Trade Ties
India to export Astra, Brahmos missiles to Indonesia, develop Sabang port
This story was originally published at 14:01 IST on 7 July 2026
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NEW DELHI – India and Indonesia Tuesday signed a number of memoranda of understanding spanning defence, maritime security, critical minerals and rare earth magnets, agriculture, healthcare and pharmaceuticals, and education, during Prime Minister Narendra Modi's three-day visit to Jakarta.
On the defence front, Indonesia will import India's indigenous Astra air-to-air missiles besides additional batteries of BrahMos supersonic cruise missiles. Both these missiles were effectively used during military conflict with Pakistan in May last year. The move will boost defence manufacturing in India and deepen defence cooperation between the two countries.
In another important step, India will jointly develop the Sabang port, a facility of strategic importance as it overlooks the Strait of Malacca, and is situated around 100 nautical miles from the Great Nicobar Islands. The move is expected to enhance maritime connectivity and cooperation in the Indo-Pacific.
India will also invest in manufacturing steel, nickel and rare earth permanent magnets in Indonesia in order to strengthen resilient critical mineral supply chains.
"Following today's agreement in healthcare, India's high quality and affordable medicines will now be more easily available to the people of Indonesia," Prime Minister Modi said at a press briefing in Jakarta. India will also help Indonesian doctors and healthcare workers in building capacity and skills, he said.
India will also supply indigenous wheat to Indonesia, and the two countries will share best practices in sustainable farming and agro-technology. "We are going to open a campus of the prestigious Indian Institute of Management Bengaluru in Indonesia, which will benefit students across the Association of Southeast Asian Nations," Modi said. End
Reported by Asim Khan
Edited by Avishek Dutta
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