India's defence exports surge four and a half times in five years

India has witnessed a major revolution in the field of defence production over the last five years. An unprecedented increase has been observed in the country's defence exports, which have grown four and a half times in five years. According to a report by Dainik Bhaskar, despite India being among the top 5 countries importing weapons, it has transformed its position in this sector. For the first time, India has earned more through defence exports than the amount spent on importing weapons for the armed forces.

Data presented in Parliament shows that during the year 2025-26, ₹37,047.31 crore was spent on foreign capital defence purchases. In comparison, defence exports made by India's government and private companies stood at ₹38,424 crore. The contribution of private military industries to this total export was recorded at 45.2%. Exports by private companies have reached ₹17,353 crore. The private military industry has recorded a massive increase of 138.7% in exports.

The primary reason behind this transformation is believed to be the sharing of military technology with the private sector. Based on technology received from the Defence Research and Development Organisation (DRDO), the defence exports of private companies have increased from ₹7,271 crore to ₹17,353 crore in five years. A total of 2,372 technologies, ranging from missiles to radars, drones, and combat equipment, have been transferred by DRDO to private industries.

According to officials associated with defence organisations, this development will ensure that in the event of any major military crisis in the future, the country will not have to rely solely on government factories for the supply of weapons and equipment. Additionally, a major decision has been taken to remove obstacles in defence production, under which the source code of technology software can also be shared with industries. In modern radars, drones, sensors, and electronic warfare systems, the software is as crucial as the hardware.

In the current financial year, defence production has reached ₹1.78 lakh crore, with the private sector's share being approximately 24%. It is estimated that indigenous defence production will reach ₹3 lakh crore in the next five years. DRDO receives a royalty of 2% to 5% on export orders. If private companies sell equipment to the Indian armed forces, they do not need to pay royalty. Companies sold defence products worth ₹42,000 crore to the Indian armed forces in the year 2025-26, on which DRDO received no royalty.

On the other hand, the Ministry of Defence on Monday approved purchases worth ₹2.12 lakh crore for all three services. This procurement includes multipurpose helicopters, long-range Kamikaze drone systems, and various weapons. Approximately 82% of this procurement will be made from Indian industries.

DRDO is a premier institution of the Government of India working towards the research and development of new technologies and equipment in the defence sector. It is recognised as the key institution responsible for modernising India's military strength.