Defence Minister Rajnath Singh said military projects worth over Rs 8.75 lakh crore were approved in the past year to modernise India’s armed forces. He highlighted record defence exports of Rs 38,424 crore and domestic production reaching Rs 1.78 lakh crore
Published Date – 14 August 2026, 09:47 PM
New Delhi: Military projects worth over Rs 8.75 lakh crore have been approved in the last one year as the government is committed to modernise the armed forces to bolster India’s combat capabilities, Defence Minister Rajnath Singh said on Friday.
In a message to the armed forces on the eve of Independence Day, Singh also said that India has emerged as a major power in global defence manufacturing, with exports of military hardware surging to Rs 38,424 crore in 2025-26 driven by a significant push toward indigenous production.
“The government, under the leadership of Prime Minister Narendra Modi, is according the highest priority to the modernisation of the defence forces driven by a self-reliant and future-ready defence sector,” Singh said.
Highlighting the “transformative shift” in the defence sector in the last 12 years, Singh asserted that India has become a nation which is effectively catering to its own security needs, while emerging as a global defence manufacturing hub and a net defence exporter. “India is no longer just a country that meets only its own security needs; rather, we have become an emerging power in the field of global defence manufacturing and defence exports,” he said. “Our efforts have given a new direction to defence production. We have reduced our dependence on imports and provided unprecedented momentum to indigenous manufacturing,” he said.
Along with modernisation of the armed forces, strengthening border areas is also the government topmost priority, Singh said. “In the defence sector, the most impressive proof of India’s self-reliance is our defence exports. From a mere Rs 686 crore in defence exports in the year 2013-14, it has now reached Rs 38,424 crore in the financial year 2025-26,” he said.
“That means, in about a decade, our defence exports have taken a leap of more than 5,500 per cent,” he added. Singh also said that the Defence Acquisition Council (DAC) has granted approval to projects worth more than Rs 8.75 lakh crore in the last one year as the government is determined to modernise the military.
He listed the “fundamental reforms” undertaken in defence procurement to accelerate the modernisation process, including a two-fold increase in financial ceiling for field commanders to strengthen operational efficiency, and facilitation of procurement worth more than Rs 1.25 lakh crore through the revenue route to boost indigenisation. Singh emphasised that the domestic defence production, which stood at just Rs 46,000 crore in 2014, has increased to a record Rs 1.78 lakh crore in the 2025-26.
This achievement, he said, is a testament to the structural changes that have taken place in the defence sector. The defence minister pointed out that Defence Public Sector Undertakings (DPSUs) and other public sector entities accounted for approximately 76 per cent of the total defence production, with the private sector contributing 24 per cent, up from 22 per cent in the previous fiscal.
This growing participation of the private sector signals a continuously improving business environment within the defence sector, he said. Singh asserted that the DRDO and the defence forces are positioning India at the forefront of technologies for future warfare amidst the evolving defence landscape. He made special mention of the successful test of the first Tactical Advanced Range Augmentation system, which has the capability to transform conventional weapons into precision-guided munitions.