ISRO Chairman V. Narayanan has announced a significant move to transfer 50 per cent of Polar Satellite Launch Vehicle (PSLV) development to an Indian industry consortium, marking a new phase in India’s space sector evolution.

The announcement was made at the 7th India Manufacturing Show (IMS 2025), held at the Bangalore International Exhibition Centre, where Narayanan highlighted the growing capability of domestic aerospace, defence, and engineering industries.​

The consortium, led by Hindustan Aeronautics Limited (HAL) and Larsen & Toubro (L&T), has already produced the first PSLV rocket, with plans for its launch before the end of the current financial year, likely by February 2026.

Narayanan stated that after two successful launches by the consortium, ISRO will directly hand over at least half of PSLV development to Indian industry, accelerating self-reliance and manufacturing scale.​

Indian industry now contributes 80 to 85 per cent of the systems for ISRO’s missions, with around 450 companies supporting the space agency’s programmes. The recent CMS-03 mission, launched on the LVM3-M5 'Bahubali' rocket, saw nearly all its systems delivered by Indian industry, underscoring the sector’s maturity and capacity.​

Narayanan cited the successful launch of the NASA-ISRO Synthetic Aperture Radar (NISAR) satellite in July 2025, which was entirely built and assembled in India by Indian industries, as a major milestone. ISRO has also transferred SSLV technology to HAL under a ₹511 crore agreement, with plans to shift production of 16 SSLVs to private industry.​

The government’s space sector reforms have catalysed the growth of a vibrant start-up ecosystem, with over 330 space-focused start-ups now active in India, compared to just a handful a few years ago. This expansion has been critical in supporting ISRO’s ambitious launch targets and technological advancements.​

Narayanan recalled India’s soft landing near the Moon’s South Pole in August 2023 as a defining moment for global space science. He also highlighted the Mars Orbiter Mission’s precision and India’s indigenous cryogenic engine development, which has enabled world-class propulsion systems.

ISRO completed its 100th rocket launch in January 2024, and the agency is now working on scaling up satellite operations and annual launches, with Prime Minister Narendra Modi setting a target of 50 launches per year within five years.​

ISRO’s strategy to transfer PSLV development to Indian industry reflects a broader push towards self-reliance, technological independence, and the scaling of India’s space manufacturing base. With strong industry participation and a growing start-up ecosystem, India is poised to become a global leader in space technology and launch services.​

Agencies