India's Push for Defense Self-Reliance: 60 percent of Arms Now Domestically Produced, Aiming to Eliminate Imports by 2025-26

18 May 2024

According to NITI Aayog member VK Saraswat, a former chief of the Defence Research & Development Organisation (DRDO), the country now relies on arms imports only for immediate military needs.

The Indian Army has made significant progress towards self-sufficiency in ammunition production, identifying around 150 out of the 175 types of ammunition it utilizes as part of a major push towards indigenization. The effort to eliminate ammunition imports by the fiscal year 2025-26 is progressing well.

Saraswat remarked that 60% of India's weaponry and ammunition are now manufactured domestically, indicating a significant growth in indigenous production. He added that large corporate groups such as the Adani Group, Tata Group, and L&T are now manufacturing radar systems and firearms in India, increasing the country's self-reliance in the defense industry.

Despite an increase in India's arms requirements, Saraswat noted that the proportion of imports to total defense requirements is declining. He cited a recent report by the Swedish think tank SIPRI, which stated that India's weaponry imports climbed by 4.7% between 2014-2018 and 2019-2023, showing a decreasing reliance on imports.

The Indian government is actively supporting the defense sector through favorable policy reforms, incentives, and initiatives that encourage indigenous manufacturing and technology development. These efforts are crucial for maintaining India's security and addressing the evolving global threat scenario. The support is expected to drive the share of defense capital outlays to 37% of the total defense budget in FY30, up from 26% in FY24.