The colours of 2008

Controversies, price fluctuations and celebrity art shows – they all made news last year. The Indian art scene hit new heights and then seemed to flounder for a little while. Fortunately, the year end auctions saw a renewed interest in the contemporary artists, where NS Harsha, Atul Dodiya, Subodh Gupta and TV Santosh performed well at the Christie’s Hong Kong auction of Asian contemporary art. And, the Saffron art winter auction held in early December collected more than Rs 30 crores, where SH Raza, Tyeb Mehta, FN Souza, Rameshwar Broota, Jogen Chowdhury and MF Husain were amongst those who fetched the highest prices.


How does the art market look like in 2008? It seems Indian art and artists will continue to make waves both at the domestic front and internationally. This should translate into a subsequent increase in the number of art shows, galleries and dealers. Younger artists who have the talent are also likely to do well. According to art collector Harish Padmanabha, “popularity of modern artists will hit the stands once again. No one can take away credit from stalwarts like Husain, Raza, Tyeb Mehta, Gaitonde and Ganesh Pyne.”

Which artists will do well? Padmanabha asserts, “It is difficult to predict the future of new artists who are at the beginning of their careers. But, the interest in contemporary artists is likely to continue. Also, the global interest in Indian art will continue to gradually build.”
Artist Ravikumar Kashi feels, “the market has slowed down somewhat in the last few months, but personally I have done well. Soon the market should start to look up.” Buyers have become more discerning and this trend is likely to continue. With awareness comes the ability to judge and that is one reason why footfalls have not converted into sales in the last year. Bangalore is fast emerging as a hotspot for art after Mumbai and Delhi. Hopefully, local artists will soon get their due and this should reduce disparity in prices of artists from Bangalore versus Delhi and Mumbai.

(Published in Financial Times)

Should artists get royalty?

Once again there is a lot of discussion on whether an artist should be given a royalty or a percentage of the sales, when one of his artworks does exceptionally well during a resale, for instance, at an auction. There is mixed feeling towards this. While most artists feel that a certain percentage of the sale proceeds should be given to the respective artist, gallery owners and collectors feel that the issue is debateable. In practical terms it is very difficult to track each and every artwork that is sold or resold, unless it is at an auction. Art collector Harish Padmanabha asks, “when I invest in real estate and I sell the property a few years down the line, should I give a percentage of the profits to the previous owner?” He says that once an artwork leaves the studio, it becomes a commodity and gets bandied around in the market. An artist’s job should be to give vent to his creativity and give enjoyment to the viewer and himself. He brings out the point that when the artist is no more, who should benefit from the percentage? Therefore, it appears that implementing such a plan is full of loopholes. Artist Ravi Kumar Kashi also admits that the idea has its benefits, but wonders how the mechanism would really work in practical terms.

On the other hand, Indian artists who have struggled a lot in their career and have only now begun to make a mark at international auctions are unfortunately not getting any share of the proceeds. We have seen in the past that legends from the fields of music and sports have languished in abject poverty in their last days. One wonders, when the modern and contemporary Indian art market is thriving so well, is there a way to acknowledge the contribution of its key players? Giving a royalty to the artist may or may not be the answer, but a solution that aims at long term benefits rather than short-term gain is much needed.

Contemporary art market draws more buyers

There is a general feeling in the art market that the focus has shifted somewhat from Indian modern artists to contemporary artists. In fact, a trend that has become more noticeable now is that buyers and investors are backing younger talent. There are even reports that some senior artists are not finding any takers at all. Whether this is true it is difficult to say, but prices of some of these artists have definitely gone down. Paintings by a few well-known artists that were selling for Rs 12-15 lakhs (market price and not their auction price) are now barely holding out in the Rs 5 lakh range. It appears that there is a greater confidence in the contemporary art market.

There could be many reasons for this downward trend. According to an art collector, quality is a prime factor. As all works by the same artists are not of the same quality, the poorer works are now being reflected in their prices. Another theory is that the buyers are simply bored and find art from younger artists more exciting and refreshingly different. Contemporary artists are more open to experimentation when it comes to medium or concept. Brands and signature styles seem to be getting outdated. The new buyer now wants something ‘different’. Originality of thought is also considered to be one of the parameters that is now defining the art market.

