Mumbai: As the understanding of Indian Art as an asset class percolates from the art collectors to other stakeholders, including financial intermediaries, Aura Art felt the need to demonstrate the long term trend of the Indian art market in a tangible manner.
Indian paintings over 23 years. The New Highs Line for Indian Art, considering that the highest priced painting increased from Rs 10 lakh (1992) to Rs 26.9 crore (2015), demonstrated a Compounded Annual Growth Rate (CAGR) of 28 per cent over a 23 year period.
Talking to Bizz Buzz, Rishiraj Sethi, Chief Strategist, Aura Art says, “We ourselves expected it to sober down to 20 per cent or so by 2025. But lo behold, the Indian art market continues to surprise even the most ardent believer, on the upside. When updated recently, thanks to the recent high achieved by a Husain masterpiece (Rs 118 crore), the New Highs Line continues its upward march at 24 per cent CAGR over a 33 year period.”
We have reproduced our report titled ‘ArTrends – drawing the uptrend in Indian Art’, published in October 2019 in the following pages (page 47 to 50). The Figures 1 and 2 of the Report are however updated with subsequent observations, to make it as relevant to the reader today, he added.
With a view to refine the same further, Aura Art collaborated with the Indian Institute of Management Ahmedabad (IIMA), to jointly develop an Art Index, which was launched at the BSE International Convention Hall in November 2022. The first batch of data to develop the IIMA-AuraArt Indian Art Index (IAIAI) included auction results of nearly 9,000 artworks by Indian artists, auctioned across 11 houses around the world, over a more than 20-year period, from April 1, 2001 to June 30, 2022.
For a meaningful index, it selected data from top Indian 25 artists, in terms of number of works auctioned. These artists offered a critical mass of artworks adequate to be included in the index formation.
The IAIAI witnessed a growth rate of 16 per cent per annum over the 24-year period under consideration.
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