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Defence production rises 18 pc YoY to record ₹1.51 lakh cr

India’s annual defence production reached a record ₹1,50,590 crore in the Financial Year 2024-25, marking an 18 per cent rise over the previous fiscal’s output of ₹1.27 lakh crore, the Defence Ministry said on Friday.

News Arena Network - New Delhi - UPDATED: August 9, 2025, 12:22 PM - 2 min read

India sets record with ₹1.51 lakh cr defence production.


India’s annual defence production reached a record ₹1,50,590 crore in the Financial Year 2024-25, marking an 18 per cent rise over the previous fiscal’s output of ₹1.27 lakh crore, the Defence Ministry said on Friday.

 

The figure also represents a 90 per cent jump compared with FY 2019-20, when production stood at ₹79,071 crore.

Defence Minister Rajnath Singh hailed the achievement, crediting the Department of Defence Production, Defence Public Sector Undertakings (DPSUs), other public sector manufacturers and private industry for their role in the milestone. He described the growth as a clear sign of India’s strengthening defence industrial base.

In a post on X, Singh also praised Prime Minister Narendra Modi’s leadership for driving the surge in output, noting the country’s progress towards becoming a global hub for defence manufacturing.

 

“Under the leadership of Prime Minister Shri @narendramodi, India’s defence production has hit a record high,” he wrote, pointing to the 18 per cent annual growth and near doubling of output since 2019-20.

According to the ministry’s data, DPSUs and other PSUs accounted for about 77 per cent of total production in FY 2024-25, while the private sector contributed 23 per cent, up from 21 per cent the previous year. The private sector’s rising share highlights its expanding role in the national defence ecosystem.

Both public and private segments have recorded consistent year-on-year growth, driven by policy reforms, improved ease of doing business and a strategic focus on indigenisation over the past decade. DPSU output grew by 16 per cent in FY 2024-25, while the private sector recorded a 28 per cent increase.

The ministry said the achievement reflects the momentum of the Government’s Aatmanirbhar Bharat initiative, aimed at reducing dependence on imports and building a defence industrial base that meets domestic needs while boosting exports.

Defence exports also touched an all-time high of ₹23,622 crore in FY 2024-25, a 12.04 per cent rise from ₹21,083 crore in FY 2023-24, representing an increase of ₹2,539 crore.

Officials said sustained policy backing, increased private sector participation and rising export capacity are expected to drive continued growth in the sector in the coming years.

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