India's missile defence explorations had long been hindered by its limited access to advanced interception technologies and slow pace of indigenization. India is now developing lower- and upper-tier systems for air and missile defence applications, while also aspiring for longer range exoatmospheric interception capability. However, considering that India's requirements are skewed towards lower tier threats, it is prudent to have an all-inclusive architecture that can meet all realistic threats (including air-breathing), with limited financial and political implications.

On July 9, 2006, the long awaited Agni-III ballistic missiles test finally took place. This was the first test of this version of Agni designed with a range of 3,000 km. This missile used two-stage solid propellant. It took off successfully but failed to cover its determined course completely. Apparently, the missile developed a snag while entering into its second stage. Admitting the snag the Indian minister of defence said that it was not a major failure. Scientists are quite confident that the error will be rectified, and the missile would be ready for testing in the near future.