The space age is here for India

THE SPACE ECONOMY is expanding faster than at any point in its history, and India is well-positioned to participate in its next phase of growth.

- PRASAD GADKARI K MUKUNDAN

India combines technical capability,a large domestic demand base, and a rapidly growing private ecosystem, creating an opportunity for global capital seeking exposure to the commercialisation of space.The government has made India’s ambition clear—to build a $44-billion space economy within the next decade, capturing roughly 8% of the global market.What lends momentum to this goal is the speed atwhich policy, institutions,and market mechanisms are being aligned.

The 2026 Budget reinforces this trajectory through varied instruments—a %13,706-crore allocation to the Department of Space as well as a ¥20,000-crore top-up tothe Research, Developmentand Innovation Fund that could benefit deep-tech ventures in the sector. The government’s message is clear—commercial space is part of a broader innovation-led industrial strategy.

Aquiet but significant shift is unfolding in India’s space sector—from a largely state-led programme to a broad-based industry with commercial depth and private ambition. The shift is structural, backed by policy, and increasingly attractive for capital.

India’s competitive strength liesinthe long-built capabilities ofits national space programme. Achievements such as the consistent performance of PSLVs/GSLVs, the Chandrayaan-3 lunar landing, anda mature earth-observation (EO) system have not just enhanced scientific reputation; they have built a tech platform that private firms can nowscale commercially.