Chandipur: The Defence Research and Development Organisation (DRDO) successfully test fired AKASH-MK-1S missile from ITR, Chandipur in Odisha on May 27, 2019. (Photo: IANS/PIB)
New Delhi, Oct. 23 India has emerged as the third largest arms exporter to Europe. The growing demand for defense equipment under Europe’s “Rearm Europe” initiative and the expansion of the country’s defense manufacturing sector have boosted India’s exports, Defense Secretary Rajesh Kumar Singh said on Friday.
Speaking to reporters, Rajesh Kumar Singh said India’s defense exports have reached an all-time high of ₹38,424 crore, equivalent to approximately 3.6 billion euros. Citing a Bloomberg report, he said India has become the third largest arms exporter to Europe over the past year, driven primarily by increased demand due to the “Rearm Europe” initiative.
He said this initiative has led to large-scale exports of various types of standard ammunition, artillery shells, and large and small-caliber ammunition to Europe.
The Defense Secretary stated that India’s defense manufacturing ecosystem has expanded significantly over the past 10 years. In addition to 16 major public sector defense companies, approximately 840 large and medium-sized private companies and approximately 17,000 small enterprises, including startups, operate in this sector. He stated that the impact of this diverse industrial base is also reflected in domestic sales figures, which now reach approximately 17 billion euros.
Rajesh Kumar Singh stated that India now exports defense equipment to more than 80 countries. The government aims to ensure that 75 percent of defense capital expenditure, estimated at approximately $20 to $25 billion annually, is spent domestically. This initiative prioritizes products designed, developed, and manufactured (IDDM) to ensure technological self-reliance.
He stated that India’s defense exports are not limited to heavy artillery and ammunition. They also include small arms, tactical equipment such as helmets and bulletproof vests.
According to the Defense Secretary, negotiations and contracts are underway for defense procurement in several regions, including Southeast Asia. These include proposals for the supply of various defense equipment, small arms, and artillery systems.
The Defense Secretary stated that India previously relied heavily on Russia for defense equipment. However, this dependence has decreased over time, and India has diversified its sources of defense imports.
He stated that India still possesses a significant amount of Russian-origin defense equipment, but India’s bilateral relations with several European countries, including France, have strengthened. He stated that after Russia, France accounts for approximately 15 percent of India’s defense imports, while Israel’s share is approximately the same.
Rajesh Kumar Singh stated that he recently visited Greece and Cyprus. India sees significant convergence of strategic interests with these two countries. He described these countries as India’s new partners, noting that they are also important for access to Europe.
The Defense Secretary stated that diversifying sources of defense supplies is helping India rapidly scale up production to meet international demand. He stated that India intends to increase its participation in European defense procurement programs. To this end, there are plans to establish joint ventures in European countries. Similarly, European partners will be encouraged to establish joint ventures in India to gain access to the Indian defense market. He stated that European countries can also participate in India’s defense procurement programs, but they must comply with the government’s “Make in India” requirements.
Rajesh Kumar Singh expressed hope that the proposed partnership agreement between India and Europe will serve as a basis for greater supply chain integration between defense manufacturers in both regions. He stated that India intends to work in this direction to further strengthen defense production and cooperation between the two sides.
