Paras Defence and Space Technologies Ltd, a key player in India's defence manufacturing ecosystem, has secured a $3.8 million (₹34 crore) export order from Elbit Security Systems Ltd, Israel. Disclosed on September 26, 2025, the contract involves supplying advanced electro-optics products, with execution slated between February and November 2026. This deal underscores Paras' growing international stature and deepens bilateral defence collaboration amid global supply chain shifts.
The Deal: Electro-Optics for Cutting-Edge Applications
The order focuses on electro-optical systems—critical for surveillance, targeting, and night vision in defence platforms. Paras will leverage its expertise in optics and electronics to deliver these high-precision components, aligning with Elbit's needs for unmanned systems and border security. Valued at ₹34 crore, it's Paras' latest in a string of wins, following ₹45 crore from BEL for signal processing systems.
Paras, founded in 2009, specializes in defence and space tech, including missile components and EMP solutions. Its JV with Israel's HevenDrones for hydrogen-powered UAVs highlights Indo-Israeli synergy. The stock surged 7% to ₹1,250 post-announcement, with a market cap of ₹5,698 crore.
Indo-Israeli Defence Synergy: A Strategic Alliance
India-Israel defence ties, valued at $3 billion annually, emphasize tech transfer and joint R&D. Elbit, a global leader in electro-optics, partners with Paras to tap India's 'Make in India' push. This order boosts Paras' export revenue (20% of FY25 ₹500 crore turnover) and validates its quality certifications (AS9100D).
Amid US-China tensions, diversification reduces risks. Paras' pipeline includes $10 million in pursuits, targeting 30% export growth. CEO Munjal Talati noted the deal's role in building long-term capabilities.
Future Horizons: Paras in the Global Defence Arena
With India's defence exports hitting $2.5 billion in FY25, Paras eyes UAVs and EW systems. Challenges like supply chain localization persist, but government incentives (PLI scheme) aid scaling. This Elbit win positions Paras for more MRO contracts, enhancing India's self-reliance.
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