Copyright Review Commission Report - ICT Law and Regulation ...

10.6.3.4. South African English-listening consumers are exposed to music from these highly competitive musicmarkets. In this context, music programmers have a wider array of musicians to choose from whencompiling playlists and need to satisfy listeners who are familiar with and expect to hear these musicians.Therefore, stations licensed to broadcast in English will typically have lower levels of local content becausethere is more choice available, and South African music recordings will have to compete against thoseartists with multimillion-rand investments behind them.10.6.4. While the statements by PRIMEDIA are logical with regard to Canada and Australia, the same cannot be said ofIndia, Indonesia, Nigeria, Zimbabwe and Zambia. Music imports for airplay in India (via the IPRS) constitutedonly 3% of the total music consumption in 2010 (including English radio stations) and the same can be said ofthe other countries. In 2010, the IPRS generated 25% of its collections outside India. In 2010, 67% of the totalforeign royalty revenue generated by PRS was from non-English-speaking countries. The YFM radio station’saverage (English station) local content for 2010 amounted to 53%.10.7 ROYALTY DISTRIBUTION CYCLES10.7.1. NORM distributes royalties to the respective parties every six months.10.7.2. SAMPRA has not distributed anything due to the pending case against the Registrar.10.7.3. SAMRO distributes royalties in two primary distributions: Radio and general distributions in or around February (for the preceding financial year); and TV distributions in or around April (for the preceding financial year).10.7.4. In addition, SAMRO has secondary distributions: Foreign distributions are done twice a year; Supplementary distributions for undocumented works are done three times a year and relate to thedistribution of royalties for all works that were documented subsequent to the primary distributions; Supplementary distributions for non-members’ works are done twice a year; and Rights holder adjustment distributions occur several times a year and relate to the distribution of royaltiesto the correct rights holder (cases where the rights holder’s primary information was incorrectly supplied ordocumented).10.8 UNDOCUMENTED WORKS / ROYALTIES FOR NON-MEMBERSTable 22: SAMRO’s Unclaimed Royalties versus Unclaimed Royalties Written Back after Three YearsRefs.Details2010Rm’s2009Rm’s2008 Rm’sa. Undocumented Works / Non-Member royalties 33,0 27,5 18,1b. Unclaimed Royalties Written Back 25,5 40,4 29,410.8.1. SAMRO and its music users have ‘blanket agreements’ whereby the users pay SAMRO the full liabilitypertaining to the performance rights. The responsibility for splitting the amounts is held by SAMRO. Royalties- 76 -