New Fighter Lines and Wider Private Participation Form India’s Defence Manufacturing Plan India is looking to diversify its fighter aircraft production capacity by establishing more than one manufacturing line. Defence Secretary Rajesh Kumar Singh said that dependence on a single production facility could expose the country to delays or capacity limitations. According to him, India should work toward maintaining two fighter production lines and could eventually operate three. The government is already reviewing proposals submitted by three shortlisted firms for the AMCA programme, which is expected to increase the role of private industry in advanced military aircraft manufacturing. Missile production is another area where the government wants greater industrial diversity. Rather than depending on one public-sector undertaking, India is aiming for a broader base of approximately six missile producers, supported by hundreds of drone manufacturers. More private companies are also being encouraged to enter ammunition and propellant production. Singh said India is relatively self-reliant in land warfare equipment, artillery, small arms and military vehicles, but still has gaps in certain aerospace and advanced technology areas. As a result, future foreign acquisitions are expected to contain meaningful Make-in-India elements. Fighter aircraft programmes and the C-295 transport aircraft were highlighted as examples of this approach. The government wants approximately 75% of annual defence capital expenditure to be directed toward domestic procurement. The 2026–27 capital allocation is reported at ₹2.19 lakh crore. India’s defence manufacturing sector has grown considerably, with turnover increasing from ₹46,000 crore in 2014 to nearly ₹1.8 lakh crore today. Exports have similarly expanded from ₹686 crore in 2013–14 to ₹38,424 crore in 2025–26. Defence export orders have reached approximately ₹38,000 crore, while the official 2030 objective is ₹50,000 crore. Singh said increased overseas interest could bring the target forward to 2028 or 2029.
