The Indian government is set to establish a National Centre of Excellence (NCoE) for Animation, Visual Effects, Gaming, and Comics (AVGC) and Extended Reality (XR) in Mumbai, aiming towards the growth of sector. The centre will be located in Film City, Mumbai, on a 10-acre plot allocated by the Maharashtra government. The project, costing over Rs 1,000 crore, will be guided by industry bodies FICCI and CII, which will hold a 52% share, while the government will retain a 48% stake.

“This Rs 1000+ crore initiative aims to create an anchor institution similar to the IITs and IIMs, ensuring India seizes the growth opportunities in the AVGC sector, much like it did with IT,” a source involved in the project shared.

As reported by Economic Times, the NCoE is envisioned as an institution that will support skilling, education, industry development, research, and innovation in the AVGC sector. This centre will serve as a standard for the industry, enhancing India’s global standing in AVGC, particularly in gaming. The AVGC Promotion Task Force’s 2022 report highlighted the need for such an industry-led body to guide policies, establish educational frameworks, collaborate with international institutes, and promote the Indian AVGC sector globally.

“The National Centre of Excellence for AVGC will position India in the global AVGC landscape, especially in gaming,” a tech policy expert said.

Additionally, the government has proposed a AVGC policy, which, along with the NCoE, awaits cabinet approval. This policy is designed to be the framework for the sector’s development, providing guidance even as individual states develop their own AVGC policies.

The taskforce report estimated the global AVGC market to be around $800 billion, highlighting India’s potential to capture 5%, or $40 billion, of this market by 2025, with an annual growth rate of 25-30% and the creation of over 160,000 jobs annually.

“There is a pressing need for a dynamic National AVGC policy to steer the sector’s growth within the country,” the report concluded.

The establishment of the NCoE and the proposed policy represent steps towards positioning India as a leader in the AVGC and XR sectors, encouraging innovation and creating an ecosystem for future growth.