NEW DELHI: India logged its highest-ever defence exports at Rs 38,424 crore in the financial year 2025-26, a 62.66 percent jump over the previous fiscal, the Defence Ministry said Thursday.
The jump was led by Defence Public Sector Undertakings (DPSUs), whose exports more than doubled, up 151 per cent to Rs 21,071 crore from Rs 8,389 crore, making up 54.84 percent of the total. Private firms grew at a slower 14 percent to Rs 17,353 crore.
Calling it a “landmark milestone”, the ministry said the performance reflects the “growing integration of the Indian defence industry into global supply chains” and its emergence as a “reliable partner for systems and sub-systems”, adding that India is “marching ahead towards becoming a global manufacturing hub for defence equipment”.
India currently exports defence equipment to more than 80 countries, with the number of exporters rising to 145 from 128 in the previous year. The government attributed the increase to “continuous endeavours towards ease of doing business”, including a revamped export authorisation portal and simplified procedures.
Behind the headline numbers is a mix of platform sales, missile deals and a steady pipeline of components and subsystems.
The standout export remains the BrahMos supersonic cruise missile system, with the Philippines signing a $375 million contract in 2022 for shore-based anti-ship variants. Deliveries are underway, and similar coastal defence proposals are being pitched to countries such as Vietnam and Indonesia, where discussions are ongoing.
Armenia has emerged as another key buyer, placing orders over the past two years for Pinaka multi-barrel rocket launchers, Swathi weapon-locating radars, anti-tank munitions and the Akash air defence system, marking one of India’s more significant entries into a conflict-linked market.
Beyond missiles and artillery, Indian firms have exported ALH Dhruv helicopters to Mauritius, while Dornier-228 aircraft have been supplied to countries including Mauritius, Seychelles and Guyana for surveillance roles. Shipyards have also delivered offshore patrol vessels and interceptor boats to countries in Africa and Southeast Asia.
At the lower end but in higher volumes, Indian companies are exporting artillery ammunition, small arms, bulletproof jackets and surveillance equipment, alongside a growing share of aerospace components and electronics to global original equipment manufacturers.
This dual track of high-value platforms and steady component exports is driving overall growth. The ministry said India is exporting defence equipment to more than 80 countries while also positioning itself as a partner for systems and sub-systems.
The latest data also points to a shift in the export mix. While private firms were early movers in integrating with global supply chains, the current surge is being led by Defence Public Sector Undertakings, supported by government-to-government deals, lines of credit and diplomatic outreach in regions such as Africa and Southeast Asia.
India has set a target of Rs 50,000 crore in defence exports by the end of the decade. Achieving this will depend on scaling up production, meeting delivery timelines and competing on cost and after-sales support, where Indian firms are still working to build consistency.