The Economic Contribution of Copyright-Based Industries in Pakistan Copyright-Based Industries in Pakistan The Economic Contribution of

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A. Rauf Khalid October, 2010 168 The Economic Contribution of Copyright-Based Industries in Pakistan The viewsexpressedinthispublication reflectonlythefindingsandpositionsof authors. fountains ofcreativityfromwheretheriversimaginationflowdown. The sparkling waters from thesestreamsofingenuitylightuptheworldhumanmindwithintellect, vision “The humanmindisanundiscoveredplanetofvast space, baredeserts, ruggedmountains and thickforestsblessedwithaninnumerablenumberofthemostbeautifuloasis NATIONAL INSTITUTEOFCULTURAL STUDIES From “SaintoftheSpittingCobras” Research Associates Mr. Muhammed Abid Mr. GhulamSamad Ms. Adeela Khan Dr. Ataul Mohsin Dr. Vaqar Ahmed By RaufKhalid and divinity.”

The Economic Contribution of

Copyright-Based Industries in Pakistan169 211 210 213 209 220 215 217 208 207 204 198 186 189 196 184 189 182 183 184 184 180 181 182 182 179 179 180 182 177 177 172 173 174 176 176

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Revenue (tax) Contribution of Copyright-Based Industries Revenue (tax) Contribution of Copyright-Based IPR Enfor Identification of Industries Cor Inter Partial Copyright Industries Non-Dedicated Copyright Industries Institutional Framework Legislative and Enfor Intellectual Pr 1 Questionn 2 a m m alue-Added of Copyright-Based Industries

rade in Copyright-Based Industries ypes of Copyright-Based Industries S

Computer Softwar Advertising Radio & T Cinema Newspapers & Periodicals Employment in Copyright-Based Industries T V Estimation of “Copyright Factors” Data sour T Copyright Law in Pakistan Situation in Pakistan Understanding the Intellectual Pr Understanding the The Need for this Study n lysis oduction r vey r a

r 3.1.1 2.1.3 2.1.4 2.1.5 1.4.1 2.1.1 2.1.2 1.3.1 1.3.2 1.2.1 onclusions cono cono u nte nt 4.5 I 4.4 C 4.3 4.2 4.1 3.3 An 3.2 2.3 3.1 E E 2.2 1.4 S 2.1 1.3 1.2 1.1 I reface xecutive 5. 6. Appendix Appendix 4. 3. 2. 1. Acknowledgments P E Table of Contents 170 The Economic Contribution of Copyright-Based Industries in Pakistan T T T T T T T T T T T T T T T T T T T T T T T T T s e l b Ta able able able able able able able able able able able able able able able able able able able able able able able able able

24: 23: 22: 21: 20: 19: 18: 17: 16: 15: 14: 13: 12: 11: 10: 9: 8: 7: 6B: 6A: 5: 4: 3: 2: 1: towards GDPandEmployment ComparisonregardingInternational ContributionofCopyrightIndustries Summarised InformationRegarding Different SectoralAssociations Television Viewer-ship, Users TVChannels andInternet TV/Radio DramasTelecast /Broadcast Documentary FilmsProduced andReleasedduring1998-2007 Films Releasedduring1998-2007 Total NumberofNewspapersandPeriodicalsbyCategory Circulation ofNewspapersandPeriodicals Employment ContributionbyCore CopyrightSectors–1999&2007 Operational Licensesduring2006 Consolidated ImportsofCBI,2005-2006to2007-2008,ThousandUS$ Copyright-Based IndustriesImports(2006–2008)ThousandUS$ Consolidated ExportofCBI,2002-2003to2007-2008,ThousandUS$ Copyright-Based IndustriesExports(2003–2008)ThousandUS$ Sector-wise Share inTax RevenueContributionduring2007-2008 Contribution ofCopyright-BasedIndustriesinIndirect Tax (2007-2008) Sector-wise RealContributiontoGDP(Billion rupees&Growth %) Value-Added inPartialandSupportIndustries 1999-2000(Rs.Million) Value-Added from SupplyandUseTables for1999-2000 Copyright Factor Data Sources forKeyIndicators Partial CopyrightIndustries Interdependent Copyright Industries Core CopyrightIndustries List ofIPLawsImplementedorinProcess inPakistan

213 211 210 209 209 208 208 207 205 204 203 202 201 200 197 196 195 193 189 187 185 184 184 183 180 The Economic Contribution of

Copyright-Based Industries in Pakistan171 203 204 214 185 191 192 194 195 198 198 199 199 200 202

ocess

Contribution of Copyright-Based Industries to GDP over time Industries to GDP over Contribution of Copyright-Based Revenue Contribution 2007-2008 in Tax Share Sector-wise (2003-2008) Overall Exports of Copyright-Based Industries 2005-2008 Copyright-Based Industries Exports during Core Copyright-Based Industries Imports Overall and Core Balance Copyright-Based Industries Trade of CBI Export in 2007-2008 Relative Share of CBI Imports in 2007-2008 Relative Share Media 2006: Electronic Copyright-Based Industry Employment in Core Balance in Trade Contribution of Copyright-Based Industries Total Value-Added of Copyright-Based Industries, 1999-2000 of Copyright-Based Industries, Value-Added Total Data Identification Pr Data Identification during Sectors Rate in Core Growth & Corresponding Value-Added 2000-2008 Rate Growth Sectors and Corresponding in Non-Core Value-Added during 2000-2008 12: 13: 10: 11: 5: 6: 7: 8: 9A 9B 4: 1: 2: 3:

e e e e e e e e e e e e e Figur Figur Figur Figur Figur Figur Figur Figur Figur Figur Figur Figur Figur Figure F i g u r e s 172 The Economic Contribution of Copyright-Based Industries in Pakistan the followingorganizations by greatly facilitated was Pakistan in industries copyright-based on statistics accurate finding for pursuit The s t n e m g d e l w o n k c A 1 b. v u. t. s. r q. o. n. k. i. h. g. f. e. a. p. m. l. j. d. c. .

. The usualdisclaimer applies.

WIPO (W Pakistan RevenueAutomationLimited Mandviwala Entertainment(Private)Limited Daily Mashriq Netsole PakistanLimited Aaj TV Geo TV A Photographic SocietyofPakistan Pakistan AdvertisingAssociation Pakistan FilmPr Pakistan Electr Pakistan AssociationofPrintingandGraphicArtsIndustry Associated Pr Ministry ofCommer Orient McCannEricksonAdvertising(Private)Limited State BankofPakistan Planning Commission IPO –Pakistan Federal Bur Federal Bur Pakistan Electr VT Khyber orld IntellectualProperty Organization) eau ofRevenue eau ofStatistics ess ofPakistan onic MediaRegulatoryAuthority onic MediaRegulatoryAuthority oducers Association ce 1 : The Economic Contribution of

Copyright-Based Industries in Pakistan173 A. Rauf Khalid Islamabad, Pakistan President & Chairman President National Institute of Cultural Studies Raja, CEO, AVT Khyber, Mr. Imran Aslam, President, Geo Television, Shahab Zubairi, CEO, Aaj TV, TV, Aaj CEO, Zubairi, Shahab Television, Geo President, Aslam, Imran Mr. Khyber, AVT CEO, Raja, o propose policy, strategy and institutional interventions to encourage o the policy, propose and growth development of o analyze and elaborate the selected copyright-based industries of importance to the country, their o quantify the economic contribution of copyright and related rights industries in the country by copyright-based industries in the country. T T collective of role national market structure, the value chain, including demand and sectors, supply patterns, (NGO) labour market, organizations policy framework, non-governmental and public the from support etc.; the digital environment, management organizations, the financing mechanism, the implication of T estimating their value-added to their GDP, share in national employment and trade; foreign from the revenue generated Saidullah Khan of IPO Pakistan. Kamran

Orient Advertising (Private) Limited, Nadeem Mr. Mandviwala, Chief Executive, Mandviwala Entertainment, Mr. Jamshed Zaffar, President, Pakistan Film Producers Association, Chief Executive, Badshah, Ayaz Chief Executive, daily Mashriq (Private) and Limited, daily Mr. Cosmos Statesman and a large number Productions conviction finally, And study. this during extended they help the for directors and owners newspaper other of concerning is highly acknowledged. this study Tahir Yasin and guidance of Mr. Special thanks go to the Government of Pakistan, especially the Commission, Federal Board the of Federal Revenue, Bureau the of Planning Statistics, Pakistan Television Corporation, Netsole Mr. (Pakistan) Limited, In this study, the team has also the raise to tried sought also team to The copyright. in elucidate involved concerns and the principles the understand issue to laypersons of copyright in a manner which would allow awareness of policy makers to the real situation and educate those involved in copyright and related rights work, who may not be aware of copyright the and correct protocol involved property in intellectual copyright or regarding the information relevant with practical public details. the provide to tried has team the Finally, industries. • • • For a correct understanding of the copyright regime, its correlation homogeneity with among the economic members, growth the and team to studied bring carefully and discussed the regard as WIPO well guidelines as in similar studies this conducted by other countries including the USA, The specific tasks assigned were: Canada, Hungary. Singapore and Regular guidance and professional advice was provided by Consultant with Professor WIPO and Dr. Robert by Mr. Dimiter Picard, Gantchev Acting an Director Internationalof the Creative WIPO. Industries Division at The World Intellectual Property Organization (WIPO) has commissioned this in October 2008 to a team of researchers including Rauf Mr. Khalid, President and Chairman of the National Institute of Cultural Studies in Islamabad, Pakistan, Dr. Vaqar Ahmed, Senior Economist at (PIDE) Economics the Development of Institute Pakistan the at Planning Economist Research Samad, Ghulam Commission, Mr. Pakistan, Government of in Islamabad, Ms. Maliha Elahi, a project designing and implementation expert and trainer at the National Institute of Cultural Studies (NICS), Mr. Mohammad Abid, an economic research coordinator working the for National Institute of Cultural Studies in Islamabad, Pakistan, Ms. Adeela Khan a researcher and trainer from RH-AID Ataul Pakistan, Mohsin, Dr. a faculty member of the National Institute of Cultural Studies and Mr. This study was undertaken to evaluate the contribution of the the national copyright economy and of related Pakistan. rights It was industries initially to assigned to Kamal could not complete the A. the study R. because Kamal of but his unfortunately untimely Dr. Pakistan, Dr. “Sitara-e-Imtiaz” winning Economist of demise in early 2008. P r e f a c e 174 The Economic Contribution of Copyright-Based Industries in Pakistan f h vleadd Te vrl cprgt nutis otiue rud o .5 o te GDP. the of 4.45% to around contribute industries copyright overall The value-added. the of 44% for industries support non-dedicated and 22% for industries partial 3%, for stand industries copyright interdependent The industries. copyright value-added the of 31% represent industries copyright core The educated andtrainedworkforce, lopsidedmarketingandcopyrightpiracy 25.05 Rs at stood revenue advertising (spend) total The period. this during 82 to 3 from up gone of FM radio stations and TV channels in the past fifteen years. licensed Government television channels have growthnumber enormous the seen in has Pakistan annum. per rupees billion 10 over well stand Pakistan in of people the for entertainment and information Pakistan for of over seven decades source now. the The advertising and been license fee traditionally earnings of all has the radio and television TV channels & Radio the industry.by employed are people 100,000 over and (PSEB) Board Export Software Pakistan the with registered State the by growto estimated is it 2013, By Pakistan). of Bank Theredollars. billion 1 beyond are reportedcompanies 1,100 over (as dollars million 170 over now are products and services related IT of remittances Software Pakistan certified. ISO now are Houses Association (PASHA) estimates that companies today Pakistan’s IT Pakistani industry is worth over 2 billion dollars. Foreign 120 over Board, Export Software Pakistan the of help the country. With the outside and locally both time with progress made has creation Software and highlevelofpiracyare someofthereasons whyourmusiciansandsingersare financiallydebilitated. property intellectual for disregard music, towards attitudes social exception: no is industry music Pakistani andforlackof films of piracy ofpervasive because of closure copyright awareness inthecountry. the brink at is year, every a over films produce hundred to used once which industry, film The periodicals. textbooks, and printing newspapers on publications, focused religious mostly now is industry publishing The Pakistan. in particularly and region the in generally piracy rampant reasonof the for bordersmostly its beyond go not literaturecould Pakistani This exercise isacombination ofquantitativeandqualitativeresearch methodologies. broadcasts. TV & radio and recreationservices, services, IT,cultural and and processing social data printing, added, share of employment and share of trade. The main core copyright sectors studied are: newspaper and This study aims to document the total economic contribution of copyright industries to GDP, in terms of value- underestimated andinadequately considered inPakistan. improveview to a with be made may creativity overlooked, been has often management that andcopyright of this study was to assess the true value and potential of the copyright sector so purpose The that trade. promoting and jobs creating wealth, policy generating significantly are industries recommendationsthese values, social of enrichment the and diversity cultural on impact lasting a Having Pakistan. of development cultural The creative industries which y are deeply rooted in r copyright protection contribute to the a economic, social and m m u S e v i t u c e x E 2 (US h epomn i cprgtbsd etr hs oe a ices i rcn yas Te mlyet in government employment to offer licenses to The the private sector. years. The largest recent growth was in the in case of allowed that Cable deregulationthrough increase media TV of followed up opening by the to an due increasedrecently has media electronic noted has sectors copyright-based in employment The industries contributeto0.04%,1.37%and1.60%ofthe employmentrespectively. non-dedicated and partial interdependent, the while employment, the of 0.70% to contributed industries Similarly, the copyright-based industries contributed to 3.71% of the employment in 2006. The core copyright industries contribute to 0.98% and the non-dedicated partial industries the contribute 0.11%, to to 1.99% contribute of industries the GDP,interdependent GDP the the respectively.of 1.37% to contribute industries  1999-2000. updated Supplyand Usetables.Atthestartofthis study wealready highlighted toWIPOthatwewoulduseSupply andUsetableof repeated request to theFederalBureau ofStatistics (FBS),from publicand privateinstitutes,theFBSfailedtocomeupwith The estimatesofvalueadditionflow directly from thealready availableSupplyandUsetablefortheyear1999-2000. Despite

