THEBUSINESSBYTES BUREAU

NEW DELHI, OCTOBER 17, 2026

India’s space economy is projected to grow from its current valuation of around USD 9 billion to USD 40-45 billion over the next seven to eight years, Union Minister Jitendra Singh said, underscoring the need for greater private investment, predictable demand and faster regulatory clearances to transform the country’s technological strengths into globally competitive businesses.

Addressing a media roundtable on “Space, Sovereignty and New Economy” organised by the Bloomberg New Economy Forum here, Singh said the opening up of the space sector to private participation in 2019-2020 under Prime Minister Narendra Modi had delivered significant results within five to six years.

The next phase of growth, he said, would depend on India’s ability to build commercially viable space enterprises capable of competing in international markets, backed by sustained investment, stronger supply chains and long-term business models.

India must move beyond demonstrating its technological capabilities and focus on converting them into globally competitive commercial ventures, Singh said, emphasising that a combination of government support and private entrepreneurship would be critical to unlocking the sector’s full economic potential.

He stressed that generating predictable demand was essential for private space companies to scale up operations and attract capital. Government agencies could play a key role by acting as anchor customers and supporting proof-of-concept projects, enabling companies to demonstrate their technologies and move towards commercial deployment.

A stable customer base would give enterprises the confidence to invest in manufacturing, develop market-ready products and establish sustainable revenue streams, the minister said.

He also called for time-bound regulatory approvals, lower costs of doing business and better integration of domestic supply chains. Companies seeking installation or export licences should be able to secure the necessary clearances within defined timelines, he said, adding that policy and tax-related reforms, including GST measures concerning space products, must translate into tangible benefits for industry.

On investment and international cooperation, Singh said India was opening up opportunities for private capital and global partnerships while continuing to strengthen indigenous technological capabilities.

Greater investment would help accelerate technology development, expand manufacturing capacity and improve access to overseas markets, while domestic capabilities remained essential for national security and strategic autonomy, he said.

The minister advocated stronger collaboration between government institutions and private enterprises, alongside partnerships with international counterparts, to help Indian companies integrate into global supply chains and broaden their customer base without compromising national interests.

The roundtable examined how countries could convert sovereign space capabilities into commercially competitive industries, attract private capital and build resilient supply chains. Participants also discussed the changing global space economy, international partnerships and the challenges faced by private space ventures in scaling up.

Among those participating in the discussion were Vinod Kumar, Director (Promotion) at the Indian National Space Promotion and Authorisation Centre (IN-SPACe), and Aisha Bowe, founder and chief executive officer of STEMBoard and LINGO, a former NASA engineer and Blue Origin astronaut. The session brought together representatives from the space industry, entrepreneurship, academia and the international space community.

Highlighting the wider economic significance of India’s space programme, Singh said its achievements extended beyond launch vehicles and satellites to applications that directly support development and public service delivery.

Satellite communications, geospatial technologies and Earth observation are increasingly being used in infrastructure development, project monitoring, agriculture, disaster management and defence, he said.

Space-based applications have also helped in project clearances, tracking implementation timelines and geotagging development works, the minister noted.

India is extending space-based information and disaster management support to neighbouring countries, including Myanmar, Bangladesh and Sri Lanka, demonstrating the potential of these technologies to deliver benefits beyond national boundaries.

Singh said the economic value of the space sector would increasingly depend on connecting technological achievements with practical applications and citizens’ needs. Downstream services, data-driven solutions and industrial applications, alongside satellite and launch capabilities, would be crucial to expanding the market for Indian space companies.

He further emphasised that strengthening national capabilities and pursuing international cooperation were complementary objectives. A combination of domestic innovation, global partnerships and public-private collaboration could accelerate investment, technology development and access to new markets, he said.

The minister also called for an approach that remained open to progressive ideas and adapted policies to evolving technological and industrial requirements, noting that the entry of private players had widened the scope for innovation in a sector traditionally dominated by government institutions.

With India’s space economy targeting a fourfold-to-fivefold expansion over the coming years, the challenge now is to translate the gains from sectoral liberalisation into commercially sustainable enterprises. Predictable demand, increased private investment, efficient regulation and deeper integration with global markets will be central to determining India’s position in the rapidly expanding international space economy, Singh said.