"There is no reason to introduce some kind of special regime or martial law in the country," Putin told a televised meeting of Russian war correspondents and military bloggers. "There is no need for such a thing today."
Ukraine's large-scale counter-offensive began on June 4 and has not been successful in any area, Putin said, adding that Ukrainian human losses were 10 times greater than Russia's.
Ukraine has lost over 160 of its tanks and 25%-30% of the vehicles supplied from abroad, while Russia had lost 54 tanks.
Putin also said Ukraine had deliberately hit the Kakhovka dam with HIMARS rockets supplied by the United States, a step he said had also hindered Kyiv's counteroffensive efforts.
The goals of what the Kremlin calls its "special military operation" in Ukraine, launched on Feb. 24, 2022, might evolve with the situation, but their fundamental character will not change, Putin said.
Putin said that Russia does not currently need any additional call-up of reservists, having announced an initial mobilisation in September.
He also told military bloggers and war correspondents that future mobilisations would depend on what goals Russia set for itself in Ukraine, suggesting that a renewed bid to take Kyiv could require extra manpower.
He also backed a Defence Ministry order for Russian private military companies to sign contracts with it before July 1, something the high-profile Wagner Group has refused to do.
Wagner founder Yevgeny Prigozhin has said his group will not sign a contract with the ministry.
Earlier on Tuesday, Prigozhin said he was not sure if his men would continue to fight in Ukraine amid the bitter standoff with the Russian defence ministry with which he has long been at loggerheads.
President said that the quality of Russian weaponry was improving, but that the country lacked high-precision ammunition and drones.
Putin said Russia had increased its production of key weapons by 2.7 times over the past year, and he also accused the West of pumping weapons into Ukraine.
"Arms production increased 2.7 times over the year and 10 times in the most-needed areas. Some of the military production plants are working double shifts, many of them triple shifts," Putin said.
Russian leader declined to say whether Moscow would launch a new offensive in Ukraine in response to Kyiv's own counteroffensive, saying that Russia's plans would depend on its military potential. He also said that if necessary Russia would use weapons with depleted uranium in response to reports that the United States would supply such weapons to Ukraine.
Putin said that the recent wave of attacks on Russia's regions is aimed at diverting Russia's resources from other crucial areas, and added that Moscow is not going to do that.
After weeks of bombardment of the border region of Belgorod and a wave of drone strikes on Moscow itself, Putin acknowledged that Ukrainian attacks on Russian territory were a problem and that Russia needed to defend its own borders better.
He also said that if the attacks continue, Russia will consider the possibility of creating a sanitary zone on the territory of Ukraine, but that Moscow has no plans to do that as of yet.
"But we need to look at how the situation develops,” he added.
Russia was open to peace talks over Ukraine, but the only way to stop the conflict was for Western countries to end their arms supplies to Kyiv.
Putin also repeated his accusation that the West was seeking to defeat Russia in Ukraine and said that Moscow had its own "peace plan" for that country.
Russia was also considering withdrawing from the Black Sea grain deal because the West had cheated Moscow by implementing none of the promises to get Russian agricultural goods to wider global markets.
The deal allowing Ukraine to resume seaborne grain exports was brokered by the United Nations and Turkey in July last year to help tackle a global food crisis the UN said had been worsened by Europe's deadliest conflict since World War Two.
To convince Moscow to approve the pact, known by diplomats as the Black Sea Grain Initiative, a three-year accord was struck at the same time under which UN officials agreed to help Russia with its own food and fertiliser exports.
But Putin said that had not been implemented due to the perfidy of the West.
"We are thinking about getting out of this grain deal now," Putin told a meeting of Russian war correspondents and military bloggers.
"Unfortunately, we were once again cheated - nothing was done in terms of liberalising the supply of our grain to foreign markets ... There were a lot of conditions that the Westerners had to fulfil under the leadership of the UN"
"Nothing has been done," Putin added.
Western powers have imposed what they cast as the toughest sanctions ever on Russia after it launched what it calls its 'special military operation' in Ukraine on Feb. 24, 2022.
While Russia's food and fertiliser exports are not sanctioned, the West's restrictions on payments, logistics and insurance pose barriers to shipments, according to Moscow and major Russian grain and fertiliser exporters.
Russia and Ukraine are two of the world's top agricultural producers, and major players in the wheat, barley, maize, rapeseed, rapeseed oil, sunflower seed and sunflower oil markets.
Russia is also dominant in the fertiliser market.
Putin made it absolutely clear that Russia is considering stopping participation in the grain deal.
He said he would discuss its future with some African leaders expected to visit Russia soon, adding that Moscow was ready to supply grain for free to the world's poorest countries.
The current deal will expire on July 17 unless Russia agrees to extend it.
Zelenskiy hails 'forward movement' of troops in eastern, southern Ukraine
President Volodymyr Zelenskiy on Tuesday hailed advances by Ukraine's troops near the long-besieged city of Bakhmut in the east and on the war's southern front.
"Thanks to everyone who is now fighting, who protects and advances our positions," Zelenskiy said in his nightly video address. "For example, the Bakhmut sector...there is forward movement in various areas."
He also praised units on the "Tavria" southern front, saying that in "conditions of aviation and artillery superiority of the occupiers, there is movement forward. Thank you, soldiers! Thank you for every step and every metre freed from Russian evil."
The president spoke about a Russian missile attack in his birthplace of Kryvyi Rih in central Ukraine saying that some of the components of the missiles were manufactured in countries partnering with Ukraine.
Reuters