The turnover of the Latvian Defense Industry could have reached two billion euros / day last year

She explained that the data audited for all companies in 2024 are not yet known, but in 2023 the turnover of companies exceeded EUR 1.6 billion. Therefore, for last year, Egle-Ločmele predicts that the turnover will be around two billion euros.

Egle-Ločmele also emphasized that exports amounted to about € 400 million. A similar amount could be in the taxes paid.

The head of « DAF Latvija » noted that the association has a very rapid increase in the number of members, which means that many companies see the opportunity to develop in the defense industry as well.

Egle-Ločmele informed that the National Armed Forces (NAF) procurement regularly appears about 500 companies, but many members of the association also work only for export. There are also companies that work for the home affairs system.

« At the same time, detail is also important so that we are not talking about the average temperature in the hospital. For example, in anti-aircraft defense systems, supplies will come from foreign companies. If we manage to prove our industry’s competence, we will engage in localization work, » said Egle-Ločmele.

At the same time, in everything related to cyber security, information technology, critical infrastructure, the contribution of Latvian companies and, consequently, the possibility of returning the money returned to the economy is about 80%, with the maximum use of building materials and services created in Latvia, said Egle-Ločmele.

At the same time, she admitted that everything in Latvia should not be done on the spot. « Latvians have their own unique things we do perfectly. But at the same time, there are things where it is unlikely to make sense to invest in resources. For some of our associates foreign members, the annual turnover of the Latvian state budget twice, and 10% of it is invested in innovation. Can we compete with them? Egle-Ločmele.

Asked why these large foreign companies are members of the Federation and whether they have a intention to invest in Latvia or cooperate with NAF, Latvian companies, Egle-Ločmele said 90% of them already have cooperation with the NAF, and it is very important for them to have local suppliers that can maintain or repair their systems.

« We are very pleased that there are companies that have been able to prove themselves not only in this local supply chain, but are already in international supply chains. They are, for example, companies like HansaMatrix, Axon Cable, » said Egle-Ločmele.

Asked whether it can be expected to be established in Latvia, as Germany’s Rheinmetall is currently doing in Lithuania, Egle-Ločmele said that it is more about localization, maintenance and system integration.

Egle-Ločmele explained that the associates of « DAF Latvija » are ready to invest, many of them already have projects, many are ready to develop more in Latvia if additional business opportunities come.

« If we are talking about the development of the defense industry, I am concerned that we are starting to relax again and think that we will be able to endlessly » networking « . Egle-Ločmele.