International Defence Exhibition (IDEX) 2011 promises to be the biggest ever arms exhibition in the Middle East

Abu Dhabi: Come February 2011 the 10^th edition of the International Defence Exhibition (IDEX), IDEX 2011 promises to be the biggest ever defence systems exhibition outside the US. With exhibitors flocking to IDEX, largely due to its ability to attract business not only from the U.A.E., but also from the larger Middle East and North African region besides Asia.

Defense spending in the Middle East has been constantly growing, because all countries want to stay abreast with modern military technology to ensure that their military capabilities are wider and more effective. A recent study by Frost & Sullivan on 'The Middle East Defense Market' reveals that the defense spending in the Middle East region is expected to surpass $100 billion by 2014.

The substantial chunk of spending in Middle East is going to come from Saudi Arabia, Iraq and the UAE. Faced with internal security challenges, plus the need to solidify its borders, Baghdad will invest an average of $12.5 billion annually through 2015 towards the advancing development of the Iraqi Security Forces (ISF). While Iraq provides a robust market opportunity due to the ongoing ISF rebuilding process, the scale of investment in the Gulf region is spearheaded by Saudi Arabia’s $60 billion package of approved U.S. Pentagon’s government-to-government Foreign Military Sales (FMS) agreements to upgrade its air fleet with new and refurbished F-15 jet fighters and new helicopters. Mirroring the Saudi efforts, the UAE is also undertaking a modernization of its Air Force. This modernization includes an approved FMS agreement for the purchase of 60 AH-64D Apache helicopters. The UAE is also in the process of considering successors for its fleet of Mirage 2000 jet fighters in what may ultimately prove to be a 60-unit buy worth up to $10 billion. Additional areas that the UAE may seek to upgrade include littoral protection and air defense.

For 2010 combined GCC defense/security investment was $68.3 billion. Forecast International, market research company, expects that total to increase to $73.4 billion in 2011 and continue growing to $82.5 billion by 2015.

As the Middle Eastern economies emerge from recession and oil price nudges the $100 mark, IDEX 2011 is expected to announce series of defence contracts over the five-day event in Abu Dhabi in February 2011.