IBF asks for withdrawl of TRAI notification on ad duration

26 Mar,2013

By A Correspondent

 

The Indian Broadcasting Foundation (IBF) is deeply concerned about the Telecom Regulatory Authority’s notification which will force television broadcasters to a maximum of twelve minutes of advertising in every hour of broadcast.

 

Like several industries that continue to reel from the after-effects of the global economic recession, India’s television broadcasting industry has been suffering too. The industry is largely dependent on advertising revenues for its economic sustenance. IBF has been working with TRAI over the last several months to arrive at a way forward on the quantum of advertising duration. Its fundamental stance has always been to self-regulate, aligned with globally practiced standards.

 

According to the official statement issued by IBF, the trickle back effect from the first stage of digitization is yet to begin. Carriage fees introduced in 2008 remain a burden, especially for the more than 500 smaller channel operators. Cable TV tariffs remain frozen at 2005 rates. HD TV and pay channel revenues are just about beginning to happen and will take time to start providing economic value. These factors need concomitant addressing. Regulation on just advertising minuteage will have a severe impact on the survival of the broadcasting industry from amputation of a critical arm of the fourth estate.

 

IBF has called for withdrawal of the notification and re-initiation of a participatory dialogue that helps make self-regulation of advertising minuteage in line with global standards a reality. None of the industry players are in disagreement with the overall objective of the notification. The staging of doing this has to be in line with economic sustenance of the broadcasting business and is best aligned to the full value of digiti zation becoming a reality.

 

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