Global demand for explosives, ammunition leads to record defence exports
By Manu Pubby, ET Bureau
Last Updated: Apr 02, 2025, 12:46:00 AM IST
Synopsis
Indian defence exports have hit a record ₹23,622 crore in 2024-25 driven by high global demand for explosives and ammunition amidst conflicts in Europe and West Asia. The capacity is fully booked for years, with significant contributions from state-owned units and a rise in private sector manufacturing. The number of defence exporters has grown by 17.4%.
A surge in global demand for explosives and ammunition, fed by ongoing conflicts in Europe and West Asia, has resulted in record Indian defence exports, with the figure crossing ₹23,622 crore in 2024-25.
Defence exports, which have been actively promoted by the government over the past decade, grew at over 12%, with strong demand for Indian manufactured explosives like TNT, RDX and HMX in the global market. Sources said that most Indian explosives and ammunition manufacturing capacity has been fully booked for the next three years, with at least five more plants coming up within the private sector in the coming months.
State-owned defence public sector units have recorded a 42.8% surge in exports, reaching a high of ₹8,389 crore in the financial year. A large part of these too are for explosives and parts for ammunition, particularly for artillery which is in big demand in Europe. Reflecting the growing number of defence manufacturing companies in India, the total number of exporters has also grown by 17.4% in the last year.
Global demand for explosives, ammunition leads to record defence exports