The successful descent of the Chandrayaan-3 moon lander, orchestrated by the Indian Space Research Organisation, was a hugely important moment for India.
The combination of fiscal prudence, meticulous technological accuracy and structural intricacy reaches far beyond the graceful lunar touchdown; it demonstrates the future of both India’s economy and the country’s role in space development.
So, what are the ramifications for the country’s economy, the space industry and entrepreneurial landscape?
Impressive growth
India’s emergence in the global space industry has been remarkable. The current valuation of the country’s space marketplace is nearly US$8bn, and it has been exhibiting impressive growth, with a compound annual growth rate of 4%. This reflects India’s innovative approach to the space sector, with a significantly higher percentage of investment than the global average of 2% in recent years.
Chandrayaan-3’s successful landing holds profound business implications beyond its scientific significance
According to a recent report by Citigroup, the global space industry will expand to US$1 trillion by 2040, echoing recent findings by Morgan Stanley and Bank of America. The global space economy’s value has expanded by 70% since 2010, reaching US$424bn in 2020, according to research from Space Foundation. The Indian space economy, meanwhile, is slated to hit US$40bn by 2040.
Chandrayaan-3’s successful soft landing not only signifies a remarkable technological feat but also positions India favourably in the realm of space component manufacturing. The cutting-edge landing technology that has been developed can be adeptly repurposed for satellite deployment and positioning, boosting satellite-based services. This translates into real benefits for people worldwide, from faster internet speeds and traffic navigation to enhanced data collection capabilities in sectors such as meteorology, agriculture and environmental monitoring.
Manufacturing boost
Leveraging India’s existing strengths in satellite and launch vehicle manufacturing and associated services services could catapult the nation into a world leader with end-to-end competence in components manufacturing.
India can lead the way in developing environmentally conscious solutions
Another promising avenue for India is venturing into the emerging space mining sector. In addition to traditional resource extraction, space mining offers opportunities in in-space manufacturing and in-orbit servicing.
Meanwhile, innovations in green space technologies encompass sustainable fuel, reusable spacecraft and the integration of eco-friendly technologies. India can lead the way in developing these environmentally conscious solutions, contributing to the global effort for sustainable space exploration. By embracing green space innovations, India not only upholds its commitment to sustainable practices but also positions itself as a responsible and forward-thinking contributor to the industry.
There are also opportunities for international collaboration, exemplified by initiatives like the Artemis Accords, Nasa’s multilateral agreement to return humans to the Moon by 2025. In June, India became the 27th country to join the Artemis Accords, demonstrating its commitment to fostering diplomatic ties and joint ventures in the global space arena.
What role will the private sector play in economic growth and technological advancements?
Opportunities will also emerge for India in the rapidly growing field of space tourism and entertainment. As technology advances, offering cost-effective services in these domains could unlock new avenues for revenue generation and bolster the nation’s space economy.
New avenues
India’s space industry is progressing upward with Chandrayaan-3’s remarkable success. This accomplishment, combined with strategic foresight, positions India favourably, and promises to benefit the economy and businesses across various sectors, making the future of the Indian space industry exceptionally promising.
However, a number of questions remain:
- How will increased collaboration with international partners impact India’s role in the global space ecosystem?
- How cost-effective will following sustainable practices and eco-friendly solutions for space explorations be?
- What role will the private sector play in economic growth and technological advancements?
- How will advancements in space research and exploration impact education and inspire the next generation of scientists and entrepreneurs?
While many of these are unanswered or yet to be experienced, the Indian space industry has already paved its way toward making a global impact through its space wisdom and talent.
