Division over film distribution; NFC, Artistes battle with distributors

By Susitha R. Fernando

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A week long tussle over the local film distribution following the decision by the National Film Corporation (NFC) to take over the rights of film distribution from the private sector has divided the film industry with some supporting the move and others opposing it.

NFC Chairman Sithendra Senaratne and other film artistes at the press conference on June 19 where it was announced the take over of film distribution rights.

The tug-o-war started with the decision by the NFC on June 19 to take over the rights to distribute films in local theatres. In 2001 the NFC gave the film distribution rights to private bodies in a bid to develop and promote Sri Lankan cinema. Reversing the 2001 agreement to give the sole right of distribution to five private companies, last Tuesday, NFC Chairman announced that the decision was taken in order to protect the local film industry, which was adversely affected by the manner in which the private sector handled film distribution.

Supporting the decision to take over the distribution, the Minister in charge-Wijayadasa Rajapakshe said that there was a monopoly in distribution and the local film industry was affected by the situation. A lot of the producers, directors and other stakeholders had complained about the adverse repercussions. According to the new move, the NFC would carry out all distribution keeping only a 5% commission with the rest of the income being divided between the producer and the theatre owners. The private film distributors were also criticised for giving priority to foreign films over local productions.

‘The situation had resulted in local film producers being side-lined, with their films not being picked by distributors,’ Minister Rajapakshe said. The minister also complained that over 70 theatres were closed during the recent past.

Strongly criticising the move the five film distributing companies, Lanka Film Distributors Ltd. (LFD), E.A.P. Films and Theatres Ltd. (EAP), Movie Producers and Importers Ltd. (MPI), Cinema Entertainment Ltd. (CEL) and Rithma Circuit complained that the NFC Chairman’s decision to take over the film distribution overnight without consulting them would adversely affect the industry. The film distributors complained that initially it was the private sector that had handled the film distribution until it was taken over by the NFC in 1971. However in 2001 it was given back to the private sector.

Sunil T. Fernando, Film Producer and Exhibitor and owner of the MPI circuit claimed that this sudden decision was taken to appease a few interested parties and to release around 80 films that were on the waiting list.

‘We have signed agreements with filmmakers and money has been paid to them while several millions of rupees are owed by the exhibitors. How can we recover this money’ Mr. Sunil T. Fernando demanded.

The representatives of five film distributing companies on June 21 announced their protest over the taking over of film distribution

The other distributors complained that there was no recommendation in the Presidential Committee report released in April to completely take over the film distribution. The committee composed of a of large number of experts and artistes and Prof. Sarath Wijesuriya, veteran filmmaker Dharmasiri Bandaranayake and Dr. Somaratne Balasuriya acted as the advisors to the committee.

There are large number of film artistes including directors and producers, who have backed the NFC Chairman’s decision to take over the film distribution. They were of the view that the lack of monitoring and proper regulation to govern the private sector distribution caused major problems leading to private film distributors running the industry according to their whims and fancies.

In reply, lead by five film distributors and film theatre owners, managers and some film producers, last week, formed a new industry association to lobby against the move by the NFC to take over the distribution of films from the private sector.