Global Scenario

The film industry or motion picture industry comprises the technological and commercial institutions of filmmaking, i.e., film production companies, film studios, cinematography, animation, film production, screenwriting, pre-production, post production, film festivals, distribution; and actors, film directors and other film crew personnel.

Though the expense involved in making films almost immediately led film production to concentrate under the auspices of standing production companies, advances in affordable film making equipment, and expansion of opportunities to acquire investment capital from outside the film industry itself, have allowed independent film production to evolve.Hollywood is the oldest film industry of the world, and the largest in terms of box office gross revenue. Indian cinema (popularly referred to as Bollywood) is the largest film industry in terms of the number of films produced and the number of tickets sold, with 3.5 billion tickets sold annually (compared to Hollywood's 2.6 billion tickets sold annually) and 1,986 feature films produced annually.

The worldwide theatrical market had a box office of US$38.6 billion in 2016. The top three continents/regions by box office gross were: Asia-Pacific with US$14.9 billion, the U.S. and Canada with US$11.4 billion, and Europe, the Middle East and North Africa with US$9.5 billion. As of 2016, the largest markets by box office were, in decreasing order, the United States, China, Japan, India, and the United Kingdom.

Distinct from the centres are the locations where movies are filmed. Because of labour and infrastructure costs, many films are produced in countries other than the one in which the company which pays for the film is located. For example, many U.S. movies are filmed in Canada, many Nigerian movies are filmed in Ghana, while many Indian movies are filmed in the Americas, Europe, Singapore etc.

India Scenario

The Indian film industry is expected to grow at 11.5% year-on-year, reaching total gross realisation of Rs 23,800 crore ($3.7 billion) by 2020. At present, the film industry grosses a total revenue of Rs 13,800 crore ($2.1 billion), and it has grown at a CAGR (compound annual growth rate) of over 10% in the last couple of years. The output of the Indian film industry has doubled in over a decade - from about 1,000 'national' feature films in 2005 to 1,907 in 2015

The film industry faces multiple challenges on the regulatory front - about 70 approvals and licenses from as many as 30 authorities are required by a filmmaker for shooting a film in India. For shooting a foreign feature film, prior approval of the information and broadcasting ministry is required, while for a documentary, approval of the external affairs ministry is required. Government of India along with many states are working towards simplifying the procedures for granting permission.

Despite the hurdles, the Indian film industry is the largest in the world in terms of number of films produced. India produces 1,500-2,000 films every year in more than 20 languages. But though India boasts of a large number of films and theatre admissions, the Indian film industry is small with respect to other global industries in terms of revenue. The gross realisation of Indian film industry at $2.1billion is minuscule compared to the gross realisation of film industries in the US and Canada, which is at $11 billion even though they produce only 700 films annually.

The industry is expected to grow at 11.5% year-on year reaching total gross realization of INR 238 billion by 2020.In 2015, the industry had the second highest footfalls in the world with a count of 2.1 billion.India has a large broadcasting and distribution sector, comprising approximately 7800 satellite TV channels, 6000 multi-system operators, around 60,000 local cable operators, 7 DTH operators and few IPTV service providers.

Uttar Pradesh Scenario

  • • The total screen distribution in India is largely skewed to Mumbai and Uttar Pradesh/ Delhi which account for 60% of the box office collection of films at national level.
  • • The President of India had awarded the 'Special Mention Certificate' to the state in the year-2015 for the 'Most Film Friendly State Award' on 63rd National Film Festival and Most Film Friendly State Award on 64th National Film Festival in the year-2016.
  • • There has been an important role of Uttar Pradesh in the history of Indian cinema. It has given several renowned film producers, directors, artistes, lyricists, musicians and story/script writers to the film industry. Cinema has emerged as a powerful medium of socio- cultural change.
  • • Shaan-e-awadh-An annual International Film Festival based on cultural, tourism, historical heritage and composite culture of Uttar Pradesh is being organised since 2011 This festival consist of screening of films of different language at multiple location in the city. In 2015, the festival was attended by nearly 10,000 individuals.
  • • Institutional support through Film Bandhu - nodal agency to promote film related activities, Film Development Fund- for sanctioning subsidies to films produced in the state, scholarship to students, arrangement of film equipment, setting up of film training institutes, organisation of film festivals, financial assistance on film, etc., Film Development Council to ensure long term development of the film sector in UP and monitor implementation of the State Film Policy and State Film Division to provide easy and timely certification of film, especially regional films have been created.
  • • Some of the Films shot in Uttar Pradesh –
    • • Toilet-EkPrem Katha
    • • Bullet Raja
    • • Jolly LLB2
    • • DedhIshqiya
    • • Tevar
    • • Raanjhana
    • • Bareillyki Barfi
    • • Bhoomi

