SOURCE: AFI
In a significant move to bolster India’s defense export ecosystem, the Ministry of Defence (MoD) has introduced a revised Standard Operating Procedure (SOP) for granting export authorizations, further liberalizing and streamlining processes to enhance efficiency and facilitate global trade. Announced on April 15, 2025, the updated SOP focuses on reducing timelines for export permissions, particularly for Foreign Original Equipment Manufacturers (FOEMs) seeking items for repair or replacement, and expands the list of non-lethal items eligible for expedited business development approvals from 9 to 15. This reform underscores India’s ambition to achieve $5 billion in annual defense exports by 2025, reinforcing its position as a reliable supplier in the global defense market.
The revised SOP introduces measures to expedite export permissions for FOEMs, addressing a critical bottleneck in the defense supply chain. Previously, exporting items for repair, replacement, or maintenance required multiple layers of scrutiny, often delaying timelines and impacting contractual obligations. The new guidelines simplify the consultation process by leveraging digital platforms and standardizing documentation, ensuring that authorizations are granted within 30-45 days compared to the earlier 60-90 days.
A key feature of the SOP is the introduction of a dedicated fast-track mechanism for FOEMs, allowing pre-approved vendors to submit minimal documentation for routine repair and replacement exports. This is particularly significant for Indian manufacturers supplying components to global OEMs like Boeing, Airbus, and Lockheed Martin, who rely on timely deliveries to maintain aircraft and systems worldwide. “The revised SOP reflects our commitment to making India a trusted partner in the global defense supply chain,” said a senior MoD official. “By reducing red tape, we are enabling our industry to meet FOEM requirements efficiently, fostering long-term partnerships.”
The liberalization also includes provisions for blanket export approvals for specific components, valid for up to three years, reducing the need for repeated applications. This aligns with the MoD’s broader goal of enhancing ease of doing business, as outlined in the “Make in India” initiative, and supports India’s growing role in supplying critical subsystems to allied nations.
In addition to streamlining FOEM exports, the SOP expands the list of non-lethal defense items eligible for expedited business development approvals from 9 to 15. The updated list now includes advanced communication systems, radar spares, navigation equipment, protective gear, and specialized textiles, alongside existing items like bulletproof vests, helmets, and non-weaponized drones. These items, deemed non-sensitive for strategic purposes, no longer require extensive inter-ministerial consultations, enabling exporters to secure authorizations in as little as 15-20 days.
The expansion reflects India’s recognition of the growing global demand for non-lethal defense equipment, particularly in areas like counter-terrorism, disaster response, and peacekeeping operations. By simplifying the approval process, the MoD aims to empower Indian companies, including small and medium enterprises (SMEs), to tap into international markets more effectively. “The inclusion of new non-lethal items opens doors for our MSMEs to showcase their capabilities,” noted Rajesh Kumar, Director General of the Society of Indian Defence Manufacturers (SIDM). “This is a game-changer for business development, allowing our firms to compete with global players.”
The revised SOP also introduces a digital dashboard for tracking export applications, providing real-time updates to exporters and ensuring transparency. This aligns with the MoD’s ongoing efforts to digitize defense trade processes, reducing human intervention and minimizing delays.
The revised SOP comes at a time when India’s defense exports are witnessing unprecedented growth, reaching ?21,083 crore ($2.63 billion) in FY 2023-24, a 174% increase since the launch of “Make in India” in 2014-15. High-profile deals, such as the BrahMos missile exports to the Philippines and Vietnam, and artillery shell contracts to countries like Saudi Arabia and UAE, have showcased India’s manufacturing capabilities. The streamlined export process is expected to further accelerate this trajectory, enabling Indian firms to capitalize on opportunities in regions like Southeast Asia, Africa, and the Middle East.
NOTE: AFI is a proud outsourced content creator partner of IDRW.ORG. All content created by AFI is the sole property of AFI and is protected by copyright. AFI takes copyright infringement seriously and will pursue all legal options available to protect its content.