India’s Defence Exports: Targeting ₹50,000 Crore by 2029 and Reaching 100 Countries in a Truly ‘Make in India’ Moment

India's defence exports have witnessed an extraordinary rise over the past decade. From a modest ₹686 crore in FY14, they have grown to an impressive ₹23,622 crore in FY25. This 34-fold increase underscores a structural shift in India’s defence manufacturing capabilities and its standing in the global defence market.

Such rapid growth is not incidental. It reflects a concerted effort through policy reforms, private sector participation, and technological advancement. These initiatives have helped India transition from being a major importer to an emerging global supplier of defence equipment.

Policies Driving Export Momentum

Experts attribute this export boom to multiple policy measures taken by the Indian government. These include:

• Simplification of the industrial licensing process
   
• Removal of parts and components from the licensing regime
   
• Easing of rules for defence equipment exports
   
• Introduction of Open General Export License (OGEL)

Additionally, revised standard operating procedures, approvals for showcasing equipment at international defence expos, and the digitisation of the export authorisation process have further streamlined and accelerated export activities.

Record Numbers in FY25

In FY25, defence exports touched a record ₹23,622 crore, registering a 12% growth from ₹21,083 crore in FY24. The contribution came from both the private sector and Defence Public Sector Undertakings (DPSUs). The private sector accounted for ₹15,233 crore, while DPSUs contributed ₹8,389 crore. Compared to the previous year, DPSU exports grew by an impressive 42.9%, signalling growing global trust in India’s defence production capabilities.

Decadal Transformation and Targets Ahead

Between the 2004–2014 period and the 2014–2024 decade, India’s cumulative defence exports increased from ₹4,312 crore to ₹88,319 crore. The Ministry of Defence has now set a goal to reach ₹50,000 crore in defence exports by 2029.

A recent statement from the ministry remarked that India has shifted from being heavily import-dependent to pursuing self-reliance and indigenous development. It added that a wide range of defence items were exported to nearly 80 countries in FY25 alone.

Embracing Futuristic Technology

Ravi Gupta, former Director at the Defence Research and Development Organisation (DRDO), stated that India has now mastered every key technology necessary for modern and futuristic warfare. With advancements in artificial intelligence and ballistic missile technology, including the likes of K4 and K15, Indian equipment has started attracting serious international attention.

Products such as artillery guns, high-tech rifles, and the BrahMos missile have positioned India as a technologically competent exporter in the global defence arena.

Expansion of the Export Basket

India’s export portfolio today is vast and varied. Some of the prominent exported items include:

• Bulletproof jackets
   
• Dornier (Do-228) aircraft
   
• Chetak helicopters
   
• Fast interceptor boats
   
• Lightweight torpedoes
   
• Tear gas launchers
   
• Torpedo loading mechanisms
   
• Armoured protection vehicles
   
• Night vision monoculars and binoculars
   
• Weapon locating radars
   
• HF radios

These items cater to both combat and auxiliary military requirements, making India a comprehensive solutions provider in the defence export market.

Focus on Friendly Nations and Global Reach

According to a report by Elara Capital, India has identified nearly 160 defence platforms, systems, and technologies for potential export to friendly countries. These include:

• 19 aeronautical systems
   
• 41 armament and combat systems
   
• 4 missile systems
   
• 27 electronic and communication systems
   
• 10 life protection items
   
• 4 microelectronic devices
   
• 28 naval systems
   
• 16 nuclear, biological, and chemical equipment

India now exports defence equipment to over 100 countries. Top buyers include the USA, France, and Armenia. Countries in South East Asia and South America also form a significant part of India’s growing customer base.

Streamlined Export Approvals and Licensing

To make defence exports easier, the Ministry of Defence introduced the Open General Export License (OGEL), which allows exporters to ship specific items to select countries without applying for fresh permissions each time. In FY25 alone, 1,762 Export Authorisations were issued through a dedicated digital portal, up from 1,507 the year before, registering a growth of 16.92%.

Additionally, the number of registered exporters increased by 17.4% during the same period, reflecting the growing participation of Indian businesses in the global defence export ecosystem.

Conclusion

India’s sharp rise in defence exports is not just a statistical success but also a strategic milestone. It marks the country’s transition into a key player in global defence supply chains and reflects a deepening focus on innovation, self-reliance and policy support.
 

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