HAL Secures Contract to Build and Commercialize India's Small Satellite Launch Vehicles
Hindustan Aeronautics Limited (HAL) has emerged as the successful bidder for the production of India's Small Satellite Launch Vehicle (SSLV), as the Indian National Space Promotion and Authorization Center (IN-SPACe) announced on Friday. The news provided a boost to HAL's stock, which saw an increase of 1.54% to ₹4,977.60.
HAL's winning bid, valued at ₹511 crore, grants the company the rights to manufacture, own, and commercialize SSLV launches. This development marks the inaugural strategic transfer of rocket technology in line with the Indian government's new space policy aimed at sector liberalization.
The competitive bidding process attracted interest from nearly 20 companies, with HAL ultimately surpassing consortiums led by Adani Group’s Alpha Design and Bharat Dynamics Ltd. HAL's bid was distinguished by its solo entry, setting it apart from other contenders.
The SSLV is engineered to transport payloads of up to 500 kg to low-Earth orbit, catering to the increasing global demand for small satellite deployment. Pawan Goenka, Chairperson of IN-SPACe, highlighted this achievement as a significant step towards creating a robust commercial space ecosystem in India.
On a global scale, the low-Earth orbit launch vehicle market was valued at $13.9 billion in 2023, with projections indicating growth to $44 billion by 2032, as reported by Global Market Insights. India, currently holding just 2% of the global space economy, has set ambitious targets to expand from $8 billion to $44 billion by 2030.
HAL's success is viewed as a pivotal advancement in India's pursuit to enhance its space sector capabilities and establish itself as a formidable competitor in the international satellite launch market.
