ITV

Category: Budget 2014

  • TV sets to get cheaper: Budget 2014

    TV sets to get cheaper: Budget 2014

    MUMBAI: Even as India has one of the highest cable TV homes in the world, it is set to get even higher with the latest announcement from Finance Minister Arun Jaitley for Budget 2014.

     

    While speaking in the Parliament, Jaitley stated that electronic goods such as TV sets and personal computers will be cheaper. He has announced proposal to make cathode ray tube (CRT) TVs cheaper as well as encourage manufacture of LED and LCD panels of TVs.

     

    The basic custom duty on LED panels below 19 inches will be made nil. CRT TVs have also been exempted from custom duty to help the poor.  The announcements have been made to boost the domestic manufacturing sector.

     

    “Cathode ray TVs are used by weaker sections who cannot afford to buy more expensive flat panel TVs. I propose to exempt colour picture tubes from basic customs duty to make cathode ray TVs cheaper. The duty concession will help revive manufacturing of TVs in the SME sector and create employment opportunities. At the same time, to encourage production of LCD and LED TVs below 19 inches in India, I propose to reduce the basic customs duty on LCD and LED TV panels of below 19 inches from 10 per cent to Nil. Further, to encourage manufacture of LCD and LED TV panels, I propose to exempt from basic customs duty specified inputs used in their manufacture,” said Jaitely. 

     

    Soon after the announcement, global analytical company providing ratings, research and risk and policy advisory services CRISIL tweeted that after this, the price of LCD/LED TVs (that constitute 51 per cent of sales) will reduce by Rs 1000.

     

    PricewaterhouseCoopers leader- entertainment & media practice India Smita Jha added, “We also believe the reductions in customs duty on LCD and LEC of sub-19 panels will also indirectly provide filip to the national digitisation agenda.”

     

     

  • We will digitise DD’s analogue terrestrial network: Prakash Javadekar

    We will digitise DD’s analogue terrestrial network: Prakash Javadekar

    MUMBAI: Information and Broadcasting Minister Prakash Javadekar has told the Lok Sabha that the government is serious about its plan of digitising Doordarshan’s analogue terrestrial network.

     

    With this, according to Javadekar, Doordarshan will be able to invite private free-to-air TV channels for meaningful business plans.

     

     Responding to questions in the Lok Sabha on 9 July, Javadekar said that the Ministry has granted permission for 795 channels to uplink from the country in both the news and non-news genres.

     

    Surprisingly, even after the huge number of permissions granted, close to 235 applications are still pending for inter-ministerial clearances. Javadekar said that in the last three years and the current year, the Ministry had received 200 applications for new channels in various languages, of this 105 were for Malayalam and Kannada language channels.

     

    He also reaffirmed the government’s stance on the launch of ‘Krishi’ channel for the farmers.  The same was also proposed by the Finance Minister Arun Jaitely in the Lok Sabha as he tabled Budget 2014.

  • National sports academies for major sports: Arun Jaitley

    National sports academies for major sports: Arun Jaitley

    MUMBAI: The sports sector in India has received a major push in the Budget 2014 presented by Finance Minister Arun Jaitley.

     

    The FM announced that provisions will be made to set up National sports academies for major sports in India. While announcing setting up of a sports university in Manipur, Jaitley also allocated Rs 100 crore for Asian and Commonwealth games training.

     

    Jaitley also announced sops for sports in Jammu and Kashmir. He proposed to allocate Rs 200 crore for upgradation of sports facilities in the state.

     

    PricewaterhouseCoopers leader- entertainment & media practice India Smita Jha said, “You would agree with me that the Sports sector in India is much in need of transformation. Budgetary allocations towards upgrading sports infrastructure, training, nurturing best talent and setting up a sports university are in the right direction though the funds allocated are significantly less than what are needed. However, we welcome the recognition from the government that this sector requires significant investment.

  • North east India to get new channel Arun Prabha

    North east India to get new channel Arun Prabha

    MUMBAI: After announcing the new Rs 100 crore 24 hour channel for farmers in the country, Union Finance Minister Arun Jaitley has declared that a new channel will also be launched for the seven sisters in north east India.

     

    To be called ‘Arun Prabha’, Jaitley said that the channel will highlight the rich culture of the north east. However, he did not specify either the time frame within which it will be launched or the investment that will be put into it.

