India’s defence exports surged to an all-time high of ₹38,424 crore in FY26, registering a sharp increase of ₹14,802 crore, or 62.66%, over ₹23,622 crore recorded in the previous fiscal.
This milestone underlines the country’s accelerating progress in becoming a global hub for defence manufacturing and exports.
Balanced contribution from public and private sectors
The growth was driven by strong contributions from both Defence Public Sector Undertakings (DPSUs) and private players. DPSUs accounted for 54.84% of total exports, while the private sector contributed 45.16%.
In value terms, DPSUs exported defence equipment worth ₹21,071 crore, while private companies contributed ₹17,353 crore. Notably, DPSU exports witnessed a remarkable 151% growth year-on-year, compared to a 14% increase by private firms.
Government applauds sector performance
Union defence minister Rajnath Singh lauded the performance of the Department of Defence Production, defence exporters, and all stakeholders, highlighting India’s steady march towards becoming a global manufacturing hub for defence equipment.
In a post on X, he credited the progress to the leadership of Narendra Modi, stating that India is scripting a strong defence export success story on the global stage.
Sustained growth momentum
The latest figures mark nearly a threefold increase in defence exports over the past five years, reflecting sustained momentum in the sector.
This growth signals rising global acceptance of ‘Made in India’ defence products and the country’s deepening integration into global supply chains.
Expanding global reach
India is now exporting defence equipment to more than 80 countries, positioning itself as a reliable global partner for systems and sub-systems.
The number of defence exporters has also increased significantly, rising to 145 in FY26 from 128 in the previous fiscal, representing a 13.3% growth.
Policy push and ease of doing business
The government’s continued focus on ease of doing business and export facilitation has played a key role in this growth trajectory.
The Department of Defence Production has streamlined export-related regulatory processes through a revamped online portal and simplified standard operating procedures for authorisations, enabling a more efficient and globally competitive defence ecosystem.