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Defence Manufacturing in India FY 2024-25

India recorded an unprecedented ₹1.51 lakh crore in annual defence production for FY 2024-25, representing an 18% increase from the prior year and a 90% rise since FY 2019-20, highlighting a more robust domestic defence manufacturing sector

Deeksha Upadhyay 11 August 2025 16:18

Defence Manufacturing in India FY 2024-25

What Is It?

The production of arms, military technology, and defense gear for India’s military and international sales.

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Comprises manufacturing by Defence Public Sector Undertakings (DPSUs), ordnance factories, various PSUs, and private sector firms.

Trends:

Output Recorded – ₹1,50,590 crore for FY 2024-25.

Growth Trend – 18% increase from FY 2023-24; 90% increase since FY 2019-20.

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Sectoral Distribution – DPSUs/PSUs: 77%; Private sector: 23% (an increase from 21% the previous year).

Policy Influencers – Indigenisation effort through Aatmanirbhar Bharat, business operation improvement initiatives, increased private involvement.

Export Growth – Defence exports projected at ₹23,622 crore in FY 2024-25, a 12% increase from the prior year.

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