     

    Last year, talks were on between the government and the Prasar Bharati for launching an additional channel for NE. Currently, DD North East telecasts programmes in Assamese, English and other regional dialects with various types of programmes. Prasar Bharati CEO Jawhar Sircar had been touring the area last year to find out the feasibility for this channel, subject to government investment.

  • Government to invest Rs 100 crore in Kisan Television

    Government to invest Rs 100 crore in Kisan Television

    MUMBAI:  The much awaited budget from the new Finance Minister Arun Jaitley has begun and the first announcement for the media industry is in the form of the proposed new TV channel for farmers- Kisan Television dedicated to the interests of the agriculture and allied sector.

     

    While presenting the Budget 2014 in the Parliament, Jaitley stated that the government will be investing Rs 100 crore for the channel that will give real time information on new farming techniques, water conservation, organic and farming etc.

     

    A few weeks ago, Information and Broadcasting Minister Prakash Javadekar had stated that Kisan Television will be launched soon and Jaitley’s announcement reaffirms the government’s commitment to it.

     

    The 24 hour channel, to be called DD Kisan, is being worked upon with the help of Prasar Bharati. Prior to winning the election, BJP had stated that if it came to power, it would explore setting up of regional Kisan TV channels.

     

    Soon after the announcement, Zeel MD and CEO Punit Goenka tweeted “Kisan TV for farmer education was a good one!!”

     

    Added PricewaterhouseCoopers leader- entertainment & media practice India Smita Jha, “Announcement of launch of Kisan TV and Aruna Prabha TV are also welcome in the context of their respective situations but hope these channels are commercially viable and do not add further burden to Public Service Broadcaster, Prasar Bharati, which is already under severe financial pressure.”

  • Cable digitisation to increase tax collection: Economic Survey

    Cable digitisation to increase tax collection: Economic Survey

    MUMBAI: The Economic Survey for 2013-14 that was tabled by the Finance Minister Arun Jaitley shows that both the centre and the state governments will benefit from the digitisation of the cable TV industry in India because of the increase in tax collection from it.

     

    Jaitley in Parliament said, “Preliminary data from the state governments show that there is already two to three fold increase in entertainment tax collections.” The transparency in the subscriber base is set to add to the manifold increase in tax collection.

     

    Due to digitisation, opportunities are being created for the domestic manufacturers to delve into more set top box (STB) production. It stated that over three crore STBs have already been installed in the eight metros and 36 cities of the phase I and II of digitisation. The deadline for complete digitisation (phase III and IV) has been set to 31 December 2014.

     

    India has nearly 16 crore TV households with nearly 800 channels. Also there are 88 teleports. However, the benefits of digitisation are yet to kick in even in the phase I and phase II markets with only a few cities being billed as per the rules. Uneven and high entertainment tax is an issue that all the stakeholders including DTH, MSOs and broadcasters are standing up to and urging the government to look into and provide them relief. DTH operators are double taxed as they also have to pay a service tax apart from the entertainment tax.

     

    While DTH operators are adding 10 lakh customers each year, the government has also allowed two more operators to provide services through headend-in-the-sky (HITS) system. Effects of digitisation are already visible on film exhibition where 95 of the big screens are now digitised and the sector is ‘poised for buoyant growth in the long run.’

     

    The survey also stated that the media and entertainment industry has had tremendous growth and according to a FICCI-KPMG report, it is expected to touch Rs 1,78,600 crore by 2018. However, piracy remains a big challenge for the film industry and the government has approved an anti-piracy plan to combat it through legal methods.

  • Budget 2014: Hope and growth on marketers’ mind

    Budget 2014: Hope and growth on marketers’ mind

    MUMBAI: “Ache din aane wale hai” will go down in the history of political campaigns in India as it helped Bharatiya Janta Party win by a landslide.

     

    Narendra Modi with the campaign clearly earned brownie points not only from the common man but also the marketing fraternity. While the new power packed government is gearing up to present its first budget statement, the world of business across is highly confident about the outcome.

     

    There is a list of worries that the government needs to pay attention to. Inflation continues to be high; it is currently over 6 per cent. With monsoon expected to be low this year it will also highly impact the subsidies on food, fuel and fertilizer.

     

    This has been reflecting on marketing spends by different sectors of the economy.

     

    Indiantelevision.com speaks to marketers from across sectors on their expectations from the budget.

