How India's Defence Exports Can Truly Skyrocket

India's defence exports have gained great momentum lately. Reports show that India's defence exports have been more than Rs 38,000 crore over the past seven years. The private sector is now contributing 18,000 crores to this 85,000 crore industry as government policies fuel innovation, research, and development.

India is presently exporting defence equipment to around 70 countries and is listed as one of the top 25 countries in defence exports, according to the Stockholm International Peace Research Institute 2020 report.

The rise in India's defence exports can be credited to various reforms proposed by the government to scale up defence exports and improve the ease of doing business. The government now wants to target Rs. 36,500 crores (US$ 4.8 billion) by 2025.

Contributors of Growth

  • The Brahmos supersonic cruise missile with the Philippines aims to open doors for the country in Asian countries such as Indonesia and Vietnam and with UAE and Saudi Arabia in the Middle East.
  • Defence Production and Export Promotion Policy, strategic partnerships with foreign original equipment manufacturers (for transfer of technology), and positive indigenisation has contributed heavily towards this growth.
  • A gradual import ban on 310 various weapons and systems has also boosted exports. Plans are to produce these weapons and platforms locally in stages.
  • Startups and MSMEs are actively participating in defence product development and are driving innovation across this sector.
  • With a massive push towards indigenously manufacturing defence equipment and platforms, India aims to curb defence imports in the future. The government is encouraging not only big players but also MSMEs to develop state-of-the-art equipment and platforms and bring new technologies and products to the market. Reports show that around 12,000 MSMEs have joined the defence industry due to the government's initiatives, and the number of startups has also increased in this sector.

    The Road Ahead

    Until some time ago, poor design capabilities in critical technologies, inadequate R&D investments, and the challenge of manufacturing major subsystems and components impacted defence manufacturing negatively. However, favourable government policies have now levelled the playing field and are capably attracting technology startups to innovate in this field.

    Along with this, with more MSMEs entering the defence playing field, innovation in the range of defence products is also on the increase. Perimeter security solutions, for example, lend themselves to tremendous innovation. OFC-based intrusion detection systems and the use of Distributed Acoustic Sensing (DAS) controllers, for example, can improve perimeter security while being more accurate, low maintenance, high MTBF, immune to RFI and EMI while also being intrinsically safe. Solutions are evolving rapidly. For instance, we are seeing integrated options with electric fences for deterrence with OFC PIDS for 50mtr zones for better classification and compliance with BCAS specs. Such solutions are improving detection and analysis capabilities.

    Counter-drone solutions are, for example, another area for defence innovation. Best-in-class sensors and technology advancements can be used to successfully secure vulnerable airspace. Our anti-drone technology, for instance, can jam controls, video, and navigation of any drone which uses commercially available radio systems using ISM and HAM, including but not limited to 433 MHz, 915 MHz, 2.45 GHz, and 5.8 GHz.

    Low maintenance complemented with complete situational awareness makes solutions like these vital to take a preventative approach towards security and defence.

    How India's Defence Exports Can Truly Skyrocket

    Defence manufacturers have a tremendous opportunity to drive innovation as market interest in indigenous products increases and favourable policies support defence manufacturing. But the defence manufacturing sector has to capably cater to the demands of the international market and find acceptance, adoption, and advocacy.

    Some of the key areas of focus for startups and MSMEs operating in this sector are:

  • High-quality and robust products that improve situational awareness and deliver high accuracy
  • Employ modern-day technologies and data to drive product development and product improvement plans to build high-quality products with greater transparency
  • Ensure intelligent integration with software and analytics for better traceability and visibility on product performance and points of failure
  • Drive user-friendliness with intelligent integration with existing and third-party systems
  • Develop intelligent command and control systems that employ a multi-layered approach using a central monitoring system equipped with deep learning and discernment algorithms to analyse inputs from sensors to help with critical decisions
  • Product/solution customisation capabilities to address different ranges of detection and blocking, discriminate and classify events, configure for redundancy, and lower the rate of nuisance and false alarms
  • Deliver intelligent alerts, both predictive and real-time, across verticals, scenarios, and extreme environmental conditions; protect critical assets and respond effectively to threats
  • Build technology products using technologies that lower maintenance requirements
  • Employ stringent quality control, well-trained industry experts, certified engineers, and technicians with real-life local expertise required to support installation, commissioning, training, and ongoing maintenance
  • Ensure compliance with all local and international standards and meet all needed regulatory requirements
  • The Final Word

    The international market today needs sophisticated and technologically superior products that enhance situational awareness and move security from a reactive to a proactive stand. To boost defence exports, India has to look at enhancing the capabilities of their existing export product line, such as missiles, helicopters, fighter planes etc. But to get defence export to skyrocket and to capture the international defence market, they have to tap into security demands, identify new opportunities and drive innovation across product development. Interested in learning more? Connect with us.