Govt clears transfer of DRDO’s conventional missile technologies to private domestic industry

The Centre's push for self-reliance in defence manufacturing received a major boost on Tuesday after the Ministry of Defence (MoD) approved the transfer of all DRDO-developed conventional missile technologies to Indian industry for local production. 

Under the move, Indian private companies will compete for the right to receive the technologies, with the selected firms designated as development-cum-production partners. The initiative is understood to exclude nuclear-capable strategic missile systems, including the Agni series. 

Defence Minister Rajnath Singh has approved the transfer of DRDO-developed technologies for all conventional missile systems to Indian defence companies for domestic production. 

“In a significant step towards achieving the vision of Aatmanirbharta in defence, Raksha Mantri Shri @rajnathsingh has approved the transfer of DRDO-developed technologies of all conventional missile systems to Indian industries for production within the country,” the Ministry of Defence said in a post on X. 

Singh said, "The provision will enable successful transition of missile system development to industrial production, reflecting the continued efforts of DRDO to leverage the capabilities of the Indian industry for the development and manufacture of advanced defence systems. The objective is to enhance domestic manufacturing capabilities, strengthen the defence industrial base and create opportunities for the participation of Indian MSMEs and other technology partners in the supply chain."

Move aimed at reducing import dependence 

The decision comes as the government seeks to reduce India’s dependence on defence imports, including from Russia, while building a stronger domestic defence manufacturing base. 

The transfer of technology (ToT) is expected to expand the participation of Indian companies in the defence ecosystem and enable the transition of missile systems developed by DRDO from research and development to industrial-scale production. 

According to the ministry, the ToT will allow Indian companies to undertake indigenous production subject to applicable qualifications, certifications and regulatory requirements. 

Greater role for MSMEs and private sector 

The initiative is also expected to create opportunities for Indian micro, small and medium enterprises (MSMEs) and other technology partners to participate in the missile systems supply chain. 

By opening DRDO-developed technologies to domestic industry, the government aims to strengthen manufacturing capabilities, increase domestic value addition and deepen private-sector participation in defence production. 

DRDO to support technology absorption 

The provision is intended to facilitate the transition of missile system development from the laboratory to industrial production, leveraging the capabilities of Indian industry in the manufacture of advanced defence systems. 

DRDO will work closely with Indian companies to facilitate the transfer and absorption of the technologies. The broader objective is to strengthen India’s defence industrial base, enhance operational capabilities and support the country’s Aatmanirbhar Bharat push in defence. The initiative is also expected to reduce import dependence and increase domestic value addition across the defence manufacturing supply chain.