     

    ‘Hope is new driver of positivity’

     

    Future Group president (customer strategy) and CEO (Bengal warriors & T24) Sandip Tarkas hopes that the budget addresses inflation, job creation and through it attains customer confidence.

     

    He believes that confidence will lead to consumption and thereby heightened economic activity in all spheres.

     

    “This will lead to more jobs, more ad spends, more investments and will impact the M&E industry as well. Consumption builds economy; and increased consumption resulting from increased confidence will start a virtuous cycle of investments as against a vicious cycle of holding on to spends that we are currently caught in,” he says.

     

    Philips India consumer lifestyle president ADA Ratnam is of a similar opinion. “I am expecting the government to come up with a strong and positive budget which will spur the growth. We need the good old GDP growth rate back and I’m confident we will be back on track soon,” he adds.

     

    ‘Be liberal on tax issues’

     

    Godrej Appliances business head and executive vice president Kamal Nandi has a sincere request from the FM on the direct taxes front. He is expecting an increase in the income tax slab values in line with inflation. According to him, there should be an increase exemption limit for medical expenses (from Rs 15000 to Rs 25000) under 80C.

     

    Along with this, he wishes for an increase tax exemption limit for conveyance allowance limit from Rs 800/month to Rs 1500/month with an increase limit for tax exemption under 80CC from current Rs 1 lakh to Rs 2 lakh. “This will encourage purchase of hi-end and energy efficient appliances, exemption on interest, as applicable in the case of home loans, to be rolled out for consumer loans also,” he opines.

     

    As it is understood that real estate is the second largest sector that contributes to the country’s GDP growth, Tata Housing marketing – head Rajeeb Dash also thinks from the consumer point of view, there should be reduction in home loans and the slab of tax benefits should widen.

     

    “As a real estate brand what we are expecting from the budget is benefits for the end users. We know that the slowdown has hit the common people badly, with the budget announcement the economic momentum should come back in action. From a community point of view infra status is what is needed for the benefit of the developer,” mentions Dash.

     

    ‘Support the SMEs’

     

    American Swan director and CEO Anurag Rajpal thinks that there is a need to boost the growth of home grown industries to be at par with their counterparts in China and other Asian countries. He is of the opinion that a strong focus on the e-governance initiatives should streamline the procurement process of technology and services with a strong focus on participation from SMEs.

     

    He wants the policy reforms to be such that it is consistent and long-termed. Currently, he believes that homegrown industries are doing business on thin margins due to high rise in cost of raw materials and interest rates. This has been detrimental especially for small-scale industries to sustain their business.

     

    “The country today has abundance of talent but it is limited to very few skill sets. There is a need for change in the education system to further improve the skill sets of the youth which addresses the needs of different verticals. Focus on skills development will be helpful in the long-term in creation of job opportunities,” he concludes.

  • Advertising agencies keenly await Budget 2014

    Advertising agencies keenly await Budget 2014

    MUMBAI: Thanks to elections, the year started with a bang for the media and entertainment (M&E) industry.

    The political parties didn’t hesitate to spend on the various mediums – print, TV, digital, OOH – to woo the voters. Various studies by media agencies also estimated that advertising by political parties will boost the AdEx by up to +2.5 per cent.

    This apart, the year is estimated to be good for the industry. With ad spends of most FMCG companies on the rise to ride on the back of higher disposable income due to election spending and recent RBI policies leading to a more favourable business environment, the industry is hoping for healthy year even with various issues (digitisation, ad cap, service tax, FDI etc) gripping it.

    Indiantelevision.com spoke to various advertising agencies heads to know what they are expecting from the budget.

    Dentsu Aegis Network chairman & CEO South Asia Ashish Bhasin

    Service tax should be rationalised, the surcharge on it should be removed and also the quantum of it should be reduced a bit. It can be noted that the process and procedure of collecting service tax is cumbersome. What we as an industry want is transparency in this process. I am also keen to watch some FDI in media in the coming days.

    Perfect Relations founding partner Dilip Cherian

    Undoubtedly, there are high expectations from the Budget and it remains to be seen how Finance Minister Arun Jaitley goes about restoring growth while reining in the deficit. We need something that in the next six months will start generating revenue for the long run. A push in the infrastructure sector is vital because that will help growth of the core sectors — steel, cement, construction etc and create jobs. I would like to see Jaitley spell out his plans for this vital sector, which will also have a long lasting impact on the economy. The introduction of the goods and services tax (GST) has been delayed for far too long. Though this is a point of contention between the Centre and the states, I would be happy to see some positive movement on this front.

