EXPORT POTENTIAL OF THE DEFENCE INDUSTRY OF SERBIA AND THE PERSPECTIVE OF FURTHER AND SUSTAINABLE DEVELOPMENT

The economic and security stability of Serbia is closely related to the state and development potentials of the Serbian defense industry. Accelerated development and integration into the flows of the national and international economy of this sector of the economy, through the procurement of new technologies, and the growing export potential in recent years has been recognized as an essential element of the national security policy of the Republic of Serbia.The Defense Industry of Serbia today is a guarantor of the security of vital defense interests and significantly influences economic activity. Competitive advantages distinguished by the defense industry of Serbia are the professional competence of the employees, the volume of production capacities, the recognition and competitiveness of certain segments of the production program in the foreign market, the scientific research community and the experience in research, development of certain products and the production itself. A steady development of the entire economy must to provide preconditions for increasing the budget aimed at defending the country. That would be one the parties allowed to increase production in factories of the Serbian defense industry, and with others would influence the easier placement of individuals combat systems, weapons and military equipment in foreign markets. The paper analyzes systematically the export potential of this industrial branch, as well as its impact on the overall economy of Serbia and the economic activity of the country.The results of the survey also show adequate measures that the Government, through its line ministries of defence, should take to ensure continuity in production and ensure further sustainable development of the industry.