Defence & Security

BRO has been building strategic border roads since 1960. The pace accelerated noticeably post-2020 (Galwan clashes) with additional funding and faster approvals. Key milestones: Atal Tunnel (9.02 km, world's longest highway tunnel above 10,000 ft, Oct 2020), Sela Tunnel (Arunachal Pradesh, 2024). China's extensive road/rail build-up on its LAC side has accelerated India's investment. 2004 figure is an approximate based on BRO Annual Reports. Source ↗

Capital expenditure covers procurement of weapons, aircraft, ships, and equipment (not salaries or operations). Revenue expenditure is roughly 2× capital. Capital budget grew steadily from 2004; acceleration post-2020 driven by Atmanirbhar Bharat push. India's defence budget as % of GDP has stayed near 2%. Import dependency remains ~60% by value despite indigenisation drives. Delays in large procurement programmes (fighter jets, submarines) are a recurring concern. Source ↗

Defence exports were negligible before 2014 (~₹150–700 Cr/year). The Atmanirbhar Bharat push (2020), positive indigenisation lists, and iDEX startup programme drove the acceleration. India now exports to 85+ countries. Private sector accounts for ~20% of domestic defence production. The ₹1.75 lakh crore domestic production target for FY2024-25 was largely met. After-sales service and quality certification remain challenges for scaling exports further. Source ↗

The Positive Indigenisation Lists (4 lists: 2020, 2021, 2022, 2023) ban import of specified defence items, mandating procurement only from Indian manufacturers. 509 items as of June 2024 cover: artillery guns, assault rifles, helicopters, corvettes, submarines, sonar systems, transport aircraft, and ammunition. Aim: Atmanirbhar Bharat in defence. Domestic defence production crossed ₹1.27 lakh crore in FY2024. Concerns: timelines for development of some items are stretched; quality certification and supply chain depth need improvement. Source ↗