India Becomes Armenia’s Largest Defense Supplier

Publication: Eurasia Daily Monitor Volume: 21 Issue: 131

(Source: India Defense Research Wing)

Executive Summary:

  • Armenia is increasingly turning to India for military support, making significant purchases of Indian-made weapon systems, including the Akash-1S air defense system, as part of a $2 billion defense partnership signed in 2020.
  • Armenia’s pivot toward India marks a shift away from its traditional reliance on Russian military supplies, in part driven by tensions over Russia’s involvement in Ukraine and allegedly delayed arms deliveries to Armenia.
  • India’s deepening ties with Armenia provide it with a strategic foothold in the South Caucasus, countering Pakistani and Turkish influence in the region while also enhancing its connectivity to European and Eurasian markets.

In August, it was reported that Armenia will receive India’s indigenously developed Akash-1S air defense missile system later in 2024. Armenia, which had placed an order for 15 Akash missile systems in 2022 for $720 million, will be the first foreign buyer of the platform. The Akash-1S systems, which Indian company Bharat Dynamics Limited will supply, provide reliable protection against air threats such as fighters, guided missiles, and drones (ARMENPRESS; India Defense Research Wing, August 8). Military cooperation between New Delhi and Yerevan continues to deepen, with Armenia emerging as the largest importer of weapons from India in the past four years. A report from the Indian Finance Ministry said, “The former Soviet Republic of Armenia has become the largest importer of weapons from India after concluding deals on the purchase of Pinaka multiple-launch rocket systems and Akash anti-aircraft systems.” The report further said, “the total volume of weapons purchases by Armenia from India reached $600 million by the start of current [financial year] 2024–25.” Under multimillion-dollar defense deals, New Delhi is committed to supplying Indian-made howitzers, anti-tank rockets, and anti-drone equipment to the Armenian army (Azatutyun, July 24). The deepening defense cooperation between India and Armenia reflects both nations’ strategic efforts to reshape regional alliances, as Armenia seeks alternatives to Russian military support and India looks to expand its geopolitical influence in the South Caucasus.

In 2023, Yerevan decided to appoint a defense attaché to its embassy in New Delhi in a move to strengthen military cooperation with India. The decision came after Armenia signed several defense deals with Indian arms manufacturers in 2022. The deals, which totalled $245 million, included the acquisition of Indian multiple launch rocket systems, anti-tank rockets, and ammunition. The Armenian military attaché will supposedly coordinate existing defense programs between the two countries (Caucasus Watch, May 23, 2023). The presence of an Armenian defense attaché in India will allow Yerevan and New Delhi to conduct military cooperation in a more official and diplomatic manner.

Armenia previously heavily relied on Russia for the supply of weapons and ammunition. Russia was the largest exporter of major arms to Armenia over the past decade, accounting for 94 percent of Armenia’s major arms imports from 2011 to 2020. During this period, Moscow supplied armored personnel carriers, air defense systems, multiple rocket launchers, and tanks to Yerevan. Additionally, in 2016, Russia supplied Iskander short-range ballistic missiles with an estimated range of 300 kilometers (186 mi). In 2019, Moscow also delivered four Su-30SM combat aircraft to Armenia, significantly strengthening its strike capability (SIPRI, April 30, 2021).

Yerevan is seeking alternative suppliers in part due to increasing tensions with Moscow amid the Kremlin’s ongoing war against Ukraine. In February, Armenian Prime Minister Nikol Pashinyan reiterated Yerevan’s independent stance on the Ukraine war, saying, “Armenia is not an ally of Russia on the issue of Ukraine, and this is our sincere position” (Caucasus Watch, February 20, 2020). Defense deals signed between Armenia and India could raise eyebrows in Moscow, as the contracts undermine Russia’s status as the principal supplier of weapons and ammunition to Armenia. In 2022, Pashinyan, without naming Russia, said, “Our allies have failed to deliver weapons to Armenia despite contracts signed with them in the last two years” (Azatutyun , May 18, 2023).

The deepening India-Armenia defense ties are not without their own geopolitical angles. Relations between India and Armenia became closer following the 2020 Karabakh war, during which Pakistan strongly supported Azerbaijan against Armenia (see EDM, December 15, 2016). In October 2020, Pashinyan claimed that Pakistani special forces were fighting alongside the Azerbaijani army against Armenia in their conflict over the disputed Karabakh region. Islamabad, however, rejected the claim as “baseless and unwarranted” (Dawn, October 17, 2020). Critics in India nevertheless drew a parallel between the Karabakh region and the disputed Kashmir region between India and Pakistan—over which the two South Asian rivals have fought three wars since their creation in 1947. Türkiye vociferously supported Pakistan’s stand on Kashmir, and Pakistan, in return, stood with Türkiye in supporting Azerbaijan on the Karabakh dispute against Armenia (Timesnow News, September 29, 2020; see EDM, August 16, 2021, October 2, 2023, July 25).

India is strengthening Armenia’s military muscle in a move to turn Yerevan into its strategic partner in the South Caucasus. Armenia became the largest foreign recipient of Indian weapons in 2020, after the total volume of defense contracts concluded with India was estimated at $2 billion. Armenia has also become the first foreign operator of the Akash SAM system (Russian Council, February 19). India sees Armenia’s bilateral and multilateral cooperation with Iran, France, and Greece as a way to undertake strategic connectivity projects in the South Caucasus (Observer Research Foundation, May 17). This has been further spurred by Pakistan’s previous activities in the South Caucasus. In 2017, Pakistan signed a trilateral agreement on regional cooperation with Azerbaijan and Türkiye. As previously stated, in 2020, Islamabad stood with Ankara in supporting Azerbaijan in its war against Armenia over Karabakh. The three countries signed the “trilateral Islamabad Declaration” in 2021 to show solidarity with Azerbaijan after the war (Anadolu Ajansı, January 14, 2021; EDM, August 16, 2021). India, in response, created its own trilateral format with Armenia and Iran for cooperation on communication and resource management (see EDM, June 21, 2023; Russian Council , February 19).

In 2023, Asif Iqbal, President of the Indian Trade and Economic Organization, stated, “India is preparing to become an observer country of the EAEU in 2024. This circumstance will allow us to deepen cooperation with Armenia on all tracks, including defense” (Sputnik Armenia, May 10, 2023). India is currently negotiating a free trade agreement with the Eurasian Economic Union (EAEU) and may be looking to find more opportunities to strengthen its strategic partnership with Armenia (The Economic Times [India], July 15). In the rapidly changing geopolitical realities of the region, Indian leaders value Armenia as a strategic ally. New Delhi sees Yerevan as a potential part of future transit routes to EU countries.

The growing defense cooperation between India and Armenia underscores the shifting geopolitical dynamics in the region, with both nations seeking to expand their strategic influence. For Armenia, partnering with India offers not only advanced military capabilities but also a new diplomatic and economic pathway toward greater independence and regional security as Yerevan looks to lessen its reliance on Russia. For India, these ties provide a foothold in the South Caucasus, offering potential access to strategic transit corridors and enhancing its presence in a region where rivals like Pakistan and Türkiye are already active. As this relationship deepens, both countries are positioning themselves to leverage each other’s strengths in an increasingly multipolar world.