India Ammunition Production: Anil Ambani’s Reliance Defence has teamed up with German weapons giant Rheinmetall to make a big move in India’s defence sector. The new plan is to make artillery shells, explosives, and other kinds of ammunition right here in India. Reliance Defence shared this news and said they will build a brand-new factory in Maharashtra for this work. This factory will come up in the Watad Industrial Area in Ratnagiri.
The goal of this partnership is not only to help India become more self-reliant in defence production, but also to give Rheinmetall access to key raw materials and strengthen their global supply chain. Rheinmetall is a big name in Europe, known for making tanks, large guns, and other military equipment. Now, with this tie-up, both companies are aiming to help India’s army by producing important ammunition within the country.
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Indian Defence Manufacturing Development
According to Mint, Rheinmetall’s CEO Armin Papperger said, “This strategic partnership of Rheinmetall with Reliance Defence led by Anil Ambani’s Reliance Group illustrates our strong commitment to partner with India under the strong leadership of Prime Minister Modi.” He pointed out how this deal is a sign of their support for India and its defence goals. The new factory is expected to make up to 200,000 artillery shells every year, along with 10,000 tonnes of explosives and 2,000 tonnes of propellants. That means the Indian military can get what it needs without having to depend so much on other countries.
Reliance Defence, which is a part of Reliance Infrastructure, believes this is a turning point for the private defence sector in India. The company said, “This strategic partnership brings cutting-edge capabilities to India, marking a transformational moment for the country’s private defence manufacturing sector. Guided by the vision of ‘Aatmanirbhar Bharat’, as championed by Prime Minister Shri Narendra Modi, our objective is clear – to position Reliance Defence among the top 3 defence exporters, enabling India to not only meet its domestic defence needs, but also emerge as a key player in the global defence supply chain.”
This isn’t the first time Reliance Defence has worked with international defence companies. Earlier, they had already teamed up with Dassault Aviation and Thales Group from France. Now, this is their third major global partnership, and it shows they are serious about being a leader in defence exports.
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This big announcement came at a time when India’s defence sector is already doing very well. A lot of Indian defence stocks are going up in value. Companies like Cochin Shipyard, Bharat Dynamics, Paras Defence, and others have all seen a strong rise in their share prices. Experts say this is because of the growing tensions between countries like India and Pakistan, which makes investors more interested in defence companies.
According to the defence ministry, India’s defence exports touched ₹23,622 crore in FY25, which is a 12% jump from the year before. Even the public sector firms have done better than before. Their share of exports went up to ₹8,389 crore in FY25 from ₹5,874 crore in the previous year.

