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Source — Source: PIB ///Category — GS Paper 2 ///Published — 2026-02-05 ///Exam — Both Prelims and Mains ///Tags — Industrial Policy, Defence Production, Government Policies & Interventions ///Source — Source: PIB ///Category — GS Paper 2 ///Published — 2026-02-05 ///Exam — Both Prelims and Mains ///Tags — Industrial Policy, Defence Production, Government Policies & Interventions ///

Source: PIB · GS Paper 2

Miniratna Status for Yantra India Limited

The Defence Ministry has accorded Miniratna Category‑I status to Yantra India Limited, a newly formed DPSU, enabling it to invest up to ₹500 crore without prior government approval. This move underscores India's push for indigenisation, faster decision‑making in defence production and aligns with the Aatmanirbhar Bharat vision.

2026-02-05

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Source: PIB

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Key Facts

Entity: Yantra India Limited (YIL)
Status Granted: Miniratna Category‑I (by the Defence Minister)
Date of Status: February 2026
Capital Expenditure Power: Up to ₹500 crore on new projects, modernisation & equipment purchase without prior government approval.
Products: Carbon‑fibre composites, glass composites, aluminium alloys, and assembly products for medium & large calibre ammunition, armoured vehicles, artillery guns and main battle tanks.
Parent Department: Department of Defence Production, Ministry of Defence.

Background and Context

YIL is one of seven Defence Public Sector Undertakings (DPSUs) created after the corporatisation of the Ordnance Factory Board (OFB) on 1 Oct 2021.
The corporatisation aimed to improve efficiency, accountability and commercial viability of defence manufacturing units.
DPSUs operate under the Ministry of Defence but enjoy greater autonomy compared to traditional PSUs.

Significance for India / Governance / Policy

Financial Autonomy: The ₹500 cr limit accelerates project implementation, reducing bureaucratic delays.
Indigenisation: Enhances domestic production of critical defence components, reducing import dependence.
Export Potential: Strengthens India's capability to become a global defence manufacturing hub.
Aatmanirbhar Bharat: Directly supports the self‑reliance agenda by fostering indigenous technology and industry participation.
Employment & Skill Development: Expansion of YIL will generate skilled jobs in advanced material manufacturing.

Related Constitutional / Legal Provisions

Miniratna Guidelines (2006, revised 2019): Define financial powers and governance norms for Category‑I and Category‑II Miniratnas.
Companies Act, 2013: Governs corporate governance, board composition and financial disclosures for DPSUs.
Defence Production Policy (2020): Emphasises self‑reliance, private sector participation and modernisation of defence manufacturing.

Policy Integration

The decision aligns with Make in India, Aatmanirbhar Bharat, and the Defence Production Policy to create a robust, export‑oriented defence industrial base.
It also complements the Strategic Autonomy objective, ensuring critical defence supplies are sourced domestically.

Source: Press Information Bureau (PIB)