NEW DELHI, May 26 - Calling for efficient handholding, a key report has recommended that the government through the Ministry of Information and Broadcasting should direct all other ministries, Directorate of Advertising and Visual Publicity, autonomous bodies, public sector undertakings and state governments to clear all outstanding payments � a significantly large amount � to the media sector without any further delay.
The 48-page report titled �Outlook of Media and Entertainment Industry in the COVID Scenario� that has been brought out by the PHD Chamber of Commerce and Industry has predicted that print media will see a cut-throat competition in the new future post the COVID-19 crisis, leading to the survival of the fittest. It has suggested several measures to pull out the media from the crisis by using advertising as a tool to make India a �Covid-free nation�.
Knowing that the government has a significantly large allocation for the advertising budget, it should make a conscious effort towards ensuring that the same is utilised in the respective financial year, the report suggested. �This will ensure that the government receives its due credit by publicising the numerous effective and efficient reforms and initiatives undertaken by the government towards nation building,� the report said.
The effective utilisation of the budget allocation towards advertising by the government will also ensure that the media and entertainment industry keep sailing with inflows towards advertising, one of the major contributors to the industry�s revenue, it said.
The report recommended that corporates and industry stakeholders should also make a conscious effort to reach to their customers and end users through effective advertising in these times of COVID-19 crisis. �It is the connectivity with the consumers in these trying times of crises which will be remembered and will go a long way in adding value to a corporates business,� the report said.
The government�s initiative will provide the much needed relief to the media and entertainment industry, which has played a pivotal role in creating jobs and spreading awareness during the crises of COVID-19, and yet has been grappling with cash crunch and are unable to pay the salaries to their employees, who have been the frontline warriors, the report said.
The report said COVID-19 has impacted the newspaper industry adversely. �A lot of people (over 50 per cent) have refused to take newspapers inside their houses fearing spread of the virus through the newspaper. Many have told the newspaper delivery boys to stop delivery of the newspaper to their house,� the report said.
In fact, many newspapers have assured the readers that the newspaper is sanitized properly and is safe from spread of any virus. Despite this, many newspapers face challenges in circulation. Now all those who have stopped reading hard copy of the newspapers have resorted to reading newspapers online.
� When the newspaper circulation comes down, it will also impact the advertising industry badly. In fact, most newspapers have hardly half of their regular number of pages as there is not much advertising support. That means the newspapers face serious financial problems in bringing out their papers with very few advertisements,� the report said.
The PHDCCI, which was established in 1905, in its report said that in addition to the extended lockdowns adversely impacting a large number of daily wage earners, and freelance creative talents, decreasing revenues and uncertainty around the ecosystem for recovery from the pandemic, unfortunately also triggered a number of layoffs and pay-cuts in the media industry.
In these circumstances, the social and charitable measures taken by several media bodies, including broadcasters, IPRS, Producers Guild of India and other industry bodies, are certainly a much-needed lifeboat to sustain livelihoods of composers, artistes, singers, authors, and daily wage earners in the entertainment industry, the report added.
Going forward, the industry will need to rethink various operational and legal aspects of the business, such as timelines, production costs and schedules, legal commitments, etc., in order to adjust to the �new normal� being presented to the world, the report said.
