New Delhi, 24 October (H.S.): Changing global security dynamics and Europe’s growing military requirements have opened up significant opportunities for India’s defence industry. Since the outbreak of the Russia–Ukraine war, India’s exports of ammunition and related products to selected European countries have increased by more than 1,600 per cent. The surge has made India the second-largest supplier of these products to 13 countries in Eastern and Central Europe, behind South Korea. Before the war, India ranked 28th among suppliers to these markets.
According to a Bloomberg report, Indian companies exported ammunition and related products worth at least $872 million to European countries during the four years following the outbreak of the Russia–Ukraine war. In the preceding four-year period, exports of these products amounted to approximately $49.2 million. A comparison of the two periods highlights the sharp expansion in trade. These figures relate to specific categories of ammunition and associated products, rather than India’s overall defence exports.
The prolonged Russia–Ukraine conflict has been a major factor driving demand for Indian products in Europe. The war has compelled several European countries to replenish their military inventories and strengthen their defence preparedness. Some countries in the region have also supplied weapons and ammunition to Ukraine, placing additional pressure on their own stockpiles and creating opportunities for procurement from manufacturers in other countries.
According to the report, Indian exports to Europe include artillery shells, mortar ammunition, other ammunition and explosives. These products play an important role in military operations. Demand has increased across several Eastern and Central European countries, including Poland, Romania, Bulgaria, Croatia and the Czech Republic. The market is significant for Indian defence manufacturers because it offers opportunities to secure overseas contracts in addition to domestic orders.
The increase in ammunition exports comes alongside a record performance in India’s overall defence exports. According to Ministry of Defence figures, the country’s defence exports reached Rs 38,424 crore in the financial year 2025–26, compared with Rs 23,622 crore in 2024–25. This represented a year-on-year increase of 62.66 per cent. During the financial year, India supplied defence equipment to more than 80 countries.
Both public-sector and private-sector companies contributed to the export growth. In 2025–26, defence public-sector undertakings (DPSUs) accounted for exports worth Rs 21,071 crore, while private companies contributed Rs 17,353 crore. Exports by public-sector defence companies rose by 151 per cent compared with the previous financial year, while private-sector exports increased by 14 per cent. The figures point to expanding manufacturing capabilities and greater opportunities for Indian defence companies in international markets.
Munitions India Limited plays an important role in the production of ammunition. The company was established in 2021 following the restructuring of the erstwhile Ordnance Factory Board (OFB). Under the reorganisation, the board’s 41 production units were transferred to seven separate government-owned defence companies. The reform was intended to improve operational efficiency, strengthen accountability and encourage greater competitiveness in defence manufacturing. Since then, private-sector participation in the industry has also expanded.
The Bloomberg report notes that the Indian government’s ‘Make in India’ initiative seeks to boost domestic defence production and reduce dependence on foreign suppliers, while encouraging Indian manufacturers to strengthen their position in international markets. Rising overseas demand could help manufacturers utilise production capacity more efficiently, attract fresh investment and expand their supply chains.
The export figures indicate the Indian defence industry’s growing international presence. However, sustaining the rapid growth will require manufacturers to ensure timely deliveries, maintain consistent quality and comply with the regulatory requirements of destination markets. Europe’s rising demand presents a significant opportunity for India’s defence manufacturing sector, but the long-term benefits will depend on the country’s ability to strengthen its production capacity and maintain its reputation as a reliable supplier in the global market.
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Hindusthan Samachar / Jun Sarkar
