India’s defence exports reached a record ₹23,622 crore (USD 2.76 billion) in FY25, marking a 12% growth over the previous year and a staggering 34-fold increase over the past decade. The surge highlights India’s growing capabilities in defence manufacturing and its rising global presence in strategic markets.
A significant portion of this growth is driven by the private sector, which contributed 64.5% of total exports, while Defence Public Sector Undertakings (PSUs) accounted for the remainder. The rise in exports is closely linked to the ‘Atmanirbhar Bharat’ initiative, which promotes self-reliance and global competitiveness in the defence industry.
Indian companies exported a wide range of products, including ammunition, subsystems, and advanced electronics, to around 80 countries. The government has set an ambitious target of reaching ₹50,000 crore in defence exports by FY29, signaling continued focus on boosting the sector.
Key contributors to India’s defence export growth include:
- Astra Microwave Products: Already earning 86% of its revenue from defence, the company plans to increase its export contribution to 30%, highlighting a strong international focus.
- Larsen & Toubro Defence: L&T is expanding its exports to Southeast Asian markets, offering a range of defence systems and components.
- Bharat Forge: Producing artillery components for global markets, the company is leveraging its advanced manufacturing capabilities to meet international demand.
- Bharat Electronics: Specializing in advanced defence electronics, it is showcasing India’s technological edge in international defence exhibitions, strengthening its global presence.
The growth in India’s defence exports reflects a combination of strong policy support and rising global demand. Government incentives, coupled with the private sector’s innovative approach, have helped position India as a reliable supplier of defence products worldwide.
Experts note that India’s strategic manufacturing capabilities, supported by the Make in India and Atmanirbhar Bharat initiatives, have allowed domestic companies to compete effectively on the global stage. With private players leading innovation and PSUs providing scale, India is becoming a key exporter of defence equipment, enhancing both national security and international influence.
Looking ahead, India aims to further strengthen its defence industrial base, increase export revenue, and deepen relationships with strategic partners globally. The continued collaboration between the government, PSUs, and private companies is expected to drive sustained growth and help achieve the ₹50,000 crore export target by FY29.
In summary, India’s defence sector has not only broken records in exports but also showcased the country’s technological and manufacturing prowess. The private sector’s significant role, combined with government initiatives, positions India as an emerging global leader in defence exports, contributing to both economic growth and strategic influence worldwide.