The vehicle blasted off at 4:58 pm (1128 GMT) from the Sathish Dhawan Space Centre at Sriharikota in the southern state of Andhra Pradesh.

It was carrying the GSAT-2 communication satellite, which was placed into Geosynchronous Transfer Orbit -- synchronised with the spinning of the earth -- 998 seconds after lift-off, officials said.

The GSLV was last tested in April 2001 when a 1,540-kilogramme (3,388-pound) experimental satellite GSAT-1, was placed into orbit.

Arrangements were made for Prime Minister Atal Behari Vajpayee to watch the launch live on television from his residence in New Delhi, officials told the Press Trust of India news agency.

The prime minister is likely to address scientists from the Indian Space Research Organisation (ISRO) from New Delhi later Thursday, PTI said.

India is eyeing the lucrative satellite launch vehicle market and in September last year successfully launched a polar satellite launch vehicle capable of projecting a 1,000-1,200 kilogramme unit into space.

SPACE.WIRE