Recently many changes would have been happend in tamil cinema world. New team under the leadership of actor cum producer Vishal had been seated in producer council. New measures had taken in satillite rights for welfare of producers especialy small budget producers.And also producer council announced strike from may 30 against video piracy.
At the same time tamil nadu distributors council decided to bring some decision for the welfare of them.Here after no more minimum guarntee will be considered for any movie and also producers should directly sell their movies in every area and avoid to sell with other companies for distribution particularly big budget movies. lets see how did these measures would affect big budget movies.
In previous times producer played his movies to distributors. After watching the movie they discuss about the buisness. This bulid a strong relationship between producers and distributors.Later producers stop screening movies and then they bought movies in consideration of previous movies of actor or actress or director or producer of that film.
Later they introduce about Minimum Guarentee that is distributor will buy the movie from producer with profit for producer. In case movie fails the loss will not affect the producer and there is no rights for distributor to claim from producer. If a production company sell their movie to another production company for distribution rights in MG basis then the first production company had no rights to discuss about profit or loss of movie.
So distributors recently decide to stop distribute movies in MG basis And also producer should know the struggles faced by distributors in every loss. So that they will make a buisness considering the movie. At the same time Distributors says the leading actors should consider their actual collection before raising their salary of their next movie.
Producers of big budget movies always earns in pre buisness by satillite, audio, FMS, Tamilnadu and other state distribution rights due to this tamilnadu rights will be face some problem and may affect producer of big budget movies.
Lets see how New producer council team manage this problem.
thanks from vishal
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