The Policy promises to create a vibrant ecosystem in J&K to promote it as an ideal destination for all those associated with film-making and other related sectors
By Hamid Rather
No doubt, the film policy of Jammu and Kashmir-2021 after its fanfare launch on August 5 by LG Shri Manoj Sinha in the presence of Bollywood actor Amir Khan and film-maker Raj Kumar Hirani besides others at SKICC, is one of its major developments from a socio-cultural perspective to bring the scenic beauty of the valley, cultural ethos and pilgrimage circuit on the big screen again, but the objectives set in can’t be achieved by mere tax incentives, sops, and subsidies. It is merely an administrative strategy document and not a policy document that lacks the vision for promoting the film industry, tourism sector, and engaging youth. It is not a film policy rather a secondary tourism policy.
With a promise to create a vibrant ecosystem in J&K to promote it as an ideal destination for all those associated with film-making and other related sectors, the Policy promises abundant subsidies. Whether tax soaps and subsidies are the only strategies to attract film-makers to shoot in the UT? How will tax incentives to rich Bollywood film-makers and producers help in developing our local film industry? In the absence of film and drama schools and vocational/optional courses in UG and PG courses, how the mismatch in the local talent and service providers and the professional Industry will be bridged?
The Policy has a separate provision of subsidy for films produced by national or international award-winning producers or directors after receiving subsidies based on earlier films produced in the UT. In this case, the maximum subsidy amount ranges from Rs 1.75 Cr to Rs 3.25 Cr as per the status of the shooting of second, third, or successive films in the UT.
The Policy has accorded the status of Industry to the film sector in Jammu & Kashmir, which shows a structural shift of the government towards it. A structure in the form of Jammu and Kashmir Film Development Council (JKFDC) will be set up to look for all matters in the film sector. It also employed existing institutions like EMMRC, Kashmir University, FTII, Pune to offer their services, structures, and expertise in this realm. The promising thing about the Policy is that it envisages the setting up of film and drama schools in the UT to impart instructions and practical training in fine arts, acting, directing, and other crafts of film-making. As the Policy has converted the film sector into the Industry, it is entitled to enjoy all the tax incentives, sops, and subsidies as provided in the new industrial Policy in addition to those mentioned in the Policy itself. Engaging local talents in the films will set a new trend in the UT and open new career opportunities for local talents. The re-opening of closed cinema halls, upgrading the existing ones, and encouraging setting up of multiplexes by offering a slew of subsidies and tax incentives needs collaboration from civil society, private sector, and NGOs to revive the entertainment industry in the UT.
Bag of tax incentives, sops, and subsidies
The film policy offers a wide range of subsidies:
- For 1st film, the Policy offers a subsidy of up to Rs 1 Cr or 25 per cent of the total Cost of Production (COP), whichever is lower if a minimum of 50 per cent of total shooting days is shot in the UT. Similarly, up to Rs 1.50 Cr or 25 per cent of the total Cost of Production (COP), whichever is lower, will be offered as a subsidy if a minimum of 75 per cent of total shooting days is shot in the UT.
- For the second film, the rate of subsidies being offered will be up to Rs. 1.25 Cr or 25 per cent of the total Cost of Production (COP), whichever is lower, if a minimum of 50 per cent of total shooting days is shot in the UT. This rate will be up to Rs. 1.75 Cr or 25 per cent of the total Cost of Production (COP), whichever is lower, if a minimum of 75 per cent of total shooting days is shot in the UT.
- For the third film, subsidy up to Rs. 1.50 Cr or 25 per cent of the total Cost of Production (COP), whichever is lower and up to Rs. 2.00 Cr or 25 per cent of the total Cost of Production (COP), whichever is lower, if a minimum of 50 per cent and 75 per cent of total shooting days, respectively, are shot in the UT.
An additional subsidy of Rs. 50.00 lakh be given to such a film of each category (first, second, third, and subsequent film) which the JKFDC shall decide on a case-to-case basis. On producing the film on the story or script based on the UT of J&K, with a view of Special Branding (J&K Specific Film), a special grant of 50 per cent of the Cost of Production of film or Rs. 5.00 Cr, whichever is less, shall be provided. The JKFDC shall decide on such subsidies on a case-to-case basis.
The Policy has a separate provision of subsidy for films produced by national or international award-winning producers or directors after receiving subsidies based on earlier films produced in the UT. In this case, the maximum subsidy amount ranges from Rs 1.75 Cr to Rs 3.25 Cr as per the status of the shooting of second, third, or successive films in the UT.
Similarly, an exhaustive provision of subsidies for film, TV show, web series, original show of OTT (Over The Top) platform, and documentary films to be shot in J&K (regarding permission fee) up to Rs 1 Cr has been spelt out in the Policy.
The films based on patriotic, child, women development themes too would be offered subsidies up to Rs 50 lakhs.
The policy rationale for offering generous subsidies is that if J&K is prominently featured in a feature film with more than 75 per cent shooting days in the UT, then the tourism sector of the UT gets the direct benefit. Undoubtedly, the portrayal in films may lead to an instant spike in tourist traffic, but the political situation is the factor that visitors look for before planning a trip to Jammu and Kashmir.
Development J&K Film Industry
Unfortunately, the policy document presents a poor analysis and projection of the film industry in Jammu and Kashmir. It has employed Bollywood and South Indian film Industry data and failed even to research out the number of films produced in Jammu and Kashmir. It is not a film policy. It is rather a secondary tourism policy as the Policy rationalizes the subsidies to result in a huge tourist influx to Jammu and Kashmir. The film policy would have aimed at creating a vision of developing the competitive film industry in the UT, setting a perspective plan with budgetary support for developing infrastructure, machinery, technologies, and education, entering into collaborations with the film academies and institutions, and the Industry in India and the world, and incentivizing local film-makers and production houses. We must produce quality cinema to be consumed locally, nationally, and internationally. The focus should have been on developing a strong local film industry by extending tax incentives, sops, and subsidies. However, the extension of these benefits to Bollywood film-makers and directors will not help us develop our Industry. It will create a further transfer of purchasing power and wealth from Jammu and Kashmir to other states.
Promoting Local Talents
Engaging local talents in the films that film-makers are shooting in Jammu and Kashmir is incentivized, and that will create many exacting career opportunities for the local youths to showcase their talents to the world. An additional subsidy of Rs. 50 lakh for a film with a cast of a minimum of 5 Primary local artists of J&K (who are featuring the as prominent characters as per the story) or 50 per cent of the actual payment of artists, whichever is less, is t be given to the film-makers. Similarly, the Policy offers a minimum additional subsidy of Rs. 10 lakhs or 50 per cent of the actual payment of artists, whichever is less shall be provided for a film with a cast of a minimum of 5 secondary artists of J&K (other than the main character being shown prominently as per the story).
The Policy aims to transform Jammu and Kashmir into a unique film destination that should have been one of the objectives of the Jammu and Kashmir tourism policy. There are many crafts, trades, arts, science, and technologies required to establish a competitive J&K film industry, and nothing promising is offered in the policy document. A need for a separate film policy will be felt soon when big film-makers will come to shoot in Kashmir as they need many local services that secondary tourism policy will not offer.
(Hamid Rather is a writer, journalist, and policy analyst from Jammu and Kashmir and can be reached at Facebook: https://www.facebook.com/hamid.rather.10485, Blog: https://hamidrather.wordpress.com/ LinkedIn: https://www.linkedin.com/in/hamid-rather-89528a89/, Twitter: https://twitter.com/hamidrather123?s=08 )
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