With ₹700 crore loss in 2024 and star salaries taking over 50% film price range, why future seems bleak for Malayalam cinema

On condition that these losses are important for a movie business that’s a lot smaller than the Tamil or Telugu one, final week, a joint assembly was held between producers’ associations, exhibitors, distributors, and the Movie Staff Federation of Kerala (FEFKA), with the intention to decide methods to course-correct. Publish the assembly, G Suresh Kumar instructed the media that manufacturing, distribution, and exhibition of Malayalam cinema will shut down from June 1 if the monetary problem just isn’t sorted out.

Star Remuneration Situation

One of many main components cited by Mollywood movie producers, together with Suresh Kumar, was the excessive remuneration for the actors and even a number of the technicians. Nevertheless, this has been a bone of rivalry not simply in Malayalam cinema however different industries as nicely and has been debated for years. “Many producers are in a dire scenario of leaving the nation. Malayalam cinema is presently in a scenario the place no producer could make a movie in any means. Stars are receiving a remuneration that we can not even think about. We won’t transfer ahead with out stars decreasing their remuneration,” Suresh Kumar instructed Mathrubhumi.

Effectively-known leisure business tracker Sreedhar Pillai explains, “Firstly throughout any Indian movie business, the producer is on the decline; he has completely no energy. The very best interval producers had was from the Nineteen Sixties to the late Nineteen Nineties. This was a interval when the producer known as the pictures and decided the salaries of heroes. Now, producers have misplaced their maintain on the business and it’s troublesome to outlive as actors have develop into extra highly effective. Stars themselves have develop into manufacturing homes and after they work for a producer, their wage is as much as 50 to 60 per cent of a movie’s price range. Stars stay in an illusionary world and after they develop into profitable, they don’t need to cut back their wage. It’s human nature. Outdated-time Malayalam producers are asking why they need to work with stars however like within the Tamil movie business, there are 1000s of Shankars ready to get a star’s dates.”

Commerce analyst Ramesh Bala additionally agrees with this, including, “Traditionally, Malayalam motion pictures had been made on a shoestring price range. It could be simply 20 days shoot in whole. Luxurious lodge lodging for stars, caravans, and so forth, got here late to Mollywood. And now, they’re aping the Tamil and Telugu movie industries and star salaries have gone up, they’re capturing in international locales, and so forth. On condition that the Malayalam movie market is small as in comparison with Tamil and Telugu, the collections gained’t be on par. So, producers at the moment are making an attempt to regulate these spiralling prices.”

OTT and satellite tv for pc rights problem

When the Covid pandemic hit the world, the Indian movie business, whereas going through extreme losses, made important strides on OTT with many movies bought for whopping quantities. Since then although OTT platforms have modified their content material shopping for standards and phrases and this has brought on an impression on the Indian movie business, together with Malayalam cinema. Star movies too, for example, are solely getting 50 to 60 p.c of what they had been getting two years in the past by OTT platforms state business insiders. “Hardly any movie is getting bought today to OTT platforms. Parallel to this case, the price of manufacturing has skyrocketed, touchdown producers in a disaster. Why ought to producers proceed to make movies bearing losses?” questioned G producer Suresh Kumar lately.

“The fallout of OTT and satellite tv for pc rights can also be a difficulty not simply in Malayalam, even in Tamil. As we speak, even Tamil huge movies are getting solely 50 to 60 p.c of what they obtained two years again for his or her movies, with a rider the streaming platform will resolve theatrical launch date. OTT platforms don’t need to purchase small movies as they don’t see a revenue in that. Thus, these producers now must rely solely on the theatrical to become profitable. 2024 was an amazing 12 months for small movies in Malayalam (e.g Manjummel Boys, Premalu, Kishkindha Kaandam). My recommendation is that Malayalam producers ought to make small movies with good content material for theatres – this manner they will survive and maintain within the business for a very long time,” opined Sreedhar Pillai.

One other problem that the Malayalam movie business our bodies have highlighted is the excessive leisure tax and the Items and Companies Tax (GST). G Suresh Kumar mentioned that Mollywood was being taxed at 30 per cent which incorporates each the GST and leisure tax. In accordance with him, the federal government ought to withdraw this tax since this contributed to unsustainable prices.

The priority for the sustainability and survival of the Malayalam movie business appears to have reached its peak and a group from the assorted movie our bodies is predicted to fulfill Kerala Chief Minister Pinarayi Vijayan quickly. In the meantime, the movie producers’ affiliation has additionally said that if the monetary points weren’t sorted out, it will reveal actors’ actual wage figures, particularly those that are demanding exorbitant quantities non-commensurate with the market. Will this stand-off proceed or will the problems get resolved by June 1 stays to be seen.