Indian Economy News

India’s defence exports hit US$ 1.6 billion (₹14,000 crore), highest ever

  • IBEF
  • December 12, 2022

Mr. Rajnath Singh, the Defence Minister, said on Friday that India's defence exports reached a record US$ 1.6 billion (Rs.14,000 crores) in 2021–22. He added that the achievement was the result of the government's plans to increase the export of military equipment to friendly foreign nations.

The minister said that thanks to government efforts, defence exports have already surpassed US$ 1.6 (Rs. 14,000 crores), up from US$ 109 million (Rs. 900 crores) in 2014. By 2023, defence exports will surpass US$ 2.2 billion (Rs. 19,000 crores), and we are on track to hit the goal of US$ 3 billion (Rs. 25,000 crores) in exports by 2025.

He further stated that thanks to the Center's "Aatmanirbhar Bharat" vision, India has embraced modern manufacturing and is developing indigenous aircraft carriers like the INS Vikrant. The government is encouraging international businesses to "Make in India, Make for the World," to promote private sector engagement for the country's prosperity. The Ministry of Defence has released positive indigenization lists for approximately 3,700 goods, including 310 additional defence-related products and components/line replacement units for defence public sector units.

India has become the fifth largest economy with a GDP of $3.5 trillion in the last 8.5 years. Before 2014, India was one of the "Fragile Five" countries, a word coined by investment firm Morgan Stanley. India has now entered the "Fabulous Five" economies of the world and emerged from that group. India will surpass the US and China as the third-largest economy by 2027, according to Managing Director of Morgan Stanley Mr. Chetan Ahya's most recent piece on the state of the world economy. In the following 10 years, India's GDP will rise to US$ 8.5 trillion.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.