New Delhi [India], July 11 : The UK India Business Council (UKIBC) has released a report, putting out a slew of recommendations to deepen bilateral defence cooperation between the UK and India.
Through the report, UKIBC offered suggestions to the UK government to strengthen commercial ties and align strategic priorities with India, including strengthening G2G ties, strategic communication, and industry engagement.
UKIBC is a policy advocacy and strategic consulting not-for-profit, with a mission to grow the UK-India trade and investment.
UKIBC also suggested establishing a UK-India defence MSME hub.
Further, it suggested that the UK foster co-development, co-production, and custom solutions, besides enhancing technology transfer, co-creating IP and defence R&D collaboration with India.
The detailed report, derived from academic case studies, government reports, industry insights and expert interviews, 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 Make in India and Atmanirbhar Bharat initiatives, the report identifies concrete steps for the UK defence firms to become meaningful partners in India's defence modernisation agenda.
It also provided insights into how the UK government policymaking can continue to unlock bilateral trade and innovation in this strategic sector.
As part of its recommendations, UKIBC encouraged UK firms to be more adaptable to Indian defence procurement systems, while at the same time making recommendations to India's Minister of Defence for further refining the Defence Acquisition Procedure (DAP).
It also suggested that the UK invest in India-based R&D and manufacturing, positioning itself for co-development and IP sharing, forming joint ventures with Indian enterprises, building local value chains, accessing procurement pipelines, and embedding India in UK and global supply chains.
Further, it suggested that the UK's strengths in AI, cyber and aerospace tech can be leveraged, aligning with India's strategic needs.
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," said Kishore Jayaraman.
India is investing heavily in defence and aerospace manufacturing, with several defence hubs being set up. Notably, many global companies have either shared or shown intent to share critical defence and aerospace knowledge with India.
With the government's thrust on the Make in India initiative, defence production has surged to historic highs. This rise in defence manufacturing has also led to substantial returns for investors in major defence manufacturing PSUs over the past years.
A wide range of items, including ammunition, arms, subsystems/systems, and parts and components, were exported to around 80 countries in the just-concluded financial year, according to the Ministry of Defence data.
The Indian government is now aiming for annual exports worth Rs 50,000 crore by 2029, thus strengthening its global footprint. In 2024-25, the defence exports were to the tune of Rs 23,622 crore.