The Defence Research and Development Organisation (DRDO) has reaffirmed its commitment to empowering micro, small, and medium enterprises (MSMEs) as key players in India’s defence production ecosystem. This pledge aligns with the government’s Aatmanirbhar Bharat vision, which seeks to foster self-reliance in defence manufacturing. The DRDO’s Defence Technology and Test Centre (DTTC) in Lucknow hosted a conclave at its Amausi Campus, bringing together over 100 representatives from MSMEs, startups, and the Laghu Udhyog Bharti. The event focused on skill development, funding for research and development (R&D), technical consultancy, and technology transfer—critical areas for advancing the Uttar Pradesh Defence Industrial Corridor.
In his inaugural address, DRDO Chairman Dr. Samir V. Kamat highlighted the DTTC as a visionary initiative of Defence Minister Rajnath Singh, emphasizing its role in fostering industry growth. He urged MSMEs to seize the opportunity to engage in defence R&D, citing the availability of industry-centric policies and technologies tailored to their needs. The Defence Minister commended DRDO and MSMEs for organising the conclave, acknowledging their pivotal role in realising Prime Minister Narendra Modi’s vision of a self-reliant India.
The conclave featured prominent attendees, including DG Naval Systems & Materials R.V. Hara Prasad, DG Technology Management L.C. Mangal, and DG Human Resources Mayank Dwivedi. Their presence underscored the strategic importance of collaboration between the defence establishment and private sector innovators.
India’s defence production has surged since the launch of the “Make in India” initiative, reaching a record Rs 1.27 lakh crore in FY 2023-24, with defence exports hitting an all-time high of Rs 23,622 crore in FY 2024-25. This remarkable growth reflects a deliberate shift from dependency on foreign suppliers to a robust indigenous manufacturing base, reinforcing India’s military strength and economic resilience.
A cornerstone of this transformation is the Innovations for Defence Excellence (iDEX) initiative, launched in April 2018. iDEX has cultivated a dynamic ecosystem for defence and aerospace innovation, engaging MSMEs, startups, individual innovators, R&D institutes, and academia. Through grants of up to Rs 1.5 crore, iDEX has spurred the development of cutting-edge technologies. For 2025-26, Rs 449.62 crore has been allocated to iDEX, including its sub-scheme Acing Development of Innovative Technologies with iDEX (ADITI), to further bolster self-reliance in defence technology.
As of February 2025, iDEX has opened 549 problem statements, involving 619 startups and MSMEs, with 430 contracts signed. The ADITI scheme, launched recently, supports critical and strategic technologies such as satellite communication, advanced cyber technology, autonomous weapons, semiconductors, artificial intelligence, quantum technology, nuclear technologies, and underwater surveillance. Under ADITI, innovators can receive grants of up to Rs 25 crore.
The Ministry of Defence has further demonstrated its commitment by approving the procurement of 43 items worth over Rs 2,400 crore from iDEX startups and MSMEs for the Armed Forces. Additionally, projects worth over Rs 1,500 crore have been greenlit for development. These initiatives underscore a concerted effort to integrate MSMEs and startups into the defence supply chain, fostering innovation and economic growth.
As India continues to strengthen its defence capabilities, the collaboration between DRDO, MSMEs, and startups will play a pivotal role in shaping the future of the country’s defence industry. By nurturing a culture of innovation and self-reliance, India is not only securing its strategic interests but also positioning itself as a global leader in defence technology.