$318 ilo) n 0820. h idsr hwvr i fcn aue hlegs f o-viaiiy of non-availability of challenges acute facing is however, industry The 2008-2009. in million) . 2 h core The

billion The Economic Contribution of

Copyright-Based Industries in Pakistan175 While giving specific analysis of some copyrightcore sectorsincluding raising awareness theamongst artists / study intellectuals / provideslaw makers policy recommendations / media and government personnel / other stakeholders, launching advocacy campaigns Pakistan, appointing for copyright policemen, behavioural assisting in change, establishing Collective capacity Management The industries. copyright of Organizations, development building the at aimed institutions with partnerships public-private arranging of IPO- supported be to needs potential revenue enormous with industries copyright the in environment competitive by the government. The private sector may be line a partner front and in harnessingsearching the potential of the economy. works in the mainstream of individuals / institutions to bring copyright The export trend in copyright-based industries is dependent on: a) global economic growth that gives rise turnupon in which depends output local of competitiveness b) and products Pakistani for demand global to cost of raw materials and inputs. Pakistan is a net importer of copyright-based $787 million in 2007-2008. During the same year the copyright-based core industries industries net were importers in in the range of the range of $1248 million. In 2007-2008 the core copyright-based industries contributed to 20% of total exports. The interdependent copyright-based industries contributed to 41%, industries the to 34% partial and copyright-based the non-dedicated copyright-based industries contributed to the Similarly, 5% imports of for the total year 2007-2008 exports. of core copyright-based industries are 68%, interdependent 7%. non-dedicated copyright-based industries 25%, partial 1% and FM Radio. The recent developments in electronic media include multi-channel multi-point distribution system system distribution multi-point multi-channel include media electronic in developments recent The Radio. FM technology (DTH). (MMDS) and direct-to-home 176 The Economic Contribution of Copyright-Based Industries in Pakistan f oyih ad eae rgt idsre ws odce b te ainl nttt o Clua Suis in Studies Cultural of Institute National the by conducted was industries rights related and copyright of contribution economic on survey national first this Pakistan, of Government the of recommendation Upon addressing relating theinstitutionalconcerns tocopyright andintellectualproperty inthecountry. to establish a focal IP Organization headed by the Prime Minister of Pakistan, particularly aimed at effectively For the reason that Pakistan could not take full advantage of its creative genius, the government has decided national economiesandoffered guidelinestothosestudyingthecreative outputsineconomicterms. summarised existing experiences in assessing the economic contribution of the copyright-based industries to of Copyright”inthebooksEconomica. Aspects Economic “the as published was study His 1934. in study his out carried who Arnold Sir economist, born British a to goes copyright of contribution economic the quantified that study a conducting for Credit scientific, literaryorartisticproduction ofwhichheistheauthor”. any from resulting interests material and moral of protection the to right the has “Everyone that states 2, paragraph 27, article its in Rights Human of Declaration Universal the creation, his/her of fully benefiting of creator’sTothe right discoveries”. protect and writings respective their to right exclusive the Inventors and Constitution, is “to promote the progress of science and useful arts, by securing for limited times to authors States United the in expressed as copyright, of intent the of example Another Britain. Great in -1710’ Anne was Queen of ‘Statute property the from originated legislation intellectual time modern its the world, the of of regions civilized all respectin there of concept the Although literature. and arts of performing fields the & in visual horizons new exploring to addition in engineering and science in (R&D) development and competitive economies for the reason that sustainable economic growth depends largely on hi-tech research today’sin role major a play ones old the improving and drivers economic new creating in efforts Individual institutions. property intellectual their strengthening by creation and invention innovation, towards work to which always comes with a high price. This can be achieved by mustering their country’s own creative genius technology of import the on reducingdependency been has thirdworld the of challenges major the of One contribute inonewayoranothertoalmosteverysingleindustry. fiction, poetry, painting, design, photography, graphic designing, video games and films. The copyright works development companies. They further enrich our culture with their creative expression in music, songs, drama, museums, community centres, cinemas, advertising, media houses, software, 3D animation and video games libraries, halls, performance universities, colleges, schools, in performers and artists authors, Todayfind we the pointofdisagreement. at reason and evil of despair,face of the time in the beauty in hope grief, of poverty,depths the in humour of darkness the in radiance provided time the of artists and writers The prominence. present its to way the on Europe put who people creative the were Those suspicion. vehement with regardedtime was a change when at feelings and thoughts intellect, their express to copyright However,opportunity the time. people that European gave at certainly place took registration formal no though Renaissance, the in legislated was work Copyright development. human all of essence the representing been have industries Copyright producing artandmusicsince thebirthofIndusValleybeen Civilizations. have they as people, Pakistani the to new nothing is Creativity youth. uneducated and educated for both creation job in play could it role the and growthcountry’s economic the to contribution copyright of realizePakistan in makers decision the potential enormous as well the as people, the make to conducted be may study a that (IPO)-Pakistan Organization Property Intellectual the by felt therefore was considerably.It n o i t the With dawn of the computer age and the birth c of the Internet, the importance of copyright has increased u d o r t 1.1 n . 1 3 in published (WIPO) Organization Property Intellectual the 2003 World the approach, harmonized a inculcate To

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Copyright-Based Industries in Pakistan177 opyright C and

roperty P ntellectual I the

cuits and Layout Designs eeders Rights nderstanding U Types of Intellectual Property Rights Defining Intellectual Property Intellectual Property

rademarks

Plant Br T Geographical Indications Industrial Designs Integrated Cir Copyrights Patents

Brief description of the above mentioned types of intellectual property is given below: Brief description of the above mentioned types of intellectual property • • • • Intellectual property includes the following types: Intellectual property • • • 1.2.1.2 Under the copyright laws, owners are granted certain exclusive rights to a variety of intangible assets such as such assets intangible of variety a to rights exclusive certain granted are owners laws, copyright the Under and other artistic works. literary works, music, films, photographs, computer programs Any new or improved thought, observation, discovery, communicated by spoken, written, sung, performed, photographed, pictured, drawn, invention, painted, constructed, experience or person a such creation by uses of kinds all for that property intellectual the is it value; has a has sculpted or assembled erected, been or people and with permission such or in a people’s whose person’s mind it was first envisioned or if it has such a person. from been legally acquired 1.2.1.1 “Intellectual property rights are a bundle of exclusive rights over creations of commercial.” the Intellectual mind, property both is artistic the and recognition of creation by the value i.e. human books, music, computer mind programs, inventions, industrial of designs, trade goods names, trade secrets, that etc. hold property intellectual of owner The properties. tangible other to protection similar enjoys property Intellectual sell, license, and transfer it like other physical goods. may grant their rights to buy, 1.2.1 Intellectual Property (IP) is a critical component of the Research hi-tech on largely depends present growth economic sustainable that day reason the for globalization, competitive growing economy especially in the & Development base of The the realization country. that IP is a powerful driver of innovation and creativity for wealth creation is gradually growing in Pakistan. The new concept of IP-based nations is internationally is a significant enabler of innovation, technology management because intellectual property gaining ground creation and technology Based transfer. on these considerations the intellectual property management has been in mainstreamed Pakistan both by (i) abolishing the age-old fragmented mode of IP management and management of intellectual property. (ii) establishing IPO-Pakistan for integrated 1.2 In real terms, the economic contribution of some of our culturally rich artistic activities in crafts like embroidery embroidery like crafts in activities artistic rich culturally our of some of contribution economic the terms, real In and needle work (generally for common use painting and (in especially furniture for and bridal dwellings) and dresses), hand-woven woodcarving fabrics and like involve wood designing “Susi”, in “Namda” its own and special “Salara” colour combinations, which could not be taken into that crafts manufacturing is not formally part of account the copyright sectors. protected Keeping its huge potential for the reason efforts in to are required view, be made to the policy and implementation levels to find ways and means of bringing crafts into copyright and into organized sectors. The contribution of copyright collecting societies such organization exists in Pakistan. that no could not be assessed for the reason Islamabad, Islamabad, Pakistan. In addition to giving guidance and professional advice, financial support forthis study was provided by the days World Intellectual consultation Property meetings Organization were (WIPO). Two also held in WIPO Headquarters in Geneva with WIPO officials and the international consultant to this study Robert Picard. Dr. Professor 178 The Economic Contribution of Copyright-Based Industries in Pakistan unauthorized use of that trademark. However, registration is not required. The owner of a common law common a of owner The required. not is registration However, trademark. that of use unauthorized The owner of a registered trademark may commence legal proceedings for trademark infringement to prevent non-conventional trademarks comprisingmarkswhichdonotfallintothestandard categories. owner.its by use of exclusive range assureits a legally also to Thereis agency registeredgovernment a with merchant in order to designate and distinguish his goods / services from any others. A trademark is normally or manufacturer a by word, used letter, elements picture, these of figure, combination a or symbol, image design, name, symbol, logo, a phrase, mark, typically and property intellectual of type a is trademark A ® do applycriminalsanctions. work, without formal registration. Generally, copyright is enforced as a civil matter, though some jurisdictions completed any in copyright recognize most but copyright establish to requiredformalities have jurisdictions Some authorship. corporate or anonymous for period shorter author’sa the fromor years hundreddeath a The time period for enjoying copyright benefits rights” of the creator of a work, such as the right to be credited for the work at all times. jurisdictions Most medium. “moral also recognize the a substantive, in informationdiscreteisfixed thatand painting, drawing, photograph, lithographs, prints, music, film, sculpture, computer program, database or any enter the public domain. Copyright applies to any expressible form of a literary, research and artistic work like its publication, distribution, photographing, photocopying and adaptation; after that time the work is said to artist or performer of an original work, exclusive right for a certainCopyright simply time means “the periodright to copy”.in Copyright relationis a form of to intellectual thatproperty that work, gives the includingauthor, and artisticworks,music,film,painting,sculpture,computerprogramdatabase,etc.” literary of creation includes It work. the of creator the to available exclusively is that copy a over right “The 1.2.1.3 SM ™ A trademarkisdesignatedbythefollowingsymbols: picture thattheplaceisaKFCrestaurant. passer-by,a by man’sunderstandable old not fromthe language out a make in easily written can is she / he white moustache and glasses on the KFC restaurants and advertisements. Even if the name of the restaurant buying or exchanging with them. An example of a well known trademark is the picture of an old man with a selling, is who understand to people Similarly,the trade. enables his it in name reliable a achieving towards efforts his use to trader) a (like owner the enables design a or mark symbol, a of form the in trademark A unique source, andtodistinguishitsproducts orservicesfrom thoseofotherentities”. a from originate appears trademark the which with services or products the that consumers to identify to Trademark is “a distinctive sign or indicator used by an individual, business organization or other legal entity 1.2.1.5 or improve thefunctioningoracceptabilityofaproduct. from his decades old knowledge seeking and struggling to invent something of value for humans or to innovate access public ensuring while regardinginformation productsnew those gain processes.to and innovator the or processes,inventor the enables This and products improved and new of discovery the encourages and promote Research & Development in a country’s technological and scientific fields. Protection of patents protect Patents application. industrial and step novelty, inventive of criteria the fulfilling by inventions their Patents are the exclusive rights of inventors, innovators and researchers to exclude others and to commercialize sell aninvention/innovationforfinancialand related gainsforastatedperiodoftime.” The Patent “is a government grant to an inventor / innovator conferring the exclusive rights to make, use and 1.2.1.4

(for ar (for anunr (for anunr

Copyright Trademarks Patents egistered trademark). egistered servicemark,thatis,amarkusedtopromote orbrandservices)and egistered trademark,thatis,amarkusedtopromote orbrandgoods), has been internationally standardised, it lasts between fifty to The Economic Contribution of

Copyright-Based Industries in Pakistan179 fective border measures to control counterfeiting and piracy. to control measures fective border

akistan P in

the Intellectual Property Organization-Pakistan on April 8th, 2005 as a central organization ed the Federal Investigation Agency (FIA) which is Pakistan’s elite force for the control of white for the control elite force ed the Federal Investigation Agency (FIA) which is Pakistan’s ituation S Institutional Framework Integrated Circuits and Layout Designs Plant Breeders Rights Industrial Designs Geographical Indications

collar crime to eliminate piracy by including the copyright legislation in the FIA Act, 1974; collar crime to eliminate piracy by including the copyright legislation in the Activated Pakistan Customs to institute ef Established Empower for the integrated management and enforcement coordination of all forms of intellectual property; coordination for the integrated management and enforcement

• The establishment of an integrated IP organization led piracy to especially significant improvementspiracy, inin decrease IPdiscernible a policyin making.resulted initiatives At related enforcement the time, same the of optical discs. The Government the situation: of Pakistan took the following steps to rectify • • Until 2005, IP issues were managed in a fragmented manner. The three Office,key the Patent registries Office(i.e. and Trademarks the the Registry) reportedCopyright to three different Federal Ministries, while international aspects of the IP regime were handled by other Ministries (the Also, Foreign Office, manner. the coherent a Ministry in policies IP of formulate to difficult was it that was result The Trade). and Commerce of IP rights could not be adequately addressed. enforcement issues such as effective critical cross-cutting 1.3 1.3.1 1.2.1.9 Plant Breeders Rights protect rights of breeders scientists (researchers, and farmers) for the development of new plant varieties to get improved farm yield whether or not genetically engineered or improved and vegetables. fruits plants, crops, 1.2.1.8 devices semiconductor of mainly consisting etc. chips, silicon microchips, microcircuits, are circuits Integrated today. equipments in use used in almost all electronic which are Industrial Designs are the ornamentalIndustrial Designs are or aesthetic aspects of an article which make the article attractive and appealing. It may consist of three-dimensional features or two-dimensional features i.e. designs of vehicles, textile or any other industrial and handmade products. pottery, 1.2.1.7 1.2.1.6 peculiar possesses which services or products certain for used sign or name a example, protect For Indications Geographical origin. geographical its to due essentially reputation certain a enjoys or characteristics, or qualities include indications geographical under protection for considered be may which Pakistan in products possible crafts, etc. Balochi Sajji and certain regional Qasuri Methi, Hala Ajrak, Peshawari Chapal, Kamalia Khadar, Trademarks distinguish Trademarks the goods and services of one business from those of the others and protect them against unfair competition through products and services,maintenance of high-quality loyalty. and help companies advance customer counterfeiting. Trademark laws encourage the development and The term trademark is also used informally to refer to any distinguishing attribute by which an individual is identified,readily such as the well known characteristics of celebrities. When a trademarkis usedrelation in mark. it may sometimes be called a service products, to services rather than trademark trademark may also file suit but an unregistered mark may be protected only within the geographical area expand. to expected reasonably be may it which into areas geographical in or used been has it which within 180 The Economic Contribution of Copyright-Based Industries in Pakistan Table 1: list oftheIPlawsthatare currently inforce orare underconsiderationmaybeseeninTable 1below. for a comprehensive mechanism for protection and enforcement of Intellectual Property Rights in Pakistan. A thereforeis and (WTO) Organization propertyintellectual its provideupdate to to and obligation laws under Pakistan is a signatory to the Trade Related Intellectual Property Rights (TRIPS) Agreement of the World Trade 1.3.2 appropriate selectioncriteria. the same time, IPO-Pakistan, needs to strengthen itself through acquiring competent professionals following At violations. copyright against report and about speak and copyrights their of understanding clear a with Right holders need to be persuaded to take cases of infringements of their the alteration of decades-old rights thoughts and beliefs which have become to ingrained in the minds of the the people. courts, sign agreements Nevertheless, the IP situation in Pakistan still needs to be improved and reinforced, especially with reference to • • • The copyrightworksthatare notprotected include: • • • • • • • Pakistan’s copyrightlawprotects thefollowingworkcategories: were 1968 amended intheyear2002. of Order Copyright International the and (1981) Regulations (Procedure) Board Copyright by the followed (1962) Ordinance Copyright by replaced 1967, Similarly,Agreement.of TRIPS Rules with Copyright compliance the in 2000 year been the in amendments had Rome which (1911) (1952), Act Convention Copyrights British Copyright on Universal (1886), Convention Berne based was Pakistan in legislation copyright the Initially Agreement(1994). TRIPS the and (1961) Convention the to signatory is Pakistan 1.4 The owner may assign / transfer / sell these rights to any person, wholly or partially, generally or subject to subject partially,or or generally wholly person, any to rights these sell / transfer / assign may owner The after years author’s50 surviving last the after death. years additional 50 for lasts term the an work joint author’sa the of case plus In death. author’slife the is works copyright of protection of (term) duration The

