Ashok Atluri Writes: India Must Build from the Ground Up to be a Defence-Tech Export Major

India’s emergence as a serious player in the global defence-technology landscape is not a matter of aspiration, it is a geopolitical and economic necessity. As the global order tilts toward multipolarity, new regional alliances and asymmetric threats, countries are reassessing their defence partnerships.

Procurement decisions are no longer driven by legacy alliances or familiar original-equipment manufacturers (OEMs) alone; they are shaped by urgency, adaptability and the capacity to deliver mission-ready systems in compressed timelines.

India’s defence exports have surged from ₹686 crore in 2013–14 to ₹23,622 crore in 2024–25, reflecting a 34-fold growth and signalling a fundamental shift in how Indian systems are perceived globally.

The target of achieving ₹50,000 crore in defence exports by 2029 may seem ambitious, but it is within reach—provided we stop treating defence exports as a by-product of procurement success and start positioning them as a strategic pillar of national power.

India already possesses the essential building blocks. Years of investment in indigenous R&D, improved frameworks like the Defence Production and Export Promotion Policy and the growing maturity of firms operating in electronic warfare, simulation, C4ISR [command, control, communications, computers, intelligence, surveillance and reconnaissance] and counter-drone technology have shifted the ecosystem from intention to capability. What remains is the leap from capability to competitive, credible and consistent global supply.

Choosing the Right Tech

India’s path to global competitiveness must be selective and strategic. Instead of chasing breadth across every domain such as submarines, satellites and strategic missiles, we must focus where we already have an edge. Counter-drone systems are the sharpest example. Indian C-UAS [Counter-Unmanned Aircraft System] like the anti-drone system combine soft-kill (jamming) effective up to 10km and hard-kill (L-70) options, proven in diverse environments including India’s borders.

Moreover, the global C-UAS market is projected to grow at a 25.5% compound annual growth rate (CAGR) and India’s offerings are not only operationally validated but cost-efficient and modular for developing regions dealing with asymmetric drone threats.

In fact, Operation Sindoor in May 2025 validated India’s anti-drone systems in live combat, successfully neutralising threats in electromagnetically cluttered zones.

Another space India can dominate is military simulation and training. Indian-made simulators offer realistic training at 40–60% lower cost than Western systems. These simulators reduce the cost of live-fire exercises and are tailored to legacy weapons still widely in service, like the L-70 and ZU-23-2.

Air defence systems like Akash and BrahMos also bolster credibility. Akash’s export to Armenia marked a milestone. It can simultaneously engage multiple targets at 25km and showed 96% accuracy in trials.

BrahMos, with its modular design, is a cost-effective coastal-defence option. These platforms show that India’s larger systems can also compete—provided they’re positioned right.

India’s greatest opportunity lies in markets that need systems now—not five years later. Countries like Vietnam, Indonesia and the Philippines have regional security needs similar to India’s and value rugged, affordable defence tech. These regions also value technology-transfer partnerships, aligning with India’s Atmanirbhar Bharat ethos.

Fixing Policy Architecture

India cannot export like a global leader while operating with 1990s-era processes. Line of Credit (LoC) processing times currently exceed 12 months—far too slow in a market where financing speed can decide a deal. A 90-day approval cycle for defence projects—with a pre-vetted list of export-ready platforms—must become policy.

A joint task force between government and industry should identify systems ready for global markets based on three simple criteria: indigenous intellectual protection (IP) under Buy Indian–IDDM [indigenously designed, developed and manufactured], successful Indian forces deployment and unique technical advantage.

At the same time, the regulatory environment needs serious streamlining. The Scomet [special chemicals, organisms, materials, equipment and technologies] list, which governs dual-use exports, remains dense, inconsistently interpreted and slow-moving—especially for MSMEs. The single-window export clearance mechanism, long promised, must become functional in practice, staffed by officials who understand both commercial urgency and defence-sector nuances.

Simulation technologies in particular need more evolved procurement architecture. The 2021 Framework for Simulator Use laid the right foundation, but it needs consistent annual budgets and committed timelines. Without sustained domestic procurement, Indian firms cannot stabilise their production cycles or certify platforms to global standards—undermining export potential before it even leaves the country.

India’s diplomatic missions can be powerful force multipliers, but defence attachés need technical training to pitch Indian technology effectively. Regular briefings and digital demo portals should become standard as buyers want to see systems in action—on their terms, in their own environments.

To become a defence-tech export major, India must build from the ground up for export—not retrofit systems meant only for domestic consumption. This means embedding compliance, lifecycle support and market-fit into the first prototype. Exports must not be framed as ‘cheaper alternatives’—they must be positioned as reliable, sovereign and durable.

If we get this right, India won’t just be one of many new entrants in the defence export race. It will become a strategic constant—for countries seeking cutting-edge capability without compromise and sovereignty without dependence. The opportunity is real. The tools are in place. What remains is execution with intent.

The writer is chairman and managing director, Zen Technologies