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India Eyes ₹50,000 Cr in Defence Exports by 2029

India Eyes ₹50,000 Cr in Defence Exports by 2029
  • PublishedMay 15, 2025

India’s journey toward self-reliance in defence production has entered a transformative phase with significant growth in defence exports and the successful deployment of indigenous weapon systems. This transformation was notably displayed during Operation Sindoor, where domestically developed systems played a key role in a major military response.

The Ministry of Defence (MoD) has announced that India’s defence exports reached a record-breaking Rs 23,622 crore during the financial year 2024–25. This performance marks a remarkable 34-fold increase from the Rs 686 crore recorded in 2013–14. It reflects India’s determined pursuit of self-sufficiency in defence under the Atmanirbhar Bharat (self-reliant India) initiative and its increasing recognition as a global player in the defence manufacturing sector.

Operation Sindoor Validates Power of Indigenous Defence Systems

Operation Sindoor was launched in retaliation to the Pahalgam terror attack and became a major moment for the Indian defence establishment to validate its homegrown systems. Conducted on 7 May 2025, the operation involved the coordinated use of indigenously produced drones, targeting systems, and missiles to respond to aerial threats originating across the border. The deployment of BrahMos supersonic cruise missiles, Akash air defence systems, and D4 anti-drone technology effectively neutralised wave after wave of aerial strikes, demonstrating the high level of readiness and effectiveness of Indian-made defence systems.

In its official statement on social media platform ‘X,’ the Ministry of Defence stated that this operation clearly highlighted the performance of Indian-built military assets. It added that such missions serve as powerful examples of India’s growing military capability and defence autonomy.

Export Growth and Global Outreach to Nearly 80 Nations

India’s defence exports have not only surged in volume but also expanded in geographical reach. During FY 2024–25, Indian defence products were exported to nearly 80 countries around the globe. These exports include weapons, ammunition, components, and advanced subsystems, all manufactured domestically.

The total value of defence exports for the year stood at Rs 23,622 crore, a significant increase from Rs 21,083 crore in the previous year. This represents a growth of approximately 12.04 per cent year-over-year. When compared to the figure of Rs 686 crore recorded in FY 2013–14, the current level of exports reflects how dramatically the sector has expanded over the last decade.

The MoD confirmed that the government has set an ambitious target of Rs 50,000 crore in defence exports by 2029. This is part of a broader strategic plan to enhance India’s global footprint in defence manufacturing and transform it into a trusted defence exporter.

Policy Support and Regulatory Reforms Drive Export Acceleration

One of the key drivers behind the surge in exports has been the implementation of progressive policy measures. The government has introduced a series of reforms to make it easier for Indian companies to participate in defence production and exports. These include the simplification of industrial licensing processes, the extension of license validity, and the removal of several items from the licensing regime altogether.

In FY 2024–25 alone, the government issued 1,762 export authorisations—a 16.92 per cent increase over the previous year. Furthermore, the number of Indian exporters in the defence sector grew by approximately 17.4 per cent. This data illustrates a steady expansion in the defence manufacturing base and points to the increasing participation of private and public enterprises in the global arms market.

Defence Public Sector Undertakings See Export Surge

India’s Defence Public Sector Undertakings (DPSUs) have also shown strong export performance. The MoD reported a 42.85 per cent increase in their exports compared to the previous fiscal year. These entities, which include organisations like Hindustan Aeronautics Limited (HAL), Bharat Electronics Limited (BEL), and others, have been at the forefront of delivering high-quality defence systems that meet international standards.

The sharp rise in DPSU exports underscores the fact that Indian defence products are being acknowledged for their reliability and performance on the international stage. These results also reflect a maturing industrial ecosystem capable of delivering advanced military hardware that meets global requirements.

A Self-Reliant Vision Guided by Strategic Milestones

Defence Minister Rajnath Singh has credited these achievements to the government’s ongoing commitment to Atmanirbhar Bharat. In a statement posted online, his office reiterated that India’s defence exports have soared from Rs 686 crore in 2013–14 to Rs 23,622 crore in 2024–25. He highlighted the long-term strategic vision behind the shift, emphasising the goal of making India not only a major consumer of defence equipment but also a top global supplier.

Minister Singh also pointed out that the success of initiatives like Operation Sindoor highlights the capability of India’s indigenous systems and validates years of focused research, development, and industrial planning. As India positions itself for greater geopolitical and security responsibilities, it is expected that defence autonomy will play an increasingly critical role.

Technology Integration and Private Sector Contributions

The transformation in the Indian defence landscape has been accompanied by a growing role of the private sector. Many Indian defence startups and private companies have become involved in the development of niche products such as unmanned aerial vehicles (UAVs), missile systems, surveillance equipment, and battlefield communication tools.

These firms, often working alongside established DPSUs, have brought agility and innovation into the sector. The government’s support for public-private partnerships has led to more rapid prototyping, improved product designs, and better customisation to meet diverse operational needs.

Technology transfer agreements, both domestic and international, have also played a pivotal role in enhancing India’s capabilities. Such collaborations help reduce the technological gap between India and other global defence manufacturing nations, enabling faster integration of new systems and contributing to export-ready products.

Building International Trust Through Operational Success

A key factor driving export growth is India’s ability to demonstrate the operational reliability of its defence systems. Operations like Sindoor serve not only strategic purposes but also as case studies of practical application. When foreign governments see these systems successfully deployed under combat conditions, confidence in their utility and reliability grows significantly.

India’s evolving defence doctrine now incorporates greater transparency in product demonstrations, international defence exhibitions, and live system showcases. These efforts help attract attention from nations seeking cost-effective and reliable alternatives to traditional suppliers in the defence market.

As India continues to showcase its systems through joint exercises, peacekeeping missions, and bilateral defence ties, the appeal of its products is expected to rise. Countries in Southeast Asia, Africa, South America, and parts of Europe have shown increasing interest in acquiring Indian systems for their own national security needs.

Towards the 2029 Goal: A Sustainable Growth Path

The goal of reaching Rs 50,000 crore in exports by 2029 is supported by clear indicators of progress. The current export level of Rs 23,622 crore already represents significant momentum. With continued policy support, increased production capacity, and further improvements in quality assurance, this target appears achievable.

India’s defence ecosystem has also embraced global compliance standards in areas such as end-user verification, maintenance, and post-sale service. These enhancements position Indian exporters as reliable long-term partners, which is essential for building durable trade relationships.

The defence sector is now being seen as a core pillar of India’s economic development strategy, with job creation, innovation, and high-value manufacturing as key outcomes. As India continues to strengthen its strategic partnerships and develop new markets, the journey from being a net importer to becoming a major defence exporter is well underway.

Defence Exports Drive India’s Self-Reliance Ambition Forward

India’s defence industry is currently at a pivotal juncture. From showcasing its homegrown capabilities in major military operations to expanding its presence in the global defence market, the nation is steadily moving toward its goal of strategic autonomy. The performance in FY 2024–25 highlights the effectiveness of sustained policy support, innovation, and the unified efforts of public and private players.

The successful execution of Operation Sindoor serves as a practical demonstration of India’s progress in military technology and readiness. More importantly, the defence export growth reflects broader confidence in India’s ability to design, manufacture, and deliver systems that meet international standards.

With its eyes firmly set on the 2029 export milestone, India’s defence sector continues to grow as a symbol of capability, vision, and independence in a changing global order.

Written By
Vaishali Mundra