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OSC Seeks Input Regarding U.S.-India Space Commerce

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The Office of Space Commerce (OSC) is seeking U.S. stakeholder perspectives and feedback regarding the regulation and competitiveness of U.S. space businesses in the Indian market. 

This information will support U.S. government preparation for the Civil Space Joint Working Group, Commercial Space Sub-working Group, and other U.S.-India government engagements and coordination aiming to improve U.S. market access and remove barriers to U.S.-India space-related commerce. 

This “Call for Input” also takes into account the 2023 India Space policy and its subsequent implementation, with special attention to its effect on Earth observation data goods and services. 

Call for Input:

Responses are requested by January 30, 2026.

Interested organizations may submit a response via this Google Form.

Alternatively, organizations may submit feedback via email to: Space.Commerce@noaa.gov, with the email header “Call for Input – India.” Questions for consideration may be found at the bottom of this webpage.

Responses and submissions to this questionnaire are purely voluntary. Do not submit proprietary nor business confidential information in your response. This is a general solicitation of comments from the public. This questionnaire does not solicit recommendations nor consensus positions for the United States Government. Commenters may respond to any question and do not need to respond to all questions. The questions below are only recommended and included to assist in organizing general responses. Responses to this questionnaire are strictly for informational purposes for the United States Government and will be reviewed in aggregate. OSC will consider all feedback.

Background: 

The U.S.-India Civil Space Joint Working Group (CSJWG), established in 2005, provides an important mechanism for structured collaboration, to address challenges promptly, and to pursue mutual goals. In late 2023, the CSWJG formed a new Commercial Space Sub-Working Group (CSSwG), co-chaired by the U.S. Office of Space Commerce and the India Department of Space (DOS) Indian Space Research Organization (ISRO).

U.S. government members include the Department of State, Department of Commerce, Department of Transportation, with support from the Federal Communications Commission and Federal Aviation Administration. Indian government members include the DOS, ISRO, IN-SPACe, NISL, and the Ministry of External Affairs.

This Sub-Working Group’s goal is to strengthen US-India space-related trade, and conditions for that trade. The CSSwG first focused on four areas of mutual interest: market access, export controls, government procurement and foreign direct investment. This “Call for Input” will help the U.S. government identify and prioritize issues to work on in the CSSwG and other US-India government engagements in 2026 and beyond.  

The 2023 India Space Policy: 

The 2023 India Space Policy is forward-leaning and intended to commercialize and privatize space activities in India. The implementation is currently managed via executive guidelines rather than a formal law, though a new Space Activities Bill (originally introduced in 2017) is being reworked and updated to provide a permanent legal foundation.

India’s Executive Guidelines:

The Indian National Space Promotion and Authorization Center (IN-SPACe) published the “Norms, Guidelines and Procedures for Implementation of Indian Space Policy 2023 in respect of Authorization of Space Activities” (NGP) in 2024. It governs how private companies (Non-Governmental Entities or NGEs) are authorized for launches, satellite operations (to include remote sensing), and ground stations.

The Indian remote sensing industry is further regulated by the “Guidelines for acquiring and producing Geospatial Data and Geospatial Data Services including Maps” (DST Guidelines) published by the Indian Department of Science and Technology. 

India’s Foreign Direct Investment (FDI) Policy:

As of 2025, India’s Space FDI Policy allows up to 100% foreign investment, categorized as follows: 

  • Manufacturing of Components and Systems: 100% FDI is allowed via the automatic route for manufacturing components, systems, or sub-systems related to satellites, ground segments, and user segments. 
  • Satellite Manufacturing and Operation: FDI up to 74% is permitted under the automatic route, but anything exceeding this limit requires government approval. 
  • Launch Vehicles and Spaceports: Up to 49% FDI is allowed under the automatic route while requiring government approval beyond this threshold.

OSC notes that a U.S. company must incorporate an Indian subsidiary or joint venture to take advantage of this policy. 

India’s Space Venture Capital Fund:

In October 2024, IN-SPACe opened a ~$120M Space Venture Capital Fund to co-invest alongside foreign capital in Indian space startups, to be deployed over five years. 

Common Challenges:

For context, some issues U.S. companies and experts have highlighted previously include: 

  • India Space Policy 2023 and the 2024 NGP restrictions on foreign-owned space services, and FDI Policy, requiring the set up of an Indian subsidiary or joint venture to proceed.
  • India’s government contracts require 50% local content/manufacturing and a purchase preference (usually a 20% margin) over foreign-affiliated firms.
  • Issues with timely access to testing and space-related infrastructure in India.
  • Concerns with India’s protocols protecting U.S. companies’ intellectual property. 
  • Difficulties navigating the process for frequency allocation and landing rights in India.
  • Challenges concerning U.S. export control and U.S. tariffs.

Special Interest re India Regulation of Remote Sensing: 

The OSC is interested in better understanding challenges faced by US companies that provide remote sensing-related goods and services to the Indian market. This includes licensing, data access and restrictions, and downstream service provision.

Questions for Consideration:

  • Organization/Name
  • What sector of industry do you represent? (e.g., Earth observation; Data analytics; Telecom; Launch; etc.)
  • What specific commodities or services are exchanged between your U.S. organization and India?
  • Have any Indian domestic regulations demonstrably restricted your U.S. organizations participation in the Indian market? If so, please describe.
  • Does the current Indian regulatory and legal framework permit your U.S. organization to compete equitably with domestic Indian organizations? Please provide a detailed explanation.
  • Have specific elements within India’s guidelines (e.g., NGP, DST, or others) presented compliance challenges for your U.S. organization? Please elaborate on these challenges.
  • What challenges has your U.S. company encountered, or what challenges are anticipated, when establishing a space-focused subsidiary or co-venture in India?
  • If your U.S. company, or Indian subsidiary or joint-venture, applied to India’s Space Venture Capital Fund, please describe the process from your perspective, and outcome.
  • Do you have any supplementary comments or observations regarding conducting business operations in India?

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