Tsuktiben Jamir
Indian Art has been doing exceedingly well in the market, according to financial experts. Once facing a decline in business ten years ago, art auction houses are now joyfully raising their glasses to a thriving market. Recent data from the Indian Art Investor, an art market advisory in Delhi, reveals that nearly 60% of artworks sold in March this year surpassed their expected prices. This trend has prompted gallerists, auctioneers, and collectors to believe that Indian art, as a rapidly growing asset class, is poised for further value appreciation beyond the effects of the pandemic. We are witnessing the dawning of a new era for Indian art.
In March of 2023, Saffronart, a prominent auction house in India, sold V. S. Gaitonde’s “Untitled” oil on canvas. This recording-breaking deal closed at Rs. 47.5 crores ($5.79 million), making it the second-most expensive piece of Indian art ever sold worldwide. Additionally, it is the second-highest price the artist has ever received at auction globally.
Courtesy: Fortune India.
Moreover, a 40″ x 60″ watercolour artwork by Paresh Maity sold for Rs. 40 lakhs at an AstaGuru auction in March of this year. The increase has been exponential since a watercolour painting of a comparable size by the same artist sold for Rs. 33.7 lakhs at another auction in June 2022.
This is not the only surge in price that was recorded. The CEO of Delhi Art Gallery, Ashish Anand, said, “We are now a market of about ₹3,000 crores, or $400 million, in registered auction sales, so we have moved up 600 times in less than three decades.”
The consensus among financial experts is that Indian art presents an arbitrage opportunity, as it is perceived to be undervalued compared to its Western counterparts. According to Nikhil Kamath, the co-founder of Zerodha, India’s largest stock brokerage firm, the market is expected to perform well in the upcoming decade.
The Director of the Piramal Art Foundation also opined, “Typically, every year in March, sales tend to peak and slow down. This year, there has been an acceleration. FY23 was the highest selling year for auction houses as far as Indian art is concerned.”
As of 4th May 2023, the Indian Art Investor also recorded that, “Clocking in a higher-than-estimated turnover of ₹1,145.5 Cr ($144.3 M) with the sale of 3,833 artworks in FY23, the Indian art market recorded an 11% rise in turnover from FY22. A total of 132 auctions took place in India and across the globe that offered works by Indian artists.”
Awareness is rising, boosted by the expanding presence of auctions, galleries, and museums. The occurrence of a correction in the past decade, as acknowledged by Priya Paul, chairperson of Apeejay Surrendra Park Hotels, has played a role in driving this transformation. New collectors are eager to enhance their collections, increasing prices and potential appreciation for renowned artists across different genres.
Indian art seems on the cusp of a transformative phase, marked by rising awareness, expanding auction sales, and a bright outlook, leading to increased prominence and appreciation in value.
