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Animation, VFX and Post-Production - Rendering success

Rendering success


Year 2015 could turn out to be the cusp year for the Indian animation and VFX industry:

Release of probably one of the biggest hits of the Indian film industry, ‘Baahubali – The Beginning’, a film where 90 per cent1 of the scenes required CGI work.
On the animation front, traditional broadcasting channels increased their content mix to include more locally made content.
Studios now look beyond traditional mediums such as theatrical release and television to showcase their content and use digital platforms such as YouTube, Netflix etc.

Animation trends that are expected to dominate the future2

Some of the notable trends mostly likely to dominate the future are:

Use of 3D printing
The rise of Non Photorealistic Rendering (NPR)
Projection mapping
Merging with reality-Augmented Reality (AR) and Virtual Reality (VR)
Growth of brand licensing and merchandising

Potential challenges2

The industry continues to grabble with challenges such as:

Animation education and inadequate skilled workforce
Production creativity and efficiency
Lack of funding
Insufficient government support
Intellectual Property protection

The road ahead

With its use across a range of media channels, from apps to advertising, websites to music videos, and the changing mindset of the audience, animation has the potential to become one of the most sought-after mediums for entertainment and storytelling in India but this would need a strong push of incentives from the government and an evolved mindset and approach of the creators. Considering the above, the projected CAGR (2015-2020) for animation services and production is 8.5 per cent.2

VFX and post production, a new dawn

Overview of the Indian VFX industry

The Indian VFX industry is transforming rapidly.  The studios are maturing in terms of technology, techniques and output, aided by the experience from Hollywood outsourced work. Many movies and TV series now have on-board VFX studios right from the preproduction stage.  Finally the entire visual eco-system is evolving, be it theatres, televisions, mobiles or viewing preference of the audiences, which has given the sector the much needed impetus.

Key trends2

Increasing presence of VFX in all media and entertainment segments
Increased use of ‘live action’ in VFX
Growing presence of Indian studios in international markets
From VFX to VRX
Digital dawn

Key challenges 2

Incentives provided by foreign governments
Digital problems
Absence of back-end participation

The road ahead

The global cultural exchange, cross fertilisation of talent and advancement of technology are the key contributing factors to the industry. With high-speed media net transfer capabilities; virtual worlds are being driven by technology that keeps getting better with a wider reach across the world. The movie making value chain has undergone a metamorphosis and it is indeed encouraging to see that mainstream Indian filmmakers plan their production schedules to accommodate the VFX component of the film. Going forward, the trend is expected to catch up even further and thereby become the standard operating procedure. That also shall pave the way for further integration of VFX within the script, which may eventually lead to creating a film like ‘Gravity’ out of India. Considering the above, the projected CAGR (2015-2020) for VFX and post production is 18.5 per cent.2


The future of Indian animation and VFX industry is bright and it is just a matter of time before a new benchmark is set.  While the industry will get a boost after the release of a few big films, the television space is also not to be underestimated.  The mobile and internet gaming area although still not big enough, should also see accelerated growth in the next couple of years.  It is expected that digital will drive growth, and innovation will be the key which will be driven by creative expression.


1 Will Baahubhali’s success spur more desi vfx http://www.outlookbusiness.com/enterprise/trend/will-baahubalis-success-spur-more-desi-vfx-clicks-1969 dated 29 September 2015 accessed on 4 March 2016
2 Industry discussion conducted by KPMG in India
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