India and Indonesia have signed defence agreements during Prime Minister Narendra Modi’s visit to Jakarta, marking a significant milestone for India’s indigenous defence industry. Among the key outcomes is an agreement covering the export of the BrahMos supersonic cruise missile and cooperation on the Astra beyond-visual-range (BVR) air-to-air missile, making Indonesia the first foreign country set to acquire the Astra missile system.
The agreements, signed on Tuesday as part of multiple memoranda of understanding (MoUs), are estimated to be worth around USD 630 million, according to media reports. While the BrahMos agreement builds on India’s growing missile export ambitions, the Astra arrangement represents the missile’s first international sale, subject to final integration and contract formalisation.
Indonesia is expected to integrate the Astra Mk-1 missile with its fleet of Sukhoi fighter aircraft. The country operates around 16 Sukhoi jets, though the MoU will require technical integration and certification before a final procurement contract is concluded.
A Boost for India’s Missile Exports
The MoUs are expected to strengthen India’s efforts to position itself as a major exporter of indigenous defence equipment under the Atmanirbhar Bharat initiative and the government’s “Make in India for the World” strategy.
According to the government, the Air-to-Air Missile Cooperation Agreement will enhance technology collaboration, strengthen defence capabilities and boost India’s indigenous missile development ecosystem. The BrahMos cooperation agreement is expected to demonstrate the capability of India’s defence industry while promoting innovation, competitiveness and exports.
Developed by the Defence Research and Development Organisation (DRDO) and manufactured by Bharat Dynamics Limited, Astra is an all-weather, radar-guided beyond-visual-range air-to-air missile. The Astra Mk-1 has already been integrated with the Indian Air Force’s Sukhoi Su-30MKI fleet and was cleared for full-scale production in 2024.
The missile is capable of engaging aerial targets beyond visual range using active radar homing guidance and incorporates electronic counter-countermeasure capabilities to operate even in contested electronic warfare environments.
Strategic Significance
Defence analysts say the agreement represents more than a commercial success, signalling India’s emergence as a credible supplier of advanced defence technologies.
Vanshika Saraf, Research Analyst at The Takshashila Institution, said, “The Astra missile deal is significant. It is the first export order for the Astra missile system, validating India’s indigenous defence research on the international market. It shows that Indonesia is willing to look at India as a serious defence technology partner, while India is willing to use defence exports as an instrument of Indo-Pacific statecraft.”
Experts also view the agreement as reflecting Indonesia’s efforts to diversify its defence partnerships while maintaining its long-standing foreign policy of strategic autonomy.
Ario Bimo Utomo, Head of the International Relations Department at UPN Veteran Jawa Timur in Surabaya, said, “India-Indonesia relations have deepened significantly since the 2018 Comprehensive Strategic Partnership, and the missile cooperation, I think, reflects a growing bilateral trust.”
“However, I do not read this as Indonesia drifting toward alignment with India. I still regard Indonesia’s diplomacy as fitting its long-standing “bebas aktif” (independent and active) principle, diversifying while avoiding too deep a dependence on any one power. For Indonesia, BrahMos and Astra serve a common archipelagic deterrence need,” Utomo said.
“The broader significance for the Indo-Pacific is that middle powers like Indonesia are hedging through multiple partnerships, and India benefits as one of several partners due to our mutual concern for a safe and open Indo-Pacific region,” he added.
India’s Expanding Missile Footprint
Indonesia joins a growing list of countries procuring or expressing interest in Indian missile systems.
The Philippines became the first overseas customer for the BrahMos missile under a USD 375 million deal signed in 2022, while Vietnam has also agreed to procure the system to strengthen its coastal defence. Armenia has acquired the Akash air defence missile system, and countries including the United Arab Emirates and Egypt have held discussions or expressed interest in Indian missile platforms.
With Indonesia poised to become the first export customer for Astra, India is steadily expanding its footprint in the global missile market, reinforcing its ambition to emerge as a leading defence manufacturing and export hub while deepening strategic partnerships across the Indo-Pacific. |
