Television

Star petitions Planning Commission for easing of 20% FDI cap?

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The momentum certainly seems to be building. For direct to home (DTH) telecast in India that is. The latest news emanating from the capital indicates that Star India has made a presentation before the Planning Commission seeking an easing on the key stumbling block to DTH take-off in India - the 20 per cent foreign direct investment equity cap in Indian DTH ventures.





The broadcasting industry has long been demanding that the FDI bar be raised to at least 49 per cent.





The as yet unconfirmed news follows close on the heels of reports that the government is weighing a proposal to remove the entry fee and bank guarantee totaling Rs 500 million as well as scaling down the 10 per cent revenue share agreement in its Ku band DTH policy. Presently, companies seeking a DTH licence have to pay an entry fee of Rs 100 million and provide a bank guarantee of Rs 400 million for a 10-year licence period.

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