The Malayalam film industry is facing a major crisis, and things seem to be getting worse. Reports suggest that starting from June 1, all film-related activities, including movie shootings and screenings, might be halted.
Several industry associations are deeply concerned about the current situation and fear that if it continues, the very survival of the industry could be at risk.
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To bring things under control, major industry bodies—including the Producers’ Council, Distributors’ Association, Film Workers’ Federation, and Exhibitors’ Association—have come together to call for a complete shutdown.
Veteran producer Suresh Kumar, father of actress Keerthy Suresh, has confirmed this development. He pointed out that the Malayalam film industry already pays a 30% tax, along with additional entertainment taxes. He urged the government to intervene and reduce these tax burdens.
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One of the major issues troubling the industry is the skyrocketing remuneration of actors and technicians. Currently, almost 60% of a film’s budget goes toward paying actors, making it difficult for producers to sustain their businesses.
Newcomers, both actors and directors, are demanding high pay despite having little experience, which has worsened the financial strain. Stars hike their fees by 5 to 6 crores after one success which they don’t even deserve any credit for.
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Suresh Kumar revealed that in 2024 alone, 176 films suffered losses, with the industry facing over ₹1000 crore in losses.
Industry leaders believe that the only way to fix this crisis is by enforcing a complete shutdown. They hope that stopping all activities will force high-paid actors and technicians to reconsider their fees, ultimately helping the industry recover from its financial struggles.
This move by the Malayalam industry has now become a hot topic across other film industries as well. However, whether actors will agree to reduce their pay is uncertain. Similarly, expecting the government to immediately lower taxes is also unrealistic.
However, for real change to happen, producers themselves need to take the first step. Once a hero delivers a hit, producers rush to offer skyrocketing salaries, making high pay demands seem justified. This trend has now extended even to smaller actors, who are now demanding luxury caravans.
The lack of financial discipline isn’t just the directors’ fault; everyone in the industry is responsible.
