Made in India, Trusted by the World

The ongoing Prime Minister Narendra Modi's visit to Indonesia marked a major milestone in India's defence export journey. During the visit, India and Indonesia signed agreements to strengthen defence cooperation, including the export of the BrahMos supersonic cruise missile system and Astra air-to-air missiles. The defence package is estimated to be worth about US$630 million, making Indonesia one of the latest countries to procure the BrahMos missile after the Philippines and Vietnam. The agreement also includes provisions for training, maintenance, infrastructure, and long-term technical support, highlighting India's growing capability as a defence exporter.

Beyond the defence deal, Prime Minister Modi and Indonesian President Prabowo Subianto agreed to deepen cooperation in maritime security, critical minerals, disaster management, digital technologies, and Indo-Pacific security. The agreements reinforce India's Act East Policy and strengthen strategic ties with Southeast Asia. They also demonstrate how indigenous defence platforms developed under the Aatmanirbhar Bharat initiative are becoming instruments of both economic growth and strategic diplomacy.

The Indonesia agreement is significant for India's defence industry because it expands the country's footprint in the global arms market and supports the government's goal of achieving ₹50,000 crore in annual defence exports by 2029. As India moves from being one of the world's largest defence importers to an emerging defence exporter, partnerships such as the one with Indonesia enhance India's reputation as a reliable supplier of advanced, cost-effective military technology.

For decades, India was one of the world's largest importers of defence equipment, depending heavily on foreign suppliers for fighter aircraft, submarines, artillery systems, missiles, and advanced military technologies. This dependence created strategic vulnerabilities and imposed a significant burden on foreign exchange reserves. However, over the last decade, India has embarked on a remarkable journey from being primarily a defence importer to emerging as a credible defence exporter and manufacturing hub. This transformation is a key pillar of the vision of an Aatmanirbhar Bharat (Self-Reliant India).

The growth in defence exports has been particularly impressive. India's defence exports stood at just ₹686 crore in FY 2013-14. By FY 2024-25, defence exports had reached a record ₹23,622 crore, representing an increase of more than 34 times in a decade. The country exported a wide range of products, including missiles, artillery systems, ammunition, radars, electronic warfare systems, patrol vessels, and defence components to around 80 countries. The momentum has continued. According to government-reported figures, India's defence exports reached another record of ₹38,424 crore in FY 2025-26, reflecting a growth of more than 62% over the previous year. This demonstrates increasing global confidence in Indian defence products and technologies.

A significant feature of this success story is the growing role of the private sector. In FY 2024-25, private companies contributed ₹15,233 crore, accounting for nearly two-thirds of total defence exports, while Defence Public Sector Undertakings (DPSUs) contributed ₹8,389 crore. DPSU exports grew by more than 42% during the year, highlighting the increasing competitiveness of Indian defence manufacturing.

Several policy reforms have accelerated this transformation. The government simplified industrial licensing procedures, eased export authorization processes, encouraged private-sector participation, increased foreign direct investment limits, and launched initiatives such as Make in India and Aatmanirbhar Bharat. Defence industrial corridors in Uttar Pradesh and Tamil Nadu have further strengthened the domestic manufacturing ecosystem.

India's defence production capabilities have also expanded significantly. Indigenous defence production reached record levels, supported by a growing network of public sector enterprises, private manufacturers, startups, and MSMEs. Today, India produces advanced systems such as the Tejas fighter aircraft, BrahMos missile systems, artillery guns, drones, radar systems, naval platforms, and electronic warfare equipment, many of which are attracting international interest.

The strategic significance of this transition goes beyond export revenues. Greater self-reliance reduces dependence on foreign suppliers, strengthens national security, creates high-skilled employment opportunities, promotes technological innovation, and enhances India's standing as a responsible defence partner in the global arena. The government has set an ambitious target of achieving ₹50,000 crore in defence exports by 2029, a goal that now appears increasingly attainable. This goal reflects the country's commitment to strengthening indigenous defence manufacturing, promoting technological innovation, enhancing strategic self-reliance, and positioning India as a major global defence exporter. Maintaining this growth path will likely further compress the import-export divide, establishing the nation as a formidable global supplier while systematically curtailing foreign procurement dependencies.

India's journey from defence imports to defence exports represents more than an industrial achievement—it symbolizes the nation's growing technological confidence, strategic autonomy, and aspiration to become a major global defence manufacturing power. As investments in research, innovation, and indigenous production continue to grow, India's role in the global defence market is likely to expand even further.

Dr. K. Venkatakrishna Rao, Assistant Professor, Dept of CSE, NIT Warangal and a Visiting Fellow, India Foundation, New Delhi