The rise of Indian defence industry: Exports cross $1.6 billion, imports down 11%

India is all set to spend Rs 2.71 lakh crores ($33 billion) on defence equipment in Financial Year 2023. 99 per cent of this equipment will be sourced from Indian industries. Much to the US and Russia’s dismay, India’s defence imports are shrinking year-on-year and it's because of the emergence of the Indian defence industry. 

India chooses indigenous defence equipment over Imports:

India will procure weapons for the Indian Armed Forces worth Rs 70,500 crores ($8.7bn) and they will all be made in India.

1) Indian Navy proposals constitute more than Rs 56,000 crore ($6.84bn) which largely includes the locally-made BrahMos missiles, Shakti Electronic Warfare (EW) systems and maritime utility helicopters

2) Long Range Stand-Off Weapon for the Indian Air Force gets the nod; To be integrated on SU-30 MKI aircraft155mm/52 Caliber ATAGS, along with High Mobility & Gun Towing Vehicles, to be procured for Indian Army

3) Indian Coast Guard to get Advance Light Helicopters MK-III from HAL

India drops defence imports:

India’s defence imports declined by 11 per cent between 2013-17 and 2018-22 and this decline was linked to a complex procurement process, efforts to diversify arms suppliers and attempts to replace imports with local designs. India’s domestic procurement climbed to 68 per cent in FY22. 

WATCH | Rise of the Indian Defence Industry | Exports cross ₹130 Billion, imports down 11%

World seeks arms from India

India’s defence exports are set to touch Rs 17,000 crore ($2.1bn) in FY23. India bagged an export order worth $155 million for 155-mm artillery guns and another deal for supplying Teevra 40-mm guns to the Indonesian Navy. Armenia signed a $250 million contract for India’s Pinaka missiles.

1) India will soon finalise a Brahmos deal with Indonesia and a follow on deal with the Philippines over and above the $ 375 million Brahmos deal signed last year.

2) India is supplying air-to-air missile launchers and sub-systems to MBDA France for Rafale fighter jets

3) India also exports bulletproof jackets, ballistic helmets, snow boots, and night vision devices used by soldiers in Europe, West Asia, Africa and ASEAN nations.

India supplies the world

We are witnessing India’s emergence as a defence-manufacturing hub as it supplies equipment and ammunition to the world:

1) India is making aero-structures for American Defence giant Boeing's AH-64 Apache helicopters

2) Airbus Defence And Space recently signed a Rs 21,935 crore ($2.7bn) deal to build C-295 medium-lift transport aircraft at Vadodara.

3) Another American defence giant Lockheed Martin has tied up with India to make wing sets for the F-16 Block 70 fighter aircraft.

4) Indian Army recently handed over 159 indigenously developed vehicles & equipment for UN Peacekeeping mission at UNISFA, Abyei.

India presently exports defence supplies to over 80 countries. India’s next target is achieving defence manufacturing worth Rs 1,75,000 crore ($21.4bn), including defence exports of Rs 35,000 crore ($4.3Bn) by 2024-25.

We can safely say that this is the emergence of the Indian Defence Industry – and world powers are taking note.

(Disclaimer: The views of the writer do not represent the views of WION or ZMCL. Nor does WION or ZMCL endorse the views of the writer.) 

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