India’s Defence Exports Can Beat Rs 50,000 Crore Target by 2029, According to Govt; What is Driving This Growth, Who are Buying?

India’s defence exports have expanded sharply in recent years, with indigenous weapons systems becoming an important part of the country’s overseas defence sales. From BrahMos and Akash to Pinaka, platforms are widening India’s defence manufacturing and export footprint.

India has continued to strengthen its defence-export ecosystem in FY 2026-27 after recording a record ₹38,424 crore in defence exports in FY 2025-26. In August 2026, the Ministry of Defence simplified the Defence Export Standard Operating Procedure and Open General Export Licence framework to reduce procedural requirements and help Indian companies access international markets faster. The revised framework increased the validity of OGEL from two to three years and expanded its coverage, while retaining safeguards for sensitive destinations and items.

The government is targeting ₹50,000 crore in defence exports by 2029. Defence Minister Rajnath Singh said in August that India now has 145 defence exporters supplying products to more than 80 countries. The government has also set a broader objective of increasing domestic defence production to ₹3 lakh crore and exports to ₹50,000 crore ahead of schedule.

For FY 2026-27, the government has also allocated ₹7.85 lakh crore to defence, including ₹2.19 lakh crore under the capital head. Of the capital acquisition allocation, ₹1.39 lakh crore has been earmarked for procurement from domestic industries, supporting the manufacturing base that can feed both domestic requirements and export markets.

Defence Exports Hit Record High

According to the Ministry of Defence, India’s defence exports reached a record Rs 38,424 crore in FY2025-26, rising 62.66% from Rs 23,622 crore in the previous financial year. The government said exports now reach more than 80 countries, while the number of defence exporters increased to 145.

Defence production also touched an all-time high of Rs 1.78 lakh crore in FY2025-26, creating a larger base for Indian armed forces and international overseas customers.

BrahMos Leads Missile Exports

BrahMos is one of India’s major prominent defence export products. The supersonic cruise missile is jointly developed by India’s Defence Research and Development Organisation (DRDO) and Russia’s NPO Mashinostroyenia.

The Philippines and Vietnam have emerged as overseas customers, while Indonesia has also joined countries seeking the missile system. The growing interest has made BrahMos an example of India’s shift from importing major weapons systems towards exporting complex defence technology.

Akash Opens Air Defence Market

India’s export portfolio is not limited to offensive missile systems. The Akash Weapon System has opened another segment of the international overseas market for Indian defence equipment.

Developed by DRDO, Akash is a surface-to-air missile system designed to counter aerial threats, including aircraft, drones and cruise missiles. Armenia became its first foreign customer after signing an agreement in 2022, with deliveries beginning in 2024.

Pinaka Expands the Exports

The Pinaka multi-barrel rocket launcher has also become part of India’s growing export portfolio. Armenia signed a deal in 2022 for Pinaka systems, and the first consignment of the guided version was flagged off in January 2026.

The system is manufactured in India and is available in different variants, including guided and extended-range rockets. Its export demonstrates the widening range of indigenous systems finding overseas markets.

Southeast Asia Gains Importance

The Indo-Pacific has become an important destination for Indian defence exports. According to reports, Myanmar, the Philippines and Vietnam accounted for 70.1% of India’s defence exports during 2020-2025.

The expansion reflects demand for Indian-made systems as countries diversify suppliers. For India, the export push is linked to efforts to strengthen domestic defence production, increase private-sector participation and reduce dependence on imported military equipment.