Big defence push: Rajnath Singh clears DRDO missile tech transfer to Indian firms

Defence Minister Rajnath Singh has approved the transfer of technology for all conventional missile systems developed by the Defence Research and Development Organisation (DRDO) to Indian defence companies for domestic production, the Ministry of Defence said on Tuesday.

The move is aimed at expanding indigenous missile manufacturing, reducing dependence on imports and giving more Indian companies, including micro, small and medium enterprises (MSMEs), a larger role in the defence supply chain.

Indian firms to manufacture DRDO missile systems

Under the new arrangement, eligible Indian companies will be able to manufacture conventional missile systems developed by DRDO, subject to the required qualifications, certifications and regulatory clearances.

The ministry said the move would help take missile systems from development to industrial-scale production while building a stronger domestic defence manufacturing base.

"The objective is to enhance domestic manufacturing capabilities, strengthen the defence industrial base and create opportunities for the participation of Indian MSMEs and other technology partners in the supply chain," the ministry said.

The decision is part of the government's broader Aatmanirbhar Bharat push in the defence sector. It also follows the opening up of the development and manufacturing of missiles, artillery shells, ammunition and ordnance to private companies.

Move comes amid regional security concerns

The technology-transfer decision comes as missile systems are increasingly being integrated with surveillance, communication and precision-strike capabilities in the region.

A July analysis by the Centre for Aerospace Power and Strategic Studies (CAPSS) had highlighted the expansion of Pakistan's space capabilities and its growing cooperation with China.

The analysis said Pakistan's Space & Upper Atmosphere Research Commission (SUPARCO) had launched six satellites in 16 months after years of relatively slow progress. It also noted efforts to build greater independent space-based surveillance capabilities and connect satellite intelligence with terrestrial communication networks.

Against this backdrop, greater domestic capacity to produce missile systems could help India scale up critical weapons manufacturing while reducing reliance on overseas suppliers.

Defence production reaches record high

The Ministry of Defence said the initiative would increase domestic value addition and support the expansion of India's defence manufacturing sector.

"DRDO remains committed to working closely with Indian industry to facilitate the transfer and absorption of advanced defence technologies and to further strengthen the country's indigenous defence capabilities," it said.

India's defence production reached a record ₹1.54 lakh crore in 2024-25, while defence exports stood at ₹23,622 crore, according to government data.

The government is targeting ₹1.75 lakh crore in defence production in the current fiscal year and ₹3 lakh crore by 2029.