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New Delhi, [31st January 2025] – SIA-India and the Government e-Marketplace (GeM) have signed a transformative Memorandum of Understanding (MoU) to promote the integration of space-tech products, geospatial data, and related services into Government decision making and bringing these procurements to the Government e-Marketplace (GeM) portal. The portal which serves as India’s national public procurement portal, facilitating the acquisition of goods and services by all Central and State Government Ministries, Departments, Public Sector Units (PSUs), and autonomous bodies with all 28 states onboard.
GeM has transformed public procurement since its inception in 2016 by facilitating over 2.5 crore orders with a gross merchandise value (GMV) exceeding Rs 11 lakh crore, including services GMV of Rs 4.84 lakh crore. The platform has already led to savings exceeding INR 45,000 crore for the government, surpassing renowned international procurement systems such as South Korea’s KONEPS and Singapore’s GeBIZ.
This collaboration between SIA-India and GeM will enable seamless participation of MSMEs and startups in Government procurement of Space solutions, enhancing accessibility, transparency, and cost efficiency for government agencies. This collaboration will promote inclusivity by ensuring equal opportunities for MSMEs, startups, and industry players, driving innovation and accelerating growth in India’s space-tech and geospatial sectors
India’s space sector, accelerating rapidly post-liberalization, is projected to contribute $44 billion to the GDP by 2033, according to the IN-SPACe Decadal Vision report. While India’s geospatial market, including domestic and exports, is estimated to be worth approximately $3.33 billion (Rs 27,650 crore) in 2025, and by 2030, the industry is predicted to grow to $7.59 billion (Rs 63,000 crore). Inclusion of space technology and geospatial data & services on GeM will integrate an economy that is growing with a CAGR of 15%. Currently, the estimated expenditure by government agencies, defence, and PSUs for geospatial services alone is $3 billion (₹22,500 crore) in 2024. Integrating space-tech procurement into GeM could serve as the critical bridge to unlocking this potential and transforming India’s space economy.
Geospatial technologies, including Geographic Information Systems (GIS), Remote Sensing (RS), and Global Navigation Satellite Systems (GNSS), have become indispensable, especially in sectors such as urban planning, agriculture, disaster management, and defence playing a pivotal role in government flagship schemes like the Gati Shakti, National Infrastructure Pipeline (NIP), SWAMITVA, MG-NREGA, Smart City Mission, and the AMRUTmission, nurturing innovation and efficiency in public service delivery.
GeM’s inclusion of space data and services will streamline procurement with predefined criteria, online ordering, and integrated payments, making it more accessible despite the high costs of space tech and geospatial services. The platform enhances transparency through centralized operations and advanced analytics, ensuring fair cost comparisons and helping government agencies get the best value. It also supports compliance measures and fosters accountability.
“GeM, will broaden its bouquet of specialised services with the inclusion of spaceborne platforms like satellites for remote sensing applicationsin addition to drones and in-situ data devices. This initiative will drive economic growth and position GeM as an innovation hub for this sector.”— Ajit B Chavan, Additional CEO, Government eMarketplace, Ministry of Commerce and Industry
As a centralized platform, GeM simplifies bidding for MSMEs, offers advanced analytics for demand forecasting, and supports flexible procurement strategies. Features like forward auctions, integrated payments, and efficient evaluation processes will foster fair competition and accelerate the government’s procurement of space technology and services.
“GeM’s compliance mechanisms ensure 95% regulatory adherence, while its analytics enhance anomaly detection and market intelligence—vital for geospatial data’s dual-use nature. With a increase in procurement options and projected cost savings of 15-20%, the platform streamlines procurement, fosters innovation, and accelerates India’s space economy growth. ” – Anil Prakash, Director General, SIA-India
GeM: A Game-Changer for Procurement in the Space Sector
SIA-India plays a pivotal role in this partnership with GeM by leveraging its expertise to expand GeM’s space sector offerings, making advanced space technologies more accessible to government agencies. In addition, SIA-India will facilitate the onboarding of MSMEs and startups, equipping them with the necessary skills and certifications for government tenders through capacity-building programs. Joint training and awareness initiatives will further drive the adoption and integration of space technologies across ministries, departments, and industry stakeholders. Acting as a crucial matchmaker, SIA-India will connect relevant players to optimize this collaboration. This initiative will democratise the procurement process, enabling industry players to access government contracts more efficiently, while providing ministries and departments of centre and state with a dedicated portal for streamlined and structured procurement of space solutions.
The MoU marks a transformative moment for India’s space industry, reinforcing the government’s commitment to nurturing a robust ecosystem for MSMEs and startups. This partnership will not only accelerate growth in the space sector but also strengthen India’s space economy, laying the foundation for a virtuous cycle of innovation, investment, and technological advancement.
SIA-India: SIA-India is a dynamic, not-for-profit space sector association, dedicated to advancing sectoral interests, accelerating industry growth, and catalysing collaboration through strategic engagements with key governmental and global stakeholders, policymakers, regulatory bodies, and standardisation entities, aiming to create a vibrant and innovative ecosystem within the civil, commercial and defence space domains.
