The Government has extended GST exemptions on ‘Satellite Launch Services’ and the ‘transfer of communication assets, including spacecraft and satellites’, to foster growth in the domestic space sector. The move aims to encourage Indian players in the space industry. While GST exemptions for Ground Systems and components of launch vehicles and satellites have been requested by the industry during various meetings and forums, a formal proposal detailing the exemption’s scope is still awaited.
Additionally, the government has introduced an ‘Investment Incentive Scheme’ for the space sector, replacing the Production-Linked Incentive (PLI) scheme, to further boost the industry.
To encourage the application of space technology, the Indian National Space Promotion and Authorization Center (IN-SPACe) has launched a seed fund scheme, providing grants to six Indian startups. These startups are working on developing innovative products and services in sectors such as agriculture, disaster management, and urban development using space technology. The startups receiving grants include M/s ARMS4AI, M/s mistEO, M/s Augtual (Fabric), M/s Hyspace, M/s Xovian, and M/s Seagull.
This information was shared by Dr. Jitendra Singh, Union Minister of State for Science and Technology, Earth Sciences, and Space, in a written reply in the Lok Sabha today.