India's Animation and VFX segment to reach at US$ 2.2 billion by 2026: Report

India's Animation and VFX sector is projected to grow from US$ 1.3 billion in 2023 to US$ 2.2 billion by 2026, increasing its share of the media and entertainment (M&E) industry from 5% to 6%, according to a CII GT report released by Information and Broadcasting Secretary Mr. Sanjay Jaju. The AVGC-XR sector, encompassing Animation, Visual Effects, Gaming, Comics, and Extended Reality, currently accounts for approximately 20% of India's M&E industry and is poised for significant expansion.

The report anticipates that the online gaming industry will reach US$ 4.6 billion by 2026, with its contribution to the M&E sector rising from 10% to 13%. Currently valued at US$ 2.62 billion, the sector is expected to create over 160,000 new jobs annually, totalling 2 million by 2030. It calls for prompt implementation of the National Draft Policy Framework for AVGC-XR, enhanced Intellectual Property Rights to retain talent, and clear regulatory definitions within the gaming industry. The report also advocates for increased support for AVGC-XR entrepreneurs through Start-Up India and strategic investments in the National Centre of Excellence to boost innovation and global competitiveness.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.