India’s defence production reached a record Rs 1.78 lakh crore in FY2025-26. The figure, reported by the Ministry of Defence in June, represents a 15.6% increase from Rs 1.54 lakh crore in FY2024-25 and a 110% increase from Rs 84,643 crore in FY2020-21. The Ministry said indigenous defence production has risen nearly four times from Rs 43,746 crore in FY2013-14.
Minister of State for Defence Sanjay Seth highlighted the growth in production and exports in Meerut on Sunday. Speaking after witnessing the Suryakiran air show, Seth said India’s defence capabilities were being strengthened in line with the government’s focus on “Swadeshi” and “Aatmanirbhar Bharat”.
“India is now exporting defence equipment to several countries and has witnessed a significant increase in defence production and exports over the past decade,” he said.
Seth said the country should become a strong and self-reliant nation by 2047, the centenary of India’s independence, with the youth playing an important role in achieving that objective.
The production figure, released by the Ministry of Defence on June 17, represents a 15.6% increase from Rs 1.54 lakh crore in FY2024-25 and a 110% increase from Rs 84,643 crore in FY2020-21. The figures show that indigenous defence production has risen to just over four times its FY2013-14 level of Rs 43,746 crore.
Private sector’s share rises to 24%
The production figure also highlights the growing role of private manufacturers in India’s defence industry.
According to the Ministry of Defence, defence public sector undertakings (DPSUs) and other public-sector entities accounted for around 76% of total defence production in FY2025-26, while the private sector contributed 24%. The private sector’s share was 22% in the previous financial year.
At around Rs 42,000 crore, the private sector’s contribution reached its highest level in FY2025-26, according to the Ministry.
The bigger ecosystem also includes suppliers and manufacturers supporting the production of defence equipment. A Press Information Bureau factsheet says the Srijan Defence Equipment Empowerment Platform had more than 41,000 vendors and 2.7 lakh products listed as of May 2026.
These listings do not, by themselves, establish the number of active suppliers or the value of orders generated.
Defence exports provide another market
The rise in domestic production has also coincided with record defence exports. India exported defence equipment worth Rs 38,424 crore in FY2025-26, according to the Ministry of Defence. The ministry linked the increase in exports with the growth in domestic production.
Exports rose 62.66% from Rs 23,622 crore in the previous financial year. Indian defence equipment reached more than 80 countries in FY2025-26, according to the ministry.
However, the production and export figures alone do not establish the extent of domestic value addition, reduced dependence on imported components or improved profitability.
Suryakiran air show in Meerut
The comments were made after the second day of the Suryakiran air show in Meerut. Nine Hawk Mk-132 aircraft of the Suryakiran Aerobatic Team performed aerial manoeuvres for around 30 minutes. Around 50,000 people witnessed the display, according to organisers. Seth said the air show would encourage young people to consider careers in the armed forces.