Defense Minister Rajnath Singh Grants Mini Ratna Status to State-Owned Shipyard, Declares 2025 the ‘Year of Reforms’

Indian Defense Minister Rajnath Singh on Monday officially conferred Mini Ratna Category-I status on the state-owned Hindustan Shipyard Limited (HSL), signaling the government’s push to expand the autonomy and accountability of public-sector defense companies. The announcement took place during the inauguration of the new Defence PSU Bhavan at the World Trade Center in New Delhi, followed by the annual performance review of all 16 Defense Public Sector Undertakings (DPSUs).

The Mini Ratna designation is awarded to public enterprises that demonstrate consistent profitability and stable management. For HSL—based in Visakhapatnam and recognized as India’s oldest shipyard—the status marks a notable milestone after years of gradual improvement following a long period of stagnation. The certificate was presented to HSL Chairman and Managing Director Commodore Girideep Singh.

The announcement was positioned within a broader reform agenda. Singh declared 2025 as the “Year of Reforms,” emphasizing continued investment in research and development, local manufacturing, and global market competitiveness under the Aatmanirbhar Bharat policy of defense self-reliance. Two new initiatives were also launched:

• HAL’s R&D Manual, designed to institutionalize innovation across Hindustan Aeronautics Limited, and

• SWAYAM, a program focused on sustainable and environmentally responsible defense production.

For HSL, the new status offers limited but meaningful financial and operational flexibility while remaining under the Ministry of Defence’s oversight. The shipyard has been expanding into more complex naval projects, including submarine refits and diving support vessels for the Indian Navy, as part of a broader effort to strengthen domestic capability in strategic platforms.

The newly inaugurated Defence PSU Bhavan aims to serve as a shared institutional hub for all 16 DPSUs. Officials noted that co-locating these enterprises is intended to reduce bureaucratic barriers, encourage collaboration, and accelerate joint development in advanced defense technologies.

Singh’s declaration of 2025 as the Year of Reforms highlights ongoing attempts to modernize India’s defense industrial base. However, challenges remain in balancing necessary government oversight with the efficiency and innovation required for global competitiveness.

For HSL, the upgrade is evolutionary rather than transformational. While it now has slightly greater room to operate, its success will depend on how effectively it uses this expanded—but still limited—autonomy to drive performance, capability, and long-term modernization.