Again, one must remember that the buyer profile has also changed in the last few years. Investors and collectors are getting younger every day and probably that is why they relate better to works by their contemporaries. It is also believed that contemporary artists have a greater international appeal as compared to modern artists. Having said that there is no guarantee that all contemporary artists will continue to perform well. Some of them are bound to lag behind over time when it comes to their investment potential. Similarly, it is very unlikely that Indian modern art will continue its downward trend, but how long it will take to bounce back it is difficult to predict.

(Published in Financial Times)

Selling an artwork

Once art forms a part of an investor’s portfolio, at some point in time he may want to sell it. One sells an artwork to obtain liquidity either because funds are needed to buy another artwork, or to reinvest, or simply because it is a good time to sell and maximise the profits.

When should you sell a painting? Although this would vary from person to person, as a general rule you should sell when there is an increased demand for that artist/artwork in the market. The demand is likely to be high after an artist has performed well at an auction or has participated in a major exhibition or has been recognized internationally. This generally translates into a better selling price. However, when there is a slump in the market it may be good time to buy but not to sell.

Some people may want to buy newer works and may decide to sell the older ones to create space. One must realise selling an artwork is not a simple and easy process. Sometimes the painting may remain with the gallery for a long time before being sold. One may not always get the asking price. Also, when reselling the artwork, it helps to remember that there are gallery commissions, and tax implications, which will affect the profit margins. According to gallery owner Premilla Baid, “There is no right time to sell. It is a very subjective thing. When we sell artworks for our regular clients, we charge them 10% of the sales.”

To ensure you make a sound investment it is essential you know how to pick upcoming artists with the potential to appreciate. Which means when your reinvest the funds try to pick up works that are likely to appreciate in the future. Remember, art should always be looked at as a long-term investment option.

In general art cannot be compared to the stock market or real estate, there are a lot of variables involved and one must make a decision after a thorough research of the market conditions.

Tips for buying at an auction

At the recently held Christie's Hong Kong auction of Asian contemporary art, N S Harsha topped the sale of Indian works. Harsha's 'Mass Marriage' fetched $6.4 million, which is a new record for the artist. Other Indian artists such as Atul Dodiya, TV Santosh, Ravinder Reddy and Subodh Gupta also performed exceedingly well. This is a good sign for Indian contemporary art.

International auctions usually feature well-established names along with a select group of promising artists. Continuing with our series on whether to buy from an auction, here are a few tips that will help you buy from one.

Apart from the big auction houses there are several smaller ones that also organize art auctions on a regular basis. The amount of money involved in these is generally more reasonable. In fact, some of these are organized to raise funds for a charitable cause, and in such cases a portion of the sales are donated towards the charity. Why should you buy at an auction? According to gallery owner Renu George, “auction houses are able to predict future trends, so even if you buy at a higher price at an auction, chances are it will appreciate in the future.”

Before the auction event, a catalogue is distributed to prospective bidders. The catalogue, lists out the works (name of the artist, title, size, medium, provenance, etc), lot numbers, and estimated selling prices or ‘reserve price’. This will give you an idea, which works to bid for. It also gives you time to crosscheck and get familiar with the artist’s credentials and track record. Before the auction there is a viewing of the works that is organized for the prospective bidders (unless it is an online auction, but these too sometimes organize an exhibition). It is usually a good idea to physically check out the artwork and not bid on the basis of the catalogue alone.

It is important to predetermine your exit price. It is very easy to get carried away during the auction, and to keep bidding in the heat of the moment. However, if you set your limits it will help you enormously.

(Published in Financial Times)

Should you buy at an auction?

When it comes to art there are numerous auction houses - both domestic and international - in the fray. We keep reading about reports where a certain painting fetched a record amount or where an artwork was withdrawn from the catalogue, as there were doubts about its authenticity. The latter used to be a fairly rare phenomenon until recently. Still, the important point is that artworks that lack credibility or have even a shadow of doubt attached to them are withdrawn from the sale proceedings. Sotheby, Christies, Bonhams Saffron Art and Osian are just a few of the auction houses that deal with art. There are many more auction houses that are being set up in India.

Should you buy at an auction?
Theoretically auction houses have experts in the field at hand, who carefully assess, evaluate and authenticate each work before adding it to their catalogue. Also, they ensure that the work is of good quality. Another advantage is that a variety of works can be found at an auction. And, in general artists that are represented at auctions are considered to be either established or promising.

