India’s defence figure hit a fresh high of Rs 1.5 lakh crore in the financial year 2025, the Ministry of Defence said in a press release on Saturday. The defence production has grown 18% year-on-year basis from Rs 1.27 lakh crore.
Defence public sector undertakings and other PSUs contributed 77% of the total production, and private sector contributed 23% production. Private sector’s contribution has grown from 21% in the financial year 2024, the press release said.
The overall production of DPSUs and private sector has grown 16% and 28% respectively in the previous financial year, according to the press release.
India’s defence production reached all-time high amid government’s initiative to reduce dependence on imports and create a defence manufacturing sector within the country which can export and compete in the international markets.
Policy reforms, ease of doing business, strategic focus on indigenisation supported defence industry of India to reach the record high figure, the press release said. The industry is expected to grow on sustained policy support, increased private participation, and expanding export capabilities, the press release said.
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