India aims for annual defence production of 3000 billion by 2028-29

Defence Minister Rajnath Singh unveiled projections for India's defence sector, anticipating a surge in annual defence production to 3000 billion from the current 160 billion, with defence exports reaching 500 billion by 2028-29. Singh attributed this upward trajectory to the government's steadfast commitment to long-term goals to position India as a developed nation by 2047. In his address ahead of the upcoming elections, Singh outlined key reforms undertaken in the defence sector in recent years to foster long-term growth. These reforms include establishing the Chief of Defence Staff post and creating the Department of Military Affairs to enhance unity, collaboration, and organisation among the Indian Army, Navy, and Air Force. The move aims to ensure cohesive cooperation among the services during times of crisis, eliminating operational silos. Earlier, India was known to be an arms importer. But today, under the leadership of the Prime Minister, we have come out of our comfort zone and found a place in the list of top-25 arms exporter nations, said Ranath Singh. He underscored the exponential growth in defence exports, which surged from less than ?10 billion seven to eight years ago to the current 160 billion. Looking ahead, Singh anticipates annual defence production reaching 3000 billion and defence exports touching 500 billion by 2028-29. The Minister also shed light on capital acquisition, revealing that more than 4,350 billion acquisitions have received in-principle approval for the Financial Year 2023-24. Notably, the Ministry of Defence was allocated 62.1 billion in the Union Budget 2024-25, the highest among all Ministries. Singh elaborated on significant measures to bolster defence manufacturing, including the notification of positive indigenisation lists comprising over 500 service items and over 4,600 items for Defence Public Sector Undertakings (DPSUs). These measures aim to promote the use of Made-in-India weapons and platforms by Indian soldiers. Moreover, the government has earmarked 75 per cent of the capital acquisition budget for procurement from local companies to bolster the indigenous defence industry. In fostering innovation, Singh highlighted steps taken to support start-ups in the defence sector with liberalised costing, payment terms, and eligibility criteria. The government remains steadfast in its belief in the capabilities of the domestic industry to consistently improve and deliver state-of-the-art products. Singh also referenced the Agnipath scheme, which aims to elevate India's military prowess to global standards. India's ambitious plans underscore a strategic shift towards self-reliance and innovation in the defence sector, reflecting a vision for a stronger, more secure nation on the global stage.