Art collector Harish Padmanabha explains, “Anyone who has the desire to collect can buy from an auction.” He adds that reputed auction houses know good art from bad and that helps the buyer. They also assess the condition of the artwork, and provenance and authenticity are also taken care of. Another advantage for the buyer is that there is a transparency in the dealing, which may not happen with some art galleries and dealers.

For serious art collectors, auctions are probably the best way to source works that are rare or not available in the market. Collectors look at auctions to complete their set or own a work that is highly coveted. For new buyers it is always advisable that they attend a few auctions before starting to bid at one. It will help them to get familiar with the proceedings and will also add to their confidence level.

(Published in Financial Times)

Now is the time to be cautious

Investing in art might be a ‘cool’ trend, but one must remember that there is a lot happening in the art market and unless a buyer is properly clued in, one can easily suffer huge losses. According to a recent report in the media, the Indian art market is estimated between Rs 1,000 – Rs 1,400 crores, which is big money.

You just have to look around to realize how many people have turned art dealers, or see the number of galleries that have mushroomed overnight. Art has become a hugely profitable commercial venture and those with the business acumen have been quick to utilise it. Many artists too have been quick to join the bandwagon, and have been churning out works that might as well be factory made – slight variations to their popular themes and you have a collection ready for sale. Pricing? The less said the better. Unfortunately, price now has no connection to any kind of logic. You will see youngsters and fresh graduates not afraid to ask for a lakh or more. And, the strange thing is that they even find buyers for their works. A profusion of fakes - another aspect that is now plaguing the market more than before.

This leads us to the question if one should invest in art at all?
It appears that it would be a good idea to invest only small amounts of money in the market, at least for the moment. Also, one should take all necessary precautions. For instance, when one buys gold, one always looks for the purity of gold and goes to a reputed jewellery shop. For property, one looks for clear titles and checks out the credentials of the builder. So should be the case with art. In the past, we have talked about ascertaining the provenance and authenticity of an artwork, but now it is equally imperative to check out the credentials of the dealer or gallery. Reputed galleries are likely to have done the groundwork including the investment potential of the artist. The dealings are also likely to be more transparent. But, do proceed with caution; after all, it is your money invest wisely.

(Published in Financial Times)

Refrain from impulsive buying

It is the festival season and the New Year is also round the corner. This is the time when people spend a lot of money on shopping for clothes and jewellery, and in doing up their homes. Conventionally, art has been more of a home décor product rather than an investment instrument. Even today a lot of people buy art to transform their interiors.

There is nothing wrong in buying art as a decorative purchase, but one can try to integrate the two concepts – décor and investment. If you are spending more than Rs 50,000 on a work of art it makes sense to ensure that it is a sound investment. Anything less than Rs 50,000 can be bought for the sole purpose of dressing the walls.

Once you have decided to buy an artwork, curb your impulses and do not indulge in spontaneous buying. Generally at any given point of time, there are a number of art shows going on in the city. Take your time to know more about them and the artists that are being displayed there. When you are buying art purely for its visual appeal look for aesthetics, decorative aspects, colours, theme and style of painting. In such cases, the name of the artist or his credentials do not matter so much. But, always check out the quality of the materials used, since the longevity of the artwork depends on the choice of canvas, paper, frame and other hardware. Don’t let the art galleries push you into buying something you are not sure about. Take your time to make a decision.

Sometimes artworks that have been languishing in galleries for long can get damaged - scratches, minor tears and patchy colours may occur over time and these may not be visible at a casual glance. Watch out for those before buying.

If your budget is more than Rs 50,000 it is important to do all the necessary groundwork – artist’s credentials, price trends and provenance. Make sure you cover all aspects that will have a bearing on an artwork’s investment potential.

(Published in Financial Times)

Who is investing in art?

There appears to be a popular misconception that art is bought only by the rich and the famous. Or, by those who are serious art collectors. The truth is art has suddenly become a viable asset class for young professionals. Thanks to the IT boom there has been a spurt in salaries, and as a result there is a growing number of people with deep pockets. In Bangalore itself, there is a huge interest in art from individuals working in the IT sector. In the past, once people had invested in real estate and mutual funds, they looked at art as another investment avenue. However, now art has become a status symbol. It has become a prized possession that needs to be acquired and then flaunted.

Gallery sources reveal that there has been a significant increase in the number of buyers in the age group of 20 – 30 years. These are buyers who have Rs 50,000 to Rs 2 lakhs, which they would rather spend on art than splurge it on mindless shopping. It also indicates the awareness levels in this young age group about the potential of art as an investment instrument and its snob value.

