India’s defense exports have increased significantly as the country’s military sales for FY 2023–24 totalled ₹21,083 crore (about $2.6 billion), a ten-fold increase from ₹1,941 crore in 2014-15. India now exports to over 100 nations. Armenia, the US, and France were the top three countries for these exports. Armenia is now India’s biggest customer for finished weapon systems, such as 155mm artillery guns, Pinaka multi-launch rocket systems, and Akash air defence missile systems. (See Table 1). The total volume of weapons purchases by Armenia from India reached $600 million by the start of the current FY 2024-25.
Armenia has stepped up its military spending and currently ranks 7th among countries with the highest military expenditure as a share of their GDP, aka the military burden. Armenia’s military burden is estimated to have risen by (+1.4 percentage points) in 2023, a significant leap from the previous year.
Impetus Behind India-Armenia Defense Cooperation
A host of factors fuels the India-Armenia Defence relationship. Firstly, Turkey’s growing presence in the South Caucasus, coupled with its support for Pakistan on the Kashmir issue, makes Armenia a strategic partner for India in counterbalancing Turkish ambitions in the region. Armenia, on the other hand, has publicly endorsed India’s position on Kashmir and supports India’s bid for a permanent seat on the U.N. Security Council. Engaging with Armenia will aid New Delhi to deter the growing Ankara-Baku-Islamabad tripartite nexus in the region, given that Pakistan is the only country that does not recognise Armenia as a sovereign state.