India’s defence production hits record Rs 1.78 Lakh crore

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New Delhi, June 17

India’s defence production rose to an all-time high of ₹1.78 lakh crore in the 2025-26 financial year, highlighting the country’s growing focus on self-reliance and domestic manufacturing in the defence sector.

The Defence Ministry said production increased by 15.6% from ₹1.54 lakh crore in 2024-25 and has more than doubled since 2020-21, when output stood at ₹84,643 crore. Compared with 2013-14, indigenous defence production has nearly quadrupled.

Defence Minister Rajnath Singh described the achievement as the result of the combined efforts of government agencies, public sector companies and private industry. He said the continued rise in production reflects the expansion of India’s defence manufacturing base and the growing capabilities of domestic firms.

According to the ministry, public sector undertakings remained the backbone of production accounting for around 76% of total output. On the other hand, the private sector contribution reached a record high of about ₹42,000 crore, representing 24% of total production and underscoring its increasing role in the industry.

Officials said policy reforms, new manufacturing initiatives and greater participation by private companies have helped strengthen the sector in recent years. The growth has also supported a sharp rise in defence exports, which reached a record ₹38,424 crore in 2025-26.

The government said the figures reflect the momentum behind its push to build a self-reliant defence industry under the Aatmanirbhar Bharat programme. With domestic production expanding and exports rising, India is seeking to position itself as a major global hub for defence manufacturing.