‘Entertainment, media record 17% growth in 2007’

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New Delhi, Mar 16: The entertainment & media (E&M) industry has recorded a growth of 17% in 2007 to cross the Rs 50,000-crore-plus mark, according to a report.

The E&M industry has reached an estimated Rs 51,300 crore in 2007, up from Rs 43,800 crore in 2006, according to a Ficci PricewaterhouseCoopers 2008 report on Indian entertainment and media industry for 2007.

According to Timmy Kandhari, executive director of PwC, “Considering the large base of the industry, this growth rate has been encouraging and a little above our estimated projection. The report projects the Indian E&M Industry to grow by 18% cumulatively over the next five years and cross the trillion mark by 2012.”

The advertising sector has recorded a growth of 22% in 2007 over 2006 to reach Rs 196 billion in 2007, up from Rs 161 billion in 2006 and contributed 38% of the industry’s revenues. The report highlights that foreign investments in the sector have reached a record high of $211 million (Rs 8.5 billion). “India has lately generated considerable interest among global majors. But this $ 211mn is just the trickle of what is in store for future,” Kandhari said.

Secretary general of Ficci Amit Mitra cited examples of recent tie ups between NBC and NDTV, TV18 and Viacom, Reliance and George Soros, Walt Disney and UTV to validate how venerable names across the world are looking at India as an investment destination.

The Ficci-PwC report has added the sectors like sports and entertainment, animation and gaming and Out-of-Home media for the first time. Television, film, print continue to dominate the media space together accounting for more than 90% of the total size of the industry.