Make in India: Transforming Defence Production

Context:

This analysis is derived from a Press Information Bureau (PIB) document released by the Government of India on March 24, 2025, titled "Make in India Powers Defence Growth." It highlights India’s defence sector achievements in FY 2023-24, with production reaching ₹1.27 lakh crore and exports crossing ₹21,000 crore, driven by the Make in India initiative. The document details policy interventions, indigenisation efforts, and ambitious targets for 2029, offering insights into India’s self-reliance journey and global defence role as of March 24, 2025.

1. Production Milestone: Defence production hit ₹1.27 lakh crore in FY 2023-24, a 174% rise from ₹46,429 crore in 2014-15, fueled by the Make in India initiative.
2. Export Surge: Exports reached ₹21,083 crore in FY 2023-24, a 30-fold increase from ₹686 crore in FY 2013-14, spanning over 100 countries, including the U.S., France, and Armenia.
3. Budget Growth: Defence budget grew from ₹2.53 lakh crore in 2013-14 to ₹6.81 lakh crore in 2025-26, reflecting a 2.6x increase to support modernization.
4. ATAGS Procurement: Cabinet approved 307 Advanced Towed Artillery Gun Systems (ATAGS) for ₹7,000 crore in 2025, designed by DRDO with a 40+ km range, enhancing Army firepower.
5. Indigenisation Efforts: Over 14,000 items indigenised via SRIJAN and 3,000 via Positive Indigenisation Lists (PILs), reducing import reliance from 65-70% to 35%.
6. Private Sector Role: Contributes 21% to production, with 16 DPSUs, 430+ licensed firms, and 16,000 MSMEs forming a robust industrial base.
7. iDEX Innovation: Launched in 2018, iDEX allocated ₹449.62 crore for 2025-26, signing 430 contracts with 619 startups/MSMEs for technologies like AI and cyber warfare.
8. SAMARTHYA Showcase: Aero India 2025 event displayed 33 indigenised items, including RudraM II missile and C4ISR systems, highlighting technological advancements.
9. Defence Corridors: Uttar Pradesh and Tamil Nadu corridors attracted ₹8,658 crore in investments, with 253 MoUs signed for ₹53,439 crore by February 2025.
10. Future Targets: Aims for ₹3 lakh crore in production and ₹50,000 crore in exports by 2029, positioning India as a global defence manufacturing hub.

Key Terms:

• Make in India: Initiative driving indigenous defence production and exports.
• ATAGS: Advanced Towed Artillery Gun System, a 155 mm indigenous artillery with 40+ km range.
• iDEX: Innovations for Defence Excellence, fostering startup-driven defence tech development.
• SRIJAN: Platform listing 38,000+ imported items for indigenisation, with 14,000 achieved.
• Positive Indigenisation Lists (PILs): Lists mandating domestic procurement of 5,500+ items.
• Defence Industrial Corridors: Zones in UP and TN boosting manufacturing investments.
• Atmanirbharta: Self-reliance goal reducing India’s defence import dependency.