Why Can’t India Become Exhibition and Events Superpower
The exhibitions market in India is around Rs. 2000 crore industry. But it is still trying hard to gain a foothold. The sector needs a priority treatment as it is seen as quite unorganised. The Indian economy is the fourth largest in the world but does it have the necessary support infrastructure for large exhibitions and thereby utilize economic opportunities?
Union des Foires Internationals’ (UFI) thinks that enough venues should be created in India to hold big international exhibitions as they facilitate a destination’s growth in myriad ways, apart from the mere economics involved with exhibitions. Currently around 700 trade shows are held in India annually. Another 10 times are held in the unorganised sector. Participants pump in around Rs. 900 to 1100 crore by a rough estimate for booth rentals, construction and an equal amount of Rs. 1000 crore for collaterals, travel and hotels. Since exhibitions are a sector that creates mass employment opportunities, skill and training programs are the need of the hour. The on-ground staff involved is unskilled and not trained enough to handle the special needs of the participants. The Bureaus, Industry Organisations, Corporates, Education Institutions should develop courses to produce world class professionals.
Venue rates in India are considered very high in comparison to other parts of the world. Most of the venues have monopolistic policies and are very rigid in certain matters. A need of giving exhibitions the industry status is being felt for long. New exhibition infrastructure has to be developed. Fresh promotion and marketing efforts have to be made. Public-private partnership projects should be given priority. Venue Rates and Tax compulsions should be reduced. Simplification in Processes and Procedures must be expedite. Temporary imports into India for expos should be felicitated. India also needs a mature exhibition industry association and we need to focus on professional management, training and development if we really want India to grow as an attractive destination for international exhibitions.
Mumbai and Delhi account for 70 percent of exhibition space where the cost of venues is something unjustifiable. Therefore, there is a strong need to develop other towns in different states as the exhibition centres. There is fragmentation due to fly-by-night-organisers and often the foreign organisers quit events at short notice. The red tape procedure requires multiple approvals different from various governmental agencies leading to unnecessary delays and sometimes cancellation of events. For a country like India where the exhibition industry is growing at the rate of 15 to 20 percent annually, low confidence and thus lower spending on trade shows should be a matter of serious concern for any government in centre.
The hotels are the biggest benefactors from large exhibitions taking place in the city so exhibitions can sustain the supply aspect in the hospitality industry. India needs world-class infrastructure to host big exhibitions. Venue creation holds the key to future growth. Being a highly capital-intensive activity this needs government support. Government should also plan to modernise existing venues like that of Pragati Maidan at New Delhi, where space could be better utilised offering higher return. Due consideration to the rationalisation of taxes and offering a level playing field to the India’s exhibition organisers is need of the hour too.
The exhibition activity in India should be granted an industry status at the earliest. It will smoothen a lot of issues like visa, octroi and policies, etc. In the Asian context, China has a stronghold because of the venue facilitation. it has been able to achieve. India also can become one of few developed exhibition markets. We must cash in on the exhibition potential in our country by simplifying processes and procedures for easy entry and exit options. Foreign direct investments should also be wooed, if we want to become exhibition and events superpower.
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