What stands out is that there are many first time buyers who visit art galleries with the sole intention of buying art as an investment. Unfortunately, most of them have no clue about art and rely completely on the gallery in selecting the artwork. A majority of them, in fact, are drawn towards artwork that is aesthetic and has a far greater decorative value than an investment value. However, thanks to the hype in art investment, they end up buying works that do not appeal to them. Also, another popular trend that seems to be catching on is that festival shopping for jewelry and clothes now also encompasses shopping for artworks. These generally are in the more affordable range and with a greater emphasis on aesthetics to fit in with home decor.

(Published in Financial Times)

Investing in decor

Investing in art is always a long-term proposition. This asset class - it is perceived as one these days - is quite different from money market instruments or commodities for that matter. It involves aesthetics, preservation and a keen eye for potential. It is therefore essential to keep in mind a few facts about art before buying an artwork, if you have its investment aspect in mind.
To begin with, an artwork does not lie in a demat account. It will be displayed in your home or office for a few years. It is therefore absolutely essential that you like the piece you are buying, apart from its projected market value. This apart, it is also advisable to buy a ‘marketable artwork’, going by the current trend.

Another aspect that you need to keep in mind while buying an artwork is the artist himself. An upcoming but promising artist’s works will not be as expensive as an established and senior artist. Some knowledge about art will help as you can identify potential and buy works that will appreciate over time, at a good price. It is therefore necessary to study artists and read-up on reviews before buying an artwork.

Yet another factor you need to dwell on is the sort of work you are buying. Oil and acrylics on canvas cost a little more but are also likely to fetch higher returns when you resell them. A good frame will ensure the durability of the artwork as well. In addition, you need to take steps to protect your artwork adequately while on display at your place.

Many people buy an artwork, display it for a couple of years and sell it to buy another one. This way, they have a variety in their decor - workspace or home - and get a return on their investment too. While this is a good strategy, knowing some basics about art investments will ensure you make the right choice.

(Published in Financial Times)

Art Buzz (Mumbai)

Is The Art Market Stabilizing?

(By Nalini S Malaviya)

In the last few months there has been a lot of interest and curiosity surrounding the art market. The past five years saw a phenomenal growth in the market where prices rocketed upwards, but then there was a stabilization of sorts recently. However, speculation continues whether the market is recovering or is the slump likely to continue for some more time. The recent held auctions by Sotheby and Christies seem to have reaffirmed faith in Indian art. In fact, the senior group of artists have performed exceptionally well, and this seems to indicate a renewed confidence in Indian art, which is likely to be substantiated in other forthcoming auctions as well.

The domestic market, too, appears to be thriving well. There seems to be a lot of emphasis on the young and upcoming artists. Artworks priced in the range of 1-5 lakhs or even as high as 10 lakhs are in the spotlight. This is especially true when these works have been done by the next generation of promising artists.

The price correction has been a leveller of sorts and has also helped in making the buyers more quality conscious. As the awareness has grown, buyers have become more demanding. The emphasis on quality strikes a welcome note. Artists now, hopefully, will be forced to slow down, pay more attention to detail as well as take their time to turn out creative works. It will also act as a filter to separate the genuine artists from the commercially-minded ones.

With more focus on the younger artists and a greater interest in the lower price range, art will also become more affordable to a wider buyer base. This by itself should give an impetus to the market, renew interest and strengthen it somewhat. Newer trends may find a larger audience. Apart from conventional artworks, newer mediums and styles may also find wider acceptance. Lower prices may continue for sometime, but it is likely to have a positive impact on the overall art market in the years to come.

(Published in Financial Times)

Importance of the Right Frame

(By Nalini S Malaviya)

A beautiful frame serves to draw attention to a work of art. But more than the decorative value of a frame, it is important to invest in the right kind of frame that will support the painting without damaging it in any way. We have seen in the past that artworks on paper are particularly fragile in nature and can get damaged easily. A good quality paper forms the basis of a good quality artwork, and is an essential element that contributes to the longevity of a painting on paper. However, if a poor quality wood or backing material is used for framing a painting that has been done on the best quality paper, it will eventually defeat the purpose.

