India's defence manufacturing sector has seen a "significant shift" in the last few years as the country turned self-reliance, moving away from its earlier dependency on imports.
A government statement on March 25 revealed that 65 percent of defence equipment is now manufactured locally, from the earlier dependency of up to 65-70 percent on import.
The defence production in the country has seen an "extraordinary pace" following the launch of make-in-India scheme that helped hit a record value of Rs 1.27 lakh crore, the defence ministry said.
India has developed a diverse export portfolio over the years: bulletproof jackets, Dornier (Do-228) aircraft, Chetak helicopters, fast interceptor boats, and lightweight torpedoes.
"Notably, 'Made in Bihar' boots are now part of the Russian Army's gear, highlighting India's high manufacturing standards," the ministry said.
"Once dependent on foreign suppliers, the country now stands as a rising force in indigenous manufacturing, shaping its military strength through homegrown capabilities. This shift reflects a strong commitment to self-reliance, ensuring that India not only meets its security needs but also builds a robust defence industry that contributes to economic growth," it said.
According to the fact sheet dated March 24, "India targets Rs 3 lakh crore in defence production by 2029", reinforcing its position as a global defence manufacturing hub.
This growth has been bolstered by the 'Make in India' initiative, which has enabled the development of advanced military platforms including the Dhanush Artillery Gun System, Advanced Towed Artillery Gun System, Main Battle Tank Arjun, Light Combat Aircraft Tejas, Advanced Light Helicopter, Akash Missile System, Weapon Locating Radar, as well as naval assets like destroyers, indigenous aircraft carriers, submarines and offshore patrol vessels, officials said.
Foreign direct investment (FDI) in the defence sector was liberalised in September 2020 to attract foreign investment, allowing up to 74 per cent FDI through the automatic route and above 74 per cent through the government route.
Since April 2000, the total FDI in defence industries stands at Rs 5,516.16 crore, the officials said.
On the 'Make in India' initiative, the ministry said strategic policies have fuelled this momentum, encouraging private participation, technological innovation, and the development of advanced military platforms.
The surge in the defence budget, from Rs 2.53 lakh crore in 2013-14 to Rs 6.81 lakh crore in 2025-26, underlines the nation's determination to strengthen its military infrastructure, it said.
This commitment to self-reliance and modernisation is reflected in the recent approval by the Cabinet Committee on Security for the procurement of the Advanced Towed Artillery Gun System (ATAGS), a significant step in enhancing the Army's firepower, the ministry said.
"The deal includes 307 units of 155mm/52 caliber guns along with 327 High Mobility 6×6 Gun Towing Vehicles, equipping 15 Artillery Regiments under the Buy Indian–Indigenously Designed, Developed, and Manufactured (IDDM) category, at an estimated cost of Rs 7,000 crore," it said.
Developed by the DRDO with Bharat Forge and Tata Advanced Systems, ATAGS is a cutting-edge artillery system with an over 40-km range, advanced fire control, precision targeting, automated loading, and recoil management, thoroughly tested by the Indian Army in all terrains.
"With modern warships, fighter jets, artillery systems, and cutting-edge weaponry being built within the country, India is now a key player in the global defence manufacturing landscape," the ministry said.
Also, "65 per cent of defence equipment is now manufactured domestically, a significant shift from the earlier 65-70 per cent import dependency, showcasing India's self-reliance in defence," it said.
India's robust defence industrial base includes 16 Defence PSUs, over 430 licensed companies, and approximately 16,000 MSMEs, strengthening indigenous production capabilities, according to the fact sheet.
The private sector plays a crucial role, contributing 21 per cent to total defence production, fostering innovation and efficiency, it said.
With PTI inputs
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