Rajnath Singh Reviews DPSUs, Four Units Granted Miniratna Status; R&D Spend to Double

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Rajnath Singh opens DPSU Bhawan
Defence Minister Rajnath Singh inaugurated DPSU Bhawan at World Trade Centre in New Delhi

Defence Minister Rajnath Singh on Monday reviewed the performance of all 16 Defence Public Sector Undertakings (DPSUs) at the newly inaugurated DPSU Bhawan at World trade Centre in Naoroji Nagar, New Delhi, calling for greater innovation, self-reliance and global competitiveness in India’s defence manufacturing ecosystem.

At the meeting, four DPSUs, Munitions India Limited (MIL), Armoured Vehicles Nigam Limited (AVNL), India Optel Limited (IOL) and Hindustan Shipyard Limited (HSL), were felicitated on being granted Miniratna (Category-I) status, recognising their growing efficiency, financial autonomy and contribution to the defence sector.

Singh lauded the DPSUs for their role in advancing Atmanirbharta in defence. “All our 16 DPSUs are serving as strong pillars of the country’s self-reliance. Their excellent performance in operations like Operation Sindoor testifies to the reliability and capability of our indigenous platforms,” he said.

The Minister noted that the transformation of the erstwhile Ordnance Factory Board into seven independent DPSUs in 2021 had brought about greater functional autonomy, competitiveness and innovation. The new Miniratna status, he said, would enable the four companies to pursue capacity expansion, modernisation and new joint ventures in both public and private sectors.

Highlighting recent achievements, Singh said India recorded defence production worth Rs 1.51 lakh crore in 2024–25, with DPSUs contributing 71.6% of the total. Defence exports touched Rs 6,695 crore, signalling “growing global respect for ‘Made in India’ products.”

He urged the DPSUs to maintain momentum through accelerated indigenisation, stronger R&D, improved product quality and timely deliveries. Each undertaking, he directed, must define clear indigenisation and R&D roadmaps with measurable milestones before the next review.

“Wherever special intervention or assistance is required, the government will extend it promptly,” he assured.

In a show of inter-DPSU collaboration, three major MoUs were exchanged at the event. HAL and Bharat Dynamics Limited (BDL) signed agreements with Yantra India Limited (YIL) to support modernisation and establish a 10,000-ton Forging Press facility, reducing import dependence for aluminium alloys critical to defence and aerospace manufacturing. HAL committed an interest-free advance of Rs 435 crore, while BDL will provide a sustained workload of up to 3,000 metric tonnes over a period of 10 years. Another MoU was signed to establish a Metal Bank at MIDHANI, ensuring the uninterrupted supply of critical raw materials for defence projects.

The newly inaugurated DPSU Bhawan, developed by the Department of Defence Production, will serve as a collaborative hub for all 16 DPSUs. The facility houses modern conference halls, simulation facilities and an exhibition area to showcase India’s defence manufacturing prowess.

The Defence Ministry also announced a major push for innovation, with plans to double R&D spending to Rs 32,766 crore over the next five years, compared to Rs 30,952 crore invested in the past decade. All DPSUs have prepared fresh five-year R&D roadmaps, focusing on new technologies for indigenous military platforms, including aircraft, tanks, missiles, artillery systems, sensors, and warships.

Declaring 2025 as the ‘Year of Reforms’, the Ministry stated that the move underscores its emphasis on expanding exports, enhancing indigenisation, and developing cutting-edge technologies through increased investment and dedicated research and development (R&D) manpower.

Team BharatShakti

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