How Modi government plans to help print media in India
What's the story
In a major boost for the media sector, the Indian government is said to be planning a 26% increase in advertisement rates for print media. The announcement is expected after the model code of conduct for Bihar assembly elections is lifted. The move comes as part of efforts to support small and medium publications grappling with rising costs and declining ad revenues due to brands shifting focus toward digital platforms.
Financial support
Last ad rate hike was in 2019
The proposed hike in ad rates is part of the government's strategy to provide financial relief to newspapers. The news media industry has been demanding a rate revision since 2022, owing to rising input costs and shrinking ad volumes. The last increase was announced in 2019 and was valid for three years. However, the revision remained pending during this period.
Job security
Proposed hike may prevent job losses in media sector
The proposed ad rate hike could also have a positive impact on job security within media organizations. The move is expected to help prevent potential job losses in the sector, which has been struggling with financial instability due to declining advertising revenues. After implementing the print media rate hike, the government may also consider a similar increase for TV media.
Media reforms
Broader media reforms under consideration
The proposed ad rate hike is just one part of the government's broader media reform initiatives. These also include reforms for radio regulations, television rating distortions, and DTH sector optimization. The aim is to protect traditional media from disruptions caused by new platforms and ensure a level playing field for all outlets.