Practitioners debate recording rights, royalties

Figures presented at the seminar showed that the combined value of Chinese radio and TV industries amounted to $8 billion in 2013, and the total value of China's recording industry was $65 million. Participants say that means Chinese broadcast industry can afford to pay broadcast royalties.

R Ramani Ramalingam, CEO of the Recording Industry Association of Malaysia, told attendees that broadcast royalties comprise about one-third of all record-producing revenues in Malaysia.

"Such royalties are key to the continued survival and development of the record industry which remains a very significant cultural and economic contributor in Malaysia," he says.

Wang Huapeng, head of the copyright department of China Audio-Video Copyright Association, says amendments of the Copyright Law made in 2001, to prepare for China's entry into the World Trade Organization, stirred the debate about broadcast rights of record artists. Remaining issues range from a fee-charging standard to how to charge the fee for broadcasting music at radio, TV stations versus public places, such as restaurants, shopping malls and karaoke bars.

"The huge business potential of the music industry also needs a legal atmosphere to protect recording artists' rights," says Guo.

"The latest statistics available show that the output value of the country's copyright industries accounted for 6.67 percent of GDP," says Lauri Rechardt, director of licensing and legal policy of IFPI. "The Chinese broadcasting industry is expected to grow strongly over the next five years to more than $11.5 billion."