SF Prep Notes

India's defence production hits record ₹1.78 lakh crore in FY 2025-26

On 17 June 2026, the Ministry of Defence said India's annual defence production reached an all-time high of ₹1.78 lakh crore in FY 2025-26, up 15.6% from ₹1.54 lakh crore.

Summary

India's annual defence production reached an all-time high of ₹1.78 lakh crore in FY 2025-26, the Ministry of Defence said on 17 June 2026, a 15.6% rise over ₹1.54 lakh crore in the previous year and 110% above ₹84,643 crore in FY 2020-21. Defence PSUs and other PSUs accounted for about 76% of production and the private sector for 24%, up from 22% in FY 2024-25, at an all-time high of around ₹42,000 crore. Defence exports reached a record ₹38,424 crore in FY 2025-26.

Key facts

FY 2025-26 production
₹1.78 lakh crore (record)
Growth
15.6% over ₹1.54 lakh crore
Since FY 2020-21
110% increase from ₹84,643 crore
FY 2013-14
₹43,746 crore (almost four-fold rise since)
Share
PSUs ~76%, private sector 24% (up from 22%)
Exports FY 2025-26
Record ₹38,424 crore

Practice MCQs 3 questions

Q1

What was India's record annual defence production in FY 2025-26, as reported by the Ministry of Defence in June 2026?

Show answer

Correct answer: D — ₹1.78 lakh crore

Defence production reached an all-time high of ₹1.78 lakh crore in FY 2025-26.

Q2 Advanced

What was the private sector's share in India's defence production in FY 2025-26?

Show answer

Correct answer: B — 24%

The private sector contributed 24% in FY 2025-26, up from 22% in FY 2024-25.

Q3 Advanced

Consider the following statements about India's defence sector in FY 2025-26: 1. Defence exports reached a record ₹38,424 crore. 2. Defence production grew 15.6% over the previous fiscal year. Which of the statements given above is/are correct?

Show answer

Correct answer: A — Both 1 and 2

Both are correct as per the Ministry of Defence release.

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