"The Prithvi missile was test-fired as part of a user's trial by the Indian Army and the test was successful," defense sources said.
The 8.56-meter long Prithvi missile is capable of carrying a payload of 1,000 kg of explosives.
The domestically-produced missile, developed by the Defense Research Development Organization (DRDO), is already in service with the army.
"Mounted on a mobile tatra transporter-erector launcher, the sophisticated missile took off vertically at about 10.30 hours and plunged into the pre-designated splash-down point in the Bay of Bengal," the paper quoted sources as saying.
Powered by liquid propellant, the missile can operate with liquid or solid fuel. "All parameters of the missile are now being analyzed after the successful test fire," the sources said.