ii AsuigenerisGILawhasbeendrafted. Itisundergoingnecessaryscrutiny andcross-checksrequired before viii. PlantBreedersRights(PBR)LegislationhasbeenapprovedbytheFederalCabinet.Itisnowundergoing TheTrade MarksOrdinance,2001 vii. TheCopyrightOrdinance,1962(asamendedin2000) vi. TheRegisteredLayout-DesignsofIntegratedCircuitsOrdinance,2000 v. TheRegisteredDesignsOrdinance,2000 iv. ThePatentsOrdinance,2000 iii. IPO-PakistanOrdinance2007 ii. i. Common pr explanation andillustration, etc. V W Ar Sound r Motion pictur Pictorial, graphicandsculpturalworks Dramatic worksincludinganyaccompanyingmusic Musical worksincludinganyaccompanyingwor Literary works

ros da, rcdrs mtos sses poess cnet, rnils dsoeis advices, discoveries, principles, concepts, processes, systems, methods, procedures, ideas, arious Legislative and Enforcement Framework Framework Enforcement and Legislative orks thathavenotbeenfixedinatangibleform chitectural works

C List ofIPLawsImplementedorinProcessPakistan opyright its presentationtotheFederalCabinetforapprovalandsubmissionParliament. necessary processespriortoitssubmissiontheParliament. ecordings operty andworkscontaining nooriginalauthorship. L es andotheraudiovisualworks aw

in P akistan ds The Economic Contribution of

Copyright-Based Industries in Pakistan181 iolations has been established. orks ol by Enforcement Raids) ol by Enforcement der Control for Eliminating Smuggling) der Control orks , Dramatic & Musical Works , Dramatic & Musical ded Works Cinematographic W Recor Literary Artistic W Customs established Anti-Piracy Cells (APCs) at the country’s major international airports to CD/DVD Vendors Association has started self-regulating their vendor members in the far and Sector IP crime detection agencies have been effectively linked through the enforcement

activities are being firmly sustained and strengthened for the elimination of counterfeiting and

oduction Control by Dismantling the Strongholds) oduction Control 2005 to demonstrate the Government’s administrative firmness behind its IP initiative. 2005 to demonstrate the Government’s

FIA and Pakistan Customs busy were IPO the controlling launched supply a side number of of piracy, APCs. fordability, ithin the first month of IPO existence, FIA cracked downon the notorious piracy infrastructure in

Enforcement Achievements Agencies involved in the IPR’s Enforcement Chain are: IPR Enforcement

wareness,

wide of the They country. have also promised to establish trend setting zero-piracy vending facilities at earnestright, in objectives these both pursuing is Association Vendors The country. the of cities different and with full sincerity of purpose. coordination initiatives of IPO-Pakistan. coordination compliance. assuring increasingly are associations business and vendors result a As country. the in piracy Advisory Council in FIA HQs for countering IPR V These Pakistan demand control initiatives including IP awareness and enforcement coordination to curb local demand for pirated optical discs. Private As May Pakistan institutionalize the anti-piracy government’s drive. This was the second time in the history of Pakistan Customs after Anti-Narcotics Cells (ANCs) that the anti-piracy drive was of institutionalized in the form W Private Sector (Investigation Agencies for detection of IPR crimes) FIA (Pr Pakistan Customs (Bor Changing the Mindset) Judiciary (Litigation Management by District Police (Overall Contr Af Police Raids and Court Convictions. A

• • • • • Up till now the following enforcement achievements can be noted: Up till now the following enforcement • • • 1.4.1.2 • 1.4.1.1 • • • • The four key components of Pakistan’s IPR enforcement model include: model IPR enforcement The four key components of Pakistan’s • • • (Source: IPO Pakistan) (Source: 1.4.1 The application is thelegally copyrightsfiled claimant, by the the owner author, of exclusive rights and duly agencies Competent rights. exclusive of owner or claimant copyrights other author, such of agent authorised District Police, are Federal Investigation Agency (FIA), Pakistan Customs and Private Detection Agencies. The of years three or $2400) (US 200,000 Rs to $1200) (US 100,000 Rs from is copyright of infringement for fine imprisonment, or both. Category-II Category-III The prescribed applying application if attorney form of power along transfer, with for affidavit Rs / certificate 500 objection no as Additionally, registration Copyrights. Registrar fee is submitted for processing to the required. or English daily newspaper are attorney any Urdu advertisements of artistic work in through and Registration of copyrights is available in four categories: Registration of copyrights Category-I limitations, limitations, for the whole term or any part, by back reverting assignment to in the writing for 10 years only, years. of three copyright if not published within a periods author / owner of Category-IV 182 The Economic Contribution of Copyright-Based Industries in Pakistan the components in each group may vary from country to country, depending on the scope of copyright of scope the on depending country,protection. to country from vary may group each in components the of some but of guide WIPO University the with State line in 2001, are which Australia 2004), Netherlands for for Theeuwes group Jules and consulting Campinas Allen 2000, Latvia of Republic 2006,Ministry the study of culture heritage of 2003,Canadian guide (WIPO industries copyright-based the of definitions trade balance are also given in this section. This study also exhibits the employment statistics and related and statistics employment environmental indicatorsinthecopyright-basedindustries. the exhibits also study This section. this in given also are balance trade addition in the value copyright-based industries in Pakistan. of Additionally,estimates statistics concerning exports, by imports and followed review methodological overall an provides section This analysis. qualitative to subjected was sources other and interviews, group and individual from collected information First-hand USA, Canada,Singapore, the Latvia,LebanonandHungary(seeAppendixI). for area this in conducted studies previous and the research from benefited Planning, and reviewed thoroughly studies. teams relatedsurvey other with comparisons and review, literature discussions, group surveys, field interviews, focused conducting though accounts national fromthe data available of collection the to, restricted not was but included, which collection data for adopted was approach multi-pronged A based industries. order to work out reliable estimates regarding in value-added, with trade dealt wereand issues employment how.Statistical contribution explain of to copyright- and challenges these highlight to aim we report this In level matchedwithapproximately 17broad industrialclassifications. aggregate at employment sectoral on information provide surveys level household representative the side, employment the Similarly,on arts. creative and technology information as such a accounts income t national a D d in sectors new the highlight to disaggregatedenough is that table input-output towardsan work initiate n to efforts some a been has There level. aggregate fairly a at y compiled are which g accounts income national o the l o copyright-based d of sectors core o the However, of found. be representingin can sub-sector industries h industries distinguishable these no still thereis some that t separately data this been within e has is services It M statistics. on national data the trade in y identified that development e recent fairly v a been r has It u sectors. services the concerning mainly data socioeconomic sufficient lacks Pakistan countries, developing other many Like . 2 4 subject matter(Table 2). performance, manufacturing, broadcast, production, communication creation, and exhibition, in or engaged distribution and entirely sale are of that works and industries other areprotected industries copyright Core 2.1.2 core, interdependent, partial and non-dedicated support industries. The WIPO guide provides definitions on the copyright-based industries. Four groups have been identified, i.e. 2.1.1 2.1

See WIPOguide2003.

Core Copyright Industries Copyright Core Industries of Identification T S ypes

of C opyright-Based I ndustries 4 Different national studies have adopted The Economic Contribution of

Copyright-Based Industries in Pakistan183 Subgroups News and feature agencies News and feature agencies and other published material Cards and maps, directories post-press of books, magazines, newspapers Pre-press, printing and and advertising materials press and literature Wholesale and retail of Libraries directors, Composers, lyricists, arrangers, choreographers, performers and other personnel Printing and publishing of music Production / manufacturing of recorded music Wholesale and retail of recorded music Artistic and literary creation and interpretation Performances and allied agencies directors, actors, etc. Writers, and distribution Motion picture, video production and distribution Motion picture exhibition and sales, video on demand rentals Video Allied services Other radio and television broadcasters Independent producers Cable television (systems and channels) Satellite television Allied services Studios and commercial photography Photo agencies and libraries Wholesale and retail of prepacked software Database processing and publishing Picture framing and other allied services Industries Main Grouping of Press and Literature Newspapers Authors, writers, translators Music, theatrical productions and opera Motion picture and Video Radio and Television television broadcasting companies National radio and Photography Software and databases Programming, development and design, manufacturing and graphic artsVisual and retail Art galleries, other wholesale Advertising Services Agencies, buying services Core Copyright Industries Core Copyright

Industry Interdependent Copyright Industries

Type of Copyright Type Core Copyright Industry 2.1.3 Industries engaged in production, manufacture and sale of equipment related to copyrights are termed as copyright interdependent industries. Their primary function is to facilitate the or production creation, use of 3). subject matter (Table works and other protected Table 2: Table 184 The Economic Contribution of Copyright-Based Industries in Pakistan identification and retrieval ofdatainthe desired format. the in assistance their were for approached also were departments statistics experts government the of officials and held industry-specific with discussions Inaddition group group. focus leaders, industry industry with creative interviews of each individual to contribution specific the identify to disaggregated used industries, were of sourcesidentification the data After WIPO. of guidelines the with line in industries copyright- based classified and identified team research the 1), (Figure process identification data the of part As 2.2 wholesaleandothers. of economysuchastransportation,internet, modes and delivery reflectfor theresponsible contribution thatmostly copyrightare makes toThey generatingeffects. value, jobsspillover and tradeand in impacts related sectors secondary measure industries These 2.1.5 Table 4: related rightsare termedaspartialcopyrightindustries(Table 4). or copyright by protected material the on depend partially production and activities which in industries The 2.1.4 Table 3: included. protected subjectmatteris attributable toworksandother Only thatportionwhichis nedpnetcprgtidsre TVsets, radios,VCRs,CDplayers,DVD Interdependent copyright industries

Type ofCopyrightIndustry Non-Dedicated Copyright Industries Copyright Non-Dedicated Industries Copyright Partial Type ofCopyright Industry

D Partial CopyrightIndustries Interdependent CopyrightIndustries ata

sources Jewellery Sports Metal Crafts Wood Leather &footwear Textile Musical instruments Computers andequipments equipment, andothersimilarequipment players, cassetteelectronicgame Main GroupingofIndustries Equipment/materials involved - Jewellery - Sportsgoods - MetalCrafts - Handicrafts - Wooden furniture - Leather&footwear – Othertextileproducts&crafts – Shawls&fabricswithembroidery – Hand-wovenKhaddar – Hand-wovenNamda – Hand-wovenSussi – Garments – Carpets – Knitwear – Madeuptextiles – ArtSilk Wholesale andretail Manufacture Wholesale andretail Manufacture Wholesale andretail Manufacture Subgroups Subgroups The Economic Contribution of

Copyright-Based Industries in Pakistan185 Data availability FBS has provided information on Supply / Use for the year 2000 which provides detail on FBS has provided information on Supply / Use for the year 2000 which provides several core-industries. statistics department at the State Bank of Pakistan. A questionnaire was prepared and sent to associations relevant to copyright- been identified through the Census of Some information has also based industry. Manufacturing Industries and the Labour Force Survey. Indicator Data Identification Process Data Identification Data Sources for Key Indicators

Value-added of core Value-added industries Data on Export / ImportData on Employment the Information at a substantially disaggregated level has been made available through Data on Licenses / Royalties Required information was made available through related government departments. Regarding Regarding the first objective, i.e. value-added, information acquired as Supply and Use tables for the year 1999-2000 was processed to obtain a consolidated estimate for the core and non-core sectors. The former includes: radio and television broadcasts, cultural services, recreation services, social services, technology, information communication services, newspapers and printing. Although previous data in the form of Table 5: Table Annual data in time series format was made available from the Federal Bureau of addition Statistics In estimates. on: demographic a) provincial and national national c) and statistics trade foreign b) accounts, income of disaggregation categories, the study team also desired these three information regarding to the gathered categories. WIPO the with line in mapped be later could which convenience and analysis further for data the Figure 1: 186 The Economic Contribution of Copyright-Based Industries in Pakistan factors appliedbytheUSstudy. average of the two countries, e.g. Singapore and the US to derive it. Similarly, the Hungarian study used the ended, an important step was the mapping of WIPO categories with classifications currently followed by followed currently Standardclassifications Pakistan (i.e.International IndustrialClassification ISICRev3.1). with categories WIPO of mapping the was step important an ended, Bureau of Statistics Federal for value the addition by and State followed Bank of classification Pakistan for trade trade. and However,industrial once the our preservessurvey reportexercise this for structured data The tax canbeestimated. evaded the of figure percentage correct to close very a and date to up much very was data The industries. tax is a single levy tax on total sale (Consumer price) of goods or sales services Pakistan In and tax. income can personal be and corporate receipts,levied tax on sales client-wise copyright and based sectoral on available werestatistics Monthly Revenue. Bureauof Federal the researchof a arm is which Ltd Automation Revenue Pakistan with touch in get did team study the classification, tax detailed for and 2000 beyond years the for however,table, use 1999-2000 the from taxes) indirect net (i.e. subsidies minus taxes indirect for estimate one-point a get to easier been has It revenues. tax overall towards Pakistan in industries copyright-based of In collaboration with the Federal Board of Revenue, another effort was made to consolidate the contribution rate of the survey, this may not be a feasible idea as weighing estimates responsehave to be interpreted low with caution. and limitation data the However,given above. mentioned sets data cross-sectional the from derived applied, was mechanism weighing a representativelevel, a national than at rather survey targeted a the of start the survey to at Karachi prior where the Islamabad head offices ofin more thanexamined 60 percentsuccessfully of thewas associations aremethodology situated. As thisThis was specialisation. of area was requested to access their records on the memberships and active people were involved in their concerned In order to deal with this issue, a survey of copyright-based associations in the country was conducted and it intospecific free observations the categories. toallocate researchers for difficulty creates or column This ‘others’ section. the ‘remarks’ in the nothing writing up end sector services of box the ticking after individuals most that observed is it Therefore, self-assessed. being person the to their or enumerator the and to either left is industries mention focused narrowly neglect usually questionnaires survey national The heterogeneities. • • • The estimationofemploymentstatisticswasmadeavailablefrom: development services, personal,culturalandrecreational services,etc. & research research, market / advertisement computer fees, works, license & art royalties printing, services, & information & newspapers books, as: such categories core Pakistan. several of cover Bank reports State These the of reports published from obtained were receipts import and export detailed concerning data study. Hence, this of level required the fit to enough disaggregated not were Statistics of In the second case, i.e. information on trade, the statistics available on services trade with the Federal Bureau core the find to difficult was it the available, in was categories 1990-1991 year the for tables output 37 for studies sectoral conducted recently,Moreroutine.aggregationhas older Statistics of Bureau Federal the input 7 6 5 copyright. to attributed fully be not can that elements the eliminate to difficult becomes It 2.3 Household • factors. The Singapore study derived the factors on the basis of the US study.US the of basis the on factors the derived study Singapore The factors. industries, literature and various formulas were found available where one could impute the value of copyright

