Defence officials noted that only Troop Comforts Limited continues to lag behind, though its performance is expected to improve. Photo: https://troopcomfortslimited.co.in/
The corporatisation of the Ordnance Factory Board (OFB) into seven Defence Public Sector Undertakings (DPSUs) has delivered strong results, with record export orders worth nearly ₹3,500 crore secured in 2024-25, according to senior Defence Ministry officials.
Since October 2021, when 41 OFB units were reorganised into seven entities — Yantra India Limited (YIL), Munitions India Limited (MIL), Armoured Vehicles Nigam Limited (AVNL), Advanced Weapons and Equipment India Limited (AWE India), Troop Comforts Limited (TCL), India Optel Limited (IOL) and Gliders India Limited (GIL) — six of the companies have posted profits.
According to the Ministry of Defence (MoD), from a cumulative loss of ₹2,844 crore in 2019-20, the entities have turned around, reporting profits of ₹31 crore in 2021-22 and ₹625 crore in 2022-23. In 2024-25, profits stood at ₹625 crore alongside the surge in export orders. Defence officials noted that only Troop Comforts Limited continues to lag behind, though its performance is expected to improve.
Exports have also grown sharply, rising from just ₹81 crore in 2019-20 to ₹3,500 crore in 2024-25, reflecting India’s push for self-reliance in defence production. MIL has emerged as the best performer among the new companies, added sources in the MoD.
In recognition of their performance, Defence Minister Rajnath Singh in May accorded “Miniratna Category-I” status for MIL, AVNL and IOL. During review meetings, he has consistently urged DPSUs to reduce expenditure and channel more funds into research and development to meet future demand as well as export orders.
Officials stressed that the corporatisation process was carried out smoothly without labour unrest, as all stakeholders were kept on board to enhance efficiency and productivity.
The MoD has declared 2025 as the ‘Year of Reforms’. The declaration aims at modernisation of the Armed Forces into a technologically-advanced, combat-ready force capable of multi-domain integrated operations and gives impetus to the ongoing and future reforms.
Published – September 03, 2025 07:45 pm IST
