) loitering munition, capable of speeds approaching 450 kmph, highlighting the military’s growing emphasis on faster unmanned strike systems.

Future cruise missiles

The most significant application is expected to be India’s next-generation Long-Range Land Attack Cruise Missiles (LR-LACM). Cruise missiles require compact, fuel-efficient engines capable of flying hundreds of kilometres at low altitude while avoiding enemy radar.

An indigenous propulsion system gives India greater control over future missile development and exports.

High-speed target drones

Another key application is target drones used to test India’s air defence systems. These drones simulate incoming enemy aircraft or cruise missiles, allowing interceptor systems to be evaluated under realistic combat conditions.

Tactical UAVs

Compact turbojets can also support specialised unmanned aircraft for reconnaissance, electronic warfare and precision strike missions where higher speed offers a tactical advantage.

Why this is important for Make in India

The project also shows the changing structure of India’s defence manufacturing ecosystem. While the engine was designed by DRDO’s GTRE, manufacturing and assembly were entrusted to Azad Engineering.

The Ministry of Defence had said the achievement shows successful collaboration between government research institutions and Indian industry, a model increasingly being adopted across missile, aerospace and naval programmes.

Such collaborations are expected to reduce import dependence while creating domestic capabilities in advanced manufacturing.

Azad Engineering Overview: Precision Manufacturing Capabilities

Hyderabad-based Azad Engineering Ltd is one of India’s leading manufacturers of highly engineered precision components for the aerospace, defence and energy sectors. The company manufactures more than 1,700 components across 45 specialised manufacturing processes and supplies global original equipment manufacturers.

Azad Engineering entered the stock market in December 2023 through a Rs 740-crore initial public offering, with shares listing at nearly a 29% premium over the issue price.

Its role in manufacturing India’s first indigenous expendable turbojet engine is likely to further strengthen its credentials in the defence manufacturing space.

Why Azad Engineering Shares Are in Focus

The successful delivery of the engine has drawn investor attention to Azad Engineering, given its position as the manufacturing partner for a strategically important DRDO programme.

As of August 3, the company’s shares were trading around Rs 2,310 on the NSE, with an intraday high of Rs 2,372 and a market cap of approximately Rs 14,920 crore. The stock remains below its 52-week high of Rs 2,530 and trades at a price-to-earnings (P/E) ratio of about 112.

Azad Engineering’s long-term order pipeline will be in focus as India expands indigenous production of missiles, drones and aerospace systems.

Note: This report is published strictly for informational purposes to cover defence technology developments and related market performance. The stock details and financial metrics referenced do not constitute financial advice, an investment recommendation, or an offer to buy or sell securities.