Crafting Tanks, Jets, and More: India's ₹3 Lakh Crore Defense Production Goal by 2029

India aims for ₹3 lakh crore in defense production and ₹50,000 crore in exports by 2029. In 2024-25, a record ₹1.54 lakh crore was produced. Exports rose 34 times (₹23,622 crore). 16,000 MSMEs are contributing. Import reliance has decreased, and domestic production has surged by 174%.
BrahMos missile during combat launch test. (File Photo: DRDO)

Source: aajtak

Union Minister Dr. Mansukh Mandaviya highlighted remarkable strides in defense self-reliance during a press conference. He stated that India is now self-sufficient in defense production – a robust strategic reality, beyond mere policy. The government's target is to reach ₹3 lakh crore in defense production and ₹50,000 crore in exports by 2029.

  • Record-Breaking Production: In 2024-25, defense production hit ₹1.54 lakh crore, the highest ever.

  • Reduced Import Dependency: Now, 65% of equipment is domestically produced, compared to past reliance on imports of 65-70%.

  • Growth in Indigenous Production: From ₹46,429 crore in 2014-15 to ₹1,27,434 crore in 2023-24, marking a 174% increase.

  • Significant MSME Contribution: 16,000 small to medium enterprises play a crucial role in the defense ecosystem.

  • Export Booms: From ₹686 crore in 2013-14 to ₹23,622 crore in 2024-25, a 34-fold increase, with the private sector's share being ₹15,233 crore. Now exporting to over 100 countries – from bulletproof jackets to BrahMos missiles.

Indigenous Defense Assets: The BrahMos missile system, Akash systems, and more showcase India's strides in self-reliance.

Challenges of a Decade Ago and Today's Reforms...

 A decade ago, the defense sector was bogged down by slow procurement, high imports, scant private sector participation, and negligible exports. Now, significant improvements are taking place...

India's defense production target

Source: aajtak

  • Improved Procurement: The review of the new Defense Procurement Manual (DPM) 2025 and DAP 2020 ensures faster, transparent, and innovative processes.

  • DAC Approval in July 2025: Proposals worth ₹1.05 lakh crore – including armored vehicles, surface-to-air missiles, advanced warfare systems. Emphasis on 'Buy Indian-IDDM' – designed, developed, and manufactured in India.

  • Budget Doubling: More than doubled since 2013-14.

  • Defense Industrial Corridor: ₹9,145 crore investment in UP and Tamil Nadu.

  • Licensing and Contracts: 462 companies with 788 licenses. 92% of contracts in 2024-25 awarded to Indian industries.

  • Simplified Exports: Online systems reduce paperwork and time.

Future Vision: The minister outlined a clear goal – achieve ₹3 lakh crore in production and ₹50,000 crore in exports by 2029. Partnering with private sector, MSMEs, and startups, India aims to become a global leader in defense. Rapid strides towards self-reliance in defense production, reduced imports, and burgeoning exports are a testament to this ambition.

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