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HomeArticlesModi Govt. spent on ads in 5 years what UPA Govt. spent in 10 years!
Monday, 13 May 2019 11:49

Modi Govt. spent on ads in 5 years what UPA Govt. spent in 10 years!

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While the Kejriwal-led AAP government, which often faces criticism as the biggest spender on ads, had spent over `274 crore on outdoor publicity since it assumed office in the national capital in February 2015, the Central Government has broken all records in the last 5 years on the same and other media platforms. 

As per Ministry of Information & Broadcasting (MIB), ` 979.78 crore was spent in 2014-15 on print and other media ads, ` 1,160.16 crore in 2015-16, ` 1,264.26 crore in 2016-17 and ` 1,313.57 crore in 2017-18.

Segment wise: ` 2,136.39 crores were spent for advertising in the print media. An amount of ` 2,211.11 crore has been spent in advertising through electronic media. Apart from this, ` 649.11 crore has been spent in outdoor publicity.

The government publishes ads through the Bureau of Outreach and Communication (BOC), an entity created after merging the Directorate of Advertising and Visual Publicity, the Directorate of Field Publicity and Song and Dram a Division in 2017.

Most of the ad spends were consumed by a missions such as the Pradhan Mantri Fasal Bima Yojana, Swachh Bharat Mission, Smart City Mission and Saansad Adarsh Gram Yojana.

In January 2019, the government had increased the a+dvertisement rates offered by it to private TV channels, which led to an increase of about 11 per cent in the rates for most channels. Differential rate structures were designed for news and non-news channels, depending on their overall reach in the country. Not only TV, the government also hiked by 25 per cent the rates at which the Bureau of Outreach and Communication (BOC) releases its advertisements to the print media. 

Karun Gera, president - Lokmat Media, commented on the price hike: “In an industry environment, challenged by high newsprint costs, this move by the Government is surely going to bring respite to the overall industry. The 25 per cent rate increase will essentially help improve yields and that should help small and mid-size newspapers which don't have a high commercial client penetration."

In just 4 and half years, the Modi government had spent about ` 5,000 crore on advertising, which is equivalent to what the Manmohan Singh government spent in the ten years it was in power (` 5040 crore). Also, as per a report from Factly, the amount spent on publicity during the NDA’s tenure is much more than what was spent by the UPA government.

In sharp contrast, the UPA government spent an average of ` 504 crore rupees on advertising every year during its ten-year tenure.

As per estimate, the biggest amount has been spent in print advertising. A total of ` 3.27 crore has been spent since 2014 on advertisements of the Unique Identification Authority of India (UIDIA) till 2018.

On GST alone, the government spent ` 132.38 crore on advertisements. The print media took away ` 1,26,93,97,121 on GST, though there were no such ads on TV. For outdoor media, the expenditure for GST advertisement stood at ` 5,44,35,502.

As per Information and Broadcasting minister Rajyavardhana Rathore, from 2014-17, a total of 52 advertisements worth `60.94 crore were issued in 2015-16, ` 147.96 crore spent on 142 advertisements in 2016-17, ` 83.26 crore spent on 309 advertisements in 2017-18 to promote the Prime Minister’s Crop Insurance Scheme, Swachh Bharat Abhiyan, Smart City Mission and the Model Gram Yojana.

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