Regulatory clarity necessary for more investments in space sector: Experts

Space. Image credit: pexels.com

India needs to bring in much more clarity in terms of policies and regulations around space for the sector to receive more capital investments in the near future, experts said.

Experts at a panel titled Space Investment Outlook and Funding for New Ventures at India Space Congress in India pointed towards the lack of facilitating policies for shying away from investing in the Indian space tech startup market.

"We have not invested anything in India. We do see interest. We are slow in regard to the Indian market because we are unsure about the regulations. It is not very clear. it is a hindrance for foreign companies to invest," said Raghu Das, partner at Florida-base E2MC Ventures.

Das also explained that he wants more Indian investors to show interest in this regard.

"Being a foreign company, we also want Indian investment to come as a lead and we will basically participate because as a space investor we are not just here to give money," Das said.

"We will also provide handholding -- connect startups to others in the space industry; because it's a small industry and collaboration is necessary," he added.

Another panelist said, "I think the point of absence of regulatory clarity or legislative clarity is crucial. Until that gets sorted out, it is going to be pretty difficult on how things will grow out."

The Draft Indian Space Policy is still under consideration and it is not yet clear when it will see the light of day. Simultaneously, the government is also working on the space sector FDI policy, and it is expected to be released soon, S Somanath, ISRO chairman said on October 26.