    FCB Ulka Group chairman Nagesh Alai

    The days of seeking specific tax sops or concessions are really over, more so when over the years a fair amount of tax rationalisation has already happened. How do you expect the government to run the country? However I do expect the government to stick to its promise of withdrawing the one time surcharge of 10 per cent which was imposed for the FY 2013-14, but there has been no notice of that withdrawal yet. Secondly, the authorities should also honour their commitment of timely refunds to assesses rather than putting counter pressures in the months running up to March every year by arbitrary add-backs and demands, which is just a ruse to keep refunds on hold.   In the interest of avoiding short termism and addressing the macro-economic issues effectively so that the fiscal and revenue deficits can be plugged, we should seriously consider having a fixed budget for say three or five years. This will bring about a stability of tax regime and also help all constituents plan better, including the government. The annual budget exercise has perhaps become a lobbying exercise for political and power brokers.  Lastly, agriculture income should be brought into the tax net. It is an anachronism – and is perpetuated for the benefit of the few rich politically powerful people.

    Madison World chairman and MD Sam Balsara

    I don’t think my expectations from the budget are unique or different from what the nation expects. I expect the budget to do more than its bit to grow the economy which is the major need of the hour. Whatever is required to give a shot in the arm to the economy, the budget must do. This year’s budget is going to be specially important because it is the first budget that the BJP will present after its landslide victory and all Indians, as well as global businesses are going to evaluate it and form an impression about the future of India. The Finance Minister is keenly aware of this and being an intelligent and practical man, I am sure he will not miss this opportunity, nor will he try to pull wool over our eyes. Whatever it takes to spearhead growth, he should do, be it GST, divestment, roping in more tax payers especially at the top end or abolishing retrospective tax loss, etc. What is good for the economy is good for the advertising industry.

    Global Advertisers MD Sanjeev Gupta

    After achieving a historic victory in General Elections 2014, we have high expectations from the newly-elected Modi-led government. From an outdoor advertising industry perspective, we believe that our growth is the reflection of development in our country.  Better infrastructure, improved road connectivity, advance transport mediums, enhanced public spaces give us opportunities to connect with end consumer. India is likely to emerge as the world’s largest middle class consumer market with aggregated consumer spends of $ 13 trillion by 2030. With increasing population and their demand, it has become essential for MNCs / SMEs to be visible on different advertising mediums to promote their services / products. Therefore, outdoor advertising industry needs government support to grow in the future. We would like the center government to focus on creating new opportunities for us, allow FDIs, develop transparent policies and reforms, and address tax issues and licensing procedure of public structures. We wish to see changing India, growing India.

  • News channels reform before Modi’s big Budget 2014

    News channels reform before Modi’s big Budget 2014

    NEW DELHI: The presentation of the general budget on 10 July morning by Finance Minister Arun Jaitley will perhaps be the most keenly watched analysis of the financial shape of the nation since the early 90s when the then Finance Minister Manmohan Singh presented his budget.

     

    This is also perhaps the first time in recent years that the budget is being presented by a man from the legal profession.

     

    Although only Lok Sabha TV has the permission to cover the budget live from inside the portals of Lok Sabha, almost every channel in the country – and certainly every business channel – will be taking the beam from Lok Sabha TV and then adding its own analysis programmes.

     

    CNBC TV18, Doordarshan News, Times Now, and most other News channels plan to commence the discussion on the budget from around 8.00 am with experts talking about expectations, and then beaming the live presentation from 11.00 am onwards.

     

     The entry of websites like moneycontrol.com and economylead.com streaming the budget and by social media will be an added feature this year, as many websites have already announced plans in this regard.

     

    With the new dispensation in place, the aspirations of the common man are soaring high and many are wondering whether the ruling Bharatiya Janata Party will live up to its slogan of ‘Acche din aaney waley hain.’

     

    The presentation is expected to be followed soon after by the reaction of Prime Minister Narendra Modi on Doordarshan and Lok Sabha TV and an exhaustive interview of Jaitley about his budget on Doordarshan.

     

    In addition, channels will cover live the press meet by senior Finance Ministry officials in the afternoon about the various facets of the budget.

     

    The coverage on CNBC TV18 will be led by Shereen Bhan, on Times Now by Arnab Goswami, and on NDTV 24×7 by Prannoy Roy. Times Now has articulated its standpoint by saying ‘Everyone deserves a piece of this super budget. Get Yours.’ The channel though also warns that it may be a bitter pill.