WIPO GuideonSurveyingtheEconomic ContributionofCopyright-BasedIndustries,Geneva2003. Appendix III. pp Richard Watt (2004),“AComment:The Copyright Factors”,ReviewofEconomic Research onCopyright Issues,2004,vol.1(1), 

production activities,yetit willtakesometimetofinalizeanddisseminatethese results publicly. 71-78. Labor For Census ofManufacturingIndustries(CMI) Pakistan DemographicSurvey(PDS) Household Income&Expenditur

– E stimation ee dt st ae las sfl ol fr atrn sil epomn ad consumption and employment skill, capturing for tools useful always are sets data level ce Survey(LFS)

of

“ C opyright

Factors” e Survey(HIES) 5 7 The Latvian study used the used study Latvian The 6 In copyright In The Economic Contribution of

Copyright-Based Industries in Pakistan187 5 5 3 3 3.5 100 100 100 100 100 100 100 Copyright Factor (%) Activity 9 Other methodologies include Kwan (2002) who proposed the estimation of estimation the proposed who (2002) Kwan include methodologies Other 8 10 Newspaper & printing Data processing & IT Social & cultural services Recreation services Radio & TV broadcasts Interdependent Copyright Industries Manufacturing of paper & paper products Manufacturing of musical instrument Art silk Made up textiles Knitwear Carpets Garments Copyright Factor

7-8, 2002.

dwellings sector that explains the contribution of architectural services was included on the basis of Sector ID 70 Core Copyright Industries 149 151 154 155 112 Partial Copyright Industries 59 61 62 63 69 64 There is also a medium-sized industry for painters who specialise in painting of public transport buses and cargo trucks. These buses is also a medium-sized industry for painters who specialise in painting of public transport buses There or districts. their provinces from and trucks then exhibit on their body the traditional pictures  Review in Pakistan”, Asian Development Bank, Manila 1993. Kemal, A. R., Musleh-ud-Din and Kemal, A. R. (1993) “Industrial Sector Review in Pakistan”, Asian Development Bank, Manila 1993. Kemal, A. R., Musleh-ud-Din Pakistan Country Report” Pakistan Institute of Development Economics. Project: Usman Qadir (2003) “Global Research , American Market”, International Economic Review of ‘Made in China’ Viewed from Kwan, Chi Hung (2002), “The Strength volume   a “sophistication index” for exported goods where the sophistication of product equals weighted average of average weighted equals product of sophistication the where goods exported for index” “sophistication a per capita GDP. exporting countries 9 10 8 Table 6A: Table culture-specific (or traditional) crafts used in the construction ofresidential and non-residential buildings in Pakistan. Most of the conventional iron and stone work is also carried out manually as automated machine routines are rarely available in rural and parts of urban areas. Such processes include “grilling”, carpentry, ceiling and mirror works. As part of our rural culture, intricate decorative work is also carried out on walls, windows and ceilings. The The inclusion of some industries or sectors in our analysis requires specific explanation. For instance, it was deemed important to include some specific artists in Pakistanabove rating. who perform These in performers 3-star are hotels capable or of hotels of Furthermore, multilingual struggling singing artists and or cross-continental those who performances. could not make are it also big found in in their specific these entertainment hotels niche giving singing, the past theatrical on a or regular basis. related Unfortunately, for performances the reason from that Pakistan the does not super have Management Organisation’, hits the a creators of the single original music of and ‘Collective songs have difficulties in collecting their royalties. Marriages and other functions also contribute to the creative sector. This is performances but not also just due to because the of work artisan’s on wedding very dresses, though ornaments sector This etc. structured by photography, and specialised making video beautification, transport setting, stage jewellers, the of out remains culturally opportunities, employment creating towards contribution its to respect with vital in Pakistan. regime copyright registration In this the study, setting of the “copyright factor” to be assigned to each industry has been based on the assessment of productivity provided by terms the in industry industries or the association organizing experts during in our help consultative some sessions. provided (2003) al. et Kemal and (1993) Kemal as such Studies content. creative relative their of 188 The Economic Contribution of Copyright-Based Industries in Pakistan Table 6A: 18Communicationservices Transport a138 133 –37 131 Non DedicatedCopyrightIndustries 111 110 109 68 67 65

Copyright Factor(continued) Wholesale &retailtrade Jewellery Sports goods Handicrafts Wooden furniture Wood andwoodproducts Leather &footwear 4.10 4.10 3.80 25 10 70 20 10 25 The Economic Contribution of

Copyright-Based Industries in Pakistan189 (Million Rupees) 55 -19 -42 165 220 2632 3693 2613 Indirect Taxes (net) Indirect Taxes 4255 3366 3507 7032 3408 17381 20225 14560 17891 18067 48635 Value-Added ndustries I Activity opyright-Based C of

Radio & TV broadcasts Recreation services** Social & cultural services** Musical instrument Made up textiles Data processing & IT Art silk Paper & paper products Newspaper & printing alue-Added from Supply and Use Tables for 1999-2000 alue-Added from Supply and Use Tables V alue-Added

E Pakistan Economy V Sector ID

Total 155 154 151 112 61 Total 149 Partial Copyright Industries 59 Interdependent Copyright Industries 69 Core Copyright Industries 70 Table 6B: Table Another core copyright sector “music” stands included in Recreation services and so Radio much So unchecked. goes piracy & where sector unorganised the TV in been always have CDs broadcasts. and tapes Music that when the government officials conducted raids on the manufacturers of piratedCDs, all the large and suppliers local by quantities small in burnt now are CDs completely. down closed had businesses size medium or music shopkeepers individually. One important core sector “Advertising” could not be included in this or in the subsequent tables for the reason that the Federal Bureau down closed of been has Statistics Association Advertising Pakistan did The 1999-2000. not year the for have or year any any for statistics industries on the business of the advertising of range the in was 1999-2000 year the in advertising of value-added estimated The reasons. of variety a for TV & Radio and printing & Newspaper of heading the in taken already stands same the but million 250 $ US broadcast. While outdoor advertising took a sizeable chunk of business by 2007-2008, it was introduced in the year 2002 in Pakistan. Our main source of data and reference was the Supply and Use tables for the year 1999-2000. We are taking a taking are We 1999-2000. year the for tables Use and Supply the was reference and data of source main Our available; is table Use and Supply a which for year last the is 1999-2000 that reason the for data old years ten prices, purchasers’ the on Based year. recent more a on working are Statistics of Bureau Federal the although these tables provide data, inter-industry gross value-added, household consumption and gross fixed capital formation Meanwhile, in a 157 new sectors of production release of input-output the statistics economy. in and GDP the of rebasing the for Statistics of Bureau Federal the by conducted studies the following Pakistan music dance cinema, of bouquet a represents Services Cultural and Social expected. also is benchmarking its and other performing arts including but not restricted to folk dances Shedi, like Baluchi, Shadola, Athanr, Khattak, Folk Music Luddi, and Gidda, recreation services include Folk theatre like Naotanki, Folk Puppet etc. shows, Cultural Tropes, 3.1 3 . conomic Contribution of Copyright-Based Industries to the 190 The Economic Contribution of Copyright-Based Industries in Pakistan Puppet shows,CulturalTropes, etc. folk danceslikeAthanr, Khattak,Luddi,Gidda,Shedi,Baluchi,Shadola,FolkMusicandrecreation servicesincludeFolktheatre, Folk ** SocialandCulturalServicesrepresents abouquetofcinema,dancemusicandotherperformingartsincludingbutnotrestricted to * Represents core copyrightsectors. Source: FederalBureau ofStatistics alue-Added fromSupplyandUseTables for1999-2000(continued) Table 6B: 63 62 131 Non-Dedicated CopyrightIndustries Sum ofCore+Non-CoreSectors 3 7Transport 133 –37 67 65 64 138 68 109 111 110

V Carpets Knitwear Wholesale &retailtrade Wood andwoodproducts Leather &footwear Garments Communication services Wooden furniture Handicrafts Total Jewellery Sports goods 1622304 1421838 133764 638235 721946 61657 12080 19885 27084 33184 2706 9858 1874 1885 285 48546 44491 25752 11428 -1057 7311 -110 -884 -561 111 -19 -91 61 11 The Economic Contribution of

Copyright-Based Industries in Pakistan191 爀攀琀最 爀漀眀琀栀 攀爀挀攀渀琀愀最攀 䜀 倀 㐀 ㈀ ㄀㈀ ㄀ 㠀 㘀 㤀⸀㐀 ㈀ 㠀 㠀⸀㠀 ㈀ 㜀 㤀⸀㤀 ㈀ 㘀 㘀⸀㘀 ㈀ 㔀 䜀爀漀眀琀栀 爀愀琀攀 漀昀 嘀䄀 椀渀 䌀漀爀攀 匀攀挀琀漀爀猀 㔀⸀㐀 ㈀ 㐀 㘀⸀㈀ ㈀ ㌀ 㜀⸀㤀 ㈀ ㈀ 㔀⸀㘀 嘀愀氀甀攀 䄀搀搀椀琀椀漀渀 椀渀 䌀漀爀攀 匀攀挀琀漀爀猀 ㈀ ㄀ ㈀

alue-Added & Corresponding Growth Rate in Core Sectors during 2000-2008 Growth Rate in Core Sectors alue-Added & Corresponding V

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⸀ 䴀椀氀氀椀漀渀 猀 刀 In the case of non-core sectors, information concerning sub-sectoral real growth rates was gathered from various issues / numbers of Economic Survey published by the Ministry of Finance. It was observed that the rate growth in value addition of sectors core is showing over increase promising time 2). (Figure a From real of growth 5.6 in percent 2001, the sector core has steadily to grown a level of 9.4 in growth percent 2008. volatility greater in the case of sectors. a non-core After from low of recovery growth 0.8 is, There however, percent in 2001, the curve peaks at came that 9.5 rate growth percent in fall in the to attributed 2005, be may afterwards decline This there 2008. by is percent 3.2 a to down rate sharp growth decline bringing the about due to rising oil prices prices food and and in oil reduced rise energy global The The availability. crisis. financial oil global of prices account on shocks inflows official were and later exports declining followed by not only increased the import bill (by putting a downward pressure on Pakistan Rupee) full the from but society the of segment vulnerable and also poor the protect to increased order in allowed subsidies of size the ultimately which deficit fiscal rising to led subsidies of level unsustainable the However, prices. rising of effect to Government the forced reserves of levels low the Consequently, pressure. inflationary prolonged a created to obtain the necessary liquidity. negotiate Stand-by-Arrangement with IMF in order Figure 2: benchmark year, the real growth rate of social services was used as a proxy for the overall growth of copyright- of growth overall An the for estimated proxy value-added a for as used the was period services 2001 social of to rate 2008 growth is real depicted the in year, Figure benchmark 2. 1999-2000 Taking as the Bureau Federal the with available is services social for data accounts national The Pakistan. in industry based of Statistics and is annually reported in the Economic The Survey. reason for choosing the growth social services as a rate may proxy be justified the from Labour Survey Force of of Pakistan which indicates that the average labour (wage) returns in the copyright sector are closer to the average returns of skilled workers in Health (social) sectors of Pakistan. the Education and 192 The Economic Contribution of Copyright-Based Industries in Pakistan alue-Added inNon-CoreSectorsandCorrespondingGrowthRateduring2000-2008 Figure 3: 11 exports. Pakistan’s of percent 55 around constitute textiles cotton-based The Pakistan. in output crop cotton of is artisan’s example and first output The crop work. between correlation positive a of the agriculture sector has been slow (until 2005) due to the displacement of farmers. There seems to exist In 2002, Pakistan faced severe drought conditions in two out of four provinces. Following 2002, the recovery particularly were telecomandITservices. sectors non-core in investment sector private manufacturing of equipment, of textile and services sectors. The main sectors that attracted foreign trend investment (increasing) underlying the be might reasonThe period. time same the in non-coreincreasedsectors for it but 2002-2004 during declined sector core in value-added that observe may One difficult. very industries copyright-based for rate growth the of The survey exercise ended in a somewhat low response rate of around 10%. This made the task of evaluation be noted that for partial and support industries, there is a substantial difference between the overall and overall the creative valueaddition. between difference substantial a is there industries, support and partial for that noted be sector.overall can the It in value-added copyright-related of proportion representthe factors These section. with sectoral professionals. A detailed account on the content of copyright factors is given in the succeeding The calculation presented in Table 7 uses copyright factors based on the survey of associations and meetings be fully included in the overall contribution of the creative sector as not all of their value is copyright-related. not can industries of groups non-dedicated and partial the of value total the used methodology the per As factors affected thevalueadditionincore sector. music and theatrical production, work, motion picture videos, artisans’ etc., in war the prone zones influenced or in conflict areas.Pakistan All these in situation the socio-political on Similarly,the crop. dependent cane sugar is of production output sweets with associated workers of welfare The items. bakery traditional and sweets productionof the in Similarly,place etc. sector,takes food creativework the shareof in major a rise to artisan work that includes bride and bridegroom related clothing, accessories and handmade jewellery, gives turn in which marriages of number the increasein an thereis and incomes cropincreasesrural cotton overall welfare levelsoftheruralpopulationare greatly impactedbythehealthofcottonsector. Agood  survey unitthatthe printsdesignedbyhisR&Dsection are copiedintheinformal sectorwithinhoursoftheirfirst launch. This sectorfacessubstantial piracyissues.Oneofthe leadingexportersofhighquality Pakistanready madegarments informedour

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倀攀爀挀攀渀琀愀最攀 䜀爀漀眀琀栀 The Economic Contribution of

