Raksha Mantri highlighted the significant increase in defence allocation, which has reached ₹7.85 lakh crore in 2026-27, compared to around ₹2.53 lakh crore in 2013-14. He noted that around 75% of the capital acquisition budget, amounting to ₹1.39 lakh crore, has been earmarked for procurement from the domestic defence industry, thereby strengthening indigenous manufacturing and associated MSME supply chains.
Shri Rajnath Singh stated that the nature of warfare is rapidly changing, with modern conflicts extending beyond conventional domains to cyber, space, electronic and information warfare, alongside emerging technologies such as Artificial Intelligence, drones, autonomous systems, quantum technology and hypersonic systems. He underlined the need for India to develop future-ready capabilities across these domains.
Highlighting India’s efforts to address strategic vulnerabilities in areas such as technology, energy, data and supply chains, the Raksha Mantri said that initiatives are underway to strengthen domestic capabilities in semiconductors and critical minerals, diversify energy sources and enhance energy security.
Emphasising the importance of self-reliance, the Raksha Mantri stated that 509 defence equipment, weapon systems and platforms have been included in five positive indigenisation lists issued by the Armed Forces. DPSUs have also released six indigenisation lists covering 5,417 items, including strategically important LRUs, subsystems, spares and components, of which around 3,300 have been indigenised.
He highlighted the growing participation of the private sector, startups and MSMEs in defence manufacturing. India’s defence ecosystem now includes DPSUs, private industries, more than 16,000 MSMEs, startups, universities and research institutions, with defence manufacturing capabilities emerging across several regions of the country. Investment proposals of about ₹70,000 crore have been received in the Uttar Pradesh and Tamil Nadu Defence Industrial Corridors, with around ₹10,000 crore already invested.
Raksha Mantri also highlighted the role of the SRIJAN and SRIJAN DEEP portals in strengthening indigenous defence supply chains. He stated that around 33,000 imported items have been identified for import substitution through SRIJAN, of which approximately 15,700 have been indigenised. SRIJAN DEEP has created a national digital database covering more than 40,000 manufacturers and sellers and lakhs of products.
Shri Rajnath Singh underlined the transformation of the DPSU and Ordnance Factory ecosystem, noting that corporatisation of the Ordnance Factories has enhanced their technology orientation, output and accountability. He stated that all 16 DPSUs are currently operating without losses and are increasing their focus on research, development and exports.
Highlighting the role of youth and innovation, he said that iDEX and iDEX-Prime are providing opportunities for startups and innovators to contribute to national security, while programmes such as ADITI are supporting advanced defence technologies. As of March 2026, 676 startups and innovators had been engaged through iDEX and 551 contracts signed. The Ministry has also approved procurement worth more than ₹2,400 crore from startups/MSMEs and development projects worth over ₹1,500 crore.
A significant announcement was the decision to transfer DRDO-developed technologies for conventional missile systems to eligible Indian industries, enabling qualifying private companies to undertake production. Shri Rajnath Singh said the move would strengthen the preparedness of the Armed Forces and facilitate timely delivery of missiles. He added that DRDO is increasingly being positioned to focus on research and development while industry assumes a greater role in production.
Raksha Mantri concluded that India’s objective is to build indigenous capabilities across the entire defence spectrum—from individual components to complete weapon systems—and to develop technologies domestically rather than remain dependent on imports. He stressed that this approach is aimed at strengthening strategic autonomy, defence preparedness and a resilient indigenous defence-industrial ecosystem.
