Indian defence production hit Rs 1.27 lakh crore in 2023-24, exports crossed Rs 21,000 crore

India’s defence production hit record high of Rs 1.27 lakh crore in value in financial year 2023-24, according to data published by the Ministry of Defence.

The MoD this week published data of India’s defence production and defence exports. The data showed that between 2014-15 and 2023-24, defence production rose from Rs 46.2 thousand crore to Rs 1.27 lakh crore and exports rose from Rs 686 crore to Rs 21,083 crore between 2013-14 and 2023-24. The MoD said the figures are all-time highs.

While the overall defence production surged by 174 per cent in the period, defence exports surged by 30 times, according to the data.

These figures are a total of defence production and exports of all defence public sector undertakings (DPSUs), other public sector units manufacturing defence items, and private companies.

The MoD has now set the target for Rs 3 lakh crore in defence production by 2029.

Historically, India has consistently been one of the largest arms importers. In recent years, however, on the back of a number of initiatives, the defence production as well as exports have started to rise. However, India was the world’s second-largest arms importer after Ukraine last year, according to the Sweden-based Stockholm International Peace Research Institute (SIPRI).

In a press release, the MoD credited initiatives like Make in India, Innovations for Defence Excellence (iDEX), and Acing Development of Innovative Technologies with iDEX (ADITI), with increased defence production and exports. It said that while previously India had 65-70 per cent import dependency, 65 per cent of defence equipment is now manufactured domestically.

In adddition to 16 DPSUs, more than 430 licensed companies and around 16,000 medium, small, and micro enterprises (MSME) are now engaged in the defence sector, with private companies contributing 21 per cent to total defence production, said the MoD.

Among the platforms listed while hailing domestic defence production were the Dhanush Artillery Gun System, Advanced Towed Artillery Gun System (ATAGS), Main Battle Tank (MBT) Arjun, Light Specialist Vehicles, High Mobility Vehicles, Light Combat Aircraft (LCA) Tejas, Advanced Light Helicopter (ALH), Light Utility Helicopter (LUH), Akash Missile System, Weapon Locating Radar, 3D Tactical Control Radar, and Software Defined Radio (SDR).