Center relaxes norms for defense exports, licences

The ministry says the moves will help Indian companies tap into international markets faster. File image for representation. | Photo credit: The Hindu

The Ministry of Defense has simplified export and licensing norms to help Indian defense manufacturers enter global markets faster.

Under the revised Defense Export Standard Operating Procedure (SOP), stakeholder consultations (concerned ministries and government agencies) have been waived for exports of non-lethal defense goods to most destinations. However, sensitive countries will continue to be subject to safeguards. The requirement has also been removed to export all items for international tenders and exhibitions, allowing Indian companies to participate in overseas opportunities more quickly.

One time approval

The Ministry of Defense Production has also revamped the Open General Export License (OGEL) framework, which gives eligible exporters permanent, one-time permission to self-build export licenses for multiple consignments of specified defense industry items without having to apply for separate approval for each consignment.

Three existing OGEL SOPs covering major platforms and equipment, parts and components and intra-company technology transfer have been merged into a single framework.

The validity of the OGEL was increased from two to three years, reducing the frequency of renewals and related compliance requirements. Its coverage has also expanded from 41 to all countries, except negative and sensitive countries and countries subject to UN Security Council sanctions or arms embargoes.

More items

A new provision has been introduced for Indian companies having long-term contracts or agreements with Foreign Original Equipment Manufacturers (FOEMs). OGEL may be granted for eligible items for a specific FOEM, valid in accordance with the underlying contract or agreement, subject to prescribed conditions.

The range of items eligible for export under OGEL has also expanded. The revised framework allows the export of specified parts and components of small arms and protective equipment for civilian end-uses, thereby expanding the scope for legitimate international trade.

The reforms aim to reduce routine procedural requirements while maintaining safeguards for sensitive items, technologies and destinations. The ministry said the measures will particularly benefit India’s defense industry manufacturers, including micro, small and medium enterprises (MSMEs), by helping them respond more quickly to international tenders and exhibitions and by reducing re-authorization requirements.

The measures come amid record growth in India’s defense production and exports. Defense production touched an all-time high of ₹1.78 crore in 2025-26, while exports touched a record ₹38,424 crore during the financial year.

Published – 28 Aug 2026 23:10 IST