India@75: The journey of M&E industry

The fourth pillar of democracy, the media, is one of the most important aspects of any country. It has the power to shape public opinion, spread information, and entertain the masses. Even before independence, India had a rich background when it came to the media and entertainment industry: the first printing press was set up in 1674 and radio & broadcasting began in 1923. Post independence, the sector saw monumental growth, especially after the television came in 1959. Today, it is one of the strongest and sunrise sectors, contributing immensely to the Indian economy. As India enters the 75th year of its being, here’s looking at the key events and policies that shaped the Indian media and entertainment industry since independence. 

The first steps

The initial few years after independence were more about streamlining the existing media channels and introducing regulatory acts. The Cinematograph Act of 1952, which covered the censorship and certification of movies, and The Copyright Act of 1957 that ushered in the  first modern Intellectual Property Regime in the country, benefitted the print sector largely. The act has since been amended six times. 

The then Prime Minister, Jawaharlal Nehru, was also instrumental in setting up the three academies-Lalit Kala, Sangeet Natak, and Sahitya– and expanding the All India Radio (AIR), creating a solid cultural base for the media and entertainment industry. 

Welcoming the TV

The television industry grew ever so slowly in the beginning years with the first TV starting as an experimental telecast in Delhi in 1959 with a small transmitter and a makeshift studio. Daily transmissions began only in 1965, and by 1975, only seven Indian cities had television services. It was in the 1980 that small screen programming actually began on Doordarshan and cult shows like Ramayana & Mahabharata made their way to the small screens. By 1982, India had started getting coloured transmissions on their TV sets. 

In the early 80s, the first paid television commercials also entered the game, Gwalior Suitings possibly being the first advertiser. A few years later, Bombay Dyeing, reportedly, released the first-ever coloured TV ad. 

Globalisation & private TV channels

The early 90s brought in the era of globalisation in India, trade controls were relaxed, which eventually benefitted the broadcasting industry immensely. In October 1992, the country got its first private TV channel in Zee TV. Then ushered in a number of TV programmes and niche channels for music, movies, entertainment, infotainment, cartoons, and news. 

As the Indian market opened up for international players, the advertisers too loomed large, giving the television industry a great push. Amul, Archies, Pidillite, Nestle, etc gave several iconic pieces of advertising. 

The Prasar Bharti Act 1990 and the Cable Networks Act 1995 gave more structure to the sector by issuing guidelines, policies, regulations and grant licences to broadcast in the media.

Establishing TRAI & giving industry status to M&E

It was under Atal Bihari Vajpayee’s government in 1997 that the Telecom Regulatory Authority of India (TRAI) was established as a regulator in the broadcasting space. He also gave the M&E sector an industry status, qualifying it for funding from banks and other financial institutions. Exports of the film & entertainment sector increased manifolds after the intervention. 

His government also permitted 26% foreign investment in news and current affairs for private channels and privatised radio stations as well. An impetus was provided for growth of print media by permitting FDI. 

The digital dominance

As the world entered the new millennium, new opportunities opened up for the media & entertainment industry as mobile phones and the internet made its way to households. Over the past 20 years, there has been a boom in the content creation, search engine optimization, and digital marketing space because of that. 

The growing dominance of OTT platforms and independent content creators on varied social media platforms is exposing the industry to unprecedented opportunities. 

Climbing new heights

The past few years, with increased government regulation and support, the media and entertainment industry is seeking to reach new heights. While there are some critical aspects on press freedom and data privacy that remain to be addressed, there have been efforts, like creating a new national film policy to promote animation segment, entertainment tax’s exclusion from GST, modifications in FDI norms, and strengthening of royalty claims for artists, to improve the sector. With the AVGC sector getting government attention, a new league of opportunities are going to rise. 

Self regulation norms by regulatory bodies like ASCI, IAMAI etc are also getting constantly updated to fit in the new digital-led world. 

According to the I&B Ministry, the media & entertainment industry will become a 100 billion dollar (7.5 lakh crore) sector by 2030. It is expected to generate Rs 4 lakh crore annually by 2025.