India, China broadcasting policies found wanting

India and China feature among the worst countries in the world when it comes to the formulation and implementation of regulatory policies for the video broadcasting industry, says a report from the Cable and Satellite Broadcasting Association of Asia (CASBAA), Business Standard reports.

According to the study, 'Regulating for Growth 2011, a regulatory regime index for Asia Pacific multi-channel television', India ranks second-lowest (ahead only of China), scoring 43% in the effective regulatory regime index, as compared to 95% attained in developed markets like New Zealand and the US. The most favourable regulatory environment was found in Hong Kong, with Japan, Australia and Malaysia close behind.

Rapid TV News quotes John Medeiros, deputy CEO and director of regulatory affairs at CASBAA, as saying: “Our research shows that markets where the regulatory environment is friendly have higher levels of economic activity. This benefits ancillary industries, local content creators, tax collections, and enables consumers to access newer forms of technology.”

Indiantelevision.com writes that the Indian pay-TV market needs a lot of improvement as it is handicapped by limits on foreign direct investment, cable operator licences, fragmentation, distribution price controls, and taxes.

“Regulation of the Indian pay-TV industry has become the most restrictive in the region, if not the world. Almost every aspect of the industry is controlled, from channel availability, retail and wholesale rates, packaging, advertising, investment, and even the commercial and technical arrangements between different levels of the supply chain.

“There does not appear to be any prospect of improvement in the near future, though the possibility of widespread digitisation does hold some promise,” added the CASBAA report.