In a space conference, INSPACe chairman Pawan Goenka said that the newly-created Indian National Space Promotion and Authorisation Centre (INSPACe), under the Indian government’s Department of Space, is on the verge of finalizing a new Foreign Direct Investment (FDI) policy for space startups, on Thursday.
Finalization Of New FDI Policy
Further, Goenka said, “The policy has been defined, it has been agreed to by all and I believe that it is a very good, balanced policy that is directed towards creating opportunity for growth for Indian companies and at the same time allowing foreign companies to come in and play a major role both in terms of bringing technology and bringing investment.”
The news was announced at an international conference Spacecraft Mission Operations (SMOPS-2023) on June 8 and 9, which was organized by the Indian Space Research Organization (ISRO) in Bengaluru.
The INSPACe chairman said,“The FDI constraint is one of the issues in the space sector because many of the startups are not able to get investments for their growth, and the foreign companies who want to grow their business in the space sector in India are not able to do so due to the FDI policy.”
Nothing Is Off Limits For The Private Sector
So far, the space sector in India remains a sunrise sector despite being in existence for 60 years, according to Goenka.
Further adding that under the new space policy crafted by the GoI, the role of ISRO would move increasingly towards research and hand-holding private enterprises to whom technology would be transferred collaboratively.
He said, “Technology transfer to the private sector is a big part of what the government asks us to do. The private sector is building the PSLV and the SSLV EOI (Small Satellite Launch Vehicle – Expression of Interest) is about to come. We are looking at major things that will move from ISRO to the private sector in a collaborative manner.”
Adding, “Under the new space policy, nothing is off limits for the private sector. This is the primary objective of the policy. Building satellites and rockets, owning space assets, delivering commercial service, creating infrastructure… At present, all of this is under ISRO but the vision is that the private sector will come forward and play a major role in how the space sector moves forward in India.”
The INSPACe chairman said that ISRO will focus primarily on research and development and scientific missions as it would help ISRO in assuming a technology leadership role in the world.
