DisplaySearch has released a new topical report called India TV Market: TV's Emerging Land of Opportunity that analyses the trends and opportunities within the India market and predicts that by 2012, LCD TV shipments will surpass those of CRT TVs in India.
India has the second largest population in the world and an annual GDP growth rate of more than 8 per cent from 2002 to 2012, with a TV market that is projected to be 1.3 crore (13 million) units in 2008. CRT TV accounts for 92.9 per cent of those units in 2008, followed by LCD TV with 6.6 per cent and PDP TV with 0.5 per cent. However, DisplaySearch finds that the India flat panel TV market is just at the beginning of a real growth curve, with Y/Y growth of more than 100 per cent expected for each of the next five years. Growth will be driven by enhanced purchasing power, the digital broadcast (DTH, IPTV, STB cable) transition as well as consumer awareness and affordability of flat panel TVs. India's growing upper middle class is projected to be the greatest source of LCD TV purchasing power. DisplaySearch analyses the favourable demographics where more than 23M Indians—greater than the entire population of Australia—will enter this demographic in the next five years.
Meanwhile, major brands like Samsung, LGE, Sony and Philips and Indian local brands like Videocon and Onida are all focusing promotional efforts around LCD TV. Several Chinese brands are also targeting India with their first exports.
Other key findings in the report include:
Among the imports of LCD TV into India, approximately 25 per cent were imported in as CBU (Complete Built Unit) and 75 per cent were imported as SKD (Semi-Knock Down) or CKD (Complete Knock Down).
In 2007, the leading India LCD TV brands were Samsung, with more than 30 per cent share, followed by Sony (19 per cent), and LG (16 per cent). The leading PDP TV brands are LGE, Samsung and Panasonic. LGE also leads the CRT TV market in India with more than 25 per cent market share, followed by Samsung and Videocon.
Thailand has a special FTA (Free Trade Agreement) with India on duty benefits. Therefore, companies like Sony and Panasonic are making LCD TVs in Thailand and then shipping them to India.
21" flat CRT TVs have a 55 per cent share of the total CRT TV market in India.
There are still some concerns about India's LCD TV market growth: poor power supply; vague progress towards India digital TV broadcasting; a complex TV import-duty structure; and regulations that are very complicated and very inefficient.
In 2008, the share of 32" will be more than 45 per cent in India LCD TV market, followed by 20-26" with 31 per cent share. 40-47" accounts for only 15 per cent in India LCD TV market.
CRT TV OEM is a key business in India as many brands ship components into the country and then subcontract to local OEM makers to assembly CRT TVs for them.
Sony, Samsung and LG have the most exclusive shops in India.
The growing LCD TV market in India has encouraged Indian company Videocon group to set up a TFT LCD panel manufacturing fab.
