India has set an ambitious target to grow its space economy from $8.4 billion in 2022 to $44 billion by 2033, aiming to capture 8% of the global market. To provide the needed push to this ambition, the Federation of Indian Chambers of Commerce and Industry (FICCI) in partnership with Dhruva Space and EY, organised ‘Bharat Space Conclave 2025’, on the theme of ‘Space Innovations for Atmanirbhar Bharat’, to shed light on investment trends, policy frameworks, and technological advancements, to empower stakeholders, including industry leaders, startups, policymakers, and investors.
The conclave had key speakers including Sanjay Nekkanti, Co-chair, FICCI, Pamkaj Khurna, Partner, EY, Dr AS Kiran Kumar, Space Commission and former Chairman, ISRO as well as Dr Pawan Goenka, Chairman, In-Space. Their discussion focused on the change the space technology can bring in collaboration with other sectors as well as the financial and business-related hurdles that need to be crossed to increase the space economy.
The key highlight of the conclave was the launch of the ‘Unlocking India’s Space Economy: Pathways to Growth, Innovation and Global Leadership’ report by FICCI in collaboration with Ernst and Young (EY). The report highlights the use of space technology in several sectors along with several cost-effective developments that will be a boon to India’s space economy.
The report underscores the bigger shift that is underway with India’s space sector which is moving from a government-led model to a more commercially driven and innovation-led ecosystem. Satellite communication (SATCOM) is projected to reach $14.8 billion by 2033 and is supposed to play a critical role in improving digital connectivity, particularly in rural areas. Also, with Low Earth Orbit (LEO) and Medium Earth Orbit (MEO) satellite constellations, India can accelerate broadband penetration which in turn will enhance financial inclusion, and strengthen digital infrastructure, supporting flagship initiatives such as Digital India and BharatNet.
The Indian space sector for ages has mainly focused on scientific research and national security. But now space technology is diversifying and is collaborating with non-space escorts as well. Agriculture as a sector employs 45% of the Indian workforce and hence satellite-driven analytics can improve yield forecasts, optimize water usage, and provide real-time insights for precision farming, says the report. Satellites can also be beneficial for navigation, optimize freight movement, and enhance security for critical infrastructure. Private space companies are rising in India and they play crucial roles in satellite communications, space tourism, and resource exploration. In the coming years, transportation, food and beverage, retail, lifestyle, and digital communication are expected to contribute up to 60% growth in the space economy by 2035.
Innovations like reusable launch vehicles and miniaturized satellites will also reduce the cost, making space more accessible to a wider range of stakeholders. Government policy such as funding for research, development, and exploration missions in partnership with private bodies will also increase the growth. International collaboration and the importance of space in security increase the scope of investment.
India has witnessed several successful missions in recent years which range from Chandrayaan 2 and 3, Mangalyaan (Mars Orbiter Mission - MOM), and Aditya L1. These missions have attracted more investments in the space sector. Apart from the government stakeholders such as ISRO, Indian National Space Promotion and Authorization Centre (IN-SPACe), and NewSpace India Limited (NSIL), the private players like Larsen & Toubro, Tata Group, and OneWeb are also emerging as major stakeholders in space technology.
With the change in policy and opening the platform for private companies, Indian space technologies are likely to get the deserved push they need. FICCI’s ‘Bharat Space Conclave 2025’ is a major step in the direction of making the Indian space economy bigger and achieving the aim of $44 billion by 2033.
