India’s Defence Exports Marked a New Milestone: Soared 12% in FY25

India has recorded an all-time high in defence exports for the Financial Year 2024-25, reaching ₹23,622 crore (approx. US$ 2.76 billion). This marks a notable growth of 12.04% compared to the previous year’s ₹21,083 crore. This upward trajectory underscores India’s evolving role in the global defence market.

DPSUs Lead Growth with Over 42% Increase

A significant contributor to this surge has been the performance of Defence Public Sector Undertakings (DPSUs), which posted exports worth ₹8,389 crore—up 42.85% from ₹5,874 crore in FY2023 -24. This impressive rise points to the growing international confidence in Indian defence products and systems, especially those produced by government-run entities.

Private Sector Maintains Strong Momentum

The private sector, too, remained a dominant force, accounting for ₹15,233 crore in exports—virtually maintaining its stronghold from the previous year’s figure of ₹15,209 crore. This continued momentum reflects the capability and competitiveness of Indian private defence manufacturers on the global stage.

India’s Defence Products Reach 80 Countries

India is increasingly becoming a preferred partner in defence supplies, exporting a wide array of items, including arms, ammunition, sub-systems, and spare parts to nearly 80 countries. This demonstrates both the expanding footprint of Indian defence manufacturing and its alignment with international quality standards.

Boost from Policy Reforms and Export Facilitation

The growth in exports is also attributed to several policy reforms introduced by the Government to promote indigenous defence manufacturing. These include:

• Simplification of the industrial licensing process
• Removal of parts and components from the licensing regime
• Extended validity of defence manufacturing licences
• Streamlined Standard Operating Procedure (SOP) for export authorisation

As a result, 1,762 export authorisations were granted in FY2024 -25, a 16.92% increase over the previous year. Additionally, the total number of defence exporters in the country rose by 17.4%, further enhancing export capacity and reach.

Marching Towards a ₹50,000 Crore Target

Defence Minister Rajnath Singh, in a post on social media platform X, lauded the achievement and credited the leadership of Prime Minister Narendra Modi for India’s forward momentum. He reaffirmed India’s ambition of achieving ₹50,000 crore in defence exports by 2029—a goal that now seems increasingly within reach.

Conclusion

India’s journey from being an import-heavy defence nation to one focused on self-reliance and exports signals a paradigm shift. As the country continues to build a robust defence ecosystem, the combination of innovation, policy support, and global partnerships is poised to make India a key player in the global defence supply chain.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.