India is seeking to turn cost competitiveness into a major advantage in the global defence market, with Defence Secretary Rajesh Singh saying Indian missiles can be offered at almost one-fourth of the price charged by foreign original equipment manufacturers.
Singh made the remarks at the 13th PAFI Annual Forum 2026 panel discussion on building India’s competitive advantage. He identified affordability, technological capability and a growing manufacturing base as key strengths supporting the country’s expanding defence exports.
“The most well-known” Indian export product is the BrahMos cruise missile, Singh said, adding that the system is highly sought after and is being sold, or is in the process of being sold, to several Southeast Asian countries. He also pointed to increasing exports of artillery systems, mounted gun systems and privately manufactured products based on Defence Research and Development Organisation (DRDO) technology.
Singh said there was also growing international interest in the Akash surface-to-air missile system. The weapon, developed by DRDO and produced with participation from Indian industry, is designed to provide air defence against aircraft, helicopters and selected aerial threats. Its potential export appeal lies in the combination of indigenous technology, relatively low acquisition costs and the availability of domestic support.
India’s defence exports reached ₹38,424 crore in the financial year 2025-26, according to figures cited by the Defence Ministry. The latest total represents a sharp increase from ₹23,622 crore in the previous financial year. Defence Public Sector Undertakings contributed ₹21,071 crore, while private companies accounted for ₹17,353 crore. Indian defence products were exported to more than 80 countries, with the exporter base expanding to 145 firms.
Singh said the government expects defence exports to reach ₹50,000 crore within the next two years. He described the target as achievable as more Indian platforms enter service and demonstrate their performance to overseas customers.
Singh also linked exports to broader strategic and economic objectives. Defence sales can strengthen the military capabilities of friendly countries while creating long-term relationships through the supply of spare parts, maintenance, training and technical support. Such arrangements can generate foreign exchange, create skilled employment and encourage domestic companies to invest in research and production capacity.
However, the price advantage alone may not guarantee sustained success in international markets. Buyers typically assess a weapon’s accuracy, reliability, survivability, delivery schedule, interoperability and lifecycle support. They also consider whether the supplier can provide upgrades and spare parts for decades after the initial contract.
India’s ability to compete will therefore depend on maintaining quality while increasing production volumes. Defence companies must be able to meet export orders without compromising the requirements of the Indian armed forces. A wider supplier network, predictable procurement policies and faster testing and certification could help manufacturers respond more quickly to overseas demand.
Singh also referred to the Advanced Medium Combat Aircraft programme, saying proposals were being prepared by three shortlisted Indian companies. The project reflects the government’s broader effort to expand private-sector participation in advanced defence manufacturing.
The government has further streamlined export administration through a revamped Defence Exim portal. The system provides end-to-end application processing, automated company verification, simplified registration, real-time tracking and secure payment integration. Officials say the changes are intended to improve transparency, regulatory compliance and ease of doing business.
India’s export push is part of its wider Aatmanirbhar Bharat and Make in India strategies. If the country can combine competitive prices with dependable performance and long-term customer support, missiles and other defence systems could become important drivers of its emergence as a global arms supplier.
