New Delhi, September 1. Defence Minister Rajnath Singh has called on India’s 16 defence public sector undertakings (DPSUs) to accelerate indigenisation, reduce import dependence, strengthen research and development and expand defence exports, while transforming themselves into globally competitive enterprises.
Singh reviewed the annual performance of all 16 DPSUs in New Delhi on September 1 in the presence of Minister of State for Defence Sanjay Seth. Secretary (Defence Production) Sanjeev Kumar and the chairmen and managing directors of the DPSUs briefed the ministers on their performance, major achievements and future plans.
The review covered progress in expanding indigenous production and manufacturing capabilities, developing advanced defence technologies, increasing exports, strengthening supply chains and implementing major projects.
Singh commended the DPSUs for their contribution to building India’s defence manufacturing ecosystem and advancing the ‘Aatmanirbhar Bharat’ (Self-reliant India) initiative. He said all 16 enterprises had demonstrated progress across multiple sectors and deserved recognition for their continued performance.
India’s defence production reached approximately ₹1.8 lakh crore (about $19 billion) in 2025-26, with DPSUs accounting for around ₹1.29 lakh crore, he noted. Singh described the figures as evidence of the country’s growing capabilities and progress towards establishing a self-reliant defence industrial base.
Focus on delivery, exports and technology leadership
The Defence Minister urged DPSUs to improve the timeliness of project deliveries, reduce reliance on imported equipment and components, convert their R&D investments into technology leadership and take defence exports to new levels.
He also called for greater productivity through increased capital expenditure, stronger support for startups and MSMEs and sustained efforts to bring product quality up to international standards.
Singh stressed that the performance of DPSUs had implications extending beyond industrial and economic considerations, making their efficiency and capabilities a matter of national security.
Recent conflicts, he said, had demonstrated the importance of assured supply chains, surge production capacity, availability of critical spares and rapid repair capabilities, particularly during prolonged military operations.
R&D must deliver operational technologies
While welcoming increased investment in research and development by DPSUs, Singh said the effectiveness of such spending should not be measured merely by the amount invested.
Instead, he called for greater emphasis on new technologies, intellectual property, prototypes and operationally deployable products.
India, he said, should identify niche areas of technology where it could progress beyond self-reliance and establish itself as a global leader.
Singh also reiterated the need for DPSUs to raise the quality of their products to international benchmarks, particularly as India seeks to expand its presence in overseas defence markets.
Under the ‘Make in India, Make for the World’ approach, he urged the DPSUs to evolve into globally competitive defence companies capable of developing, manufacturing and exporting advanced systems.
Seven DPSUs present ₹3,951 crore dividend
During the meeting, the CMDs of seven DPSUs – Hindustan Aeronautics Limited (HAL), Mazagon Dock Shipbuilders Limited (MDL), Bharat Electronics Limited (BEL), Bharat Dynamics Limited (BDL), Garden Reach Shipbuilders & Engineers (GRSE), BEML and Mishra Dhatu Nigam Limited (MIDHANI) – presented dividend cheques totalling ₹3,951 crore to the Defence Minister.
The amount represents dividends payable to the government on its equity holdings in the seven companies for the financial year 2025-26.
Four publications released
Singh also released four publications highlighting the ongoing efforts of the DPSUs to promote indigenisation, innovation and future-oriented defence capabilities.
The first, Aatmanirbhar DPSU – A Journey of DPSUs Towards Self-Reliance, outlines plans for indigenising equipment and components, developing new products and adopting new manufacturing processes over the next five years.
The second publication, DISHA, focuses on interaction between industry and students, with the objective of giving young people hands-on exposure to defence technologies and modern manufacturing processes.
The other two publications focus on Hindustan Aeronautics Limited. The Modernisation Roadmap of HAL sets out the company’s plans to become a future-ready aerospace enterprise, while the Indigenisation Roadmap of HAL outlines efforts to achieve greater self-reliance in the aerospace and defence sectors.
The publications, the Defence Ministry said, highlight the broader transformation of India’s public sector defence industry towards self-reliance, indigenous technology development, innovation, modern manufacturing and globally competitive defence capabilities.
