Indian television broadcasters are facing mounting financial pressure as Bangladesh and Nepal have defaulted on over ₹350 crore in license fee payments for carrying Indian channels. The crisis, which worsened in the past year, highlights the growing complexities where media, commerce, and diplomacy intersect in South Asia.
Bangladesh: Political Instability Fuels Payment Crisis
In Bangladesh, the situation deteriorated after the ouster of former President Sheikh Hasina, which ushered in political instability and regulatory uncertainty. Indian broadcasters, who provide a “clean feed” (ad-free version of their channels) to the Bangladeshi market, have not received remittance clearance from the Bank of Bangladesh for months.
The country’s largest conglomerate, Beximco, with assets exceeding $1 billion, has been unable to settle dues because of regulatory restrictions. With over ₹250 crore pending, Indian broadcasters are struggling to maintain services while absorbing heavy financial losses. Political turbulence in Dhaka has pushed this issue further down the priority list, leaving Indian firms in a prolonged state of uncertainty.
Nepal: Sudden Policy Shifts Add to Broadcasters’ Woes
In Nepal, the dues exceed ₹100 crore, driven largely by regulatory hurdles. In 2023, Nepal’s Ministry of Communication and Information Technology (MoCIT) suddenly enforced an à la carte pricing system—similar to India’s TRAI tariff order—giving broadcasters only two days to comply. The abrupt deadline left Indian networks unable to adapt, resulting in unresolved disputes and withheld payments.
Unlike telecom companies such as Airtel, which briefly suspended services in Nepal over unpaid bills, broadcasters face a unique challenge. Satellite television signals have no territorial boundaries. Once a channel subscription is activated, it works across the satellite footprint, making geographic restrictions difficult. Cutting clean feeds would only push local operators towards pirated retail feeds, further reducing the chance of recovering dues.
"Clean Feed Policy" and Local Market Protection
Both Bangladesh and Nepal mandate a Clean Feed Policy, which requires foreign channels to be broadcast without advertisements. This allows local cable and DTH operators to insert domestic ads, thereby protecting local advertising industries. While the policy helps promote local products, it also means Indian broadcasters lose advertising revenue and depend entirely on license fees for their services.
In both countries, Indian OTT and DTH platforms are not allowed. Only local operators can rebroadcast Indian channels, making broadcasters dependent on their compliance. However, piracy remains rampant, with retail feeds accessed through FTA satellite signals or VPNs, undermining legitimate business models.
Diplomatic Stakes
The crisis has begun to spill over into the diplomatic arena. Neither the Nepalese Embassy nor the Bangladesh High Commission in India has responded to queries, but the matter is expected to surface during Nepalese Prime Minister K.P. Sharma Oli’s visit to India in September. Indian officials may use the opportunity to push for a resolution, given that New Delhi provides extensive support to both countries in satellite, telecom, and broadcast sectors.
The Bigger Picture
The standoff underscores how economic and regulatory disputes can strain broader bilateral relations. For Indian broadcasters, the issue is not just about recovering dues but about safeguarding their long-term presence in two of South Asia’s most important markets. For India’s diplomacy, the challenge lies in balancing commercial interests with regional partnerships, while ensuring that the media industry does not become collateral damage in political instability and regulatory unpredictability.
If unresolved, the dispute could deepen losses, encourage piracy, and weaken trust between Indian service providers and their South Asian counterparts—posing yet another test for India’s neighborhood diplomacy.
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