The Government of India, through the Ministry of Defence, has granted Miniratna Category‑I status to Yantra India Limited (YIL), marking a significant milestone in the nation’s defence manufacturing sector. This recognition was approved by Defence Minister Rajnath Singh on February 2, 2026. The decision underlines YIL’s rapid transformation into a profit‑making defence Public Sector Undertaking (PSU) and aligns with the national vision of self‑reliance in defence production.
Yantra India Limited (YIL) is a key defence PSU under the Department of Defence Production. It was formed as part of a major restructuring exercise when the Ordnance Factory Board (OFB) was corporatised on October 1, 2021 into seven Defence PSUs. YIL is now one of the Schedule ‘A’ companies entrusted with manufacturing essential defence equipment and technologies.
Miniratna Category‑I status is an esteemed classification given to Central Public Sector Enterprises (CPSEs) that have demonstrated consistent profit, strong financial performance and operational excellence. This status empowers YIL’s Board with enhanced financial autonomy, allowing it to approve capital expenditure and investments up to ₹500 crore without the need for prior government approval. This expanded authority is expected to accelerate modernisation, production capacity expansion and improve decision‑making efficiency.
Since its inception four years ago, YIL has delivered impressive growth:
YIL’s diverse defence product base includes:
Granting of the Miniratna Category‑I status is part of the government’s strategic push toward Aatmanirbhar Bharat, aimed at promoting indigenous defence manufacturing and reducing reliance on imports. This move is expected to amplify India’s global competitiveness in defence production while enhancing technological innovation and export potential.
The grant of Miniratna Category‑I status to Yantra India Limited represents a major step toward empowering defence PSUs with greater operational and financial autonomy. This autonomy enables quicker decisions on capital expenditure and project launches, which is vital for strengthening defence production infrastructure.
The decision is pivotal for India’s Aatmanirbhar Bharat initiative, which focuses on self‑reliance through increased indigenous production of defence platforms and systems. By strengthening critical manufacturing capabilities, India can reduce its dependency on foreign defence imports — a core objective for practitioners preparing for exams involving national security and economic policies.
With enhanced powers to invest in modernisation, YIL can bolster its productivity, expand manufacturing output, and play a crucial role in boosting defence exports. This contributes not only to national security but also to economic growth and international defence trade competitiveness — all important themes for UPSC, SSC, Banking & Railways exam aspirants.
The Ordnance Factory Board (OFB), which functioned for decades as a central procurement and manufacturing body for defence, was reorganised on October 1, 2021, into seven independent Defence Public Sector Undertakings (DPSUs). This major reform aimed to encourage autonomy, increase operational efficiency, and promote innovation across defence manufacturing.
In the Indian public sector, PSUs are classified into Maharatna, Navratna, and Miniratna categories based on performance, profitability, and strategic importance. Miniratna Category‑I is a significant recognition that allows certain financial powers to PSUs with demonstrated financial stability. This step is crucial in deepening public sector contribution to India’s economic and defence priorities.
Earlier in May 2025, three other newly formed DPSUs — Munitions India Limited, Armoured Vehicles Nigam Limited, and India Optel Limited — were also accorded Miniratna Category‑I status. YIL’s recent recognition reflects a broader trend of recognising efficient defence PSUs.
Yantra India Limited is a defence Public Sector Undertaking (PSU) under the Ministry of Defence, formed after corporatisation of the Ordnance Factory Board (OFB) on October 1, 2021. It manufactures a range of defence equipment, including ammunition components, tank parts, and armoured vehicle components.
Miniratna Category‑I is a PSU classification that allows companies with consistent profitability to have greater financial and operational autonomy. It enables the Board to approve capital expenditure and investments up to ₹500 crore without government approval.
This recognition boosts Aatmanirbhar Bharat in defence manufacturing, allowing YIL to expand production, modernize operations, and strengthen India’s strategic self-reliance in defence. It also improves the PSU’s export potential.
The corporatisation happened on October 1, 2021, resulting in the creation of seven independent DPSUs, including Yantra India Limited, to improve efficiency, accountability, and innovation in defence production.
YIL produces a diverse range of defence equipment:
YIL’s sales grew from ₹956 crore in FY 2021‑22 to ₹3,108 crore in FY 2024‑25, while exports increased from negligible to ₹321 crore in FY 2024‑25.
Questions on defence PSUs, Miniratna status, and Aatmanirbhar Bharat initiatives are often asked in UPSC, SSC, Banking, Railways, Defence, and State PSC exams. Understanding YIL’s recognition helps candidates answer such current affairs questions effectively.
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