Space Economy of India has a big impact on the rest of the economy of the country
The space industry in India has become a crucial driver of economic growth, innovation, and social development. The emergence of private space startups has led to the creation of high-skilled jobs, positively impacting local economies. Space-derived products and services have also created job opportunities in agriculture, disaster management, and urban planning, integrating space technologies across various industries. Private space startups are also attracting substantial investments, generating revenue through satellite manufacturing, launch services, and space-based applications. This research has examined the wide-ranging economic and societal impacts of India’s space economy, employing an analytical framework adapted from the OECD to assess outcomes across multiple dimensions. The findings reveal that while the absolute size of India’s space economy remains modest in terms of GDP share (approximately 0.2 % in 2020–21), its sectoral reach and developmental significance are profound. The structured analysis demonstrates that the space sector in India has been a catalyst for high-skilled employment generation, revenue creation, efficiency gains, cost savings, social inclusion, and technological spillovers. In terms of employment, the space economy has directly created approximately 50,000 jobs, spread across ISRO, public and private manufacturing enterprises, and a fast-growing startup ecosystem. New revenue streams have emerged from satellite-based communications, navigation, launch services, and commercial partnerships led by New Space India Limited (NSIL). Efficiency improvements across sectors are striking. In agriculture, satellite-driven weather forecasting and crop monitoring have increased yields and reduced input costs. Cost avoidance represents another major area of impact. Improved cyclone forecasting, facilitated by ISRO’s satellites, has contributed to an 88 % reduction in cyclone-related mortality between 2000–2009 and 2010–2019.
Sunil Mani, V.K. Dadhwal, Shaijumon C S (2025), "Space Economy of India, Its Impact on the Rest of the Economy", Space Policy.