Israel and India Set for Major Defense Agreements
Indian Prime Minister Narendra Modi’s visit to Israel is expected to lead to significant defense deals, with estimates ranging between $8 and $10 billion, according to various reports from Indian media.
This anticipated agreement comes on the heels of recent conflicts in the region, including the Middle East War (2023-2025) and the India-Pakistan skirmish in May 2025, which underscored the need for advanced defense systems. Israeli air defenses demonstrated remarkable effectiveness during these conflicts, highlighting vulnerabilities in India’s military capabilities, particularly in drone, missile, and cyber warfare.
The deals may cover all four main components of Israel’s advanced missile defense systems. These include the Arrow missile defense system by Israel Aerospace Industries, Rafael’s David’s Sling and Iron Dome, as well as the Iron Beam system developed by Rafael and Elbit. These systems aim to provide India protection against various threats, including long-range ballistic missiles and short-range rockets.
In addition to defense technology, agreements are also expected in the domain of drone warfare, covering both offensive and defensive capabilities. Several Israeli companies are actively competing in this space, with a notable deal anticipated for Elbit’s Hermes 900 drone.
Further agreements are likely to include Rafael’s SPICE 1000 guidance kits and Rampage air-to-ground missiles, among others. Indian media has reported that Modi aims to secure capabilities to launch missiles from distances that keep them safely out of range of enemy air defenses, similar to tactics used by the Israeli Air Force against Iran in mid-2025.
India has been a major defense partner for Israel, accounting for about 34% of Israel’s total defense sales between 2020 and 2024, as noted by the Stockholm International Peace Research Institute (SIPRI). The country’s defense dealings with India during this timeframe have been valued at approximately $20.5 billion.
Israeli officials have observed a dramatic increase in defense exports to India from 2012 to 2017, hitting $3.4 billion following the sale of the Barak anti-aircraft system for naval vessels. Though sales cooled slightly between 2017 and 2023 due to India’s “Made in India” policy shift, Israel began investing more directly in the Indian market in 2024, with multiple defense companies setting up operations in India.
The combination of changing industry dynamics and ongoing geopolitical tensions has led to a resurgence in defense dealings, with expectations that the total value of these agreements could break previous records by 2026. Alongside these defense advancements, collaborative efforts in cyber technologies, artificial intelligence, and quantum computing are also on the agenda during Modi’s visit.
