Budget 2024: How will budget affect India’s position in the global space race?

Watching the Chandrayaan-3 lander complete its soft-landing on the far side of the Moon was undoubtedly one of the most proud moments for all Indians in 2023. And yet, we tend to forget that this was an achievement that was somehow completed with a budget less than that of some Bollywood movies.

Thanks to monumental achievements such as Chandrayaan and Aditya-L1, in addition to increased government support and a surge in private sector involvement, India’s space sector has been rapidly evolving. However, a defining theme of all the past successful missions in the space sector for ISRO has been its ability to achieve them in the most economical way possible, often at one-tenth of the cost compared to its western counterparts.

Now, as more funds flow in from both public and private routes, India’s space sector is at the precipice of a unmatched growth phase. With another hike in the pipeline for the space sector, the Budget 2024 is poised to further boost India’s position in the global space race by enhancing funding, providing incentives, and fostering international collaborations.

How does India’s space budget compare to other countries?

As per the interim budget announcement, India’s space budget for 2024-25 will stand at around Rs 13,042.75 crores, a 4% increase from the previous year’s Rs 12,545 crore. To truly contextualise this, let’s compare it with other leading space-faring nations.
The USA, through NASA, allocated about Rs 2,12,000 crores ($25.4 billion) in 2023, focusing on the Artemis program, Mars exploration, and advanced satellite technologies, as per the The Planetary Society. China’s space program received approximately Rs 1,18,000 crores ($11 billion), supporting lunar missions, Mars exploration, and building its own space station, as per media reports. Meanwhile, The European Space Agency (ESA) had a budget of around Rs 63,700 crores ($7.6 billion) last year to fund a range of scientific missions, Earth observation, and international collaborations.

While India's budget remains categorically minuscule in comparison, it prioritises cost-effective missions and innovative technologies, often achieving impressive results with fewer resources. However, many are concerned how this financial constraint could affect infrastructure development, cause delays in critical projects like Gaganyaan, and restrict the private sector's growth and innovation. Furthermore, it may also limit India's influence in global space governance and international collaborations, at a time when most countries seem to be set on a race to transform themselves into a space-faring society.

Upcoming missions and international collaborations

While space spending can be useful for many quality of life aspects — such as agriculture and climate preparedness — it is often the major space missions that steal the spotlight. Key projects in the 2024 budget include the Gaganyaan mission, which aims to send Indian astronauts into space. Additionally, the Mars Orbiter Mission 2 (Mangalyaan 2) is slated for a 2024 launch, which — if successful — could mark a significant step in India's interplanetary exploration prowess.
International collaborations are also a significant cornerstone of India’s space strategy. The NASA-ISRO Synthetic Aperture Radar (NISAR) mission, scheduled for 2024, exemplifies such partnerships. This mission will provide critical data for understanding Earth’s changing ecosystems, ice mass, and natural hazards.

International collaborations are crucial because they help a great deal with enhancing technical expertise and shared resources. As such, joint ventures like NISAR and partnerships with other space agencies help India stay competitive globally. Another significant collaboration is with the United States, where an Indian astronaut will be sent to the International Space Station (ISS) by the end of 2024.

Indian leadership in space tech

The budget may be low, but India’s space spirit is certainly not weak. Despite limited resources, India has demonstrated strengths in many aspects of space technologies. For instance, the Indian Space Research Organisation (ISRO) is known for its reliable and cost-effective launch vehicles, like the PSLV and GSLV, which have successfully placed numerous satellites into orbit. In a tremendous feat, the PSLV-C37 successfully launched 104 satellites in a single flight in September 2023!
India also excels in manufacturing satellites for communication, weather monitoring, and Earth observation. The upcoming deployment of 50 AI-powered GEOINT satellites will enhance national security and surveillance. With the right investments, India could lead globally in low-cost space missions and innovative satellite technologies.

Long-term visions for India’s space program

The long-term vision for India's space program, as outlined in the Budget, includes establishing a dedicated space station by 2035 and increasing the country’s share in the global space economy.
The Indian government aims to capture nearly 10% of the global space market by 2030, up from its current 2-3% share. This ambition aligns with broader geopolitical and economic goals, positioning India as a key player in space exploration and satellite services.

Budget 2024 will be crucial for strengthening India’s position in the global space race. As the country gears up for upcoming missions and technological advancements, the global space community will be closely watching India's progress.