(MENAFN- KNN India)
New Delhi, Aug 24 (KNN)
As India celebrates its first National Space Day, marking the one-year anniversary of Chandrayaan-3's successful moon landing, a new report reveals the significant economic impact of the country's space sector.
According to preliminary findings presented by Steve Bochinger of Novaspace, a European consultancy, India's space sector has directly contributed approximately $24 billion (₹20,000 crore) to the nation's Gross Domestic Product over the last ten years.
The sector has also directly supported 96,000 jobs across public and private industries.
The report, initiated by the Indian Space Research Organisation (ISRO), highlights the multiplier effect of the space industry on the broader economy.
For every dollar produced by the space sector, there was a $2.54 impact on the Indian economy. Moreover, India's space workforce was found to be 2.5 times more productive than the country's average industrial workforce.
The study, conducted by Indian economics research firm econONE and Novaspace, involved interviews with representatives from 56 Indian organizations in both public and private sectors. It revealed that India has invested $13 billion in its space sector over the past decade, positioning the country as the 8th largest space economy globally in terms of funding.
The space sector in India has seen significant growth and diversification, with 700 companies now operating in the field, including 200 startups. Revenues have grown to $6.3 billion in 2023, representing about 1.5% of the global space market.
Satellite communications emerged as the largest contributor to the space economy at 54%, followed by navigation (26%) and launches (11%). The main industries supported by the space sector were identified as telecom (25%), information technology (10%), and administrative services (7%).
While the report paints a positive picture of the sector's growth, it also highlights areas for improvement. Many stakeholders indicated that while India's space progress has boosted national prestige and international leadership, it has yet to significantly impact company profitability or competitiveness. The report suggests that this may change as commercial space becomes a key priority area.
The findings were presented during the National Space Day celebrations in New Delhi, which were attended by President Droupadi Murmu, Union Minister of State for Science and Technology Jitendra Singh, and ISRO Chairman S Somanath.
The event also featured a space exhibition, underscoring the government's commitment to showcasing India's achievements in space exploration.
As India continues to make strides in space technology, the report concludes that regulatory reforms and development of the venture capital ecosystem will be crucial for realizing the full potential of the country's space sector.
(KNN Bureau)
MENAFN24082024000155011030ID1108596582
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.