Date : 03/10/2023

Relevance: GS Paper 3 - Economy

Keywords: National Film Development Corporation (NFDC), UNESCO’s Creative City Network, National Institute of Design (NID)

Context-

The creative industries encompass a diverse range of economic activities rooted in original ideas and artistic expression. These industries include design, music, publishing, architecture, film, crafts, visual arts, fashion, literature, computer games, and more.

Significance of Creative Industries:

• Contribution to Global GDP: Creative industries contribute significantly to the global economy, accounting for 3.1% of the world's GDP.
• India's Employment: In India, these industries contribute to about 8% of total employment.
• Market Size: India's creative economy has an estimated market size of approximately $36.2 billion.
• Exports: In 2019, India's creative economy accounted for $121 billion in exports.
• Contribution to GDP: In the pre-Covid period, India's creative industries contributed 2.5% to the country's GDP.
• Film Production: India is the world's largest producer of films as of 2022.

Benefits of Creative Industries:

• Job Creation and Income Generation: Creative industries provide employment opportunities for a significant portion of the population, especially talented individuals. According to a 2023 Asian Development Bank report, these industries contribute nearly 8% of India's total employment.
• Spillover Effects on the Wider Economy: Creative industries drive innovation, fostering creativity, experimentation, and collaboration across various sectors and disciplines. These industries positively impact sectors like tourism, education, and urban development.
• Tourism Boost: Creative industries attract tourists who engage in cultural experiences, contributing significantly to India's tourism industry.
• Education and Skills Development: Creative industries play a pivotal role in providing learning opportunities, enhancing cultural awareness, and nurturing talent.
• Urban Development: Creative industries revitalize urban areas by creating vibrant cultural hubs, theaters, galleries, and entertainment districts.
• Promotion of India's Heritage and Resources: Creative industries showcase India's rich culture, history, and traditions, leveraging abundant natural and human resources.
• Global Branding and Soft Power: Exporting creative goods and services enhances India's brand value and soft power, strengthening diplomatic and cultural ties.

Challenges Faced by Creative Industries:

• Policy Neglect: Creative industries often lack priority status in national and state policies due to poor coordination among relevant ministries.
• Infrastructure Deficiencies: Inadequate infrastructure, including transportation, digital networks, and basic amenities, hampers production, distribution, and mobility.
• Data Deficiency: A lack of reliable data regarding the size and impact of India's creative industries impedes sector development and policymaking.
• Funding Struggles: Creative industries face challenges in securing financial support, with limited public funding and risk-averse private investment.
• Intellectual Property Vulnerability: Piracy, counterfeiting, and IP rights infringement threaten the creative sector, exacerbated by outdated legal frameworks and lack of awareness.

Initiatives aimed at promoting creative industries:

1. National Film Development Corporation (NFDC):

• NFDC is a government enterprise under the Ministry of Information and Broadcasting.
• It focuses on planning, promoting, and efficiently developing the Indian film industry.

2. National Institute of Design (NID):

• NID operates autonomously under the Ministry of Commerce and Industry.
• It provides education, research, consultancy, and outreach services across various design domains.

3. Scheme for Promotion of Culture of Science (SPoCS):

• SPoCS, under the Ministry of Culture, encourages a culture of science, technology, and innovation.
• It achieves this through science festivals, exhibitions, competitions, workshops, and camps, primarily targeting the youth.

4. Scheme for Promotion of Indian Classical Music and Dance (SPIC MACAY):

• SPIC MACAY is a voluntary movement that arranges programs covering classical music, dance, folk arts, crafts, yoga, meditation, and cinema.
• These programs are conducted in educational institutions to enrich formal education and raise awareness of India's diverse cultural heritage.

5. International Cooperation (IC) Scheme:

• Managed by the Ministry of Micro, Small, and Medium Enterprises (MSME), this scheme supports MSMEs in enhancing their competitiveness.
• It provides financial assistance for participation in international exhibitions, trade fairs, and other promotional events.

6. UNESCO’s Creative City Network:

• This program facilitates collaboration between cities to share best practices and foster partnerships.
• The goal is to strengthen the creation, production, and distribution of cultural activities.
• Notably, Mumbai has been designated as a Creative City of Films, Hyderabad as a Creative City of Gastronomy, Chennai and Varanasi as UNESCO Cities of Music, and Jaipur as the City of Crafts and Folk Arts under this initiative.

These initiatives collectively play a vital role in nurturing and supporting India's creative industries, fostering cultural diversity, and promoting economic growth.

Promoting Creative Industries:

• Leveraging India's Cultural Heritage: Develop unique products and services that reflect India's cultural diversity and history.

• For example, developing new forms of storytelling, music, dance, art, design, and crafts that reflect the pluralism and dynamism of India’s society and history.

• Embracing Digital Technologies: Utilize digital platforms and technologies such as animation, visual effects, gaming, and immersive media for innovation.

• For example, using animation, visual effects, gaming, and immersive media to create engaging and interactive experiences for various audiences and sectors.

• Fostering Collaboration: Encourage collaboration among stakeholders, including artists, entrepreneurs, researchers, educators, policymakers, and consumers.

• For example, establishing networks, hubs, and clusters that facilitate knowledge exchange, skill development, and resource sharing among creative practitioners and industries.

• Addressing Challenges: Conduct research on the creative industries, develop supportive policies, strengthen IP rights enforcement, and enhance funding access.

Conclusion:

India's creative economy holds immense potential for job creation, economic growth, and cultural promotion. However, addressing the challenges faced by creative industries and implementing strategic initiatives are essential to fully unlock this potential and establish India as a global creative powerhouse.

Source- ORF