US, France Among Leading Buyers of Indian Defense Exports, with Lethal Arms in High Demand
The demand for Indian-made defense exports has surged, with countries like the US, France, and Armenia emerging as the top clients in 2023-24, securing orders valued at Rs 21,083 crore ($2.6 billion). India, now recognized globally for its robust defense production capabilities, has positioned itself as a key player in the international arms market, supplying lethal systems, advanced equipment, and ammunition across nearly 100 countries.
In Nagpur’s "Bomb Bazaar," India's unofficial explosives hub, some of the most in-demand items include 155mm howitzer shells and 40mm shoulder-fired rockets. Over the last three months alone, this market has shipped Rs 900 crore worth of arms, meeting high international demand.
Top Exports and Their Destinations
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Armenia: India’s largest client for "finished" weapon systems, importing Akash air defense missiles, Pinaka multi-launch rocket systems, and 155mm artillery guns. Armenia's extensive defense agreements with India over the past four years have also included bullet-proof vests, weapon-locating radars, night-vision equipment, and artillery shells.
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US: Primarily importing components and subsystems for major defense players like Boeing and Lockheed Martin. These exports include fuselage, wings, and other parts, which are integral to Boeing’s Apache attack helicopters—many of which are manufactured at the Tata Boeing Aerospace facility in Hyderabad.
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France: Significant importer of software and electronic equipment vital for defense technology.
Broader Reach and Strategic Interests
Several ASEAN and Gulf nations have also shown interest in acquiring BrahMos missiles, co-developed by India and Russia. Following India’s $375 million deal with the Philippines in 2022 for BrahMos coastal missile batteries, these missiles have gained traction among international defense buyers.
Strengthening India's Defense-Industrial Base
India’s "Aatmanirbharta" (self-reliance) initiative has been instrumental in expanding the country’s defense-industrial base, which now includes over 430 licensed companies and more than 16,000 MSMEs. Production in the defense sector has tripled since 2014-15, with private sector contributions reaching 21%. The government has set ambitious targets: a production goal of Rs 3 lakh crore by 2028-29 and defense exports worth Rs 50,000 crore.
Despite its strides toward indigenization, India remains a major global arms importer, accounting for 9.8% of total imports from 2019-2023. This dual role as an exporter and importer reflects India’s strategic focus on enhancing its self-reliant capabilities while meeting pressing domestic and global security needs.
