Defence Minister Rajnath Singh held an annual performance review of 16 Defence Public Sector Undertakings (DPSUs) on September 1, 2026, in New Delhi. The meeting assessed how these state-owned defence manufacturers are contributing to India’s defence production capacity and self-reliance goals. The review brought together senior defence officials and the heads of all 16 DPSUs to discuss their achievements and future plans.
Key numbers and priorities
India’s total defence production in 2025-26 reached approximately Rs 1.8 lakh crore, of which DPSUs contributed Rs 1.29 lakh crore. During the event, seven major DPSUs—Hindustan Aeronautics Limited, Mazagon Dock Shipbuilders Limited, Bharat Electronics Limited, Bharat Dynamics Limited, Garden Reach Shipbuilders and Engineers Limited, BEML, and MIDHANI—handed over dividend cheques worth Rs 3,951 crore to the government for the financial year 2025-26.
The Defence Minister stressed several areas for improvement. DPSUs must prioritize on-time delivery of defence equipment, reduce dependence on imports, convert research and development investments into actual new technologies and products, expand defence exports, boost productivity through capital expansion, and match international quality standards. He also called for greater support to startups and small and medium enterprises within the defence sector.
The Defence Minister emphasized that DPSU progress is essential for national security, not merely industrial growth. He pointed out that recent global conflicts have shown how critical reliable supply chains, backup production capacity, spare parts availability, and the ability to maintain output during prolonged conflicts are for any nation.
Four publications were released during the event: a document on DPSU self-reliance and indigenisation targets for the coming five years; DISHA, a programme connecting defence industries with students; a modernization roadmap for Hindustan Aeronautics Limited; and an indigenisation roadmap for HAL focused on the aerospace and defence sectors.
What this means for you
If you work in or supply to defence manufacturing, DPSUs will face increased pressure to meet global quality standards and deliver on schedule. Students interested in aerospace, defence technology, or advanced manufacturing will have new opportunities through industry-student engagement programmes. Citizens can expect growing domestic production of defence equipment, potentially reducing India’s reliance on defence imports over time, though prices and timelines for defence procurement may shift as these organizations restructure and modernize.