Indigenous defence production touches a new high at 1.27 lakh crore

NEW DELHI: The indigenous production in the defence sector has touched a new high touching a record figure of around Rs 1.27 lakh crore. The record defence production in value terms during Financial Year (FY) 2023-24 has been achieved as a result of steady increase in production values since 2019-20.

The Ministry of Defence on Friday said, “As per the data received from all Defence Public Sector undertakings (DPSUs), other PSUs manufacturing defence items and private companies, the value of defence production in the country has gone up to a record-high figure i.e., Rs 1,26,887 crore, reflecting a growth of 16.7% over the defence production of the previous financial year.”

“The indigenisation efforts have been pursued aggressively on a sustained basis, resulting in the highest ever VoP (value of production). Moreover, the spiralling defence exports have contributed tremendously to the overall growth in the indigenous defence production.” said MoD.

The value of defence production in FY 2022-23 was Rs 1,08,684 crore.

Of the total VoP in 2023-24, about 79.2% has been contributed by DPSUs/other PSUs and 20.8% by the private sector. The data shows that in terms of absolute value, both DPSUs/PSUs and the private sector have recorded a steady growth in defence production.