Indian Space Economy

Syllabus: General Studies Paper 3

Indian space economy is set to reach $13 billion by 2025, according to a joint report prepared by EY and the Indian Space Association (ISpA), an apex industry association of space and satellite companies in the country.

Important Points of the Report

• The space launch segment would grow fastest at a CAGR of 13% spurred by growing private participation, latest technology adoption and low cost of launch services.
• Satellite services and application segment would form the largest share of the space economy accounting for 36% of the space economy by 2025.
• There are over 100 space tech start-ups in the country and investments in space tech start-ups increased 196% y-o-y in 2021.
• On the country’s satellite manufacturing opportunity, it said in 2020 it was $2.1 billion and this would reach $3.2 billion by 2025.
• By 2025, satellite manufacturing would be the second fastest-growing segment in the Indian space economy. 
• Space parks that are coming up across the country would give a fillip to companies operating across the space value chain, especially manufacturing.
• With the rapidly growing space ecosystem, India is all prepared to grow to $13 billion by 2025. 
• India looks forward to the New Space Policy, the private industry’s role is set to create a revolution in the current value chain of the Indian space economy,