If wood is used for framing, it is essential that it is pre-treated and seasoned appropriately. Wood can be highly susceptible to wood borers and other kind of pests that can spread to the painting and damage it irreparably. A bad quality backing for the painting can shrink or warp and again damage the artwork. If the wood is not properly seasoned, moisture can get in between the glass front and the painting. This can encourage mould to grow. Poor quality mats will yellow with age and may also become brittle over time, which in turn can affect the painting or drawing. The acrylic or glass cover should also be of good quality, for instance an ultraviolet (UV) protective glass can be used. This will protect the painting from the harsh effects of UV light to prevent it from turning ‘yellow’ or fade with time. The freshness of colors and pigments will also be maintained over the years. One should also avoid using adhesive tapes such as a masking tape, which can damage the mat with time.

If maintained properly, a good watercolour or drawing can last for a long time and one can enjoy its beauty and the freshness of colours for a long time to come.

(Published in Financial Times)

Art on Paper

(By Nalini S Malaviya)

These days artworks on paper are increasing in popularity because they are generally more affordable than oils and acrylics on canvas. When buying paintings on paper it helps to remember a few points. Typically paper is a fragile medium and gets damaged very easily. When artists use paper that is of inferior quality it affects the lifespan of the work drastically, thereby affecting your investment value. The acidic content of ordinary paper makes it darker with time and it will also tend to yellow or fade over the years. Therefore, when one buys a drawing or sketch, or watercolour that has been done on paper, it is important to check that it has been done on good quality acid-free paper.

Paper collages are also becoming very popular as a medium of expression with some artists. These collages are sometimes done with scraps of paper torn from newspapers and magazines. We are all aware how fast a newspaper yellows with exposure to sunlight. These publications are short lifespan products and are not suitable to be used for fine arts.

The quality of paper is determined by the raw materials that are used, and generally inexpensive paper is likely to be of inferior quality. When you are spending Rs.50,000 or more for a work of art, the idea behind it is that it should turn out to be a solid investment over time, and should last well over the years. But, a low-grade paperwork will not only lose colour, it can also become brittle or creased.

Restoring a paper artwork is an extremely tedious and expensive process, and may still not be able to match the original quality ultimately. In fact a good quality paper should take care of elements such as ageing, resistance to light and strength.

Normally, some artists come out with a range of artworks on paper in order to make it more affordable. However, it is equally important that they ensure that the quality of the paper makes it long lasting. When you are spending thousands of rupees as investment, do not hesitate to check and confirm the quality of materials used.

(Published in Financial Times)

Limited Edition Prints - III

(By Nalini S Malaviya)

Having discussed the various kinds of prints and the terminologies associated with them, we now look at the factors that need to be considered before investing in prints. There is a line of thought that believes that one should start investing in art with prints, since costs are less, and as you gain knowledge and confidence over time, you can start investing in original works. On the other hand, some people believe that since offset prints are produced in large quantities they serve only a decorative purpose and have a negligible investment value. Therefore, inves-tors must be careful to pick up prints that will appreciate over the years.

courtesy: affordindianart.com

The golden rule to follow when buying a print is to look for one that is produced in limited numbers. An ideal number would be 10 to 20, and you must look for artists who produce such prints. In fact, there are a few artists who make only 10 edition prints and then also sell the print plate painted, so no further prints can be taken. Another thing to watch out for is the 'platemark' and the counter signature of the artist. Very few artists give out authenticity certificates for etchings, however getting one helps.

Art consultant Umesh U V says that from an investment point of view, some intaglio etchings are appreciating in value sharply. Artists Laxma Goud and Viraj Naik’s works are popular with investors. Some of them are even showing a growth rate of about 50 percent every six to nine months. The resale value of a print is generally very good but depends heavily on the subject of the image. For instance, Laxma Goud's 'goat and woman' series are most sought-after. Similarly, Viraj Naik's mystic creatures and Rini Dhumal's emperor series are good investments. Also, serigraphs by Raza and Ramkumar are coveted while Husain's smaller edition serigraphs do well. The trick then is to do a proper research and consult experts before investing in prints. There have been numerous cases where posters have been passed off as limited edition prints. In fact, there have been instances where such posters have been sold for more than Rs 25,000 to unsuspecting buyers. It is therefore important to know the difference.

(Published in Financial Times, Bangalore)

Affordable Art Options - Limited Edition Prints

(By Nalini S Malaviya)

Prints as we discussed earlier offer a good investment opportunity at a fraction of the cost of an original painting by the same artist. Here is a low-down on some of the other kinds of prints.

