‘Despite reputation, India’s per-unit space launch cost highest’, Pg11

Key Highlights:

• A recent analysis published in Economics Letters indicates India has the highest per-unit space launch cost among major spacefaring nations.
• The study, by Alessio Terzi and Francesco Nicoli, estimates India's cost at $13,302 per kilogram to Low-Earth Orbit (LEO) in 2025.
• This high cost is attributed to ISRO primarily using smaller rockets and infrequent launches, which spreads fixed costs over less payload.
• India is actively promoting private sector involvement in space, with IN-SPACe registering around 400 startups since 2020.
• Skyroot Aerospace launched India's first privately built orbital rocket in July, making India the third nation with this capability.
• Despite efforts, India recorded only five launches in 2025, leading Indian satellite operators like NewSpace India to use foreign launchers such as SpaceX's Falcon 9.

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Detailed Insights:

• India's estimated cost of $13,302/kg to LEO significantly exceeds that of Europe ($9,897), Russia ($6,682), China ($5,809), Japan ($5,287), and the U.S. ($3,225).
• The global average for per-kilogram launch cost was $3,868 in 2025, highlighting India's comparative disadvantage.
• The study found that only the U.S. and Europe have demonstrated a statistically significant experience curve in cost reduction since 2010.
• IN-SPACe had projected 30 launches between January 2024 and March 2025, but actual launches were less than half this number.
• NewSpace India Limited (NSIL), the commercial arm of ISRO, used a Falcon 9 rocket for the GSAT-N2 communications satellite due to its heavy weight and unavailability of suitable Indian or European launchers.
• Bengaluru-based startups Pixxel and Digantara also utilized SpaceX for placing India's first private commercial satellites in orbit.
• The increasing reliance on a single dominant launch provider like SpaceX raises concerns about potential geopolitical leverage or "weaponisation" of this dependency.

Key Concepts Involved:

• Low-Earth Orbit (LEO): An orbit typically between 160 km and 2,000 km above Earth's surface, commonly used for satellites.
• Payload: The cargo, such as satellites or instruments, carried by a rocket into space.
• Experience Curve: A concept where the cost per unit of output decreases as cumulative production or experience increases.
• IN-SPACe: The Indian National Space Promotion and Authorization Centre, an autonomous agency under the Department of Space, facilitating private sector participation.
• NewSpace India Limited (NSIL): A Central Public Sector Enterprise under the Department of Space, responsible for commercializing ISRO technologies and services.