The Indian entertainment industry is one of the most varied sectors present in India comprising of films, radio, theatre and music, advertising etc. Globally, the Indian Entertainment sector is among one of the major revenue earning sectors in the globe. The past two decades has witnessed a massive growth of the entertainment sector and it is also one of the fastest growing industries in the world.
The entertainment industry in India has reached a size of Rs 1,63,100 crore in FY’19 and it also projected a growth of 13% in the future. It is expected that the entertainment industry would grow by 13.5 % over FY19-FY24, to reach a size of Rs 3,07,000 crore in FY’24. There are also greater growths projected in this industry as the digital freedom is taking place and the content and delivery of the entertainment industry is also changing to a large extent. It should be noted that the entertainment industry is the largest employment generator in India. In the last one decade the Indian film and television industry has witnessed the growth of a number of production houses which has earned a niche for them in the industry. Also many newer radio channels have cropped up which has not only added to the variety but has also generated a lot of employment. There is a large boom in the television industry as well with many newer channels cropping up day by day to give the viewers an array of programs to watch. The entertainment industry is one of the highest revenue generating industries in India. Also the Indian advertising industry is projected to be the second fastest budding advertising market in Asia after China. Currently, advertising revenue accounts for approximately 0.38 per cent of India’s gross domestic product. To be specific India’s advertising revenue is projected to reach Rs 1,232.70 billion (US$ 18.39 billion) in FY23 from Rs 608.30 billion (US$ 9.44 billion) in FY18.
- The long-term outlook of the entertainment sector in India is favourable on expectation of Television and AGV segments which are expected to lead industry growth and offer growth under the digital technologies as well.
- As part of the policy support the government of India has increased the FDI limit from 74 per cent to 100 percent to boost the growth of film studios.
- India’s online gaming industry is anticipated to grow at a CAGR of 22 per cent between FY18-23 to reach Rs 11,900 crore (US$ 1.68 billion) in FY23.
- As of September 2018, Twitter announced video content collaboration with 12 Indian partners for video highlights and live streaming of sports, entertainment and news.
- The entertainment has got a clearance from the government on the grounds that that the provision of single window clearance system for ease of shooting films, which was earlier available only to foreigners, will now be made available to Indian filmmakers as well.
- The Government of India has agreed to set up the National Centre of Excellence for Animation, Gaming, Visual Effects and Comics industry in Mumbai. The Indian and Canadian Government have signed an audio visual co-production deal to enable producers from both the countries exchange and explore their culture and creativity, respectively.
- In February 2019, in the interim budget presented by Union Finance Minister it was stated that the Government will introduce anti-camcording provisions in the Cinematograph Act to control the menace of piracy.
- In December 2016 Government of India had laid down certain policies for the promotion of Indian films in different global festivals.
- In Budget 2017 it was announced that the foreign studios would be allowed to invest in the Indian film industry for setting up world class studios. This in turn would generate a lot of employment in the entertainment industry in India.
- The Government of India has supported Media and Entertainment industry’s expansion by taking various initiatives such as digitising the cable distribution sector to draw greater institutional funding, increasing FDI limit from 74 per cent to 100 per cent in cable and DTH satellite platforms, and granting industry status to the film industry for easy access to institutional finance.
- Growth is expected in retail advertisement, on the back of factors such as several players entering the food and beverages segment, e-commerce gaining more popularity in the country, and domestic companies trying out the field. The rural region is said to be a potentially profitable target.