Centre Launches Indian Institute of Creative Technology (IICT) to Boost AVGC-XR Sector

1. The Government of India has launched the Indian Institute of Creative Technology (IICT) as a major step to develop the AVGC-XR (Animation, Visual Effects, Gaming, Comics & Extended Reality) ecosystem.
2. The initiative is spearheaded by the Ministry of Information and Broadcasting in collaboration with FICCI and CII.

What is the Indian Institute of Creative Technology (IICT)?

1. IICT is envisioned as a National Centre of Excellence (NCoE), fully focused on the AVGC-XR sector.
2. It will work towards advancing education, training, and industry-academia collaboration in this growing creative technology domain.
3. The institute will adopt the model of IITs and IIMs to become a global hub for high-quality education and professional training in AVGC-XR.
4. Extended Reality (XR) technologies, which include Virtual Reality (VR), Augmented Reality (AR), and Mixed Reality (MR), will be key focus areas under IICT.

Current Status of the AVGC-XR Sector

1. The global AVGC-XR industry was valued at over $366 billion in 2021, showing massive global demand and innovation.
2. However, India’s contribution to this market is currently less than 1%, indicating significant untapped potential.
3. Projections suggest the Indian AVGC-XR market could grow to $26 billion by 2030 with the right ecosystem and support.
4. Karnataka, India’s established IT hub, is also emerging as a leader in the AVGC-XR sector.

Benefits of NCOE National Centre of Excellence

 

Key Growth Drivers for AVGC-XR in India

1. Surge in OTT Consumption: India had about 547 million OTT users in 2024, achieving a penetration rate of 38.4%.
2. Expanding Smartphone & Internet Reach: Over 900 million internet users are expected in India by 2025, mostly from rural regions, as per the IAMAI-Kantar report.
3. Diverse Use-Cases: Animation and VFX are increasingly used in gaming, education technology (EdTech), architecture, and more.
4. Rapid Tech Advancements: Investment in cutting-edge technologies like AR and VR is rising steadily each year.
5. Supporting Infrastructure: Growth of 5G networks, increased R&D spending, and policy support are boosting the sector.

Biological Diversity (Access, Benefit Sharing) Regulations, 2025 Notified

1. The National Biodiversity Authority (NBA) has officially notified the Biological Diversity Regulations, 2025.
2. These new rules are framed under the Biological Diversity Act (BDA), 2002.
3. They replace the earlier 2014 regulations to align with emerging global and domestic biodiversity priorities.
4. The rules focus on equitable benefit sharing from the use of biological resources and associated knowledge, including Digital Sequence Information (DSI).

What is Access and Benefit Sharing (ABS)?

1. ABS governs how genetic resources are accessed and how benefits from their use are shared fairly.
2. It ensures providers of biological resources—individuals, communities, or countries—receive fair compensation from users.
3. ABS is based on international commitments under the Convention on Biological Diversity (CBD).
4. Key instruments under CBD include the Bonn Guidelines and the legally binding Nagoya Protocol (2010).
5. In 2024, the CBD COP16 adopted a Multilateral Mechanism specifically for the use of Digital Sequence Information (DSI).

Annual Turnover of the Person (in INR)	Benefit Sharing Amount Payable (as % of annual gross ex-factory sale price, excluding govt. taxes)
Up to ₹5 crore	Nil
Above ₹5 crore to ₹50 crore	0.2%
Above ₹50 crore to ₹250 crore	0.4%
Above ₹250 crore	0.6%

Key Features of the 2025 Regulations

1. Prior Informed Consent (PIC)

1. Individuals or industries seeking to access biological resources must inform and seek approval from the NBA in advance.
2. However, access to cultivated medicinal plants notified under BDA 2002 is exempt from this requirement.

2. Benefit Sharing Based on Turnover

1. The new rules define benefit-sharing slabs based on the annual turnover of the user entity.
2. Entities with turnover exceeding ₹1 crore must file annual statements detailing the biological resources used.

3. Resources with High Conservation/Economic Value

1. For high-value resources like red sanders or agarwood, benefit-sharing starts at a minimum of 5% of the sale, auction, or purchase price.
2. In cases of commercial exploitation, the benefit share may go beyond 20%, depending on the resource’s significance.

4. Commercialization of Intellectual Property Rights (IPR)

1. Applicants utilizing biological resources for IPR purposes must compensate the NBA through monetary or agreed non-monetary benefits.
2. This ensures that innovation using India’s biological wealth returns value to the country and local communities.

 

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