Corporatization of the Ordnance Factory Board (OFB)

What does it consist of?

In October 2021, the government restructured 41 Ordnance Factory Board units into seven Defence Public Sector Undertakings (DPSUs).

Result:

Financial recovery: from a total loss of ₹2,844 crore (2019-20) → ₹625 crore gain (2022-23 & 2024-25).

Exports jumped from ₹81 crore in 2019-20 to ₹3,500 crore by 2024-25.

MIL became the leading performer, with three DPSUs (MIL, AVNL, IOL) receiving Miniratna Category-I status.

Importance:

Bolsters self-sufficiency (Atmanirbhar Bharat) in military manufacturing.

Enhances Make in India and defense exports.

Enhances productivity, marketability, and research and development funding.

Lowers reliance on imports and promotes strategic independence.