Raksha Mantri Rajnath Singh said that India must work in a mission mode to emerge as a global hub of indigenous drone manufacturing in the next few years, urging the creation of a domestic production ecosystem to secure strategic autonomy and bolster defence preparedness amid geopolitical instability. He addressed Micro, Small and Medium Enterprises (MSMEs), start-ups, innovators, Defence Public Sector Undertakings (DPSUs) and private defence companies at the National Defence Industries Conclave in New Delhi on March 19, 2026. The two-day conclave focused on advanced manufacturing technologies and the role of small industries in the defence supply chain.

He emphasised that self-reliance must extend to components as well as finished systems and that items from moulds to software, engines and batteries should be sourced locally because many critical parts are currently imported from China. The Raksha Mantri called for coordinated policy support and active participation from the private sector while offering full government backing for efforts to build indigenous capacity. The initiative aims to convert strategic intent into manufacturing outcomes.

As part of the inauguration he launched the 14th Defence India Start-up Challenge and the 4th ADITI challenges under the Innovations for Defence Excellence (iDEX) framework and unveiled a new set of 107 problem statements including 82 under DISC-14 and 25 under ADITI Challenges 4.0 from the Defence Forces, Indian Coast Guard and Defence Space Agency. A parallel initiative introduced 101 innovation challenges from DPSUs to promote design led innovation, mentorship and potential integration of winners into DPSU supply chains. DPSUs will fund selected projects and provide testing facilities.

The Raksha Mantri highlighted the progress of iDEX since its inception in 2018, noting that approximately 676 start-ups, MSMEs and individual innovators have joined the defence innovation ecosystem, with 548 contracts signed and 566 challenges launched. He stated that 58 prototypes have received clearance for procurement valued at around Rs 38,530 million (mn) and that 45 procurement contracts have been signed worth nearly Rs 23,260 mn. These developments were presented as evidence that innovation is translating into tangible products and technologies.

He outlined the technological priorities for MSMEs, saying they are increasingly engaged in Artificial Intelligence, Robotics, Automation, Additive Manufacturing and related tools such as Digital Twins and advanced simulation to improve decision making and design processes. He urged horizontal integration among diverse small industries and vertical integration with large firms to foster skills and adoption of Industry 4.0 practices. The objective is to build a robust national innovation ecosystem.

The Government has proposed a three-pronged approach in the Union Budget to provide Equity, Liquidity and Professional support to promote Champion MSMEs and boost competitiveness in domestic and international markets. Digital platforms such as the Udyam Portal and Udyam Assist have been launched to formalise small industries and extend scheme benefits, and the number of MSMEs was cited as about 46.7 mn in 2012-13 rising to nearly 80 mn in recent data. An exhibition and publications were inaugurated and senior defence leaders attended the conclave.