Even if the Australian federal government launched on Tuesday its first national space policy, the country would neither send astronauts to Mars or other celestial destinations.

Instead, Canberra would focus on satellites which have many uses in the daily lives of Australians, Minister Assisting for Industry and Innovation Kate Lundy said.

She said the bulk of the 14 space research projects funded by a $40 million federal investment would focus on space-related research, education and innovation activities. The fund and projects would be spread in six universities in the country.

"No Aussies in space any time soon ... But as I made very clear, how we used out satellite capability and space policy generally is something that will always be part of our future," Ms Lundy said.

She said the policy would ensure Australian access to more than 600 satellites in the future.

As part of the policy, the federal government will establish in the middle of 2014 a central space research office in which current agencies and departments such as Geoscience Australia and the Department of Meteorology would play a role.

Ms Lundy said she expects the country's satellite business to generate $12 billion for the Australian economy by 2030. Satellite imagery is expected to contribute $3.3 billion yearly and positioning technologies another $1 billion.

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