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India’s Defence Exports and Strategic Trade Controls UPSC NOTE

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  The Issue:  A U.S. media report recently alleged that India’s Hindustan Aeronautics Limited (HAL) supplied parts (via a British firm) to R...

 The Issue: 

  • A U.S. media report recently alleged that India’s Hindustan Aeronautics Limited (HAL) supplied parts (via a British firm) to Russia, violating strategic trade norms. 

  • India’s Ministry of External Affairs (MEA) strongly denied the report, calling it “factually incorrect and misleading.”

What Did India Say?

  • The MEA clarified that HAL followed all international rules and end-use commitments.

  • India said the report was an attempt to distort facts and push a political agenda.

  • Such allegations have surfaced before, especially after the Russia-Ukraine war began in 2022.

What Are Strategic Trade Controls?

  • These are rules to prevent the spread of Weapons of Mass Destruction (WMDs) and control the export of military and dual-use items (which can be used both for civil and military purposes).

  • India maintains a harmonised list of such items, called the SCOMET list (Special Chemicals, Organisms, Materials, Equipment and Technologies).

  • Export of such items requires a special licence — unless exempt or prohibited.

Why Is This Important Now?

  • India aims to expand defence exports to ₹50,000 crore by 2029.

  • In FY 2024-25, India achieved ₹23,622 crore in defence exports — a 12% growth over the previous year.

  • To protect neutrality, India refused to supply weapons to either side in the Russia-Ukraine war or Gaza conflict.

How Does the Export Licensing Work?

  • India follows global non-proliferation agreements like the:

    • Chemical Weapons Convention (CWC)

    • Biological Weapons Convention (BWC)

  • Is also a member of export control regimes like:

    • MTCR

    • Wassenaar Arrangement

    • Australia Group

  • The Defence Production Department (under MoD) handles export permissions for military items (Category 6 in SCOMET list).

What Has India Done to Boost Exports?

  • Industrial licenses have been simplified — most components no longer need a licence.

  • Introduced the Defence Production and Export Promotion Policy.

  • Created an Export Promotion Cell and a digital system to apply for and issue export licences.

  • Major Indian exports now include:

    • Dornier aircraft

    • 155mm artillery guns

    • BrahMos & Akash missiles

    • Pinaka rockets

  • India now exports to 100+ countries — mostly through PSUs, but private companies are growing too.

  • This streamlined policy ensures India meets global norms while boosting defence exports and promoting Make in India defence products.

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Learnerz IAS | Concept oriented UPSC Classes in Malayalam: India’s Defence Exports and Strategic Trade Controls UPSC NOTE
India’s Defence Exports and Strategic Trade Controls UPSC NOTE
Learnerz IAS | Concept oriented UPSC Classes in Malayalam
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