India’s defence production reaches record ₹1.78 lakh crore in FY2025-26

According to the Defence Ministry, the milestone represents a 15.6% growth over the previous fiscal year’s output of ₹1.54 lakh crore

Defence production in FY26 represents a 15.6 per cent growth over the previous fiscal year’s output of ₹1.54 lakh crore, says MoD

India's defense production hit an unprecedented Rs 1.78 lakh crore in FY 2025-26, marking a significant 15.6% jump from the previous year. This surge, nearly quadrupling since FY 2013-14, underscores the nation's growing self-reliance and expanding industrial base. The private sector's contribution also reached an all-time high, bolstering defense exports.

India’s annual defence production touched a record high of ₹1.78 lakh crore in the financial year 2025-26, reflecting a strong acceleration in the country’s push towards self-reliance in military manufacturing. The latest figure represents a 15.6% increase over ₹1.54 lakh crore recorded in FY2024-25.Over a longer period, the growth has been even more significant. Defence production has more than doubled in five years, rising from ₹84,643 crore in FY2020-21 to ₹1.78 lakh crore in FY2025-26, a jump of 110%. Under the inspiring leadership of PM Shri @narendramodi, India’s defence production is reaching new heights every year. I am delighted to inform everyone that India’s annual defence production has surged to an all-time high of Rs 1.78 lakh crore in the Financial Year (FY)…— Rajnath Singh (@rajnathsingh) June 17, 2026 Compared to FY2013-14, when production stood at ₹43,746 crore, output has nearly quadrupled, highlighting the rapid expansion of India’s domestic defence industrial base.Defence Minister Rajnath Singh credited the milestone to the leadership of Prime Minister Narendra Modi and the collective efforts of stakeholders across the defence ecosystem. India’s Defence Exports Hit Record ₹38,424 Crore In FY26, Jump 62.6% YoY He said India’s defence production is achieving new record levels every year under the government’s policy push for indigenisation and manufacturing growth.According to the Ministry of Defence, Defence Public Sector Undertakings (DPSUs) and other public sector units accounted for around 76% of total production in FY26. The private sector contributed the remaining 24%, with its share rising from 22% in the previous fiscal year. In absolute terms, private sector output reached nearly ₹42,000 crore, marking its highest-ever contribution and underscoring its growing role in defence manufacturing.The expansion in domestic production has also translated into record exports. India exported defence equipment worth ₹38,424 crore in FY26, the highest ever recorded, reflecting growing global demand for Indian military products.Officials said the strong growth is the result of sustained policy reforms, increased private sector participation, and efforts to build export capacity. The government expects continued expansion in both production and exports as India strengthens its position as a global defence manufacturing hub.

Indias defence production hits alltime high of Rs lakh crore in