Copyright-Based Industries in Pakistan193 986 375 200 3408 3318 3366 4255 3507 812.5 94.71 20225 17381 48635 14560 18067 12837 24253 471.25 894.55 351.60 362.40 135919 4971.25 2527.93 29599.79 56380.65 Addition Creative Value Creative Value 5 5 3 3 25 10 20 70 10 25 12 3.5 100 100 100 100 100 100 100 100 100 180 3.80 4.10 4.10 Factor (%) 285 3408 9858 1874 1885 3366 4255 3507 7032 2706 20225 33184 17381 48635 14560 18067 17891 19885 61657 12080 27084 133764 638235 721946 1421838 1622304 Value- AddedValue- Copyright Activity Newspaper & printing Data processing & IT products and wood Wood furniture Wooden Handicrafts Sports goods Jewellery Social & cultural services Recreation services Radio & TV broadcasts Paper & paper products Musical instrument Art silk Leather & footwear Wholesale & retail trade Communication services Made up textiles Knitwear Carpets Garments V

Sector ID Core Copyright Industries Core Copyright Industries 70 149 67 68 109 110 111 Total 151 154 155 Total Interdependent Copyright Industries 69 112 Total Partial Copyright Industries 59 65 Total Non-Dedicated Copyright Industries 131 133 – 37138 Transport Sum of Core + Non-Core Sectors 61 62 63 64 Table 7: Table Industries1999-2000(Rs.Million) inPartialandSupport alue-Added Source: Federal Bureau of Statistics, own calculation. Federal Bureau Source: While outdoor taken in the heading of Newspaper & printing and Radio & TV broadcast. of advertising stands already *Value-added in Pakistan. in the year 2002 advertising that took a sizeable chunk of business by 2007-2008, it was introduced 194 The Economic Contribution of Copyright-Based Industries in Pakistan otal Value-Added ofCopyright-BasedIndustries,1999-2000 Figure 4: a trainedworkforce forcreative industries. establishment of formal academies and institutions in Pakistan providing skills-based education and preparing private sector to increase its participation in areas such as radio and television broadcasting. Second was the that factors multifarious of list a is explain this Thererising share. Among them, first would be the deregulation of4). media in Pakistan that allowed the (Figure 2008 in percent 9.4 to 2000 year the in percent 8.2 growthfromshowing grown steadily has GDP in relatedindustries and copyright-based of contribution The one become can major copyrightindustryinPakistan. designing product and training skill through crafts of enablement the export of ingredients With the product. and supplier about information full with handicrafts labelled quality good offering meant for personal and family use only. It is evident that on an average there are less than 10 shops per city, thereforeand arecountry crafts the of in majority rate large labour very daily a the than lesser is handicrafts the of most from income The undocumented. and informal still is sector handicraft in activity the of Most protection. copyright full enjoy not in does it little that fact the show to due GDP.to primarily the is to has This contribution its moment the at potential income high very a having though category handicraft The design, fliers,flags,bags,printedplasticstreamers, etc. items under Pakistan’sGDP.mass The production to include: cinema considerably posters, product contribute design leaflets,which newspaper advertisements,Pakistan billboard in sectors services most with linkage Paper and paper products stand for a significant amount of the value-added. This sector has a strong forward

T 搀攀搀椀挀愀琀攀搀 一漀渀ⴀ 㐀㐀─ 倀愀爀琀椀愀氀 ㈀㈀─ 䌀漀爀攀 ㌀㄀─ 䤀渀琀攀爀搀攀瀀攀渀搀攀渀琀 ㌀─ The Economic Contribution of

Copyright-Based Industries in Pakistan195 㤀⸀㐀 㐀㤀 ㈀ 㠀 668 964 4.70 3.60 3.10 2.00 1203 1341 2968 5512 -3.60 -7.70 2009** 㤀⸀㄀ 㔀㄀ ㈀ 㜀 㠀⸀㤀 696 887 4.10 8.80 8.70 7.00 5.80 6.80 1137 1367 2687 5191 㔀㄀ 2007 ㈀ 㘀 % Growth GDP Contribution 㠀⸀㘀 㔀㄀ ㈀ 㔀 匀栀愀爀攀 漀昀 䌀漀爀攀 猀攀挀琀漀爀猀 椀渀 䜀䐀倀 㠀⸀㠀 493 767 2.40 3.50 8.30 7.50 964* 1076 2174 4214 2004 16.30 18.10 㔀㄀ ㈀ 㐀 that was worst hit due to high energy / input costs and 㤀⸀ 㔀 ㈀ ㌀ industry

㠀⸀㤀 㔀㄀ ㈀ ㈀ 㠀⸀㔀 匀栀愀爀攀 漀昀 一漀渀ⴀ䌀漀爀攀 猀攀挀琀漀爀猀 椀渀 䜀䐀倀 㔀㄀ ㈀ ㄀ Sectors 㠀⸀㈀ -wise Real Contribution to GDP (Billion rupees & Growth %) -wise Real Contribution to GDP (Billion 㔀㈀ ㈀ faced during 2008-2009 and the diminishing global demand, the industrial sector contracted by contracted sector industrial the demand, global diminishing the and 2008-2009 during faced

Contribution of Copyright-Based Industries to GDP over time Industries to GDP of Copyright-Based Contribution

12 爀攀琀最 栀愀爀攀 攀爀挀攀渀琀愀最攀 匀 倀 Sector

global financial crisis. Agriculture sector saved the overall growth rate (from going into negative) owing negative) into going (from rate growth overall the saved sector Agriculture crisis. financial global the Agriculture Industry Large Scale Manufacturing Services Wholesale & Retail Trade GDP (fc) Agriculture Industry Large Scale Manufacturing Services Wholesale & Retail Trade GDP (fc)

Particularly the lack of energy / electricity shortage for the industrial sector. Particularly the lack of energy / electricity shortage for the industrial sector.

Table 8: Table 3.6 percent. The copyright-based industries are estimated to have grown by 0.8 percent. to have grown estimated The copyright-based industries are 3.6 percent. 12 Source: Planning Commission, Federal Bureau of Statistics Own calculation. Planning Commission, Federal Bureau Source: * At constant factor cost of 1999-2000. estimates. ** Provisional ii) to good climatic conditions and timely rains. For the year 2008-2009, the overall GDP grew by 2.0 percent, which was contributed by agriculture (4.7 percent) and shortages services (3.6 percent). Due to the infrastructure Table 8 Table below provides the sectoral GDP growth rates during the period 2004 to 2009. Almost all sectors show a declining it trend, was however, i) Figure 5: 196 The Economic Contribution of Copyright-Based Industries in Pakistan Table 9: contribution inthedevelopmentofcountry. 9484 million. Thus the total tax revenue of over Rs 2 billion from copyright-based industries shows its sizeable import of copyright-based industries amounted to Rs 10876 million while the amount of sales tax stood at Rs indirect tax revenues for the year 2007-2008 is presented in Table 9. The total customs duty collected on the study. concerning this Information of completion the until possible made be not however,could taxes, that elucidated. The Federal Board of Revenue was also requested to provide details be on would sectors non-corecontribution and corefrom towards accruing contributions directtax indirect of break-up the section this In 3.1.1 Source: FederalBoard ofRevenue Total IndirectTax Contribution(2007-2008)(A+B+C+D) Total D Advertisement TVCable D- Non-DedicatedCopyrightIndustries Total C Toys andGames Precious Stones/Metals Glass andGlassware Ceramic Products Articles ofStone,Plaster, Cement Made upTextile Articles Carpets Wool &Fabrics Silk C- PartialCopyrightIndustries Total B Miscellaneous ManufacturedArticles Optical, PhotographicInstruments Musical Instruments Paper &Paperboard Photographic Goods B- InterdependentCopyrightIndustries Total A Arts andantiques Printed Materials(Books,Newspaper, Magazines,etc.) A- CoreCopyrightIndustries

Revenue (tax) Contribution of Copyright-Based Industries Copyright-Based of Contribution (tax) Revenue

Contribution ofCopyright-BasedIndustriesinIndirectT Items utm uySlsTxExciseDuty SalesTax Customs Duty ax (2007-2008) 42991117.958 1432.989 5999.841 5809.087 4835.249 4390.093 693 2397.308 219.186 3669.32 324.175 3.9 730.543 248.522 836.492 252.588 187.609 104.639 210.387 420.155 223.897 104.307 32.881 482.19 15.757 728.219 893.27 131.649 78.381 1.263 0.419 9557 78.8 132.822 8530.2 11.036 5.376 0.119 0.068 2.089 1.173 64.5 0.612 0.306 0.306 (Rs inmillion) The Economic Contribution of

Copyright-Based Industries in Pakistan197 3 51 1.8 2.7 1.16 8.96 3.49 0.89 0.09 1.67 2.76 14.1 8.66 0.54 0.009 0.019 0.001 100.0 (Percentage) Sectoral Share Million) 1.592 3.352 0.306

18088 210.03 15.876 501.11 97.381 328.204 630.542 104.707 192.985 493.226 543.361 9225.342 1621.489 2550.947 1567.035 (Rs Sectoral Tax Total Total Sectoral Tax Items -wise Share in Tax Revenue Contribution during 2007-2008 Contribution Revenue in Tax -wise Share Sector

Arts and antiques Core Copyright Industries Magazines, etc.) News paper, Printed Materials (Books, Industries Interdependent Copyright Photographic Goods Paper & Paperboard Musical Instruments Optical, Photographic Instruments Miscellaneous Manufactured Articles Partial Copyright Industries Silk & Fabrics Wool Carpets Articles Made up Textile Cement Articles of Stone, Plaster, Ceramic Products Glass and Glassware Precious Stones / Metals and Games Toys Non-Dedicated Copyright Industries Advertisement TV Cable Total Indirect Tax Contribution (2007-2008) Indirect Tax Total Source: Federal Bureau of Revenue Federal Bureau Source: Table 10: Table 198 The Economic Contribution of Copyright-Based Industries in Pakistan Figure 6: nomto cnenn te oe etr xot drn 20-08 a aqie fo te tt Bn of Bank State the from acquired Pakistan (figure was 7). During 2002-2008 this period, during was observed exports a growth sector of 1.5 core percent contributed the mainly by concerning research & Information Figure 7: the copyrightportionintrade. factors to each of the partial industries has been applied so as to reach a more precise indicator of calculating rate was 28.3 in 2006, while growth the highest lowest the was 2008, in 2008 and at 2003 aroundBetween percent.4.5 52 percent. of A increase careful an percentageis thereof 2008 copyright and 2003 between upon the cost of raw materials and inputs. Figure 7 shows that the export trend seems to be on the rise and depends turn in which output local of competitiveness the b) and products Pakistani for demand global to The export trend in copyright-based industries is dependent on a) the global economic growth that gives rise 3.2 T

rade Sector Overall ExportsofCopyright-BasedIndustries(2003-2008)

in C -wise ShareinTax RevenueContribution2007-2008 opyright-Based 渀漀渀ⴀ搀攀搀椀挀愀琀攀搀Ⰰ ㈀㜀─ I ndustries 瀀愀爀琀椀愀氀Ⰰ ㌀㜀─ 挀漀爀攀Ⰰ ㄀─ (Core +NonCoreExports,ThousandUS$) 椀渀琀攀爀搀攀瀀攀渀搀攀渀琀Ⰰ ㌀㔀─ The Economic Contribution of

Copyright-Based Industries in Pakistan199 ㄀㐀㌀㐀㜀㐀㌀ (Core Exports in Thousand US $) (Core Exports in Thousand ㈀ 㜀ⴀ 㠀 ㈀㄀㌀ 㐀㤀 ㄀㈀㄀ 㤀㘀㘀 ㈀ 㘀ⴀ 㜀 ㄀㠀㘀㄀㌀㄀㔀 伀瘀攀爀愀氀氀 䌀漀瀀礀爀椀最栀琀ⴀ䈀 愀猀 攀搀 䤀渀搀甀猀 琀爀椀攀猀 䤀洀瀀漀爀琀猀 䌀漀爀攀 䌀漀瀀礀爀椀最栀琀ⴀ䈀 愀猀 攀搀 䤀渀搀甀猀 琀爀椀攀猀 䤀洀瀀漀爀琀猀 㤀㈀㈀㄀㠀㌀ ㈀ 㔀ⴀ 㘀 ㄀㔀㄀㐀 㠀㄀

㔀

㈀㔀 ㈀ ㄀㔀 ㄀ 栀甀 渀猀 漀昀 䐀漀氀氀愀爀猀 愀渀搀猀 吀栀漀甀猀 Overall and Core Copyright-Based Industries Imports Overall and Core Copyright-Based Industries Core Copyright-Based Industries Exports during 2005-2008 Core Copyright-Based

Figure 9A shows a growth of 22 percent in the copyright-based sector’s imports between 2006 and 2008. The 2008. and 2006 between imports sector’s copyright-based the in percent 22 of growth a shows 9A Figure The imports at during a 35 the disaggregated percent. same period import was growth around sector’s core disaggregated The 10). (figure commodity level 11. may Due sectors be to seen the in higher Table relative share of imports core in the overall external in deficit as well as deficit trade overall an has Pakistan transactions, values of exports and imports in thousands of dollars are given in 12 Table and 13 Table The respectively. only two sectors a) on side that books, the are feature newspapers, core printing, and b) works of art. Most exports. and Textile noticeable is the high value of Apparel Figure 9A: Pakistan’s export sector still has a long way to attain a reasonable level of indigenisation and diversification. For diversification. and indigenisation of level reasonable a attain to way long a has still sector export Pakistan’s it seems that heavily exports dependent are on imported raw now, materials and machinery which includes: photographic or cinematographic goods, electrical machinery and parts, optical and computer and information services. precision apparatus, Figure 8: development, information technology and royalties & licenses. The export trends at disaggregated commodity commodity disaggregated at trends export The licenses. & royalties and technology information development, given in table 11. level are 200 The Economic Contribution of Copyright-Based Industries in Pakistan Figure 9B: Table 11: Industry Books, Newspapers&Printing Core CopyrightIndustries Works ofArts Recreation Services Personal, Culturaland & publicopinionpoll Advertisement marketresearch Services Computer andInformation Total Photographic goods Interdependent CopyrightIndustries Paper andPaperboard accessories Reproducers, Television Sound Recordersand Cinematography Total odadatce fwo 1,71,61,31,610,72 10,26 15,73 11,16 13,47 Wood andarticlesofwood Partial CopyrightIndustries Apparel andTextile Floor coverings Carpets andothertextile Textiles Fabrics,Lace Special Woven Fabrics,Tufted nte rCohtdFbis10 4312 381977 1398 1820 2453 1408 Knitted orCrochetedFabrics Accessorised Knit Articles ofApparel &Clothing

