India is on course to surpass its ₹50,000 crore defence exports target by 2028 — nearly two years ahead of the government's 2030 deadline — as global demand for Indian military hardware accelerates, Defence Secretary Rajesh Kumar Singh said on Friday, 25 September 2026, in New Delhi. The projection comes on the back of a record ₹38,424 crore in defence exports clocked in 2025-26, a staggering rise from just ₹686 crore in 2013-14.

Key Developments

'We've reached ₹38,000 crore in orders in the last year, and in the future we have a target of ₹50,000 crore by 2030, and my anticipation is that we'll achieve it possibly by 2028,' Singh said at a Public Affairs Forum of India (PAFI) conference. The remarks signal one of the most significant upward revisions in India's defence export planning in recent years.

The defence export surge — a more than 55-fold increase over roughly a decade — reflects a structural shift in India's approach to its defence industrial base, moving from near-total import dependence toward a position as a credible global supplier.

Cost Competitiveness and Missile Edge

Singh highlighted cost competitiveness as India's primary differentiator in global arms markets, singling out the missiles segment as particularly well-placed. 'Our USP really is that we can offer missiles at almost one-fourth of the price of what foreign OEMs (original equipment manufacturers) offer,' he said. He added that lower production costs make the missile segment an area of especially high export potential.

Beyond pricing, Singh pointed to growing buyer interest in artillery and mounted gun systems, as well as the Akash surface-to-air missile system. The BrahMos supersonic cruise missile — described by Singh as 'fairly coveted' — is being sold or is in the process of being sold to several Southeast Asian countries.

Expanding the Domestic Manufacturing Base

Singh outlined the government's intent to broaden India's defence manufacturing ecosystem well beyond its current footprint. He said India should have at least two, if not three, fighter aircraft production lines, around half a dozen missile producers, and hundreds of drone makers. The government is also opening up ammunition and propellant production to more private-sector companies to reduce dependence on a single public sector undertaking (PSU).

On the Advanced Medium Combat Aircraft (AMCA), Singh confirmed that proposals have been received from three shortlisted companies, indicating that larger platform development is gathering pace alongside export-oriented production.

Strategic and Economic Spillovers

Singh underscored that defence exports carry benefits beyond revenue. Exporting platforms creates longer-term strategic relationships with buyer nations through maintenance contracts, spare parts supply, and broader defence cooperation, he noted. The foreign exchange earnings and employment generated by defence manufacturing also contribute to broader macroeconomic stability, he added.

This comes amid India's sustained push under its Aatmanirbhar Bharat defence initiative, which has channelled private investment into sectors historically dominated by state-owned ordnance factories and defence PSUs. The PAFI address suggests the government is now confident enough in the pipeline to revise its timeline upward — a rare move in an industry known for delivery delays. Whether the ecosystem can scale fast enough to meet the revised 2028 target will depend heavily on how quickly new private manufacturers are operationalised and how large the BrahMos and Akash order books grow.