Will India’s Defence Tech Market Surge to $19 Billion by 2030?

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Will India’s Defence Tech Market Surge to $19 Billion by 2030?

Synopsis

India is on the cusp of a major leap in defence technology, with projections indicating a surge to $19 billion by 2030. Discover the pivotal factors driving this growth and the potential challenges that lie ahead.

Key Takeaways

  • India's defence tech market set to reach $19 billion by 2030.
  • Growth driven by technology-led systems.
  • Critical shortages in specialized engineering roles exist.
  • Counter-drone solutions dominate startup funding.
  • Urgent need for skill development to fill roles by 2030.

New Delhi, Dec 2 (NationPress) India's defence technology sector, currently estimated at $7.6 billion for 2025, is anticipated to expand to $19 billion by 2030, reflecting an impressive compound annual growth rate (CAGR) of nearly 20 percent, according to a report released on Tuesday.

Technological innovations are projected to account for almost 50 percent of India's total defence market by 2030, indicating a major transition from traditional platform-driven approaches to a focus on advanced engineering and digital capabilities, as noted in the report from Quess Corp, a staffing and workforce solutions provider.

The report highlights robust growth in areas such as computer vision, autonomous systems, counter-drone technologies, underwater robotics, advanced sensors, directed-energy research, and software-led mission systems, fueled by over 1,000 defence-tech startups and 194 companies linked through innovation initiatives.

Moreover, the report raised alarms about significant shortages in specialized engineering roles, including radar and radio frequency engineering, avionics, propulsion, optical engineering, quantum communication systems, systems integration, test and validation, and certification.

These critical roles currently make up less than 5 percent of the existing defence workforce and could hinder developments in aircraft, unmanned systems, naval projects, and secure communication networks.

An impressive 71 percent of total startup funding in defence-tech is funneled into counter-drone solutions, marking the fastest-growing segment in India's defence innovation landscape. The counter-drone market is on track to grow at a CAGR of nearly 17 percent, reaching $1.4 billion by 2029.

"The next five years are crucial for India to emerge as a global systems leader. Scaling defence-ready AI and advanced engineering talent by 5–6 times is not merely an industry necessity; it is a national imperative," emphasized Kapil Joshi, CEO of IT Staffing at Quess Corp.

Roles in certification, safety engineering, testing, and validation are expected to witness a surge in demand. Without targeted skill development, an estimated 40–45 percent of these positions may remain unfilled by 2030, which could restrict deployment readiness, prolong production timelines, and impact export competitiveness, according to the report.

Point of View

It is imperative to acknowledge the transformative potential of India's defence tech market. The projected growth emphasizes the need for strategic investment in talent and technology. Aligning with national priorities, we must foster innovation while addressing skill shortages to ensure India's competitiveness in the global defence arena.
NationPress
02/12/2025

Frequently Asked Questions

What is the projected value of India's defence technology market by 2030?
India's defence technology market is projected to reach $19 billion by 2030, growing from $7.6 billion in 2025.
What factors are driving the growth of India's defence tech market?
The growth is driven by advancements in technology-led systems and a surge in funding for defence-tech startups.
What are the critical roles facing shortages in the defence sector?
Key roles facing shortages include radar engineering, avionics, and systems integration, among others.
What percentage of defence startup funding is focused on counter-drone solutions?
Seventy-one percent of total startup funding in defence tech is directed towards counter-drone solutions.
What is the expected CAGR for the counter-drone market in India?
The counter-drone market in India is projected to grow at nearly 17 percent CAGR, reaching $1.4 billion by 2029.
Nation Press