DRDO Signs Two Technology Transfer Agreements to Boost Indigenous Defence Manufacturing

The Defence Research and Development Organisation (DRDO) has signed two Licensing Agreements for Transfer of Technology (LAToT) through its Naval Science & Technological Laboratory (NSTL), Visakhapatnam, to strengthen indigenous defence manufacturing. The agreements were signed on 21 August 2026.

Technologies Covered:

Submarine Fired Decoy (SFD):

The technology is designed to enhance the survivability of submarines by helping counter threats from enemy anti-submarine warfare systems. It forms part of India's efforts to strengthen underwater warfare capabilities.

LM2500 Gas Turbine Technology:

The second agreement concerns the fabrication, installation and commissioning of the LM2500 Gas Turbine for industrial use in India. This is important for developing domestic expertise in advanced gas-turbine technology and reducing dependence on foreign technology.

About NSTL:

The Naval Science & Technological Laboratory (NSTL) is a DRDO laboratory located in Visakhapatnam, Andhra Pradesh. It focuses primarily on technologies related to underwater warfare, naval systems and marine engineering.

What is LAToT?

Licensing Agreement for Transfer of Technology (LAToT) is a mechanism through which DRDO transfers indigenously developed technologies to Indian industries for production and commercialisation.

This helps bridge the gap between defence research and industrial-scale manufacturing.

DRDO & Indigenous Defence Manufacturing:

DRDO's Development-cum-Production Partner (DcPP) model facilitates collaboration between DRDO and Indian industry. As of March 2026, 2,180 technology transfer agreements had been signed and more than 2,780 IPRs had been opened for use by Indian industry.

India's defence production reached a record ₹1.78 lakh crore in 2025–26, while defence exports reached ₹38,424 crore, reflecting the country's expanding indigenous defence ecosystem.

Exam Focus Points:

Organisation: DRDO

Laboratory: NSTL

Location: Visakhapatnam

Agreements: Two LAToTs

Key Technologies: Submarine Fired Decoy & LM2500 Gas Turbine

Objective: Indigenous defence manufacturing

Policy Link: Aatmanirbhar Bharat

Key Concept: Technology transfer and defence indigenisation