Explore

Search
Close this search box.

Search

Sunday, June 16, 2024, 12:24 pm

Sunday, June 16, 2024, 12:24 pm

Search
Close this search box.
LATEST NEWS
Lifestyle

Clear regulations governing the space industry must be maintained by the government.

space industry
Share This Post

Formerly, space was thought of as the ultimate frontier, but as it has been explored more, stories with financial, socioeconomic, and geopolitical ramifications have supplanted this idealistic view. For many years, only national agencies were qualified to pursue the costly and hazardous ambitions of space technology and space flight.
This is no longer the case as private sector companies are being expected to recognise market possibilities and innovate quickly in order to complement, supplement, and/or lead the way. The Indian space industry was opened to private companies in 2020 as a result of state-led reforms. Later, the country released the “Geospatial Guidelines” and the “Indian Space Policy,” established the Indian National Space Promotion and Authorization Centre (IN-SPACe), and passed the Telecommunications Act 2023, which among other things deviated from the Indian Telegraph Act of 1885 and allowed for satellite broadband services. On February 21, the government announced that 100% of foreign direct investments (FDI) could be made in the “manufacturing of components and systems/sub-systems for satellites, ground segment and user segment”; this included up to 49% in launch vehicles, space ports, and their related systems, and up to 74% in satellite manufacturing, operations, and data products. Accordingly, the government has taken the next logical step to encourage the contributions of private space freight operators, technology developers, and application designers to the national space economy, in line with goals outlined in the Space Policy, by clearing the path and permitting significant FDI via the automatic route.

India may now use its less tainted international connections to overtake China as the more sophisticated space power, thanks to the judgement. Though other nations, like the United States, have similar policies, the Chinese programme benefits from a sizeable private sector participation. However, its aggressive foreign policies and the Xi Jinping administration’s plan to modernise the military, which includes repurposing civilian technologies for military use, make it difficult to draw in foreign investments. Space start-ups received a “significant” portion of the $37.1 billion that the space sector raised globally in 2021–2023, according to IN-SPACe chairman Pawan K. Goenka. In light of this extended backdrop, new investments have the potential to strengthen India’s space economy through facilitating start-ups’ access to talent and capital, promoting local manufacturing, enhancing investor confidence, and eliciting a better balance between upstream and downstream opportunities than the current skew towards the former. Ultimately, in order to maintain these winds of change, the government needs to simplify regulations, cut red tape, boost public support, and make it easier for Indian businesses to enter international markets.

 

Abhishek Verma


Share This Post

Leave a Comment

Digitalconvey.com digitalgriot.com buzzopen.com buzz4ai.com marketmystique.com