India Eases Defence Export Norms, Expands OGEL Coverage to 41+ Countries Worldwide

The Ministry of Defence has unveiled a fresh set of reforms to India’s defence export regime, easing procedures for Indian companies while widening the scope of the Open General Export Licence, or OGEL, framework. The changes are designed to cut repetitive paperwork, speed up approvals and give exporters greater flexibility in pursuing business abroad, while preserving safeguards for sensitive equipment, technologies and destinations.

The reforms follow a review of the Defence Export Standard Operating Procedure and the OGEL system, both of which govern how Indian defence firms can ship specified items overseas. At the heart of the new measures is a push to make the export process more predictable for manufacturers that deal with recurring foreign orders, long-term contracts and international tenders.

OGEL functions as a standing export authorisation, allowing eligible defence exporters to send multiple consignments of approved items without applying separately for every shipment. The government’s latest changes seek to make this mechanism more practical for industry by reducing procedural friction and improving certainty for companies working with overseas customers.

One of the most important changes is the consolidation of three separate OGEL Standard Operating Procedures into a single unified SOP. The earlier procedures covered major platforms and equipment, parts and components, and intra-company transfer of technology. Bringing them under one framework is expected to simplify compliance and make the system easier to navigate for exporters.

The validity of an OGEL has also been extended from two years to three years. According to the revised framework, this should reduce the need for frequent renewals and help companies maintain continuity in recurring export engagements.

Another major revision concerns the geographical reach of the licence system. Until now, OGEL was available for 41 countries. Under the new arrangement, it will apply to all countries except those specifically listed as negative or sensitive destinations, as well as countries under United Nations Security Council sanctions or arms embargoes.

The Ministry of Defence has also created a new provision for Indian firms that have signed long-term contracts or agreements with foreign Original Equipment Manufacturers. In such cases, an OGEL may be granted for eligible items linked to a particular foreign OEM, with the validity period aligned to the underlying contract or agreement, subject to prescribed conditions.

Another key relaxation is the removal of stakeholder consultation for certain categories of exports. For non-lethal defence items destined for most countries, consultation will no longer be required, though the government has retained safeguards for sensitive destinations. The same exemption will apply to exports intended for international tenders and exhibitions.

The government says this will make it easier for Indian defence companies to compete in overseas tenders and showcase their products at international defence exhibitions without being slowed by avoidable procedural delays. For firms trying to build a presence in foreign markets, the change could improve responsiveness and reduce lead time in business development.

The revised framework also broadens the range of items that can be exported under OGEL. Specified parts and components of small-calibre arms meant for civil end-use, along with certain protective equipment, have now been included within the expanded export mechanism.

The timing of the reforms is notable, coming amid a period of strong growth in India’s defence industrial base. Defence exports touched a record Rs 38,424 crore in 2025-26, while domestic defence production reached an all-time high of Rs 1.78 lakh crore in the same financial year.

Officials view the expansion of defence exports as part of a broader effort to strengthen domestic manufacturing, encourage greater private-sector participation and position Indian defence firms as dependable suppliers in international markets. The policy changes are also meant to support deeper integration of Indian industry into global supply chains.

By easing routine compliance requirements while keeping controls in place for sensitive technologies and destinations, the reforms aim to balance export facilitation with national security concerns. The wider OGEL coverage is also expected to help Indian manufacturers reach more overseas customers and build longer-term commercial relationships with foreign defence companies and governments.

For the industry, the practical effect should be lower administrative burden, more predictable authorisation processes and better ease of doing business in overseas markets. The government sees the measures as another step in its effort to shift India from a major defence importer towards a growing exporter of military equipment, components and technologies, in line with the broader Aatmanirbhar Bharat and Make in India objectives.