New Delhi: Indigenous production in India’s defense sector has reached an all-time high, hitting approximately Rs 1.27 lakh crore for the financial year 2023-24. This record-breaking achievement is the result of a consistent increase in production values since 2019-20.
The Ministry of Defence announced on Friday, “According to data from all Defence Public Sector Undertakings (DPSUs), other PSUs manufacturing defense items, and private companies, the value of defense production in the country has reached Rs 1,26,887 crore, marking a 16.7% growth over the previous financial year.”
“The aggressive and sustained efforts towards indigenization have led to this highest-ever Value of Production (VoP). Additionally, the significant rise in defense exports has greatly contributed to the overall growth in indigenous defense production,” the MoD stated.
In FY 2022-23, the value of defense production was Rs 1,08,684 crore.
For FY 2023-24, approximately 79.2% of the total VoP was contributed by DPSUs and other PSUs, with the remaining 20.8% coming from the private sector. Both DPSUs/PSUs and the private sector have shown steady growth in absolute production values.
Over the past five years (since 2019-20), the value of defense production has increased steadily, growing by over 60%.
Defense exports also reached a record high of Rs 21,083 crore in FY 2023-24, reflecting a 32.5% increase from the previous fiscal year, which saw Rs 15,920 crore in exports.
Defense Minister Rajnath Singh highlighted this achievement in a post on X, emphasizing that the ‘Make in India’ program is reaching new milestones each year under Prime Minister Narendra Modi’s leadership. He reiterated the Government’s commitment to establishing India as a leading global defense manufacturing hub.
Singh congratulated the industry, including DPSUs, other PSUs, and the private sector, for driving defense production to unprecedented levels.
The MoD attributed this remarkable growth to the successful implementation of policy reforms, initiatives, and the Government’s focus on ease of doing business over the past decade, with an emphasis on achieving self-reliance.
