Rajnath Singh grants ‘Miniratna’ status to 3 defence PSUs

Defence Minister Rajnath Singh on Thursday approved the grant of Miniratna (Category-I) status to three defence Public Sector Undertakings (DPSUs): Munitions India Limited (MIL), Armoured Vehicles Nigam Limited (AVNL), and India Optel Limited (IOL).

Congratulating the three companies on their transformation from government organisations to profit-making corporate entities in a span of just three years, the defence minister expressed satisfaction over their performance in areas such as turnover, indigenisation, and overall operational efficiency, which paved the way for the coveted Miniratna tag.

Munitions India Limited has reported a steep rise of over 200% in sales, from ₹3,314 crore in 2021-22 to a provisional ₹8,214 crore in 2024-25. The firm also saw its exports jump from ₹22.55 crore to ₹3,081 crore in the same period. The company manufactures a wide range of ammunition and explosives, including small, medium and high-calibre munitions, mortars, rockets, and hand grenades.

Armoured Vehicles Nigam Limited recorded a 190% increase in sales, reaching ₹4,946 crore (provisional) in FY 2024-25 from ₹2,569.26 crore in 2021-22. The company has also achieved 100% indigenisation of engines for its T-72, T-90 and BMP-II platforms. AVNL's portfolio includes main battle tanks, infantry combat vehicles, support and mobility vehicles.

India Optel Limited, which specialises in opto-electronic systems and vision equipment for land and naval platforms, grew its sales by over 250%, from ₹562.12 crore in 2021-22 to ₹1,541.38 crore (provisional) in FY 2024-25. The main products of IOL include Opto-Electronic systems and vision equipment, which are used in land system platforms and weapons like battle tanks T-90, T-72, BMP-II vehicles, and various artillery and naval guns.

“The bestowal of Miniratna status to MIL, AVNL & IOL will further empower these companies to achieve accelerated growth trajectory and new heights in defence production and exports,” the ministry said.

The three firms were among the seven new DPSUs carved out of the erstwhile Ordnance Factory Board (OFB) following its corporatisation, which came into effect from October 1, 2021. While MIL and AVNL are classified as Schedule ‘A’ companies, IOL is a Schedule ‘B’ entity under the administrative control of the Department of Defence Production.