The Directorate of Naval Research and Development (DNRD) was established in 1972 as Directorate of Naval Science and Technology. Subsequently the name was changed to its present name. The Directorate was further supplemented with NSTL and NPOL Project Cells in 1983 and 1984 respectively.

The DNRD provides interface for the naval research laboratories of DRDO with users, i.e., the Indian Navy , Defence production agencies, and other external agencies including academic institutions. It also acts as a facilitator for transfer of technology developed in the Naval research laboratories of DRDO to the Navy through the production agencies.

DNRD, at DRDO HQrs, is a technical directorate controlling three labs viz NPOL, NSTL and NMRL. These labs exclusively undertake developmental work related to Navy. DNRD is also Member Secretary of Naval Research Board (NRB) set up to encourage and support basic research in naval technology.  

The DNRD has six groups:  

• Technical Support Group
• Admin Co-ord Group
• NMRL Group
• NPOL Group
• NSTL Group
• NRB Group