Now private sector can make missiles

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In a landmark move towards made-in-India weapons programme, the Ministry of Defence (MoD) announced decision to allow all DRDO-tech for making missiles to be used by private sector players.

In a release issued on Tuesday the 25th of August 2026 by the MoD stated that Defence Minister Rajnath Singh has approved the transfer of all conventional missile technologies developed by the Defence Research and Development Organisation (DRDO) to Indian industry for production.

This decision marks the first time private players and MSMEs will join traditional defence PSUs like Bharat Dynamics Ltd (BDL) and Bharat Electronics Ltd (BEL) in manufacturing advanced missile systems.

Companies such as Tata Advanced Systems, Larsen & Toubro, Adani Defence, Bharat Forge, and ICOMM are expected to play key roles in producing systems ranging from Akash and Astra to Pralay and Rudram.

Officials say the initiative will accelerate the transition from laboratory development to industrial-scale production, ensuring faster delivery of missile systems to the armed forces.

It also aims to reduce import dependence, strengthen India’s defence industrial base, and open new opportunities for exports.

By widening participation across the defence ecosystem, the move is set to deepen supply chains, empower MSMEs, and create a competitive environment that enhances both capability and efficiency.

DRDO has pledged to work closely with industry partners to ensure smooth technology absorption and maintain high standards of quality and security.

DRDO remains committed to working closely with Indian industry to facilitate the transfer and absorption of advanced defence technologies and to further strengthen the country’s indigenous defence capabilities.

Historically, DRDO designed, tested, and often controlled production lines or routed manufacturing through public sector units (DPSUs).

Under this policy shift (part of the broader DRDO 2.0 restructuring framework), DRDO focuses on core next-gen research (AI, hypersonic, directed energy) while offloading conventional production to private and public domestic defence partners.

Key Companies Likely to Benefit

Company Role in Defence Likely Benefit from Missile Tech Transfer
Bharat Dynamics Ltd (BDL) Traditional missile manufacturer for DRDO Will continue production but now faces competition; may partner with private firms.
Bharat Electronics Ltd (BEL) Electronics & radar systems Likely to supply guidance, electronics, and subsystems for missiles.
Tata Advanced Systems Aerospace & defence manufacturing Expected to integrate missile tech into aircraft and UAV platforms.
Larsen & Toubro (L&T Defence) Heavy engineering, artillery systems Could produce launchers, missile canisters, and integration platforms.
Adani Defence & Aerospace Emerging private player Selected as a development-cum-production partner for tactical missiles.
Bharat Forge Precision engineering, artillery Likely to contribute to missile casings, propulsion systems, and exports.
ICOMM Defence electronics & communications May handle missile guidance and communication subsystems.
Solar Defence & Aerospace Ltd New entrant Selected for tactical missile projects, expanding private participation.

  Missile Systems & Likely Industry Partners

Missile System Type Likely Industry Producers
Akash Surface-to-air missile Bharat Dynamics Ltd (BDL), BEL (radar/electronics), L&T (launchers), Tata Advanced Systems (integration)
Nag / HELINA Anti-tank guided missile BDL (assembly), Bharat Forge (propulsion/casing), Tata Advanced Systems (airborne integration)
Pralay Short-range ballistic missile L&T (launch systems), Adani Defence (production partner), Bharat Forge (structural components)
Rudram series Anti-radiation missiles BEL (guidance electronics), Tata Advanced Systems (aircraft integration), ICOMM (communication subsystems)
BrahMos (joint venture) Supersonic cruise missile BrahMos Aerospace (JV), but private firms may supply subsystems (L&T, Godrej Aerospace, MSMEs)
Astra Air-to-air missile BDL (assembly), Tata Advanced Systems (fighter integration), BEL (electronics)
Pinaka rockets Multi-barrel rocket system L&T, Solar Industries, MSMEs for propellant and casings
Man-portable ATGMs Shoulder-fired anti-tank missiles BDL, Adani Defence, MSMEs for optics and launchers

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