The Global Entertainer
India has a large broadcasting and distribution industry, comprising approximately 900 satellite TV channels, 6,000 Multi-system operators, around 60,000 local cable operators, 7 Direct to Home (DTH) operators and few IPTV service providers.
India has 118,239 registered publications (newspapers and periodicals), close to 2,500 multiplexes and more than 570 mn Internet users – second largest base after China, and is expected to reach out to 640 mn by 2019.
• By 2022, Media & Entertainment industry is expected to reach $34 bn at a compounded Annual Growth Rate (CAGR) of 10%
Up to 100% FDI allowed in Teleports, DTH, Multi-System Operator, cable networks in Direct Attached Storage areas, mobile TV, Headend-in-the-Sky Broadcasting Services
100% FDI is allowed in Publishing/ Printing of scientific and Technical magazines/ Speciality journals/ Periodicals under the government route
The Indian Media & Entertainment (M&E) industry will touch $ 34.8 bn by 2022. The Indian M&E industry is projected to grow at a pace of 14% over the period 2016-2021, outshining the global average of 4.2% CAGR, with advertising revenue expected to increase at 15.3% during the same period.
• Television is expected to grow at a CAGR of 14.7% over the next five years as both advertisement and subscription revenues are projected to exhibit strong growth at 14.4% and 14.8% respectively.
• Print is projected to continue its growth at 7.3%, largely on the back of continued readership growth in vernacular markets and advertisements’ confidence in the medium, tier II and tier III cities.
• Films segment is expected to bounce back and is forecasted to grow at CAGR of7.7% as the revenue streams broaden.
• Digital media overtook filmed entertainment in 2019 to become the third-largest segment of the M&E sector.
• Animation and VFX is expected to grow at a CAGR of 20.4% over 2016-2021.
METALS AND MINING
Mining the future
India is home to 1,531 operating mines and produces 95 minerals – 4 fuel-related minerals, 10 metallic minerals, 23 non-metallic minerals, 3 atomic minerals and 55 minor minerals. India is the 2nd largest producer of coal. Coal production grew at CAGR 4.6% over FY14-FY19 (to 730.35 MT) and is expected to grow 6-7% year-over-year (Y-o-Y) over FY20 as miners focus on the surface mining of coal. Coal’s share in India’s primary energy consumption is expected to be 48% in 2040. India is the 2nd largest crude steel producer in the world, generating an output of 106.5 MT in 2018, a growth of 3.7% Y-o-Y. India’s steel consumption rose 7.5% Y-o-Y and 7.9% Y-o-Y over the last 2 years, outpacing a 2.1% to 5% growth globally.
• Over 2030-31, crude steel demand/production is forecasted to reach 255 MT.
• Per capita finished steel consumption also expected to rise to 158 kg by 2030-31 (from 74.1 kg in 2018).
The country’s FDI Policy allows:
100% FDI through automatic route in the steel and mining sectors
100% FDI for coal and lignite under automatic route
With the launch of the National Mineral Policy 2019, India presents a major opportunity for investors. India has large reserves of iron ore, bauxite, chromium, manganese ore, baryte, rare earth and mineral salts.
The Metals and Mining sector in India is expected to witness a major reform in the next few years, owing to reforms such as Make in India Campaign, Smart Cities, Rural Electrification and a focus on building renewable energy projects under the National Electricity Policy as well as the rise in infrastructure development.
The production level of important minerals in March 2020 were: coal 958 lakh tonnes, lignite 42 lakh tonnes, natural gas (utilized) 2323 million cu. m., petroleum (crude) 27 lakh tonnes, bauxite 1634 thousand tonnes, chromite 582 thousand tonnes, copper conc. 11 thousand tonnes, gold 153 kg, iron ore 204 lakh tonnes, lead conc. 26 thousand tonnes, manganese ore 181 thousand tonnes, zinc conc. 117 thousand tonnes, apatite & phosphorite 133 thousand tonnes, limestone 272 lakh tonnes, magnesite 8 thousand tonnes and diamond 3213 carat.
