India’s defence manufacturing sector is experiencing enormous growth, with annual production increasing to a record of ₹1.5 lakh crore in the 2024-25 fiscal year. This surge can be seen because of high-value indigenous manufacturing projects, motivated by the government’s “Aatmanirbhar Bharat” (Make in India initiative)
Here is the list of mega defence projects driving this, ₹1.5 lakh crore manufacturing boom:
LCA Tejas Mk1A project
The Indian Ministry of Defence placed an order of 97 LCA Tejas Mk1A fighter aircraft, valued at approximately ₹62,730 crore. This is one of India’s flagship projects of the indigenous aerospace industry.
Hindustan Aeronautics Limited (HAL) is the primary contractor. However, it also involves other private sector companies, including Larsen & Toubro (L&T) and Tata Advanced Systems, for supplying major parts like wings, fins, and radars.
Light Combat Helicopter (LCH) “Prachand”
This development is to be equipped by both the Indian Army and the Indian Air Force. The government has booked 156 LCH “Prachand” helicopters at a valuation of ₹62,700 crore. 90 helicopters will be produced for the Indian Army and 66 for the Indian Air Force.
This manufacturing project is also given to Hindustan Aeronautics Limited (HAL).
Project 75(I) Submarine project
This is an important project as it would help to modernise the Indian Navy’s conventional submarine fleet. The project consists of manufacturing 6 next-generation conventional submarines equipped with Air-Independent Propulsion (AIP) systems, valued at ₹70,000 crore.
Public sector company Mazagon Dock Shipbuilders is leading the manufacturing department, collaborating with Germany’s ThyssenKrupp Marine Systems (TKMS) as the technology and design partner.
Project 17A (Nilgiri-class) Frigates
This project is already in its advance stage of manufacturing; several ships have already been launched and delivered. The project includes the construction of 7 advanced guided-missile stealth frigates; government spending on this project is approximately ₹21,800 crore.
Two companies have been assigned for this project; the construction is split between Mazagon Dock Shipbuilders and Garden Reach Shipbuilders & Engineers (GRSE).