Giclee
It is a French word and is pronounced as ‘zhee-clay’. According to the wikipedia it is an invented name for the process of making fine art prints from a digital source using ink-jet printing. The name was originally applied to fine art prints created on Iris printers in a process invented in the early 1990s but has since come to mean any high quality ink-jet print. As there is no screen involved, a giclee offers excellent resolution and a rich color density.

Intaglio
It is a printmaking technique, where a design is incised on the surface of a metal plate such as copper or zinc. An intaglio print is created by applying pressure on the paper from a plate where the design is recessed or etched on its surface. Due to the pressure applied in transferring the design to paper, intaglios have a platemark or rectangular ridges that can be seen on the paper. Etching, engraving, aquatint are part of intaglio process.
In an etching, a metal plate is covered with a layer of wax and then a design is drawn over the wax with the help of an etching needle. This plate when immersed in acid etches on the design on to the plate (the acid corrodes the line of the design), while the wax resists the acid. This is also called a line etching. Aquatint involves a process similar to etching, however the end result is finely dotted areas rather than lines.

Limited edition prints are signed and numbered (S/N) by the artist. The lower the number of prints the better its investment value, however the higher the number of prints the more affordable it is.

Artist Proof (A/P)
A limited number of prints (often 20 or less), these are signed by the artist and highly coveted. In the olden days, these were considered to be a quality check in terms of color and other aspects done by the artist at an early printing stage. Now, these are the same as the final edition prints but are still in demand by art collectors and investors, since they are so limited in number.

Prints can make a good investment too

(Nalini S Malaviya)

Prices of original artworks - paintings, sculptures, digital art or installations - have surpassed expectations. Art is quite unaffordable for many people. Therefore, more people are turning to limited edition prints to satisfy their passion for art. Prints happen to be a good investment but one must be thoroughly versed with the different kinds of prints that are available in the market to be able to make a sound investment. Here is an explanation of some of the commonly-used terms in association with prints:

Limited edition print

This implies a certain number of pieces, an identical series that is created by the artist himself. In fact, the artist determines the number of prints in the series and these are usually signed and numbered by the artist. In addition, the plate or stencil used to produce the prints is destroyed to ensure that the prints cannot be replicated again.

Remember, these prints are not 'posters' or reproductions of paintings that are available freely and have no investment value. An artist print is usually manually produced and since it is limited in number it has an investment value, plus these are priced significantly lower than paintings, which makes it an attractive investment option. In contrast, posters are mass-produced, and even though these are an inexpensive option they serve only a decorative purpose. Lithograph, serigraph, giclee, etching, intaglio are some of the options available as limited edition prints.

Image courtesy www.affordindianart.com

Lithograph

This literally translates into 'stone drawing'. A lithograph involves a process of printing from a small stone or metal plate, which follows the principle that oil and water do not mix. These manually produced prints are usually 10-20 in number, whereas offset lithographs that are produced industrially may have 500 or so prints.

Serigraph

This is produced when ink or paint is forced through a fine screen onto a surface, usually paper or canvas. A different screen is used for each colour, and the result is therefore rich in colour and may have some texture as well. A serigraph is generally more expensive than a lithograph and also has better quality in terms of colour density and resolution.

(Published in Financial Times)

Gaining ground with investors - Sculptures

(By Nalini S Malaviya)

There is an increased awareness about Indian contemporary art and with the maturing of the market, art collectors and investors have become more discerning. As a result there is a growing interest in forms of art other than paintings. Sculptures are a centuries old art form, which were created in various mediums such as wood, stone, clay, and bronze. Ancient sculptures are representative of that era and form an important link in understanding the living conditions, values and other concepts of that period. For instance, Greek sculptures focused on the human form and the freestanding statues were detailed and life-like. Gods and goddesses were also given form through sculptures. All of Michelangelo’s statues depicted muscular bodies that symbolized power and strength. His ‘David’ is a fine example in marble from this period and is perhaps the most famous statue of all times. Art collector, Porus Vazifdar laments, "Sculpture has for long been the second cousin of other art media (read painting). This part of the art market is still unspoiled - fewer fakes, less hyped prices, higher entry barrier. It would be heartening to see galleries and dealers promote more works of established sculptors than of new and untested painters.”