The production of important minerals showing positive growth during March 2020 over March 2019 includes, chromite (15.9%), iron ore (8.3%) and coal (4.3%).
Creating a sustainable world
In 2019, India was ranked as the fourth most attractive renewable energy market in the world. India will be the largest contributor to the renewables upswing in 2021, with the country’s annual additions almost doubling from 2020, as a large number of auctioned wind and solar PV projects are expected to become operational.
The country has set an ambitious target of 450 GW of renewable power by 2030. This is the world’s largest expansion plan is in renewable energy.
Up to 100% FDI is allowed under the automatic route for renewable energy generation and distribution projects subject to provisions of The Electricity Act, 2003.
Renewable energy sources have a combined installed capacity of 89+ GW. As of 30 September 2020, the total installed capacity for Renewables is 89+ GW with the following break up:
• Wind power: 38 GW
• Solar Power: 36 GW
• Bio Power: 10 GW
• Small Hydro Power: 5 GW
Wind energy capacity in India has increased by 1.7 times in the last 4 years. Further to this, record 100 bn+ units of renewable electricity generating last year.
Solar power capacity has increased by more than 11 times in the last five years from 2.6 GW to 28.18 GW in March 2019.
• 42 solar parks of aggregate capacity 23,499 MW have been approved in 17 states up to March 2019.
• Kurnool (1,000 MW) and Bhadla-II (648 MW) Solar Parks are fully operational.
• Largest Solar Park of 2,000 MW in Pavagada is under installation.
Working towards building a healthier India
Healthcare industry in India comprises hospitals, medical devices, clinical trials, outsourcing, telemedicine, medical tourism, health insurance and medical equipment. The industry is growing at a tremendous pace owing to its strengthening coverage, services and increasing expenditure by public as well as private players.
Growing incidence of lifestyle diseases, rising demand for affordable healthcare delivery systems due to the increasing healthcare costs, technological advancements, the emergence of telemedicine, rapid health insurance penetration and government initiatives like e-health together with tax benefits and incentives are driving healthcare market in India.
• By 2020, India is expected to rank amongst the top 3 healthcare markets in terms of incremental growth.
• By 2020, the healthcare information technology market is expected to grow 1.5 times from current $1 bn.
• By 2022, the diagnostics market is expected to grow at a CAGR of 20.4% to reach $32 bn from $5 bn in 2012.
• During 2015-20, the in-patient market is expected to grow at a CAGR of 13%.
• By 2020, the Indian telemedicine market is expected to grow at a Compound Annual Growth Rate (CAGR) of 20% to reach $32 mn from $15 mn.
• Over the next 10 years, National Digital Health Blueprint can unlock incremental economic value of over $200 bn for the health sector.
100% FDI is allowed under the automatic route for greenfield projects. For investments in brownfield projects, up to 100% FDI is permitted under the government route.
Healthcare industry in India is projected to reach $372 bn by 2022. Healthcare industry in India comprises hospitals, medical devices, clinical trials, outsourcing, telemedicine, medical tourism, health insurance and medical equipment. The industry is growing at a tremendous pace owing to its strengthening coverage, services and increasing expenditure by public as well as private players.
• The hospital industry in India, accounting for 80% of the total healthcare market, is witnessing a huge investor demand from both global as well as domestic investors. The hospital industry is expected to reach $132 bn by 2023 from $ 61.8 bn in 2017; growing at a CAGR of 16-17%.
• The Indian Medical Tourism market is expected to grow from its current size of $3 bn to $7-8 bn by 2020
• The diagnostics industry in India is currently valued at $4 bn. The share of organized sector is almost 25% in this segment (15% in labs and 10% in radiology).
• The primary care industry is currently valued at $13 bn. The share of organized sector is practically negligible in this case.
• Over 50,000 Ayushman Bharat centres, which aim at providing primary health care services to communities closer to their homes, are operational in India
Source: INVEST INDIA, Department of Promotion of Industry and Internal Trade, Government of India