India’s defence exports soar to Rs 38,424 cr; what does India sell and to whom?

India might be the world’s second-largest arms-importing nation, but a recent announcement by the government has revealed how fast the country has also marched towards becoming a major exporter in the sector.

The Ministry of Defence said in a press release on Thursday (April 2) that India’s defence exports reached an all-time high of Rs 38,424 crore in the 2025-26 financial year, marking a jump of nearly 63 per cent over the previous year’s Rs 23,622 crore. In 2021-22, it was Rs 12, 814 crore.

Public firms make 55% contribution

Defence public sector undertakings (DPSUs) accounted for more than half the total — 54.84 per cent — while the private sector contributed the remaining 45.16 per cent, a split that reflects the growing muscle of India's commercial defence manufacturers.

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“This accomplishment of the Indian defence industry is in line with the Prime Minister Shri Narendra Modi’s vision to position India among the world’s top defence exporters,” the ministry’s press release said.

Public firms see massive export growth

The state-owned defence firms’ exports drove much of the surge, by 151 per cent—from Rs 8,389 crore to Rs 21,071 crore. The private sector, on the other hand, saw an increase of 14 per cent—from Rs 15,233 crore to Rs 17,353 crore. Taken together, the numbers tell a longer story: India's defence exports have nearly tripled over the last five years.

According to the government, the rising numbers point to something beyond a single good year. Indian defence products are finding buyers across more than 80 countries, signalling a shift from occasional supplier to credible global partner—not just for finished systems but increasingly for the sub-systems and components that feed into larger international supply chains.

The exporter base is increasing as well as the number of Indian firms selling abroad rose 13.3 per cent—from 128 to 145—indicating that the export boom is drawing in new players into the game.

The ministry also stressed the policy push behind such an outcome in defence exports. According to it, “Continuous endeavours towards ease of doing business and facilitation of defence exporters have paved the way for a performance-oriented and globally competitive defence industry.

“To support defence exporters in this growth trajectory, the Department of Defence Production has streamlined defence export regulatory processes with a revamped online portal and simplified Standard Operation Procedure for authorisations.”

Rajnath Singh ecstatic, hails PM Modi

Defence Minister Rajnath Singh hailed the development and praised the defence production department, defence exporters and other stakeholders. In a post on X, he said India was marching towards evolving a major global manufacturing hub for defence equipment and eulogised Prime Minister Narendra Modi’s leadership.

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One may recall here that the prime minister made a significant emphasis on 'Aatmanirbharata' (self-reliance) in the defence sector in his Independence Day speech last year. Speaking a few months after Operation Sindoor, in which India had brief air skirmishes with Pakistan in the wake of the terrorist attack in Pahalgam, where 26 civilians were shot dead by extremists, he said, “The mission of Aatmanirbharata followed in the past 10 years is delivering remarkable results today.”

Strengthening self-reliance in defence!India’s defence exports now reach 80+ countries, fueling our journey towards Aatmanirbhar Bharat. With exporters soaring to 145 in FY 2025-26 (up 13.3%), we’re fast-tracking self-reliance in defence. #Defence #SelfReliance pic.twitter.com/pITKY4uVvY

— Ministry of Defence, Government of India (@SpokespersonMoD) April 2, 2026

The government said in November 2025 that the country’s defence production touched a record Rs 1,27,434 crore in the 2023-24 fiscal year, which is a whopping 174 per cent increase from Rs 46,429 crore in 2014-15.

It added that the defence budget has also been raised, from Rs 2.53 lakh crore in 2013-14 to Rs 6.81 lakh crore in 2025-26, underlining its determination to strengthen the military infrastructure.

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Saying India now exports defence equipment to over 100 nations, including to the United States, France and Armenia, the government said by 2029, it aims to achieve defence manufacturing worth Rs 3 lakh crore and defence exports worth Rs 50,000 crore, in a serious bid to make the country 'aatmanirbhar' (self reliant).

India sells to whom and what?

The US has been India's single largest arms export market over the past few years, absorbing $2.8 billion worth of equipment, according to the American Chamber of Commerce in India—though largely in components and sub-systems rather than finished weapons.

Among the countries that buy finished defence items from India, Armenia stands out. It has emerged as the most significant buyer of complete Indian platforms, taking delivery of Akash-1S surface-to-air missiles in 2024 and Pinaka multi-barrel rocket launchers in 2023.

India has also jointly produced the BrahMos supersonic cruise missile with Russia, which has been exported to the Philippines.

Indonesia has also signed a deal for BrahMos supersonic cruise missiles, while France has been in talks to acquire the Pinaka system— marking a notable reversal of the traditional arms supplier-recipient relationship between the two countries.

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There are also high-income Western nations that are among buyers of defence equipment and components from India, including Australia, Belgium, Canada, Germany, Israel, Italy, Japan, South Korea, the Netherlands, New Zealand, and the UK, among others.

Among India's clients are also various African nations such as Mauritius, Mozambique, Seychelles, Morocco, Nigeria, Kenya, Namibia and others. In the Western Hemisphere, Brazil, Argentina, Guyana, Ecuador, Suriname, and Honduras, besides others, also buy Indian-made defence products.

Near home, Sri Lanka, Myanmar, and Nepal have also been among buyers of India’s defence production.

Among the major defence equipment that India exports are ships, which constitute more than half of the exports (55 per cent), personal protection and soldier equipment, components, sub-systems and electronics, and artillery, missiles and ammunition, among others.