India is actively working to boost its defence exports through various initiatives, including establishing a Defence Export Promotion Council (EPC). The goal is to increase defence exports from ₹21,083 crores in 2024 to Rs 50,000 crores by 2029. To support this objective, the Industry Quality Assurance Conclave was recently held in New Delhi.

India is establishing a Defence Export Promotion Council to streamline arms export strategy and boost international sales. The push for arms exports aligns with the "Make in India" initiative, aiming to reduce reliance on foreign suppliers and position India as a global defence exporter.

Export Growth: India's defence exports have surged from ₹1,941 crore in FY 2014-15 to ₹21,083 crore in FY 2023-24.

India currently exports military hardware to over 100 countries. Top destinations in 2023-24 included the USA, France, and Armenia.

India exports helicopters, naval vessels, missiles, armoured vehicles, the Akash surface-to-air missile system, the Pinaka multiple rocket launcher, and the Pralay tactical ballistic missile, alongside aircraft such as the Light Combat Aircraft (LCA) TEJAS.

Concerns exist regarding the quality, reliability, and technological limitations of the country’s defence manufacturing base. The government has undertaken policy reforms, including easing export regulations and simplifying defence procurement processes, to enhance global competitiveness.

The Industry Quality Assurance Conclave in New Delhi highlights the importance of bridging gaps between defence organizations and industries to improve quality.

The defence budget for 2025-26 has been set at ₹6.8 lakh crore, a 9.5% increase, with a significant portion earmarked for domestic procurement. The government has set a target of ₹1.75 lakh crore worth of defence equipment production in the current fiscal year, and ₹3 lakh crore by 2029.

Government Initiatives

Liberalised FDI Policy: Increasing the FDI limit to 74% under the automatic route in the defence sector.

Defence Acquisition Procedure (DAP) 2020 promotes domestic design and production.

Line of Credit is offered to friendly foreign countries to purchase Defence equipment.

Defence Industrial Corridors (DICs), establishment of two DICs in Uttar Pradesh and Tamil Nadu for defence manufacturing.

Innovations for Defence Excellence (iDEX) scheme launched to involve start-ups and MSMEs in defence innovation.

Indigenisation Portal launch of the Self-Reliant Initiatives Through Joint Action (SRIJAN) portal to facilitate indigenization by Indian industry, including MSMEs.

ANI