Defence Manufacturing Industry in India

Defence exports reached US$ 2.63 billion in FY24, up by 32.5% from last year.

Advantage India

Growing
Demand

* Demand growth is likely to accelerate with rising concerns of national security.

* Till April 2023, a total of 606 industrial licences were issued to 369 companies operating in the defence sector.​

* Defence exports crossed Rs. 21,000 crore (US$ 2.43 billion) in CY24 with a target of Rs. 50,000 crore (US$ 5.8 billion) by 2029.​

* Annual defence production hits record high of approx. Rs. 1.27 lakh crore (US$ 15.34 billion) in FY24 up by 16.7% from last year.

Growing Demand

Competitive
Advantage

*In February 2025, India has secured a Rs. 3,800 crore (US$ 440.3 million) deal to export BrahMos missiles to Indonesia, showcasing its advanced defense manufacturing capabilities, including the domestic production of aircraft carriers.​

Competitive Advantage

Government
Support

*The Union Budget for 2025-26 envisaged an outlay of Rs. 6,81,000 lakh crore (US$ 78.7 billion), represents an enhancement of 9.5% over the Budget of 2024-25.

* SRIJAN portal launched to promote indigenisation. More than 34,000 items are available for public view and 10,000 items have been indigenized till January 2024.

Government Support

Opportunities

* Government has established two Defence Industrial Corridors in Uttar Pradesh and Tamil Nadu. ​

* India has around 194 defence tech startups building innovative tech solutions to empower and support the country’s defence efforts.​

Opportunities
Last updated: Apr, 2025

Posters

MORE
STRONG ARSENAL

STRONG ARSENAL

The Indian defence manufacturing industry is a significant sector for the economy. The industry is likely to accelerate with rising concerns of national security.

IBEF Campaigns

MORE
Discover India 2024

Discover India 2024

APEDA is organizing participation in SIAL Paris 2024 scheduled to be held f...

Aatmanirbhar Bharat Utsav 2024

Aatmanirbhar Bharat Utsav 2024

Union Minister of External Affairs, Dr. S. Jaishankar and Union Commerce an...

Case Studies

MORE

The Talent Tsunami: Harnessing India’s Demographic Dividend for Global Impact

The Talent Tsunami: Harnessing India’s Demographic Dividend for Global Impact

The demographic dividend has put India on the verge of change. Defined as the economic growth potential arising from a favourable age structure within...

The Future of Shipbuilding in India: Technological Innovations and Market Trends

The Future of Shipbuilding in India: Technological Innovations and Market Trends

The Indus Valley civilisation, which built early ships and traded internationally, is the source of India's rich maritime history. The shipbuildin...

Leading the Charge: EV Battery Recycling in India

Leading the Charge: EV Battery Recycling in India

The public and private sectors have invested significantly in electric vehicles (EVs) to lower carbon emissions and lessen reliance on fossil fuels, l...

IBEF BLOG

MORE
Regional Rural Banks: Strengthening Financial Inclusion and Driving Rural Development in India
9 Jul 2025

Regional Rural Banks: Strengthening Financial Inclusion and Driving Rural Development in India

Regional Rural Banks (RRBs) were established in 1975 to provide financial s...

The Podcasting Boom in India: Shaping the Future of Digital Storytelling
8 Jul 2025

The Podcasting Boom in India: Shaping the Future of Digital Storytelling

Podcasts are transforming into an important segment for digital media in In...

The Rise of Agrivoltaics: Combining Solar Power with Farming in India
3 Jul 2025

The Rise of Agrivoltaics: Combining Solar Power with Farming in India

The agricultural sector in India employs 42.3% of the population, contribut...

Partners
Loading...