     

    Other channels like CNN-IBN, Aaj Tak, ABP News, Sahara Samay, P-7, News X and others have also lined up experts who will analyse the budget. The channels will also have teams that will go to Parliament House premises to get the reactions of various political leaders.

     

     For the business channels, it will be a particularly exhaustive day as they will also have a link with the National Stock Exchange and Bombay Stock Exchange to get the latest ups and downs.

     

     Zee Business which is a Hindi business News channel will telecast the pre-Budget discussions and analysis from 7.00 am onwards and will bring in live and uninterrupted coverage of the Budget Speech. The channel will articulate, analyse and keep the common man abreast of all the impacts that Budget is going to have on their daily lives.

     

     Interestingly themed as the ‘Abki baar, sapne sakaar,’ Zee Business will have expert panels, business leaders and corporate captains throughout the day to give their expert advice. After the Finance Minister’s speech, Zee Business will undertake a series of power packed Budget Bulletins. Some of these bulletins will comprise high power panel discussions and will involve expert comments from the nation’s top business leaders and policy makers.  Some of the key Ministers holding important portfolios have already appeared and shared their views, and will also do so during post-Budget analysis programmes. They include Power, Coal, New & Renewable Energy Minister Piyush Goyal, Information & Broadcasting Minister Prakash Javadekar and Commerce & Industry Minister Nirmala Sitharaman.

     

    Special shows have been conceptualised with thorough research from the industry point of view without losing the ground reality and its impact on the common man. Expert opinions, industry perspective viz–a–viz market reaction and informative bulletins will be telecast.

     

    Zee Business will also organise a viewer’s engagement programme throughout the day from different parts of the country where commoners get a voice to air their reaction and feedback on the pertinent issues on budget.

     

     Zee Media CEO Samir Ahluwalia said, “With clear understanding of the expectations of the India Inc. as well as indications of the common man, Zee Business is poised to present a comprehensive Budget coverage. Through special programming and initiatives focusing on budget expectations, analysis and impact, Zee Business will once again ensure specialised coverage on Budget Day.”

     

    Added CNBC-TV18 managing editor Shereen Bhan, “The key question we will be asking is if the budget will be able to deliver. There will be a sharp focus on market reactions, the stance taken by other countries giving India a thumbs up and about investment in domestic capital. We will analyse the long term and short term ideas the government has as well as the reforms that will be taken up to revive the economy.”

  • CNBC-TV18’s Shereen Bhan talks business before Budget 2014

    CNBC-TV18’s Shereen Bhan talks business before Budget 2014

    MUMBAI: She is the most familiar face of Indian business news channel, providing investors and corporate India with insights about the dynamics of Indian economy and financial markets.  

     

    CNBC-TV18 managing editor Shereen Bhan, who anchors and produces several shows such as Young Turks, India Business Hour and Power Turks, is neck deep in work with the rail budget already announced and one day to go for the much awaited maiden budget to be presented by the new Narendra Modi led BJP government at the helm.

     

    While most channels are looking at concentrating on one aspect, Bhan says that their perspective will be a 360 degree angle one. “The key question we will be asking is if the budget will be able to deliver. There will be a sharp focus on market reactions, the stance taken by other countries giving India a thumbs up and about investment in domestic capital. We will analyse the long term and short term ideas the government has as well as the reforms that will be taken up to revive the economy. We will also look at how the fiscal deficit can be improved by the new government. While the analysis will primarily be on the domestic economy, we will also look at the budget from a political angle and try to draw political reactions.”

     

    The guest line-up includes India’s corporate giants like HDFC Bank chairman Deepak Parekh, HSBC India country head Naina Lal Kidwai, Godrej chairman Adi Godrej, Kotak Mahindra vice chairman Uday Kotak, GVK vice chairman Sanjay Reddy, TPG Growth India chairman Manish Chokhani and Helios Capital founder and fund manager Samir Arora. Foreign investors and rating agencies will also give their take on the budget.

     

    To get a political perspective political parties like BJP, Congress, TMC, CPI (M) and leaders such as Jyotiraditya Scindia and Sitaram Yechury will be on air.

     

    Bhan, who will be on air right from morning 8 am till late night, will be tracking foreign direct investment in the news sector and reforms in the capital markets and infrastructure sector.