The animation and VFX industry in India is expected to grow at a CAGR of 17.2% over 2017–21 to reach a size of INR131.7 billion1. According to the FICCI EY March 2022 report, the animation sector has grown by 24% and the animation and VFX industry is expected to reach Rs 180 billion by 20241. The AVGC (animation, visual effects, gaming and comics) sector is growing at 9% and is expected to reach $43.93 billion by 2024.
A recent media and entertainment industry report by the Boston Consulting Group (BCG) and Confederation of Indian Industry (CII), highlighted that the Indian animation and visual effects industry has the potential to touch 20-25% by 2025 from the existing 10% of the global market share. The government is also heavily supporting the industry and the recently announced promotion task force for the AVGC sector is a marquee move to strengthen domestic capacity for serving our markets and the global demand.
The rise of OTT has also influenced the animation industry with a sudden spike in viewership, especially for children’s content. Moving from its Hollywood-centric image, the animation industry is undergoing a sea change across the globe. Greater interest in and awareness about the industry has brought attention to the key tools used by animators and graphics creators. With the advent of new technologies and taking inspiration from a few Indian success stories, the Year 2023 is all set to take Indian Animation to newer heights.