Defence Atmanirbharta: Record Production & Exports

Defence Atmanirbharta: Record Production & Exports

 

1. Context

India’s defence sector is undergoing rapid indigenisation under Aatmanirbhar Bharat, aiming to reduce import dependence, enhance exports, strengthen R&D, and enable private sector + MSME participation.

 

2. Key Achievements

• Highest-ever defence production ₹1.54 lakh crore (FY 2024–25).
• Indigenous production ₹1,27,434 crore in FY 2023–24 (174% rise from 2014–15).
• Defence exports reached ₹23,622 crore (FY 2024–25), up from less than ₹1,000 crore in 2014.
• Private sector share increased to 23%; DPSUs contribute ~77%.
• 788 industrial licences issued to 462 companies; 16,000+ MSMEs onboarded.

 

3. Major Reforms

• Positive Indigenisation Lists, simplified licensing, and liberalised FDI (74% automatic).
• Defence Acquisition Procedure (DAP 2020) prioritises “Buy Indian‐IDDM”.
• Defence Procurement Manual (DPM 2025) promotes ease of doing business and transparency.
• iDEX, TDF, DIA-CoEs foster innovation, start-ups, and technology transfers.

 

4. Institutional Expansion

• Defence Industrial Corridors in UP and Tamil Nadu attracted investments worth ₹9,145+ crore.
• DRDO strengthening deep-tech ecosystem; ordnance factories reorganised into 7 DPSUs.
• Record 193 procurement contracts signed in FY 2024–25 worth ₹2,09,050 crore, majority to domestic vendors.

 

5. Defence Exports & Diplomacy

• Export basket includes bulletproof jackets, patrol boats, helicopters, radars, torpedoes, and subsystems.
• India now exports to 80+ countries including Armenia, U.S., and France.
• Export policy simplified via online authorisations, OGEL, and SOP reforms.

 

6. Budgetary Trends

• Defence budget rose from ₹2.53 lakh crore (2013–14) to ₹6.81 lakh crore (2025–26).
• Capital allocation for modernisation ₹1.72 lakh crore (2024–25), ensuring long-term capability development.

 

7. Targets Ahead

• Defence manufacturing target: ₹3 lakh crore by 2029.
• Defence export target: ₹50,000 crore by 2029.

 

8. Significance

This shift strengthens national security, reduces strategic vulnerabilities, enhances global defence footprint, promotes technological sovereignty, and supports economic growth and employment generation.

Practice :

 

Q1. Which category receives the highest priority under India’s defence procurement framework?

(a) Buy (Global)

(b) Buy (Indian-IDDM)

(c) Buy & Make (Global)

(d) Make (III)

 

Q2. What was India’s recorded defence production in FY 2024–25?

(a) ₹1.27 lakh crore

(b) ₹1.54 lakh crore

(c) ₹23,622 crore

(d) ₹2.09 lakh crore

 

Q3. What was India’s defence export figure in FY 2024–25?

(a) Less than ₹1,000 crore

(b) ₹15,209 crore

(c) ₹23,622 crore

(d) ₹54,000 crore

 

Q4. India’s major push for indigenous defence manufacturing is primarily linked to which initiative?

(a) Skill India

(b) Aatmanirbhar Bharat

(c) Digital India

(d) Sagarmala

 

Q5. Defence Industrial Corridors in India are located in:

(a) Gujarat and Maharashtra

(b) Uttar Pradesh and Tamil Nadu

(c) Rajasthan and Karnataka

(d) Delhi and Telangana

 

Q6. The primary aim of the Defence Acquisition Procedure (DAP) 2020 is:

(a) Reducing defence exports

(b) Enhancing speed and transparency in procurement

(c) Privatizing all defence PSUs

(d) Reducing the capital defence budget

 

Q7. The automatic route FDI limit in India’s defence sector is:

(a) 26%

(b) 49%

(c) 74%

(d) 100%

 

Q8. Which reform eased defence exports through digital processing and simplified licensing?

(a) Digital India Portal

(b) OGEL and end-to-end online export authorisation system

(c) GST Exemption Scheme

(d) Global Tender Relaxation

 

Q9. India now exports defence products to more than:

(a) 20 countries

(b) 40 countries

(c) 60 countries

(d) 80 countries

 

Q10. The purpose of the iDEX programme is to:

(a) Promote global purchases

(b) Encourage start-ups & MSME-led defence innovation

(c) Subsidize foreign defence OEMs

(d) Support only large PSUs

 

Q11. How many defence procurement contracts were signed in FY 2024–25?

(a) 120

(b) 152

(c) 193

(d) 350

 

Q12. India’s defence budget for FY 2025–26 stands at:

(a) ₹2.53 lakh crore

(b) ₹6.81 lakh crore

(c) ₹1.72 lakh crore

(d) ₹9.15 lakh crore

 

Q13. Around what percentage of defence equipment is now manufactured domestically?

(a) 20%

(b) 30%

(c) 50%

(d) 65%

 

Q14. The major boost in India’s export sector is largely driven by:

(a) Agriculture Technology

(b) Private sector and MSMEs

(c) Railway manufacturing units

(d) Tourism sector

 

Q15. India’s defence export target for 2029 is:

(a) ₹20,000 crore

(b) ₹25,000 crore

(c) ₹35,000 crore

(d) ₹50,000 crore