Indonesia has approached India with a request for an additional BrahMos missile battery, beyond the one contracted in March. Jakarta is seeking a favourable line of credit arrangement to facilitate the procurement.

This development underscores the growing defence cooperation between the two nations, which has become a central pillar of their strategic partnership.

Rudrendra Tandon, Secretary-East in the Ministry of External Affairs, emphasised that discussions remain at preparatory stages and declined to elaborate further.

His remarks came during a briefing ahead of Prime Minister Narendra Modi’s three-nation tour to Indonesia, Australia and New Zealand scheduled for 6–11 July. ThePrint had earlier reported that Indonesia had signed up for one BrahMos battery, with plans to expand acquisitions in phases.

The BrahMos missile ,is the world’s only supersonic cruise missile capable of flying at three times the speed of sound. The export variant has a range of 290 kilometres and is versatile, being effective in coastal defence, ground attack and anti-ship roles. Indonesia’s interest in scaling up procurement reflects its intent to strengthen coastal defence and deterrence capabilities.

During Modi’s Jakarta visit, several Memoranda of Understanding are expected to be signed. These will cover critical minerals, natural resources, healthcare, pharmaceuticals, education and space cooperation. India is particularly focused on establishing joint ventures with Indonesian firms to set up processing factories for critical minerals, a sector of immense strategic importance.

Nickel stands out as a key mineral in this context. It is vital for electric vehicle batteries and clean energy technologies. Indonesia possesses vast nickel reserves, but China currently controls about 75 percent of the refining capacity in the country.

India imports over 80 percent of its ferronickel, essential for steel production, from Indonesia. Moreover, India’s entire domestic demand for EV battery materials is met through imports, making nickel a critical component of its energy transition strategy.

Global demand for nickel is projected to rise sharply, from 3 million metric tonnes in 2023 to between 5 and 6 million metric tonnes by 2040.

The International Energy Agency’s Global Minerals Outlook 2024 report highlights that Indonesia and China together accounted for 65 percent of the world’s refined nickel supply. By 2040, Indonesia alone is expected to contribute 44 percent of refined nickel output, cementing its role as a global leader in this sector.

Indonesia’s mineral wealth extends beyond nickel. The country is also rich in bauxite, cobalt and tin, all of which are critical for industrial and technological applications. India’s pursuit of joint ventures in these areas reflects a broader strategy to secure supply chains, reduce dependence on China, and support its clean energy and industrial ambitions.

The dual focus of Modi’s Jakarta visit—defence cooperation through BrahMos and economic collaboration in critical minerals—illustrates India’s comprehensive approach to deepening ties with Indonesia. It aligns with India’s Act East policy and broader Indo-Pacific strategy, reinforcing its role as both a security provider and an economic partner in the region.

Agencies