India has emerged as the third-largest arms exporter to Europe, according to Defence Secretary Rajesh Kumar Singh. He spoke on 23 October 2026 at the KPMG Agrasar Bharat Manch 2026 in New Delhi. Notably, he linked the rise mainly to demand under the European Union’s ReArm Europe plan. Also, he credited the growth of India’s domestic defence manufacturing base.
What the Defence Secretary Said
He cited a Bloomberg report. Then he said, “suddenly over the last year, India became the third largest exporter of arms to Europe.” Moreover, he said India’s defence exports touched an all-time high of Rs 38,424 crore, or about 3.6 billion euros. In addition, India now exports defence equipment to more than 80 countries.
Ammunition Demand Behind the Rise
European countries are now replenishing stockpiles. So, they want standard ammunition, artillery shells, and large- and small-calibre ammunition. Besides, Indian firms supply helmets, bulletproof jackets and small arms. However, Singh said India would join European procurement “Not directly, but by setting up joint ventures in Europe.”
Record Exports in 2025-26
The Ministry of Defence reported exports of Rs 38,424 crore for 2025-26. That figure marked a 62.66% jump over Rs 23,622 crore in 2024-25. Interestingly, Defence PSUs contributed 54.84%, and private firms 45.16%.
India’s Defence Manufacturing Base
Earlier, about 16 public sector companies drove the sector. Today, around 840 large and medium private firms hold industrial licences. Also, nearly 17,000 small enterprises, including start-ups, now work in defence manufacturing.
About the ReArm Europe Plan
The European Commission presented the ReArm Europe Plan/Readiness 2030 in March 2025. It aims to leverage over 800 billion euros in defence spending. In particular, it includes a new 150-billion-euro loan instrument called SAFE for joint procurement.
Arms Exporter to Europe: Key Facts for Revision
- Rank: Third-largest arms exporter to Europe (cited from a Bloomberg report)
- Announced by: Defence Secretary Rajesh Kumar Singh, 23 October 2026, New Delhi
- Defence exports 2025-26: Rs 38,424 crore (about 3.6 billion euros), up 62.66%
- Main demand: Ammunition, artillery shells, small arms
- Industry base: 16 major PSUs, about 840 private firms, about 17,000 small enterprises
- EU driver: ReArm Europe Plan/Readiness 2030 (March 2025)
Why Arms Exporter to Europe Status Matters for UPSC and UKPSC
Notably, defence exports link Make in India with India-EU ties. So, remember the export figure, the DPSU-private split and the ReArm Europe driver. Also, link this trend with growing technology transfer to Indian private industry. For official updates, also visit the Ministry of Defence. Next, for a related story, read about DRDO missile technology transfer to private industry.
So, are you preparing for the UKPSC Upper PCS 2026 prelims? Then join our UKPSC 2026 Prelims Test Series for regular practice.