The 56th GST Council meeting has offered a bouquet of reforms across industries, and the film sector walks away with partial gains.
Cheaper cinema tickets under ₹100, reduced GST on promotional materials, and a friendlier export framework for production services are meaningful steps. Yet, one glaring omission overshadows the optimism: the complete neglect of OTT platforms.
At a time when streaming has transformed India’s entertainment landscape, the Council’s silence on GST concessions for digital platforms feels both shortsighted and inconsistent.
Theatres, production houses, and even ancillary services like beauty and set design received some respite, but OTT platforms, arguably the backbone of post-pandemic entertainment consumption, continue to be taxed at the same high rates.
The irony is stark.
Policymakers praise India’s global content ambitions and push for export-friendly frameworks, but they fail to recognize that OTT is the most accessible, borderless, and rapidly scaling arm of this ecosystem. With subscription fatigue already hitting consumers and platforms under pressure from rising content costs, the absence of GST relief only compounds the challenge.
Moreover, the differential treatment risks reinforcing an old divide: traditional cinema receives indirect incentives to grow, while streaming, despite driving regional content, new talent, and global reach, remains burdened. If India truly wants to cement its position as a global content hub, ignoring digital platforms undermines the very foundation of that vision.
The Council’s reforms may help the big screen, but leaving OTT untouched is a policy blind spot that could slow down the sector’s momentum at a critical juncture.