Main Shooting Sites in the State

1. Heritage Sites

  • a. Taj Mahal at Agra
  • b. Agra Fort, Jahangir Mahal, Panch Mahal at FatehpurSikri
  • c. Imambara, Rumi Darwaza, KaiserbaghHeitage Site, Residency at Lucknow.
  • d. Sarnath at Varanasi
  • e. Ghats of Varanasi

2. Pilgrimage and Holy Sites

  • a. Temples of Mathura – Vrindavan
  • b. Kashi Vishwanath, Ghats of Varanasi
  • c. Sangam at Allahabad
  • d. Ardh-KumbhMela every 6 years, Maha-Kumbh every 12 years at Allahabad.
  • e. Temples at Chitrakoot, Sonbhadra.

3. Natural and Scenery

  • a. Ghats of Varanasi, Allahabad
  • b. Parks and Gardens – Dilshad Garden, Janeshwar Mishra Park at Lucknow
  • c. Belan River Valley at Mirzapur
  • d. Mukha Waterfall at Sonbhadra

4. Street and Townscapes

  • a. Old markets of Lucknow
  • b. Old Streets of Varanasi, Allahabad along the ghats.
  • c. Exquisite and varied local cuisine, culture and finesse of ancient cities – Lucknow, Varanasi.
  • d. Modern malls, parks and architectural structures at Lucknow, Gautam Buddha Nagar, Agra.

Facilitating Infrastructure & enablers in the State

  • • Film City Noida - Uttar Pradesh Government had developed Film City in Noida, which has become an important centre for shooting of TV serial films being produced in Northern India. The campus is situated in the heart of the sprawling 100 acre landscape in Noida. It is a lush green campus in close proximity of a number of aesthetic locations including lakes, ponds, hills, the banks of the Yamuna River, Massoori village on the Ghaziabad Hapur stretch, bewitching gardens available at the Marwah Studios. Some of the major media centres in the film city includes: BAG films, India TV, INOX, The India Today Group, Eagle Films, Network 18, Z Network, T Series, The Time of India and others.
  • • Use of Government Airstrips - The government has allowed the film units engaged in outdoor film shooting in the state to use airstrips located in various parts of the State like Agra, Lucknow, Varanasion payment as per prescribed rent.
  • • Nodal officer has been nominated in every district for providing requisite facilities for film shooting. The list of district level officer which their contact details is available on Film Bandhu website.
  • • Online facility for applying for film subsidy under the Film policy and single window clearances for film shooting in the state.
  • • Uttar Pradesh Film Policy -2015

    The State Government has promulgated the Film Policy with an intention to promote film production in the state and provide financial assistance to film producers. The Film policy-2015 has received more than 258 proposals for film subsidy.

    Fiscal Incentives

    • • Up to amaximum of 50% subsidy of the total cost for Awadhi, Braj, Bundeli and Bhojpuri films and maximum of 25% of the total cost for Hindi films.

    • • Maximum subsidy of INR 1 Cr for films which have been shot for at least a half of its total shooting days in Uttar Pradesh

    • • The films for which two-third of its total shooting days are in Uttar Pradesh is entitled for a subsidy up to a maximum limit of INR 2 Cr

    • • Once, a film producer avails the amount of subsidy on the basis of making a film in the state under the Film Policy, following subsidies will be avialble for the film maker’s subsequent films:

      Movie details The state’s position in the film shooting The maximum amount of grant
      The second film in the state Half of the shooting duration of the film in the state INR 1,25,00,000-00 (Rupees one crore and twenty five lac only)
      Two-third of the shooting duration of the film in the state INR 2,25,00,000-00 (Rupees two crore and twenty five lac only)
      The third film in the state Half of the shooting duration of the film in the state INR 1,50,00,000-00 (Rupees one crore and fifty lac only)
      Two-third of the shooting duration of the film in the state INR 2,50,00,000-00 (Rupees two crore and fifty lac only)
      The fourth film in the state Half of the shooting duration of the film in the state INR 1,75,00,000-00 (Rupees one crore and seventy five lac only)
      Two-third of the shooting duration of the film in the state INR 2,75,00,000-00 (Rupees two crore and seventy five lac only)
      Fifth or more film in the state Half of the shooting duration of the film in the state INR 2,00,00,000-00 (Rupees two crore only)
      Two-third of the shooting duration of the film in the state INR s 3,00,00,000-00 (Rupees three crore only)

