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There is a pretty staright-forward log :

 gazebo_ros_control plugin is waiting for model URDF in parameter [robot_description] on the ROS param server.

And at the beginning of the ouput of roslaunch :

PARAMETERS
 * /rosdistro: kinetic
 * /rosversion: 1.12.14
 * /use_sim_time: True

So I assume that you don't define the parameter robot_description in your launch file and simply give it as an argument of the spawn_model node. In your launch file you simply need to add :

<!--  ******************** Robot Model ********************  -->
<param name="robot_description" command="$(find xacro)/xacro --inorder '$(find YOUR_PACKAGE)/urdf/URDF_NAME'"/>