India’s Animation, Visual Effects, Gaming, and Comics - Extended Reality (AVGC-XR) sector is set to become a significant player on the global stage, with the potential to create up to 20 lakh (2 million) jobs in the next five to six years, according to Sanjay Jaju, Secretary of the Ministry of Information and Broadcasting, Government of India.
"The AVGC-XR sector has the capability to position India as a global leader in content creation and immersive technology," Jaju said. He pointed out that the sector could generate employment opportunities for a substantial number of professionals, making it important for India’s youth and skilled workforce.
This anticipated growth is driven by the rising demand for high-quality content and immersive experiences worldwide. Jaju noted that the Indian government recognises the AVGC-XR industry as a significant contributor to the country’s economic development, especially in media, entertainment, and emerging technologies.
On September 18, the Union Cabinet approved the establishment of the National Centre of Excellence (NCoE) for AVGC-XR. Modeled after institutions like the IITs and IIMs, the NCoE will anchor India’s animation ecosystem by providing specialised training for both beginners and professionals. It will also foster research and development by uniting experts from various fields such as computer science, engineering, design, and art.
Jaju said, "In the coming years, the AVGC-XR sector will be a major focus for government initiatives," outlining plans for supportive policy frameworks, financial incentives, and dedicated training programmes aimed at preparing India’s youth for advanced technologies like virtual reality (VR), augmented reality (AR), artificial intelligence (AI), and 3D modeling.
The official had also recently spoken on the ministry’s plans to introduce “The National AVGC-XR Policy" and a "National AVGC-XR Mission" to bolster the sector with robust policies and financial backing.
While India has made its mark as a destination for outsourcing animation and VFX work for global projects, Jaju underscored the country’s potential to shift from this role to becoming a leader in original content creation and immersive technologies. "The AVGC-XR sector is expected to become an important aspect of India's soft power, similar to the role of IT in previous decades," he noted, indicating that India is moving beyond being just a support base for global projects to producing original, high-quality content that resonates worldwide.
To meet the rising demand for skilled talent, Jaju highlighted the need for education and specialised training in AVGC-XR technologies. The NCoE will be essential in providing a platform for skill development, research, and industry collaboration.
"The future workforce will need to be equipped with advanced skills in animation, gaming, VFX, and immersive experiences," he said, reaffirming the government’s commitment to empowering the next generation of creative professionals through initiatives like AVGC-XR academies and partnerships with the industry.
The rapid growth of the sector is also expected to benefit India's startup ecosystem, with many small and medium-sized enterprises (SMEs) gaining recognition globally. "The AVGC-XR sector is not just about entertainment—it’s about shaping the future of communication, education, and various industries," Jaju said.
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