Gujarat Launches India’s First Space Tech Policy: Targets $5 Billion Investment by 2030

Soumya Verma
By
Soumya Verma
Correspondent
Soumya Verma is Senior Correspondent at StartupFeed, covering startup policy, government schemes and early-stage funding in India. She writes from inside the ecosystem she reports on...
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Summary Points

  • Gujarat becomes India’s first state to unveil a Space Technology Policy.
  • Aims to attract USD 5 billion (approx. Rs 41,800 crore) in investment over the next 5 years.
  • Focus on satellite manufacturing, data applications, and launch support infrastructure.
  • State to set up a Gujarat Space Innovation Hub.
  • Strong alignment with India’s national space goals and private sector participation.

Gujarat Takes Off with India’s First Space Technology Policy

Gujarat has taken a bold leap into the future of aerospace innovation by becoming the first Indian state to announce a dedicated Space Tech Policy 2025. The new policy, launched in April 2025, is designed to foster innovation, attract private investments, and make Gujarat a hub for space-tech enterprises.

Aiming for the Stars—and $5 Billion

The policy sets an ambitious goal: attracting USD 5 billion (around Rs 41,800 crore) in investment in the space sector over the next five years.

This move is expected to create thousands of high-skill jobs, support local startups, and position Gujarat as a leading player in India’s expanding private space ecosystem.

Key Focus Areas

The Gujarat Space Tech Policy outlines several core areas for development:

  • Satellite Design and Manufacturing: Supporting private companies to build low-earth orbit (LEO) and communication satellites.
  • Ground Infrastructure: Setting up tracking stations, launch support centers, and data processing units.
  • Data Applications: Promoting geospatial data use in agriculture, weather forecasting, urban planning, and disaster management.
  • Innovation Ecosystem: Partnering with academia and incubators to nurture space startups.
  • Policy Support and Incentives: Offering capital subsidies, land provisions, and fast-track clearances.

Gujarat Space Innovation Hub to be Set Up

The state will establish a Gujarat Space Innovation Hub (GSIH), a dedicated platform for collaboration among government agencies, startups, research institutions, and global players.

It will offer:

  • Testing and simulation labs.
  • Grants and seed funding support.
  • Business acceleration and mentorship programs.

Why Gujarat, and Why Now?

Gujarat’s strategic location, industrial infrastructure, and policy-friendly environment make it an ideal launchpad for the space sector.

This policy comes at a time when:

  • India is opening up its space sector to private firms.
  • The global space economy is projected to cross USD 1 trillion by 2040 (according to Morgan Stanley).
  • ISRO is increasingly collaborating with startups like Skyroot Aerospace and Pixxel.

By acting early, Gujarat aims to grab a significant share of this opportunity.

Private Sector Gets a Big Boost

The policy puts strong emphasis on private participation by:

  • Offering public-private partnership (PPP) models for key projects.
  • Attracting global OEMs and satellite companies.
  • Facilitating easier regulatory approvals through a single-window system.

With this move, Gujarat is likely to set a precedent for other Indian states to draft similar policies. Experts believe this will drive regional innovation, skill development, and make India globally competitive in space technology.

Correspondent
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Soumya Verma is Senior Correspondent at StartupFeed, covering startup policy, government schemes and early-stage funding in India. She writes from inside the ecosystem she reports on — working within one of North India's largest startup incubation centres, where she evaluates early-stage ventures on technology readiness and investor preparedness, and drafts funding proposals at crore scale under national innovation schemes. She has guided more than 75 plus founders through pitch, valuation and compliance, and reports on the same programmes she works with every day
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