India’s Defence Ministry aims to double the country’s Defence Public Sector Undertakings’ (DPSU) research and development (R&D) spending over the next five years, totalling an estimated Rs 32,766 crore during that period. This is in the context of mastering new technology for indigenous military hardware, including planes, tanks, helicopters, missiles, artillery guns, warships, and sensors and radars. The move is part of a larger plan to underscore the significance of indigenous technology, exports, and capabilities towards self-reliance in the production of defence equipment.
Over the last 10 years, 16 DSUSs have invested Rs 30,952 crore in R&D and are now developing a new R&D roadmap for the next five years to augment enhanceorts further. The thrust is now percolating down to all DPSUs, including the seven new ones created as part of the corporatization of the Ordnance Factory Board and defence shipyards, which propose to make substantial R&D investments.
The Ministry of Defence declared 2025 to be the “Year of Reforms,” aimed at increasing R&D investment and the workforce. Defence Minister Rajnath Singh reviewed the performance and R&D plans of the DPSUs. The ministry will also discuss energy-saving practices among DPSUs in a renewable energy report titled “Swayam,” in addition to technological advancements.
In FY 2024-25, DPSUs recorded a combined turnover of Rs 1.08 lakh crore, with a profitable profit after tax (PAT) of Rs 20,021 crore, which indicates strong financial growth and an impressive 51.3% growth in exports compared to the previous year. The event also showcases the success of various DPSUs and the signing of important Memoranda of Understanding (MoUs). This initiative demonstrates India’s growing commitment to developing its own defence equipment. The goal is to provide its armed forces with access to the latest technology, significantly increase defence exports, and enhance the research and development culture within its public sector defence companies.