In News:

Recently, the Tamil Nadu Cabinet approved its Space Industrial Policy, becoming the third state after Karnataka and Gujarat to adopt a dedicated strategy to stimulate investments and innovation in the space sector. This move aligns with the national framework set by the Indian Space Policy 2023 and supports India's growing space economy.

IN-SPACe and its Role:

• IN-SPACe (Indian National Space Promotion and Authorisation Centre) is an autonomous, single-window agency under the Department of Space (DoS).
• Created as part of India’s space sector reforms, it promotes and authorises the participation of Non-Governmental Entities (NGEs) in space activities.
• Functions include:
  • Supporting private entities in the development of launch vehicles, satellites, and space-based services.
  • Facilitating access to ISRO infrastructure and co-development initiatives.
  • Providing support for research, innovation, and educational collaboration.
• Headquartered at Bopal, Ahmedabad, it serves as the bridge between ISRO and private sector stakeholders.
• IN-SPACe encouraged Tamil Nadu to formulate the Space Industrial Policy to promote the state’s role in India’s space mission.

Tamil Nadu’s Strategic Space Assets:

• ISRO Propulsion Complex (IPRC), Mahendragiri (Tirunelveli): Engaged in testing cryogenic engines, liquid propulsion systems, and R&D activities.
• Second Spaceport at Kulasekarapattinam (Thoothukudi): Enhances satellite launch capacity, especially for small satellites and polar launches.
• Presence of space-tech startups in areas like:
  • Reusable launch vehicles
  • In-space manufacturing
  • In-orbit refuelling
  • Satellite data analytics
• Space Technology Incubation Centre (STIC) at NIT Trichy supports southern-region ISRO projects and academia-industry collaboration.
• Over 250 ISRO vendors operate in the state, creating a robust supply chain ecosystem.

Objectives of Tamil Nadu's Space Industrial Policy:

• Target investment: ?10,000 crore over the next 5 years.
• Employment generation: Estimated 10,000 direct and indirect jobs.
• Strengthens Tamil Nadu’s capabilities in:
  • Electronics and precision manufacturing
  • Strategic electronics and space-grade components
• Promotes integration of space technologies in governance (e.g., disaster management, fisheries, agriculture, health, transport).

Policy Incentives:

• Payroll subsidy for companies engaged in R&D or setting up Global Capability Centres.
• Space Bays: Select regions will be designated to offer structured incentive packages for investments below ?300 crore.
• Industrial housing incentive: 10% subsidy (capped at ?10 crore) for building residential facilities in space industrial parks.
• Green initiatives: 25% capital subsidy (capped at ?5 crore) for environmentally sustainable developments.

Institutional Support:

• TIDCO (Tamil Nadu Industrial Development Corporation) signed an MoU with IN-SPACe to facilitate:
  • Manufacturing activities
  • Strategic collaborations with private companies
  • R&D and design-based projects in the space domain