New Delhi, July 11, 2025
The UK India Business Council (UKIBC) on Friday highlighted opportunities, challenges and recommendations to deepen bilateral cooperation between the UK and India in the defence sector.
The UKIBC report is of the view that UK firms which invest in long-term partnerships with Indian companies, local capability, and joint innovation will be best placed to succeed India’s fast-growing defence ecosystem.
The report titled “Unlocking strategic defence opportunities: UK–India engagement,” aims to identify opportunity gaps that are hindering UK firms in India. To close this gap, the report provides recommendations for business, government and industry organisations to increase UK engagement in aerospace and defence in India.
As India continues to prioritise self-reliance in defence through the ‘Make in India’ and ‘Atmanirbhar Bharat’ initiatives, the report identifies concrete steps for UK defence firms to become meaningful partners in India’s defence modernisation agenda.
It also provides insights into how the UK government policymaking can continue to unlock bilateral trade and innovation in this strategic sector.
India’s defence and aerospace ambitions present a unique opportunity for long-term, innovation-led partnerships with trusted nations like the UK. Through this report, UKIBC offers suggestions to UK government to strengthen commercial ties and align strategic priorities.
These include strengthening G2G ties, strategic communication, and industry engagement, fostering co-development, co-production, and custom solutions and enhancing technology transfer, co-creating IP and defence R&D collaboration.
It also recommends encouraging UK firms to be more adaptable to Indian defence procurement systems – while at the same time making recommendations to India’s Ministry of Defence for further refining the defence acquisition procedure.
Besides, it recommends the establishing of a UK-India defence MSME hub.
The report also focuses on recommendations to UK defence firms which include investments in India-based R&D and manufacturing, forming joint ventures with Indian enterprises to build local value chains, access procurement pipelines and embed India in UK and global supply chains.
It further suggest that UK firms can leverage their strengths in AI, Cyber and Aerospace Tech and focus on emerging areas where UK capabilities can align with India’s strategic needs.
Another recommendation is to engage with State Governments: explore partnerships in defence corridors (Uttar Pradesh and Tamil Nadu and Karnataka amongst others) for incentives and infrastructure.
Kishore Jayaraman, OBE, India Chair, UK-India Business Council, said “India’s ambition to become a leading defence manufacturing and innovation hub presents a timely and strategic opportunity for the UK. As trusted, like-minded partners with shared values and a strong history of cooperation, the UK and India are uniquely placed to co-create the next generation of defence and aerospace technologies.”
“Through this report, UKIBC aims to provide both strategic insight and practical guidance for UK firms seeking to navigate India’s evolving defence ecosystem. The message is clear — those who invest in long-term partnerships, local capability, and joint innovation will be best placed to succeed,” he added.(Agency)
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