{"id":24107,"date":"2020-02-18T18:04:50","date_gmt":"2020-02-18T18:04:50","guid":{"rendered":"https:\/\/one.sightlinemg.com\/defensenews\/uncategorized\/2020\/02\/18\/new-joint-ventures-hint-at-burgeoning-relationship-between-israel-and-india\/"},"modified":"2026-08-07T22:09:51","modified_gmt":"2026-08-07T22:09:51","slug":"new-joint-ventures-hint-at-burgeoning-relationship-between-israel-and-india","status":"publish","type":"post","link":"https:\/\/one.sightlinemg.com\/defensenews\/industry\/2020\/02\/18\/new-joint-ventures-hint-at-burgeoning-relationship-between-israel-and-india\/","title":{"rendered":"New joint ventures hint at \u2018burgeoning relationship\u2019 between Israel and India"},"content":{"rendered":"\n

JERUSALEM \u2014 Israel and India are deepening defense industry ties as Israeli companies seek long-term partnerships through India\u2019s efforts to encourage products to be locally produced under joint ventures.<\/p>\n\n\n\n

Earlier this month, Israel Aerospace Industries and India\u2019s Bharat Electronics Limited signed a memorandum of understanding to establish a new center for technical and maintenance support for India\u2019s air defense systems. In addition, IAI on Feb. 5 signed a strategic collaboration memorandum with Indian firms Hindustan Aeronautics Limited and Dynamatic Technologies Limited to work on UAVs that will be made in India.<\/p>\n\n\n\n

Sales have historically surpassed more than $1 billion annually, making India not only a core country for Israel\u2019s defense sales, but also strengthening the bilateral strategic partnership. IAI deals in 2017 included a $2.5 billion deal for Barak 8 missiles and $1.3 billion for surface-to-air missiles<\/a>, with further deals<\/a> in 2018, according to the company<\/a>.<\/p>\n\n\n\n

In the wake of the early February defense expo in Lucknow, India, IAI stressed that the Asian nation is one its main partners. \u201cThe important partnership is characterized by long-term collaboration, joint development and production, energy transfer, and technical support over many years,\u201d according to Nimrod Sheffer, IAI\u2019s president and CEO.<\/p>\n\n\n\n

The sentiment was echoed in interviews across Israel\u2019s major defense companies. Elbit Systems sees India is a strategic market, noting that it is \u201cinvolved in a range of programs across the Indian defense sector.\u201d Rafael Advanced Defense Systems said it has been doing business in India for more than two decades \u201csupporting the Indian Armed forces with state-of-the-art systems.\u201d<\/p>\n\n\n\n

As part of bilateral relations, trade may be boosted to $20 billion in the coming decades from the $5 billion level at which it currently stands, according to the Begin-Sadat Center for Strategic Studies<\/a>. India has been a consumer of Israeli arms exports for several decades, accounting for 49 percent of Israeli arms exports from 2013 to 2017, according to one count at Israeli media outlet Calcalist<\/a>. And India was Israel\u2019s largest purchaser<\/a> of arms in 2017 alone, though purchases here decreased in 2018.<\/p>\n\n\n\n

India is one of the core countries involved in the International Defense Cooperation Directorate under Israel\u2019s Ministry of Defense. Known by its acronym SIBAT, the directorate in the government\u2019s outreach arm to the defense industry. Of $7.5 billion in defense exports in 2018, 46 percent went to Asia, Globes reported<\/a>. Israeli companies have not divulged what percent of that went to India, but it is considered to be substantial. Last year\u2019s trade numbers are still being calculated, according to Israel\u2019s MoD. <\/p>\n\n\n\t