Copyright-Based IndustriesExports(2003–2008)ThousandUS$

Copyright-Based IndustriesT Categories 0220 0320 0420 0520 0620 2007-2008 2006-2007 2005-2006 2004-2005 2003-2004 2002-2003 7,9 7,8 9,4 2,1 3,2 275,505 236,621 222,013 192,640 178,287 172,094 154279 257400 089386981 403869 400704 321507 237692 219554 128263 570235 907314069 297027 273757 250700 226038 211278 7206632,3 5426,797 15,432 23,233 6,653 17,260 0091,1 6264,7 18337,304 21,833 43,976 26,296 13,613 10,019 6524,4 0,9 3,0 4,3 74,128 145,330 134,605 101,892 44,940 36,522 08 23 74 1,1 4,0 186689 143,202 112,718 27849 12739 20882 17 92 33 61 26554 26313 23338 19326 11171 15 56 58 79 000107344 106060 97693 95680 85267 71356 ,2 ,8 ,1 ,0 4,365 3,909 4,616 6,086 3,622 1081 7990 9088 9503 9759 8111 8160 1 5 7 1 85 110 779 852 919 rade Balance 0012,4 23,987 154,000 24,040 106,000 20,071 72,000 ,1 2,000 1,315 16593 3,577 2,125 3,000 16,90 8422 2693 44 The Economic Contribution of

Copyright-Based Industries in Pakistan201 4797 1832 5828 2007-2008 43050 47847 59614 2007 2006- 6% 6% 5% 2006 2005- 8118 4961 44282 44778 52400 49739 2005 2004- 2004 2003- 100 100 100 100 100 100 5 % 3% 5% 13% 16% 20% 48%47% 49% 48% 53% 42% 47% 33% 45% 16% 41% 34% 2003 2002- 825 1339 1156 1340 1339 4303 4130 6087 6417 5772 68610 77000 83156 92416 99278 119403 50573 33881 36947 46434 54070 456842 481938 607299 847336 900948 943246 216406 231507 257943 281514 304138 321729 Categories Copyright-Based Industries Exports (2003–2008) Thousand US $ (continued) (2003–2008) Industries Exports Copyright-Based Consolidated Export of CBI, 2002-2003 to 2007-2008, Thousand US $ Consolidated Export of CBI, 2002-2003 to

Communication Services Non-Dedicated Support Industries Non-Dedicated Support Transportation Total Copyright-Based Industries Exports (Core + Non-Core) Total Articles of Stone, Plaster, Articles of Stone, Plaster, Cement, Footwear, Headgear Headgear Footwear, Other Man-Made Textile Other Man-Made Textile Clothing Articles, Sets, Worm Interdependent Copyright Industries Partial Copyright Industries Non-Dedicated Support Industries Copyright-Based Industries Exports (Core + Non-Core) Core Copyright Industries Articles of Apparel / Clothing Articles of Apparel / Clothing Access not Knitted Table 11: Table Table 12: Table Source: SBP Statistics on Export of Goods and Services (various issues). SBP Statistics on Export of Goods and Services Source: 202 The Economic Contribution of Copyright-Based Industries in Pakistan Figure 10: Table 13: Total Articles ofStone,Plaster, Cement Footwear, Headgear Other Man-MadeTextile Articles, Sets,Worm Clothing Articles ofApparel/ClothingAccessnotKnitted Articles ofApparel&ClothingAccessorisedKnit Knitted orCrochetedFabrics Special Woven Fabrics,Tufted Textiles Fabrics,Lace Carpets andothertextileFloorcoverings Apparel andTextile Wood andarticlesofwood Partial CopyrightIndustries 43,976 Total Cinematographer (InterCopyright) Sound RecordersandReproducers,Television accessories Paper andPaperboard,ArticlesofPulp Interdependent CopyrightIndustries Total Personal, CulturalandRecreationServices Advertisement marketresearch&publicopinionpoll Computer andInformationServices Works ofArts Books, Newspapers&PrintingIndustry Core CopyrightIndustries

Copyright-Based IndustriesImports(2006–2008)ThousandUS$ Relative ShareofCBIExportin2007-2008 漀爀攀 䌀 Categories ㌀㐀Ⰰ ㌀㐀─ 䤀渀琀攀爀搀攀瀀攀渀搀攀渀琀 㔀Ⰰ 㔀─ 愀爀琀椀愀氀 倀 0520 2006-2007 2005-2006 134,605 275,944 825,982 454525 922193 14,593 44,034 31,584 61,59 6,000 6801 2582 1855 509 727 112 195 152 411 258 㐀㄀Ⰰ 㐀㄀─ ㈀ Ⰰ ㈀ ─ 一漀渀ⴀ䐀攀搀椀挀愀琀攀搀 1,074,809 1210968 145,330 333,769 500932 11,396 90,000 33,693 21,833 13549 1,070 6568 2591 1867 656 647 147 285 166 377 245 2007-2008 1,266,535 1434743 410,277 129,000 521709 14,804 23,404 74,128 37,304 14913 7053 1000 2769 2186 719 762 280 217 181 462 284 The Economic Contribution of

Copyright-Based Industries in Pakistan203 4387 151085 155472 2126837 1% 7% 100 68% 24% 4018 128535 132553 1858002 1% 7% 100 65% 27% 4141 117384 121525 1% 8% 100 61% 30% 2005-2006 2006-2007 2007-2008 Categories Relative Share of CBI Imports in 2007-2008 Copyright-Based Industries Imports (2006–2008) Thousand US $ (continued) (2006–2008) Industries Imports Copyright-Based Consolidated Imports of CBI, 2005-2006 to 2007-2008, Thousand US $ of CBI, 2005-2006 to 2007-2008, Thousand Consolidated Imports

Partial Copyright Industries Non-Dedicated Support Industries Non-Core) Copyright-Based Industries Imports (Core + Core Copyright Industries Interdependent Copyright Industries Non-Dedicated Support Industries Non-Dedicated Support Transportation Communication Services Total Imports (Core + Non-Core)Copyright-Based Industries 1505044 Table 13: Table Table 14: Table Source: SBP Statistics on Import of Goods and Services (various issues). SBP Statistics on Import Source: Figure 11: 204 The Economic Contribution of Copyright-Based Industries in Pakistan Source: PakistanElectronic MediaRegulatoryAuthority(PEMRA). fashion, drama, sports,etc. current like affairs, niches key education, the of one on focusing by scope their specified also have channels the rural areas, television sector still has attractive prospects of growth in untapped districts. Many television level, remained on top with an investment of 43 million dollars. As the majority of Pakistani population lives in The television sector owing to the mushroom growth of private TV channels at regional, provincial and national Figure 12: Broadcasting Pakistan Corporation. and channels television private Television, Pakistan state-run the by followed 2006 Employment estimates provided by Pakistan Electronic Media Regulatory Authority are depicted as Figure 3.3 Table 15: media includemulti-channelmulti-pointdistributionsystem(MMDS)anddirect-to-home technology(DTH). Tableelectronicrecentto The additions Radio. FM by followed TV Cable of case growthin largest is The 15. of numbers The in given are sector. 2006 year the for private segments media the of share the percent corresponding the with issued to licenses licenses offer to government allowed that deregulation perpetual through media of up opening the to due increased been recently has media electronic in employment The The FM Radio Cable TV Satellite TV MMDS DTH Teleport Total cable TV sector, now predominantly established in the private sector, remained the largest employer in employer largest sector,the private remained the in established sector,predominantly TV now cable 愀戀氀攀 吀嘀 䌀 ㌀ E

mployment

Operational Licensesduring2006 Employment inCoreCopyright-BasedIndustry2006:ElectronicMedia

in Segment 㘀 吀嘀 倀 C opyright-Based 嘀⠀ 爀椀瘀愀琀攀⤀ 吀嘀 ⠀倀 㐀 I ndustries 瀀漀洀渀 渀䔀氀挀爀渀挀䴀搀愀 ㈀ 㘀 氀攀挀琀爀漀渀椀挀 䴀攀搀椀愀㨀 洀瀀氀漀礀洀攀渀琀 椀渀 䔀 䔀 搀漀⠀ 漀瘀琀⤀ 愀搀椀漀 ⠀䜀 刀 ㌀㔀 No. ofLicenses 1301 1412 86 16 5 2 2 搀漀⠀ 爀椀瘀愀琀攀⤀ 愀搀椀漀 ⠀倀 刀 ㄀ 䴀䴀䐀匀 ㄀ Percentage Share 92.14 6.09 1.13 0.36 0.14 0.14 100 䐀吀䠀 ㈀

14. The Economic Contribution of

Copyright-Based Industries in Pakistan205 2007 38780 24222 44700 54000 205000 268000 634702 Estimated Employment 990 6500 1999 26160 90000 45000 175000 343650 14 - 1820 1101 1422 2007 67000 18000 89343 copyright factor, the contribution of copyright sector - 50 20 Number of Enterprises 1344 1999 13 30000 15000 46414 comes to around 0.259 million. Thus, the share of creative 15 Sector from these families are living in the city of Lahore alone with about 25,000 concentrating 25,000 about with alone Lahore of city the in living are families these from and the creative employment Total Employment Contribution by Core Copyright Sectors – 1999 & 2007 by Core Copyright Sectors – 1999 Employment Contribution

performers

million

No 1.2. Newspaper & printing Data processing & IT 4. Radio & TV broadcasts 3. services Cultural & Recreation 5.6. Graphic Designing Photography These estimates were made after a thorough survey / interview of small hotels with no star value to big start hotel status. survey / interview of small hotels with no star value to big start made after a thorough These estimates were musician. their audio system or lives with music is played through in similar hotels and restaurants Interestingly, The employment numbers are raw in their present form. It is hard to obtain full-time equivalents (FTE) in the absence of a nationally to obtain full-time equivalents (FTE) in the absence form. It is hard raw in their present The employment numbers are only selected of Statistics covers Survey conducted by the Federal Bureau The Labour Force labour market survey. representative districts in the four provinces. Guide. and Ladakh: Tourist Desh, Bandhu (1995): Jammu, Kashmir,   14 15 13 Simply by multiplying the number of hotels by category with their respective employment levels, an estimate an levels, employment respective their with category by hotels of number the multiplying by Simply of total employment can be calculated. Then using a in the overall employment in hotels and restaurants is determined. The total employment comes to around 1.73 The employment per entity is an average estimate obtained from Desh (1995). The employment per entity is an average estimate obtained from Efforts Efforts were also made to gather information regarding value and contribution of performance like music, dance, etc. theater, in hotels and restaurants. Though data regarding registered hotels (4 or 5-star hotels) is available in national statistics, it becomes very difficult to account for lower rated hotelsto whicha amount substantial share of business in this The sector. local guest houses have become a preferred choice of the spectators / guests in set the of prevailing security conditions, especially with high level risk at big hotels and restaurants. According to a cautious estimate, the total restaurants, for estimated been also have numbers the Furthermore, number country. the in 1000 exceeding roughly of 3-star or lower level of hotels is clubs, shrines, cinemas, standing theaters, marriage halls and other function places. This number is studies previous some of reports and associations based from data industries, of census in available information on of Statistics. conducted by the Federal Bureau Employment in cultural and recreation performance is Over centuries. for comedy and singing street dance, music, in involved been traditionally have who families estimated keeping in mind the large number 50,000 of in Shahi Mohalla. Amongst these performers some like Faiz Allan Alam Baloch, Faqir, Lohar, Zarsanga have of their rights as creators. for being unaware popular music but could not get a reward world created Source: Information received from Pakistan Media Regulating Authority-PEMRA, Pakistan Film Producers Association-PFPA, Pakistan Association-PFPA, Pakistan Film Producers Pakistan Media Regulating Authority-PEMRA, from Information received Source: of Circulation-ABC, Audit Bureau Pakistan Association of Printing and Graphic Industry-PAPGAI, Houses Association-PASHA, Software internet leaders, face to face Interviews with professional of Pakistan-APP, Associated Press Photographers Society of Pakistan-PSP, estimation. and provisional search Table 16: Table Photographers though not around studio photo members a finds one cities of big In the city. and town every Photographic almost in available Society traditionally are concepts of Pakistan and unaware of copyright every corner. These photographers had been mostly making portraits and passport photos for all kinds of forms, applications including National ID cards and events. An estimation of employment provided by core given in table 13. copyright sectors is Apart from newspapers and periodicals, TV channels, a large number of graphic designers are working in the in working are designers graphic of number large a channels, TV periodicals, and newspapers from Apart and hoardings. leaflets, posters, banners promotional cards, designing wedding printing presses 206 The Economic Contribution of Copyright-Based Industries in Pakistan 0.8 million. aroundis sector corecopyright of contribution employment the that say can we estimation above Fromthe etc., theatre orshowingTV dramas&othershowsinthehotelrooms, lobbiesorrestaurants. prerecordedplaying by or live either music with linked industry hotel in working persons the by DVDs, / CDs employment in the overall employment of hotels and restaurants stands around 15 percent. This is represented The Economic Contribution of

Copyright-Based Industries in Pakistan207 Millat Jang are – 94 44 64 189 172 186 Zamindar were % Growth 1998 – 2007 The News and Shahbaz and – 855 2007 31494 119217 9934951 1099628 2546641 Inqilaab, – 730 Nawa-e-waqt, 2003 6875 96562 588058 6245775 1312635 Jang have their regular readers abroad. 125 522 1998 82639 10993 380628 936989 5114743 Aljameeat were published from Peshawar while only one newspaper eriodicals Nawa-e-waqt and P &

Dawn, Alfalah and Almost all Pakistani magazines are exported to the Middle East while some of the newspapers Category Circulation of Newspapers and Periodicals ewspapers

A N 15).

