Music industry loses track in Goa

Loss due to software priacy and royalty theft amount to Rs 100 cr

The music industry has registered a loss of Rs 100 crore in Goa due to rampant piracy across the state.

According to the information available, the break up of loss incurred is Rs 50 crore by way of physical piracy including software, and Rs 50 crore amounting to royalty that should have been paid to the copyright holders of the original sound recordings.

The Indian Music Industry (IMI) will appeal to the Goa government to reduce the value-added tax (VAT) on the music software from the existing 12.5 per cent to 4 per cent.

"States like Maharashtra, West Bengal, Assam and Kerala have already notified the music industry regarding this," said Savio D'Souza, general secretary of IMI.

This disparity in VAT on music items has unscrupulous elements buying music stuff in Maharashtra and selling it in the black market, in Goa, at rates less than those charged by the authorised stores.

Speaking to media persons, the former super cop Julio Riberio, who now heads the national Intellectual Property Rights (IPR) organisation said, "Music piracy would force the music companies to shut down their business. The music companies, who are the key instrument behind marketing artists, would be severly affected."

Former Mumbai police commissioner said that piracy is destroying sales prospects of the new labels, which are receiving good response in market.

"The pirated music CDs of films such as Bluffmaster, Kalyug and Holiday are presently selling like hot cakes," the super cop pointed out.

Meanwhile, Amar Duragkar representing Saregama India said that in Goa, the piracy is eating into 30-40 per cent of the sales of video CDs of his company.

"The losses faced by Saregama in the audio sector in Goa is much more than the national loss," he said.