India's Defence Export Growth and Self-Reliance Initiatives
Defence Minister Rajnath Singh announced significant achievements in India's defence sector, highlighting that defence exports have grown dramatically from ₹686 crore in 2013–14 to a record ₹38,424 crore in 2025–26, reaching more than 100 countries. After achieving the ₹30,000-crore export target last year, India has now set an ambitious target of ₹50,000 crore by 2029. This export growth reflects global confidence in Indian technology, quality, and delivery capabilities across missiles, radars, ammunition, and defence platforms.
The defence allocation has increased substantially to ₹7.85 lakh crore in 2026-27, compared to approximately ₹2.53 lakh crore in 2013-14. Approximately 75% of the capital acquisition budget, amounting to ₹1.39 lakh crore, has been earmarked for procurement from the domestic defence industry to strengthen indigenous manufacturing and associated MSME supply chains.
Indigenous Manufacturing and Technology Development
India has identified 509 defence equipment, weapon systems, and platforms for indigenization through five positive indigenisation lists issued by the Armed Forces. Defence Public Sector Undertakings (DPSUs) have released six indigenisation lists covering 5,417 items, including strategically important Line Replaceable Units (LRUs), subsystems, spares, and components, of which approximately 3,300 have been indigenised so far.
The SRIJAN and SRIJAN DEEP portals have been instrumental in strengthening indigenous defence supply chains. Around 33,000 imported items have been identified for import substitution through SRIJAN, with approximately 15,700 already indigenised. SRIJAN DEEP has created a national digital database covering more than 40,000 manufacturers and sellers and lakhs of products.
Private Sector Participation and Innovation
India's defence ecosystem now includes DPSUs, private industries, more than 16,000 MSMEs, startups, universities, and research institutions. Investment proposals of about ₹70,000 crore have been received in the Uttar Pradesh and Tamil Nadu Defence Industrial Corridors, with around ₹10,000 crore already invested.
The Innovation for Defence Excellence (iDEX) and iDEX-Prime programs have engaged 676 startups and innovators as of March 2026, with 551 contracts signed. The Ministry has approved procurement worth more than ₹2,400 crore from startups and MSMEs and development projects worth over ₹1,500 crore.
A significant policy announcement involves the transfer of DRDO-developed technologies for conventional missile systems to eligible Indian industries, enabling qualifying private companies to undertake production. This move aims to strengthen Armed Forces preparedness and facilitate timely delivery of missiles while allowing DRDO to focus more on research and development.
Strategic Policy Framework
Raksha Mantri emphasized India's commitment to safeguarding its security and strategic autonomy when threatened, stating there can be no scope for dialogue with countries that promote terrorism against India. He highlighted India's role as a civilizational power based on inclusive development, with foundations in democratic traditions, the principle of 'Vasudhaiva Kutumbakam', and the vision of 'Sabka Saath, Sabka Vikas'.
The nature of warfare is rapidly changing to include cyber, space, electronic, and information warfare, alongside emerging technologies such as Artificial Intelligence, drones, autonomous systems, quantum technology, and hypersonic systems. India is addressing strategic vulnerabilities in areas such as technology, energy, data, and supply chains through initiatives to strengthen domestic capabilities in semiconductors and critical minerals, diversify energy sources, and enhance energy security.
All 16 DPSUs are currently operating without losses and increasing their focus on research, development, and exports. The corporatisation of Ordnance Factories has enhanced their technology orientation, output, and accountability.