The News,

Dailies Weeklies Fortnightlies Monthlies Quarterlies Bi-Annual Annual Table 17: Table published from London as well. Circulation of these publications is well over 17). 1.3 (Table of Circulation-ABC million Audit Bureau according to the Source: Audit Bureau of Circulation, Ministry of Information and Broadcasting. of Circulation, Audit Bureau Source: The circulation of all the categories of newspapers and periodicals shows an increase with time except for bi-annual publications 17). (Table The highest increase is seen in the circulation of weeklies with a growth the in percent 186 by grew which quarterlies by followed 1998-2007, period the during percent 189 of rate same time period. The data regarding circulation of bi-annual publications is not available after 1998 from which we infer that the number of bi-annual publication had decreased overtime to a however 6875) to 10993 negligible from (decreasing 2003 to 1998 from decline a shows quarterlies of amount. circulation The by 2007 with a rise to 31494. recovered 4.1 newspapers Three Pakistan. in publishers newspaper few very were there (1947), independence of time the At Khayber Mail, Data regarding growth of core industries was acquired from the This will help to understand analysed Federal not individually and only presented (category-wise) the in this chapter. Bureau of Statistics and will be over time. changes in the social preference industries but also the possible supply aspect of copyright 4 . nalysis of Certain Sub-sectors in the Core Copyright Industries was published from Karachi. Other newspapers like like regular publications. In 2007 the number of dailies, weeklies and other periodicals stood at 1820 in Pakistan in 1820 at stood periodicals other and weeklies dailies, of number the 2007 In publications. regular (Table 208 The Economic Contribution of Copyright-Based Industries in Pakistan Source: AuditBureau ofCirculation, MinistryofInformationandBroadcasting. otal NumberofNewspapersandPeriodicalsbyCategory Table 18: youth inthecountry.of proportion major the contributes also which Punjab in resides population the of percent 50 than More increased by 200 percent. This is however,partially films, due Punjabi to of the number underlying The percent. demographic 18 structure by of declined the which language’sPunjab films Pushto province. by followed percent 66 by declined Urdu language the produced in films percent).The (-78 2007 in 106 to 1998 in 493 from country the films in cinemas of of number number the in total decline a The by accompanied was 2007. This percent. to 24 by 1998 declined years the during released films of number the shows 19 Table Source: PakistanFilmProducer’s Association. Table 19: from atotaloutputof98filmsin1979(including42Urdu) toonly58films(26in Urdu) in1980. dropped Films nose-dive. a sharp took industry film Pakistan time, the industry. was film That the for effect into came regulationsrestrictiveindustry.more cinema 1980s the the on In impact negative very a had This and rules regulations. of heed any without house every wereuncensored in VCRs showingfilms censorship; strict very a and licenses permissions, regulations, of host a films to subjected pirated was cinema of While kinds tapes. VHS all on out renting cases many in country, the throughout opened shops of Thousands films. Pakistan. in of phenomena household common viewing became tapes home VHS films for Indian cinemas, introducedin banned wereAlthough recorders cassette video of format VHS seventies late the In 1965 theimportofIndianfilmswasbanned.ThisfirstjoltforcinemabusinessinPakistan. in both Pakistan and India were displayed in either country depending upon their worth and popularity. After films in 1930s and Lahore became known as “Lollywood”. Until 1965, a number of films that were produced Pakistan inherited its cinema with major studios situated in the city of Lahore. These studios started producing 4.2 decrease highest The 2003. to 1998 fromduring thisperiodisseeninthecaseofweekliesfollowedbymonthliesanddailies. declined periodicals and newspapers of categories all Almost It trajectory. smooth a on been was observed that this number decreased from 1344 to 945, however recoverednot by 2007 rising up to 1820. has periodicals and newspapers of number the in both increase, The case of dailies which increased by 58 percent, followed by monthlies (39 percent) and weeklies (27 percent). It was nil in monthlies. case of fortnightlies and and in fact decreased weeklies for quarterlies. The highest increasedailies, was observed in for the increased rate growth the while 2007, to 1998 period the between (Tablepercent 35 by increased country 18) the in available periodicals and newspapers of number total The Sindhi Urdu Punjabi Dailies Total Pushto Weeklies Fortnightlies Monthlies Rest Quarterlies Total C Category

inema Films Releasedduring1998-2007 T Language 1998 1344 277 365 492 92 34 84 1998 29 51 17 5 0 2003 204 219 393 945 89 34 6 2003 17 15 43 11 0 2007 1820 437 463 686 92 71 71 07%Growth1998–2007 2007 15 10 39 14 0 % Growth1998/2007 109 -15 58 27 39 35 0 200 -66 -24 -18 - The Economic Contribution of

Copyright-Based Industries in Pakistan209 -11 -14 340 454 1998-2007 % Growth 2007 69 -39 -50 107 - - 7 5 4 4 1998-2006 2003 – – 2 2 7 6 1998 1 1 8 4 3 3 708 561 433 629 695 521 345 595 554 826 1148 2438 127 666 214 704 1998 2003 2006 2007 % Growth elecast / Broadcast elevision T Region &

Produced Released Produced Released Produced Released TV/Radio Dramas T Documentary Films Produced and Released during 1998-2007 and Released during Films Produced Documentary Frequency

TV Dramas Produced

Punjab Sindhi Federal Dramas Telecast Dramas Broadcast Radio Drama Produced Source: i) Pakistan Television Corporation Limited, ii) Pakistan Broadcasting Corporation Limited. Corporation Limited, ii) Pakistan Broadcasting i) Pakistan Television Source: The first ever Broadcasting radio station ofPakistan the present dayowned Pakistan wasstate established inthe Peshawar in 1936; within a year’s Today 1937. in Lahore in established was station radio second the time 1949 In channels. FM private 116 are there while country the over all stations radio 24 has (PBC) Corporation its and Iran Russia, Afghanistan, China, India, in externallisteners to its started cater to PBC primarily service East in 1973. and the Middle Service for Southeast Asia, Europe World has traditionally been the Television source of information and entertainment for the people of Pakistan for The over advertising seven and decades licensing now. earnings of all the radio and TV stations channels in Pakistan radio FM of number the in growth enormous been has There annum. per billion 10 Rs over well stand 82 to 3 from up gone have channels television licensed Government years. fifteen past the in channels TV and stood at Rs 25.05 billion (US $318 million) in 2009. during this period. The total (spend) advertising revenue TV ads spend (revenue) stands at Rs 11.91 billion, around 47% of the total ads spend in the last fiscal year The 2006-2007. in increase 55% the and 2005-2006 in increase 88% the than lower also is This 2007-2008. latest data (June 2009) reports a notable rise in TV audience attributable to higher levels of in electrification rural areas. The industry is however, facing acute challenges of non-availability of educated and trained lopsided marketing and copyright piracy. workforce, 21 Table indicates a decline in the and production number drama the of recently but percent) TV (-50 345 dramas to 695 produced from declined telecast and dramas TV telecast. of number From 1998 to 2006 the (hence 595 to 695 from was period same the for decline the and 2007 U-turnsharp a took from telecasting coming down to -14 percent). 21: Table 4.3 Radio Source: i) Ministry of Information & Broadcasting (Central), Karachi, ii) Provincial Public Relation Departments. ii) Provincial (Central), Karachi, i) Ministry of Information & Broadcasting Source: terms In 20). (Table released and produced documentaries the of terms in out stands also province Punjab The used communication media. the most widely television and radio are of public outreach, Table 20: Table 210 The Economic Contribution of Copyright-Based Industries in Pakistan Table 22: Plus andPTVleadingthepack. origin. Satellite local TV and is international now available to 38 million people across the country with STAR both of channels satellite of consumption higher to led also has cost relativelylow a at Increasedavailability a at relatively low cost. In the operators past five years, TV viewing has risen considerably andcable varies dramatically by region. via mainly accessed are Channels (Table22). homes TV all of 45% about in available currently Advertising is which TV satellite of arrival the since transformation amazing an undergone has viewership TV 4.4 also increased from 127in1998to4542007indicatingagrowth of454percent. produced dramas radio of number The percent. 340 of growth a indicating 2007, in 2438 to 1998 in 554 broadcastdramas radio fromof increasenumber an the see in acrosswe seen provinces.this was allto Due the With liberalisation of the media and its regulatory policy, the rise in the number of private radio channels vrwee hogot h wrd Pksa’ sco ws tl piaiy lbu-nesv poes Screen- process. labour-intensive a primarily utilised still were was procedures sector Pakistan’s automated world, the While throughout Pakistan. everywhere in widespread also was posters for Screen-printing because ofthelabour-intensive process. superior gave suppliers quality structures of with number life-like painted A pictures, but plastic. the or time it sheets required metal to churn out gauge these low signs were with massive manufactured being frames hoardingsshop most and with composition, average and colours of fading the problemsas of such number considerable a to subject were and painted manually mainly were Pakistan in signs store and ads Hoarding for severalindoorandoutdoorpurposes. firms competed for a portion of the budding market. One such form was digital printing that could be utilised of number bigger a roseas ads requirementof creativethe kinds for as nineties late the in past the became that However,all of. unheard virtually were planet the over all obtainable generally media fresh appealing Larger firms in Pakistan had a restricted variety of advertising choices for a considerable number of years and in residing individuals 4,000 than more for metropolitan Pakistan.Source:World CASBAA,GallupPakistan,Internet Statistics(asofSeptember2009). data ship viewer second-to-second gauge to Islamabad and areas. Medialogic has installed a metro panel of approximately 600 meters across Karachi, Lahore, Rawalpindi latest data (June 2009) reports a notable rise in TV audience attributed to higher levels of electrificationPakistan inoffers advertising rural expenditure services in Pakistan as well as national television viewing statistics. The however,spending, shareof of terms In TV’s2006-2007. increase in Gallup 1%. just increasedby sharehas 55% the and 2005-2006 in increase 88% the than lower also year. is fiscal This last the in spend ads total TV ads spend (revenue) has increased by 13% (from Rs 10.55 billion to Rs 11.91 billion), around 47% of the 32% increase in2006-2007. advertising Rs total Pakistan, Gallup to to million) $289 (US billion According 22.76 Rs from year fiscal 60%. last the in 10% reach by increased has revenue expenditure regularly News Geo and Plus STAR as such channels homes, TV subscription In homes. TV all in TV subscription for reach 57% a vs week previous the In a recent survey conducted by Gallup Pakistan, 35% of respondents claimed to have watched STAR Plus in TV Homes Household Size Total Homes Population Internet Users Multichannel Homes

25.05

T billion (US $318 million). This is significantly lower than the 62% increase in 2005-2006 and the and 2005-2006 in increase 62% the than lower significantly is This million). $318 (US billion elevision Viewer-ship, TVChannelsandInternet Users

Parameters Actual (Number) 164,223,500 16,422,350 24,150,515 18,500,000 7,390,058 6.8 Percentage 68 45 11 The Economic Contribution of

Copyright-Based Industries in Pakistan211 Required Taxes abuse of power Assistance Challenges of Govt. Support Type Technology Check monopolies / Financial Relaxation in Duties & Technology Copyright protection Technology Technological 1 1 1 4 future* Importance of factors shaping 12 15 70 20 rate of Annual growth 25 594 243 2400 Firms oftware S Summarised Information Regarding Different Sectoral Associations Summarised Information Regarding Different omputer

C Associations Registered PEMRA Pakistan Electronic Media Regulating Authority PAPGAI Pakistan Association of Printing and Graphic Arts Industry APP Associated Press of Pakistan Handicraft Table 23: Table associations which could be interpreted in terms of their outreach in the formal sector. These associations filled associations These With regards sector. to formal the sectoral in data outreach collection their of and terms understanding, in information interpreted be was could also which associations gathered from sectoral a questionnaire (Appendix II), after which meetings were held in order to refine the gathered information. The required statistics was made available by: Pakistan Association Pakistan of Printing Handicrafts, and Graphic Associated Arts Industry Press (PAPGAI), Pakistan of Electronic Media Pakistan Regulatory Authority (APP), (PEMRA), Pakistan Film Producers Association Pakistan (PFPA), Advertising Association and (PAA) Photographic Society of Pakistan (PSP). The number of registered firms with each of these associations and 23. summarised in Table are their main responses With the help of the Pakistan Software Export Board, over 120 Pakistani companies are now ISO certified. The Pakistan Software Houses estimates Association IT that (PASHA) industry today is Pakistan’s worth over 2 billion dollars. Foreign remittances of IT related services and products are now over 170 million dollars (as reported by the State Bank of Pakistan). By 2013 it is estimated to grow beyond 1 billion dollars. There are over 1,100 companies registered with the Pakistan Software Export Board (PSEB) and over 100,000 people employed by the industry. are 4.5 IT Pakistan’s Industry was almost non-functional until 2000. A meagre sum of US $ 22 brought in million as export was earnings. being since However, 2004 software creation and IT industry have made progress with time both locally and outside the country witnessing a high annual growth Pakistan. rate (averaging 50%) in The original digitally printed hoardings or skins, as often alluded to in the business, were brought in from international firms in countries like Singapore. The impression produced by these splendid quality displays was the beginning of a quick and much desired revolution thronged to in confirm ordersthe for printedadvertising billboards andbusiness the shapein of outdoorPakistan. media inFirms Pakistan was altered from then on. In a couple of years, Pakistan had some and lucrative industry. China, the printing business turned into a widespread from technologies obtainable of its own limited print shops and with low-cost printing was fast and easily available the the However, quality country. was gravely poor and similar to the theft. issues like colour fading and frequent media faced other widespread 212 The Economic Contribution of Copyright-Based Industries in Pakistan regional monopoliesandrelated activities. an demanded line with the international best have practices. In some areas such as and electronic media there is also copyrights a need to check in of firms their bring to order protection in methods technological modern the adopting for support sector to public increased importance high give associations the of Most the filmunderproduction. was provided by wages the PFPA on as the data film producers hire No all employees onfirms. contract basis and thethese contract is specific to with available infrastructure marketing and branding funding, of lack the be, to low reasonsseem main The countries. developing is in sector this with which associated workers comparedto 13,000 Rs earning is labour skilled and 7,000 Rs earning is labour unskilled PAPGAI, of case Pakistan of case labour. the For APP,skilled for professionals.wereskilled wages for average 70,000 monthly Rs the and unskilled for the 30,000 In Rs In 17,000 Rs and sectors. unskilled for 5,000 across Rs were varied wages average monthly personnel the handicrafts, different of wages regarding information The Source: Owncalculation. 6 *where 1=technology, 2=globalcompetition,3financing,4government regulations,5accesstoskilledmanpower, Table 23:

= Association. Advertisers Professional PAA Society ofPakistan PSP Photographic Association Producers Pakistan Film PFPA

others.

