Ukraine’s defense sector grew three times last year, and the industry is expected to grow 6-fold in 2024, Deputy Minister for Strategic Industries Hanna Hvozdyar said at the European Business Association (EBA) conference Global Outlook: A Winning Vision on Wednesday.
“The enemy is, of course, superior to us in terms of numbers and funds they attract. And the needs of the army are so great that it is very difficult for us, even together with our partners, to meet them in full. However, last year alone, we tripled our defense spending. This year we expect a 6-fold increase,” Hvozdyar said.
According to her, the ministry is creating opportunities for civilian companies to engage in military-tech work.
“We are talking about ammunition, ammunition cases. They can be produced by civilian companies that have the appropriate equipment, and we are also moving in this direction,” Hvozdyar said.
The Deputy Minister noted that another niche is in the market of components. According to her, many drone and UAV manufacturers still buy components abroad, while one of their priorities is to equip them with domestically produced parts.
“Our drones should depend on and consist of Ukrainian components as much as possible,” Hvozdyar said.
“The money is all in the defense sector. So, sooner or later, we will still come to the conclusion that it is more profitable for the economy as a whole. It is very important for us to keep our budget within the country,” she explained.
Hvozdyar also noted that the Ministry of Strategic Industries of Ukraine (MinStrategProm) is working on creating a communication platform that could serve as a library of proven components of national production.
Ukraine and India have signed new contracts worth $20 million to expand bilateral military and technical cooperation as part of the 10th international defense exhibition Def Expo 2018, which is taking place in Chennai (India) on April 11-14, the press service of the Ukroboronprom State Concern reported on Thursday. According to the report, following its participation in the first two days of the exhibition, Spetstechnoexport, part of Ukroboronprom, signed contracts worth about UAH 500 million.
“Representatives of the state-owned enterprise Spetstechnoexport, as part of Def Expo 2018, signed an agreement on cooperation with Indian state-owned company Bharat Electronics Limited. The agreement outlines cooperation between the parties as part of programs for the modernization and localization of the production of components for armored vehicles. Representatives of the Ukrainian and Indian defense industries are to be involved in the creation of a new a tank for the needs of the Indian Defense Ministry, the modernization of radar and air defense systems produced by the former Soviet Union, and joint research and engineering development, including in the sonar and radar directions,” reads the statement.
Bharat Electronics Limited is one of the largest Indian suppliers of defense products for the Indian Defense Ministry. Spetstechnoexport is one of the leading special exporters of Ukraine. It has been part of the Ukroboronprom State Concern since December 2010.
