In India, Free TVs from the Government for the Enhancement of Knowledge

By Indrajit Ghosh, Director, India and South Asia

The Southern Indian State of Tamil Nadu has been conducting a unique scheme: 14” CRT TVs are distributed free of charge to households that did not have a TV until now. The idea was developed by the local state government to ensure distribution of knowledge and entertainment, primarily for women in the state. The scheme, which commenced in 2006, is on-going. It is expected that more than 11 million sets will have been distributed by the end of 2010. The government is expected to distribute 13 million TVs in total.

The procurement of TV sets by the government for this program has helped the Indian CRT TV industry to stem its negative growth, a boon for the industry in this recessionary period. The scheme has given Indian OEMs and tier-two brands a chance to generate revenues; among the big brands, only Videocon is present. The procurement was initiated through tenders; along with Indian manufacturers, one Chinese supplier has been successful. The government-owned brand ELCOT has become the fifth largest CRT TV brand in India in 2008 by virtue of its role as the distribution channel for the program.

The truly novel scheme goes to show that the TV still plays a key role in the consumption of knowledge and entertainment. With the proliferation of channels airing educational programs and others showing popular films and programs, the TV has become a convergence platform for the vast majority of Indians. This has helped raise the aspiration level amongst the viewers who have now got a chance to see the world through their little 14” TV window.

S.KHANNA

One is surprised at the approach of the Governments, both Centre & State, on one hand they ditribute free TVs, as it is considered important tool for socio-economic deleopment of masses, but on other hand tax it at the highest level( around 30%), thus making it unaffordable to many poor people of the country.