Powered by post-2019 reforms, India’s space sector now hosts 399 startups, is worth $8.4 billion, and is projected to multiply rapidly over the next decade, updates Minister.
India’s space economy has expanded to an estimated $8.4 billion, with 399 startups now actively contributing to launch vehicles, satellites, propulsion systems, and space-grade electronics, according to Dr Jitendra Singh, Union Minister of State for Science and Technology, speaking in the Rajya Sabha on Wednesday, January 28, 2026.
The Minister highlighted that this growth follows policy reforms that opened the sector to private participation after 2019. One of the key reforms was the establishment of the Indian National Space Promotion and Authorization Centre (IN-SPACe). This centre serves as a single-window interface, facilitating interaction between industry and government bodies, including the Indian Space Research Organisation (ISRO).
Dr Singh noted that while ISRO had always possessed strong scientific capability, the lack of an enabling ecosystem had previously limited broader industrial involvement. This fostered an environment conducive to private investment and entrepreneurial activity, transforming the space sector, which was once predominantly government-driven.
As a result, the number of space startups has surged from just a handful to 399. The sector, once marginal in terms of economic contribution, is now valued at approximately $8.4 billion and is expected to grow four to five times over the next decade, potentially reaching $40-45 billion.
Private companies are now involved across the entire space value chain. For example, Hindustan Aeronautics Limited has signed a technology transfer agreement with ISRO for the Small Satellite Launch Vehicle. Various Indian firms are also engaged in satellite platforms, launch systems, propulsion technologies, and related applications.
Furthermore, the revenue generated from launching foreign satellites has been substantial. ISRO has launched 434 foreign satellites to date, earning around €323 million and $233 million.
Dr Singh concluded that with private investment gaining momentum and robust institutional support, the space sector is set to become a key contributor to India’s economic growth in the years ahead.