In the contemporary art scene, more and more artists are turning to sculptures. Sculptures offer ease in experimentation and multiple choices in mediums. Art Consultant Umesh UV explains, “Sculptures are picked up selectively by real collectors and not by everyone like paintings.” The only problem with sculptures is the amount of space they take up. Umesh says, “Place is a big criteria! Where do I keep just one head of Ravinder Reddy? Also, often price bands are low when there are 9 editions. Some consider this as a 'factory made' concept and do not like it.”

Prices of sculptures are considered to be low compared to paintings. Vazifdar believes, “Like in painting, there is a revolution waiting to happen.” Sculptures are coming into their own is obvious from the fact that in the upcoming Sotheby’s auction, a Subodh Gupta mixed media life size sculpture has been priced between 200,000 – 250,000 USD, a G Reghu bronze sculpture between 8,000 – 12,000 USD and a Sudarshan Shetty mechanical sculpture with dentures is priced between 18,000 – 22,000 USD.

(Published in Financial Times)

Indian Contemporary Art – Trends

(By Nalini S Malaviya)

Till a few years ago most people bought paintings to either decorate their homes or as part of their investment portfolio. Interest in other forms of artworks such as sculptures, digital art, and installations was limited and the number of buyers even more limited. Now, the trend seems to be slowly changing. There are many more people who are aware of the various forms of visual art and they do not hesitate to invest in sculptures, graphic art, and even conceptual art to some extent.

Traditional art such as paintings has its own set of loyal collectors, who insist the advantages with buying one are numerous. A painting can be put up easily on the walls, and although size is important, it is not crucial, and even larger works can be accommodated relatively easily. With newer forms of art, space requirement is one factor, which deters buyers. Often, one needs a larger space to display sculptures or installations. The latter in fact can take up an inordinate amount of space and may also require special considerations in terms of lighting, sound etc. With new media art, preserving it is one issue which unless addressed will not find buyers. But, then most new media artists are not looking at creating permanent art.

Sculptures, installations and digital prints are increasing in popularity both amongst artists and collectors. The advantage with sculptures, and for that matter, even some installations is that due to their three-dimensional nature the impact on the surrounding space is heightened. Again, different mediums than can be used in a sculpture for instance glass, stone, steel, copper, bronze and so on singly or in combination create an enhanced effect that alter the ambience dramatically.

The new age art buyer and collector insists that what moves him to own an artwork is irrespective of the medium. As long as he can relate to it at an emotional or intellectual way that is sufficient motivation to own the work.

(Published in Financial Times)

Indian Contemporary Art – a look at the market

(By Nalini S Malaviya)

The fall in the art price index as reported in leading newspapers, and the affected sales of certain artworks at international auctions created quite a stir in the art market. Despite this, several art collectors and investors are optimistic and feel such temporary lulls in the market are just that – temporary.

There are several online and offline networks formed by art lovers. One such online network comprises of collectors, investors, artists, dealers, and gallery owners who exchange information on art - price trends, upcoming artists, hot favorites, major shows and so on. Art collector Porus Vazifdar explains, “Art has always been a multifaceted activity - technical to the artist and sensuous to the collector. The art scene in India is not a 'financial market' in the true sense. Most of the ills of the commodity-style market continue to persist, e.g. lack of liquidity, reduced transparency, fake products, high transaction costs, non-standard products, difficulty in valuation, cash transactions etc. The efforts of a few people and increased disposable income have lead to the emergence of a pseudo-financial market. Price-disclosure is that much easier now due to the bold steps taken by a handful of people to publish prices. Hence, I do not believe that terms like, 'bullish', 'bearish', 'correction' etc can apply to art. Yes, prices of art will move in tandem with market factors, especially those unique to art.

There is general consensus that quality plays a major role in determining price trends of an artist. Artists who have sustained their quality have continued to do well even in recent times. Art collector Mehul Patel elaborates, “Chintan Upadhyay's artworks were available for Rs 1.50 lakhs in 2002, and now nothing is there for even 15 lakhs. Vaikutam's small charcoal works were available for Rs 30,000 about fourteen months ago and now cost almost Rs 100,000 each! Laxma Goud’s etchings, which were Rs 25,000 – 40,000 about a year ago are in the range of Rs 60,000 – 200,000”.

Upcoming artists appear to be a safe bet - since investment is low it also reduces the exposure. Whether art prices have actually ‘corrected’ or not is debatable, but what emerges is that it is a good time to buy for the discerning art collector or investor.

(Published in Financial Times, Bangalore)