Miniratna Status Granted to MIL, AVNL & IOL: A New Milestone in India’s Defence Sector

In a significant move towards strengthening India’s defence manufacturing ecosystem, Raksha Mantri Shri Rajnath Singh has approved the grant of “Miniratna” Category-I status to three key Defence Public Sector Undertakings (DPSUs) — Munitions India Limited (MIL), Armoured Vehicles Nigam Limited (AVNL), and India Optel Limited (IOL). This recognition acknowledges their rapid transformation into profit-making corporate entities within a short span of three years.

Strategic Transformation of Ordnance Factory Board

These three companies emerged following the corporatisation of the erstwhile Ordnance Factory Board (OFB) on October 1, 2021, when the Government of India restructured it into seven DPSUs to improve autonomy, efficiency, and innovation in defence production.

• MIL and AVNL are classified as Schedule ‘A’ DPSUs.
• IOL falls under the Schedule ‘B’ category, all under the Department of Defence Production (DDP).

Munitions India Limited (MIL): From Inception to Export Leader

Key Achievements:

• Sales Growth: From ₹2,571.6 crore in FY 2021–22 (H2) to ₹8,282 crore (provisional) in FY 2024–25.
• Exports: From ₹22.55 crore in FY 2021–22 (H2) to ₹3,081 crore in FY 2024–25 (provisional).

Product Portfolio:

MIL is a leading supplier of:

• Small, medium, and high-calibre ammunition
• Mortars, rockets, and hand grenades
• In-house production of initiatory compositions, propellants, and high explosives

The exponential growth in sales and exports underscores MIL’s emergence as a global defence munitions exporter.

Armoured Vehicles Nigam Limited (AVNL): Driving Indigenous Combat Mobility

Key Achievements:

• Sales Growth: From ₹2,569.26 crore in FY 2021–22 (H2) to ₹4,986 crore (provisional) in FY 2024–25.
• Achieved 100% indigenisation of engines for:

1. T-72
2. T-90
3. BMP-II platforms

Product Portfolio:

AVNL manufactures:

• Combat and Armoured Vehicles like T-90 tanks, MBT Arjun, BMP-II Sarath
• Support Vehicles including MPVs and AERVs
• Defence mobility platforms such as Stallion and LPTA

AVNL’s success represents India’s stride toward Atmanirbharta (self-reliance) in military vehicle production.

India Optel Limited (IOL): Advancing Optoelectronics in Defence

Key Achievements:

• Sales Growth: From ₹562.12 crore in FY 2021–22 (H2) to ₹1,541.38 crore (provisional) in FY 2024–25.

Product Portfolio:

• IOL specializes in:
• Opto-electronic systems
• Vision enhancement equipment for platforms like:

1. T-90 and T-72 tanks
2. BMP-II Infantry Combat Vehicle
3. Artillery and Naval Guns

IOL plays a vital role in improving target acquisition and night-fighting capabilities across Indian defence platforms.

Strategic Impact of Miniratna Status

The Miniratna (Category-I) designation grants greater financial and operational autonomy to these DPSUs, enabling:

• Faster decision-making
• Expanded investments
• Increased export capabilities
• Collaborative R&D with private and international players

Raksha Mantri Rajnath Singh congratulated the management of all three companies, expressing satisfaction over their indigenisation efforts, turnover growth, and overall organizational performance.