Indian Defence Stocks Rally on Policy Tailwinds and Self-Reliance Push
Defence equities surged in early trading as India's Defence Procurement Manual (DPM) 2025 fueled Optimism for domestic production. Hindustan Aeronautics Ltd (HAL), Cochin Shipyard, and Astra Micro Systems led gains, climbing over 2% on the Nifty Defence index.
The policy overhaul aims to streamline procurement while accelerating private sector participation in defence manufacturing. Rajnath Singh's ministry emphasized indigenization, adding new provisions to harness MSME and startup innovation for military supply chains.
Market momentum reflects growing investor confidence in India's defence industrial strategy. The manual specifically targets operational readiness through local sourcing, creating Ripple effects across aerospace and shipbuilding stocks.
