India will have to invest more in space. This initial study shows that India’s space economy has been shrinking, relative to total GDP, over the last few years
When rockets, satellites and spacecraft boldly go where no man (or woman) has gone before, can economists fail to tag along? As space-related activity has increased, attempts to quantify the space economy have grown in quantity and quality. A recent paper by researchers at the Centre for Development Studies and the Indian Institute of Space Science and Technology, both based in the capital of Kerala, has attempted to put a number to the contribution of the space sector to India’s economy, and come up with ₹36,794 crore, or 0.23% of GDP. That might not sound like much, but the figure is a probable underestimate. It is an important sector of the economy that will grow faster than most others and this initial estimate is welcome, as the first step to getting a firm handle on the actual impact of the space sector on India’s economy.