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²United Nations Conference on Trade and Development

The audiovisual services sector has changed significantly during the past ten
years. New technologies have stimulated the growth and development of
audiovisual services and products around the globe and offer consumers worldwide
access to a multitude of entertainment and information services.

The audiovisual services sector covers a wide range of activities related to

the production, distribution, and exhibition of audiovisual content such as motion
pictures, radio and television programs, and sound Recordings.

In the General Agreement on Trade in Services (GATS) of the World Trade

Organization (WTO), audiovisual services are defined under the subsector of
communication services.3 The GATS is the first and only set of multilateral rules
and commitments covering government measures that affect trade in services.

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Category with subcategories


 !"! !
CPC 96111 Promotion or advertising services
CPC 96112 Motion picture or videotape production services
CPC 96113 Motion picture or videotape distribution services
CPC96114 other services in connection with motion picture and videotape
production and distribution


#$! 
CPC 96121 Motion picture projection services
CPC 96122 Videotape projection services


% & !! !?
CPC 96131 Radio services
CPC 96132 Television services
CPC 96133 Combined program making and broadcasting services



'(#) *& !*!+!!! !
CPC 75241 Television broadcast transmission services
CPC 75242 Radio broadcast transmission services


,. Sound recording



Specified others (e.g., the contents of multimedia products)


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Measures used by countries to protect the sector from the international

market. These measures aim to promote and enhance national culture. They are
usually underpinned by the preference within a country for domestically produced
Programming.

1)?
 0&!, especially for television, are an important part of
cultural policy in many countries. They can ensure that local programs, as
expressions of a country¶s unique cultural identity.
2) .0 1!2 
& !!, many countries prohibit
foreign ownership and limit foreign investment in broadcast media,
especially in television. These restrictions reflect concerns about cultural
dominance by foreign interests and the need to safeguard and support
domestic cultural industries.
3)3 ! +"!!,Population size and wealth can
limit the extent to which local producers are able to recoup production costs
in their domestic market
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ü? ‰astest growing sector?
? Indian audio-visual and entertainment industry is largely unorganized and
concentrated in private hands.
? Offers a wider choice of services to the consumer
? A large part of the - !& sector has been privatized, government
incentives are mainly in the forms of 3 exemptions/concessions

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? 4 - affects all segments of the industry from film production to music
to live entertainment.
? 02+3-ranges from 14 to 167 per cent
? No proper infrastructural facilities for E-commerce
e.g.; United States and the EC have emphasized a ³duty-free cyberspace´ in order
to encourage growth in global electronic commerce
? Advertisement spending

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? Television broadcasting quotas- regulates Indian content in other countries
? Many developed countries for example, the EU, Canada and Australia
heavily subsidies their domestic industry.
? Restrictions on audio-visual services which are specific to contents of Indian
origin.
? pack of information regarding the demographic and psychographic profiles
of viewers. Difficulty in Distribution Chain
? Restrictions on co-production
? lack of availability of screens/theatres- expensive and are not easily
available for screening foreign movies
? Several restrictions inhibiting the inter-country movement of persons
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? Technological Changes Have Reduced Barriers to Entry and Developing
Countries are Taking Advantage
? piberalization of Audiovisual Services Can Boost Developing Country
Exports
? Audiovisual piberalization Encourages the Development of Digital
Networks
? Audiovisual piberalization peads to Job Creation