New Delhi, Feb. 26 -- Brokerage firm Elara Capital is positive on India's defence industry in the long term due to higher budgetary allocation and focus on self-reliance.

The brokerage firm is optimistic about the growth prospects of the sector due to the government's focus on increasing defence production and the interest of global companies in India OEM (original equipment manufacturer) for manufacturing.

"We remain positive on India's defence industry in the long term. In the listed space, we prefer Hindustan Aeronautics, Bharat Electronics and Bharat Dynamics on the PSU side," said Elara Capital.

Among the private sector firms, Elara Capital prefers Zen Technologies, Data Patterns, Azad Engineering, Astra Microwave Products and Mai...