      The grant for the films produced in the state by National/ International Award winning Producers/Directors of films who have received grant previously under the film policy, will be eligible for the following:-

      Movie Details The state’s position in the film shooting The maximum amount of grant
      The second film in the state Half of the shooting duration of the film in the state INR 175,00,000-00 (Rupees one crore and seventy five lac only)
      Two-third of the shooting duration of the film in the state INR 2,75,00,000-00 (Rupees two crore and seventy five lac only)
      The third film in the state Half of the shooting duration of the film in the state INR 2, 25,00,000-00 (Rupees two crore and twenty five lac only)
      Two-third of the shooting duration of the film in the state INR 3,25,00,000-00 (Rupees three crore and twenty five lac only)
      The fourth film in the state Half of the shooting duration of the film in the state INR 2,50,00,000-00 (Rupees two crore and fifty lac only)
      Two-third of the shooting duration of the film in the state INR 3,50,00,000-00 (Rupees three crore and fifty lac only) INR 3,50,00,000-00 (Rupees three crore and fifty lac only)
      Fifth or more film in the state Half of the shooting duration of the film in the state INR 2,75,00,000-00 (Rupees two crore and seventy five lac only)
      Two-third of the shooting duration of the film in the state INR 3,75,00,000-00 (Rupees three crore and seventy five lac only)

    • • If five main artists hail from Uttar Pradesh an additional subsidy upto maximum INR 25,00,000 will be provided.

    • • Additional subsidy of upto a maximum ofINR50,00,000 will be provided in case all the artists hail from UP.

    • • If any film producer, shoots and processes the film in the state, 50% of the processing cost or INR 50,00,000, whichever is less, will be sanctioned as additional subsidy for the film.

    • • If any Investor establishes a film training institute in any major city (excluding Noida/Greater Noida), 50% of its cost or a maximum of INR 50 lakh, whichever is less, will be provided

    • • If any film producer shoots or produces a film on the tourism sites, cultural theme/heritage of the state, an amount of INR 50 lakh will be provided.

    Non-fiscal Incentives

    • • Free security arrangement for shooting of films in Uttar Pradesh.

    • • 25% concession in room rent for stay in hotels/ motels of UP State Tourism Development Corporation

Facilitating Infrastructure & enablers in the State

  • • Production Houses –

    With growing film and entertainment sector in UP, investment in Production houses with Animation studios, Recording studios, Photography studios etc. is an emerging opportunity.

  • • International Film Studios –

    Collaboration of International studios with local film production houses to develop in-house Hindi & Bhojpuri movies in the State is a promising investment opportunity.

  • • 3D Cinema –

    With emerging techniques and 3D Cinema gaining trend across the globe, UP is an ideal destination to establish 3D animation centres and production houses.

  • • Printing and Publishing Houses –

    With advent of film and entertainment sector in the state, printing and publishing houses is also gaining momentum. Gautam Buddha Nagar, Lucknow, Varanasi & Agra are prominent destinations for such investments.

  • • Regional and Niche Cinema -

    Uttar Pradesh is also a promising destination for small budget movies, emphasizing content-driven cinema. Market for regional cinema portraying local culture and languages is gaining wide popularity in India& the state.

  • • Multiplex:

    Multiplexes have shown a growth rate of 150% in Indian cities, increasing from 925 in 2009 to 2,100 in 2015 .In future, multiplexes are expected to gain significant market share going forward with expanding presence in Tier 2 and Tier 3 regions. With a wide consumer base of over 200million, Uttar Pradesh is one the most promising destination for expansion of Multiplexes in India.

  • • VFX and Animation:

    India has emerged as a preferred destination for outsourcing of VFX and 3D conversion work. With a vibrant IT/ ITeS and start-up ecosystem in the state, VFX and 3D animation is another promising area of investment

  • • Skill Development & Film training institutes-

    Several eminent artist like Amitabh Bacchan, Priyanka Chopra, Nawazuddin Siddique hails from UP. The citizens of the state are exposed to top cultural ethos. This provides a huge opportunity for film training institutes and skill development in the sector.

  • • Film Training Institute -

    The state government has proposed to develop Film training institute at Varanasi and Gautambuddh Nagar. This will offer various educational programs including Graduation, Post-Graduation, PhD programs and others.

  • • Film City:

    Apart from Noida film city, the government is planning to develop more film city projects within UP to promote and provide proper facilities required for making films.

  • • Film Festival -

    Various periodical festival and film events will be conducted within the state to support and strengthen the film making industry.