Summarised InformationRegardingDifferentSectoralAssociations(continued) 376 90 70 7 5 5 1 1 1 competition Global protection Copyright infringement Copyright Copyright protection Financial support / Tax holidays Enforce CopyrightLaws The Economic Contribution of

Copyright-Based Industries in Pakistan213 1 1 1.5 0.6 dedicated Partial Non-

dependent

Employment

Industries in in Industries

of Copyright Copyright of 8 4.97 1.81 0.57 0.65

7.1 4.15 1.25 0.61 1.07 % Contribution Contribution % Total ShareTotal Core Inter- dedicated Partial Non- dependent

Total ShareTotal Core Inter-

Study Reference Year for for Year Reference 2004 11.09 6.48 2.13 0.4 2.08 8.53 4.07 2.17 0.26 2.03 International Comparison regarding Contribution of Copyright Industries towards GDP and Employment regarding Contribution of Copyright International Comparison

I Country

Netherlands 2005 5.9 4 0.4 0.9 0.6 8.8 6.2 0.6 1.1 Ukraine 2005 2.85 1.54 0.68 0.1 0.54 1.9 1.16 0.46 0.08 0.2 Russia 2004 6.06 2.39 0.76 0.27 2.64 7.3 4.29 0.75 0.56 1.69 Colombia 2005 3.3 1.9 0.8 0.3 0.4 5.8 1.7 0.7 1.9 Romania 2005 5.55 3.55 1.08 0.53 0.39 4.19 2.36 0.58 0.82 0.43 Croatia 2004 4.27 2.99 0.88 0.32 0.07 4.64 3.22 0.93 0.41 0.08 Australia 2007 10.3 7.3 2 0.4 0.7 USA Singapore 2001 5.67 2.85 1.76 0.09 0.97 5.8 3.64 1.24 0.18 0.74 Pakistan 2000 4.45 1.37 0.11 0.98 1.99 3.71* 0.7 0.04 1.37 1.6 Latvia 2000 5.05 2.9 1.1 0.28 0.77 5.59 3.7 0.7 0.44 0.75 Hungary 2002 6.66 3.96 1.24 0.45 1 Canada 2004 4.7 3.5 0.81 0.08 0.31 5.4 4 0.91 0.16 0.33 Philippines 1999 4.82 3.5 0.96 0.04 0.29 11.1 8.81 1.4 0.2 Mexico 2003 4.77 1.55 1.69 0.85 0.68 11.01 3.41 3.65 2.53 1.41 Lebanon 2005 4.75 2.53 0.71 0.62 0.89 4.49 2.11 0.73 0.7 0.95 Jamaica 2005 4.81 1.7 0.74 0.47 1.9 3.03 1.79 0.31 0.23 0.68 Bulgaria 2005 2.81 1.57 0.62 0.09 0.52 4.3 2.29 0.73 0.27 Accordingly Accordingly in the context of the GDP, Croatia. and USA Canada Philippines, The and Mexico, Lebanon, Jamaica, Australia to comparable is stand Pakistan while at respectively, a high percentage of 11% and 10% lowest after Ukraine and Jamaica. On the employment side it can be seen that Pakistan stands third The contribution towards employment sector is copyright highest the in of the contribution Philippines the (11.1%) Pakistan followed of by case Mexico the (11,01%), In (8.53%). USA The and (8.8%) Netherlands The employment towards generation stands at 3.71 supplemented percent, by the (0.7%), core interdependent (0.04%), partial (1.37%) and non-dedicated (1.6%) sectors. Table 24 exhibits Table the comparative position on the contribution of copyright-based industries towards value except 2005 and 2000 between range studies the of most for years reference The employment. and addition for The Philippines. The copyright sector of the US seems to have the highest contribution in value addition (in the sample of countries selected). This is followed by Australia, copyright Hungary and Russia. Pakistan’s percent 1.37 to contributes own its on sector core The GDP. overall the of percent 4.45 to contributes sector (0.11%), partial (0.98%) and non-dedicated (1.99%) sectors. supplemented by the interdependent * The employment estimation is for 2006. WIPO Studies. Various Source: Table 24: Table It is usually hard to compare a developing country’s performance in any specific sector with that of developed of that with sector specific any in performance country’s developing a compare to hard usually is It such economies. economies However, are insightful in the lessons they render for the developing countries as to how and what sectoral development path to adopt. A comparison of various concerned parameters / countries is given in table 21. indicators with various 5 . nternational Comparisons 214 The Economic Contribution of Copyright-Based Industries in Pakistan related comparablestudies are ofHungary the make although, possible not to are studies difficult these of similarity becoming full The is countries. developed it the with comparison and Asia) (South far so region this in conducted been has study such No 17 16 exporter oftrade net a remained it Pakistan, of case the in While balance. trade in decline slight a shows almost It 2002. in billion $1.30 and 2000 in billion $1.35 with trade of importer net a Moreover,was 2007-2008. Canada to Canadian study discussed the data on imports up to 2002 and this study takes it onward from 2005-2006 up The possible. not is economies uneven with countries two between balance trade the of comparison Direct the contrast between the workers absorption in these industries found in developed and developing countries. The comparison of contribution of copyright-based industries towards employment generation is trivial given Figure 13: countries, dataregarding PakistanandCanada’s tradebalanceisdepictedasfigure 13. In order to make a comparison of the contribution of copyright based industries in developing and developed

Includes apparel andtextilesectorexports. See. Penygeyand Munkácsi(2005).

Contribution ofCopyright-BasedIndustriesinT 嘀愀氀甀攀猀 椀渀 戀椀氀氀椀漀渀 ⴀ㈀⸀ ⴀ㄀⸀㔀 ⴀ㄀⸀ ⴀ ⸀㔀 ⸀ ⸀㔀 ㄀⸀ ㄀⸀㔀 ㈀⸀ ㈀⸀㔀 ㌀⸀ 17 , in2005-2006anditsvaluewas$1.17billionreached US$2billionin2007-2008. ㈀ ㈀㈀ 㜀㈀ 㠀 ㈀ 㜀 ㈀ 㘀 ㈀ ㈀ ㈀ ㄀ ㈀ 16 andColombia. 欀猀琀愀渀 愀欀椀猀 倀 rade Balance 䌀愀渀愀搀愀 The Economic Contribution of

Copyright-Based Industries in Pakistan215 d may be given more powers: d may be given more cement agencies to be created: ofessionals – collaboration with an existing institute: eness, advocacy & behavioural change communication to be enhanced: eness, advocacy & behavioural change funding may be made available to use all media tools including electronic and print media does not have a single CMO. WIPO has provided assistance in setting up a CMO. However, the does not have a single CMO. WIPO assistance has in setting provided up a CMO. However, of having a lot of potential, the copyright-based industries are largely underestimated both in of the IPO establishing its own IP Academy in the same office, an education institute already delivery of IP Registries, especially of the Copyright Office to be improved through automation enforcing units enforcing may be in created the Collectorates of Customs, Police and Federal Investigation sector must be facilitated to come forward as a front line partner in searching and harnessingthe and searching in partner line front a as forward come to facilitated be must sector and foreign study visits of the artisans and creators of any original work and those having potential having those and work original any of creators and artisans the of visits study foreign and cement coordination to be improved: cement coordination time taken in rectification of mistakes, whether or not intentional, and in decision making on copyright industries still do not benefit from the full scope of protection that is offered in other existing Copyrights Laws must be enforced effectively by the concerned authorities to protect the Pakistan should take responsibility for hosting enforcement coordination meetings every month, sectors / disciplines of competitive nature with enormous potential of earnings should be sectors / disciplines of competitive nature / revenues C stakeholders involved in different interdependent copyright industries like: paper & paper board, wood board, paper & paper like: industries copyright interdependent different in involved stakeholders simple but thorough handbook encompassing all essential information should be published with key vailable local and acquired skill, wisdom and techniques should be integrated through a well coordinated coordinated well a through integrated be should techniques and wisdom skill, acquired and local vailable commitment by the IPO in this must regard be It reinforced. is recommended that a CMO is established under the principles of public-private partnership. Pakistan involved in IP related research or giving education in creative or related fields may be asked to collaborate to asked be may fields related or creative in education giving or research related IP in involved with IPO Pakistan and be given funds with the task of an internationaltraining on institute IP of IP related subjects. research and In studies this / regard, management can be studied as a possible model. Institute of Korea training, Training Intellectual Property such as the International (CMO): IPO Pakistan must practically help Establish a Collective Management Organization complaints and appeals of the aggrieved parties allow the usurper to take full advantage for as long as the decision is pending and even afterwards. It is therefore very important to strengthen the Copyright establish special courts for speedy justice to be given in copyright infringement cases. and Board Capacity building of IPO pr Instead Specialised courts to be established, the Copyright Boar The Dedicated units in all enfor Special IP routine complaints, of investigations complaints, of registration for responsible be should who Agency, Pakistan. and attending the meetings hosted by the IPO and seizures, infringement detections, arrests and BPR (Business Process Re-engineering). and BPR (Business Process as well as billboards, seminars, workshops, documentaries, etc. advocacy and behavioural change communication. reinforcing for increasing public awareness and IPO where the situation of piracy in the country is fixed. of failures is party monitoring is not only discussed but responsibility monthly third analysed, strengths and weaknesses appraised and a Sufficient Enfor messages and contacts to guide industry professionals. messages and contacts to guide industry Service Public awar mechanism across the country and institutionalisation in this regard may be done as first priority. in this regard the country and institutionalisation mechanism across for this must be organised. A A Inland rights of the individuals / organisations concerned.rights of the individuals / organisations actively by the government.supported more All & wood textile, products, ceramic and glass etc. products, should an be through sponsored harmonised by the government and the concerned partially sponsored industry. and integrated program Private countries and their adequate protection should be considered by the relevant authorities. by the relevant should be considered adequate protection countries and their The The economy. bring them in mainstream potential of individuals / institutions to The Despite terms of government support and general appreciation.

• •

• • • •

• • • • • • • • The results that emerge from the analysis of data gathered from direct or indirect sources have significant policy relevance. Based upon the analysis of all the core and sub-sectors of copyright can be made: conclusions and policy recommendations contribution, the following and their economic • • 6 . onclusions and Policy Recommendations 216 The Economic Contribution of Copyright-Based Industries in Pakistan • •

IP Str licenses byPEMRA. V Regularisation ofV rights. IP of enforcement the strengthen to efforts its in government the help to (Pakistan IPO by established be may sector public as well as sector private from experts of Committees Advisory it. combat actively ideo selling / renting as well as retail DVD shops need to be regulated, for instance by granting of granting by instance for regulated, be to need shops DVD retail as well as renting / selling ideo infringement can be reduced by raising awareness and by focusing on a comprehensive strategy to strategy comprehensive a on focusing by and awareness raising by reduced be can infringement engthening thePrivatePublicPartnershipapproach inthefieldofIPR: ideo Shops: The Economic Contribution of

Copyright-Based Industries in Pakistan217 _ __ _ IES ovincial / local, etc.)? R ______SED INDUST ______-BA ______IGHT R ______COPY _ F ______UTION O B I R (Time required: 25 Minutes) (Time required: ______e registered with your association? e registered IC CONT ______M oximate figure of active people employed / registered with your association? with your registered of active people employed / oximate figure ECONO uestionnaire for Associations Q ole of your Association (brief objectives)? ole of your Association (brief objectives)?

e the future global trade prospects for your industry? global trade prospects e the future are the average skilled and unskilled wage rates (or monthly salaries) in your industry (specify wage (specify industry your in salaries) monthly (or rates wage unskilled and skilled average the are the association maintain a on record the overall contribution towards tax revenues in Pakistan? [if the association maintain a record on the value of royalties and license fee paid and received? [if yes [if received? and paid fee license and royalties of value the on record a maintain association the the association maintain a record on the value of trade (export and import)? [if yes then ask specific ask then yes [if import)? and (export trade of value the on record a maintain association the the association maintain a record on overall sales / turnover in your industry? [if yes then ask specific ask then yes [if industry? your in turnover / sales overall on record a maintain association the ______Does yes then ask specific values for years between 2000 – 2008] Does Does values for years between 2000 and 2008] _ values for years between 2000 – 2008] What ar then ask specific values for years between 2000 – 2008] Does What survey)? to employment categories if possible, see labour force according Can you give us an appr How many company / firms ar At how many administrative levels does your association operate (federal / pr At how many administrative levels does _ _ How long has this association been operational? What is the r Designation in Association: Designation in Association: Length of time with Association: Name of Respondent (on behalf of the association): Name of Respondent

A p p e n d i x 1 14. 12. 13. 8. 9. 10. 11. 5. 7. 1. 2. 3. 4. 6. 218 The Economic Contribution of Copyright-Based Industries in Pakistan 16. 15. 22. 21. 20. 19. 18. 17.

upon thescaleorproduction /employment)? is mostimportant): c. Slightlysignificant b. Significant a. V Can youranktheimportanceofcopyrightspr _ What inyouropinionwillbetherateofgr _ What kindofgover _ What isthemostsignificantchangesfacingyourindustry nowadays? What (including costsrelated tolicenses/NOC)? Ar _ How hasthebusinessofyourindustrychangedinlastonedecade? f. Other(pleasespecify) e. AccesstoSkilledManpower d. Gover c. AccesstoFinancing b. GlobalCompetition a. T Please d. Insignificant ______e there any available estimates regarding the average fixed cost of setting up a firm in your industry your in firm a up setting of cost fixed average the regarding estimates available any there e echnological Change ery significant is the average annual running cost of a medium-scale firm in your industry (variable costs depending rank the following factors in order of importance in shaping the future of your industry (where ‘1’ nment Regulation/Policy nment supportdoesyourindustryrequire? owth ofyourindustryinthemediumterm(3–5years)? ______otection foryourindustry: ______

The Economic Contribution of

Copyright-Based Industries in Pakistan219

______cooperation!

your

for

you

______hank T egistered in your association compete with foreign entities? with foreign compete in your association egistered much time does it takes on average to initiate business (approximate number of days and departments and days of number (approximate business initiate to average on takes it does time much ______involved in registration process)? process)? involved in registration the operations of your industry? What is the impact of IPO-Pakistan on _ How How well can the entities r How well

24. 25. 23. 220 The Economic Contribution of Copyright-Based Industries in Pakistan Source: Standard International IndustrialClassification,UN2002. 2 x i d n e p p A 2221 22

74 73

92

iiinGopClasses Group Division 4 40T 6420 642 322 223 222 2 21Softwarepublishing 7221 722 2 20Dataprocessing 7230 723 2 20Databaseactivitiesandonlinedistributionofelectroniccontent 7240 724 4 41Architectural,engineeringandothertechnicalactivities 7421 742 4 40Advertising 7430 743 4 44Photographicactivities 7494 749 2 21Motionpictureandvideoproductiondistribution 9211 921 2 20Newsagencyactivities 9220 922 2 21Library 9231 923

D 22Serviceactivitiesrelatedtoprinting Printing 2222 2221 Otherpublishing Publishingofmusic 2219 Publishingofnewspapers,journalsandperiodicals 2213 Publishingofbooks,brochuresandotherpublications 2212 2211 42T 7422 24Dramaticarts ,musicandotherartsactivities Radioandtelevision activities 9214 MotionPictureprojection 9213 9212 C I S I r e d n u t n e m e r i u q e R a t a telephony Manufacture oftelevisionandradiotransmittersapparatusforline Reproduction ofrecordedmedia Printing andserviceactivitiesrelatedtoprinting Other businessactivities Research anddevelopment Recreational, culturalandsportingactivities elecommunications echnical testingandanalysis , archives,museumsandotherculturalactivities Explanation

Non-Core Core Core Core Core Core Core Core Core

Non-Core Non-Core Non-Core Non-Core Non-Core Non-Core

Core Core Core Core Core Core Type