Defence Stocks Such as BEL, HAL, BEML, Data Patterns Surge as Army Eyes ₹30,000 Crore QRSAM Boost

Defence companies like BEL, HAL, and Mishra Dhatu Nigam saw strong gains on June 10 after news surfaced that the Indian Army could soon receive a ₹30,000 crore boost. This is linked to the planned acquisition of a new indigenous Quick Reaction Surface-to-Air Missile (QRSAM) system for the Army’s air defence.

Strong Performance Across the Defence Sector

The Nifty India Defence index climbed over 1% during the day. Other stocks such as Dynamatic Technologies, Data Patterns (India), Astra Microwave Products, and DCX Systems rose between 2% and 7%.

Boost from Operation Sindoor

Defence stocks have been rising steadily since Operation Sindoor in May. In the last month:

• BEL, BEML, Mishra Dhatu Nigam, and Garden Reach Shipbuilders surged 25–80%.
• HAL, Paras Defence, Solar Industries, and MTAR Technologies jumped 10–25%.

Also Read: Bonus, Stock Split and Dividend This Week June 9-13: Tata Elxsi, Adani Ports, VTM and More!

Recent Developments and Investments in India’s Defence Manufacturing Sector

India’s defence manufacturing industry has witnessed several significant developments and investments recently, reflecting its growing focus on self-reliance and advanced technology.

• Rolls-Royce Expansion Plans

Rolls-Royce plans to ramp up its supply chain sourcing from India over the next 5 years. The focus will be on acquiring complex aerospace and defence components, strengthening India’s role in the global defence ecosystem.
 

• TechEagle’s Drone Investment

TechEagle is set to invest ₹100 crore (approx. US$11.6 million) by 2028 to meet the rising demand for drones in public safety. The company recently launched an autonomous UAV designed for disaster response and law enforcement. It has also secured a government contract in Himachal Pradesh, showcasing India's domestic innovation capabilities.
 

• JSW Defence Enters Drone Manufacturing

JSW Defence is investing ₹800 crore (around US$92.4 million) in Telangana to set up a drone manufacturing facility. A Memorandum of Understanding (MoU) has been signed with the state government to support this initiative.
 

• Paras Defence’s Optics Park Project

Paras Defence & Space Technologies will invest ₹12,000 crore (US$1.39 billion) to build India’s first Optics Park in Maharashtra. The project will be developed in phases from 2028 to 2035, allowing for future scalability and technological upgrades.

Conclusion

India's defence sector continues to attract investor interest, driven by large government orders, technological advancements, and rising geopolitical needs. While short-term corrections may happen, experts believe there's strong long-term potential in defence stocks.

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