As Rajnath Singh leads the annual DPSU review, India’s defence sector eyes a bold leap in R&D, innovation, and exports under the ‘Year of Reforms’.
According to the Ministry of Defence (MoD), the review aligns with Singh’s declaration of 2025 as the ‘Year of Reforms’, aimed at boosting technological advancement, exports, and indigenisation in the defence sector. He has urged DPSUs to scale up investment and manpower in research and development (R&D) to strengthen India’s defence capabilities.
Meanwhile, all DPSUs have outlined five-year R&D roadmaps. Over the past decade, these entities collectively invested ₹309.52 billion in R&D. The momentum is now set to increase, with projected spending of ₹327.66 billion over the next five years.
While earlier investments were led by major players such as Hindustan Aeronautics Limited (HAL), Bharat Electronics Limited, and Bharat Dynamics Limited, the focus is now expanding to newer corporations.
Seven DPSUs created from the former Ordnance Factory Board are expected to contribute over ₹30 billion, while defence shipyards plan to invest more than ₹13 billion.
During the event, the Ministry will release a compilation of R&D achievements from the past decade and outline plans for the next phase. HAL’s new R&D Manual, designed to ensure greater flexibility, speed, and accountability in innovation projects, will also be launched.
A special report on renewable energy, titled ‘Swayam’, will be unveiled; the first such effort to document energy efficiency initiatives across all 16 DPSUs under the Department of Defence Production.
DPSUs recorded a strong performance in FY 2024–25, with turnover increasing 15.4% to ₹1.08 trillion and profit after tax rising 19.5% to ₹200.21 billion. Exports also surged by 51% year-on-year. The event will include recognition of standout achievements and the signing of key memoranda of understanding.
