After Tamil Film Association, Its Bollywood & Other Regional Languages United To Eliminate VPF Module

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After Tamil Film Association, Its Bollywood & Other Regional Languages United To Eliminate VPF Module
After Tamil Film Association, Its Bollywood & Other Regional Languages United To Eliminate VPF Module

Few Day’s back Tamil Film Active Producer’s Association & CCDA passes the resolution that they won’t be paying VPF to any of the digital service provider. It’s Bollywood and Regional Movie Producer’s & Distributors have been united and welcome the said resolution. Many producers and distributors have now taken the decision and are in talks of not paying any kind of VPF to any of the digital vendors.

Virtual print fees is the money digital service providers (DSPs) like UFO Moviez, Scrabble Entertainment, Qube Cinema Technologies, Inox Cinemas, PVR Cinemas, charges the Producer for the release movies on their screens across India.

The producers association stated that the current scenario and changes in business model have affected the producers association badly and hence they have come up with a list of demands.

Producer TG Thyagarajan says, “In an industry like ours, where 90 per cent of films fail at the box office, producers of small and medium-budget movies suffer a lot due to the VPF amount. It’s true that distributors and exhibitors are also facing various challenges. We need a win-win situation. When we spoke about this at the South Indian Film Chamber of Commerce, we learnt producers of all south industries are opposing the VPF rates.”

Zee Studios being the first Bollywood Studio has mailed to all the Cinema Chains and Digital Service Providers about not paying the VPF amount for the screening of Khali Peeli in their Cinemas, they are yet to receive the reply on the same. Also, National Cinema has not been screening Khali Peeli for the same could be one of the reason of that. Apart from Zee Studios, Bengali Film Producers and Distributors who are set to release 10-12 Film on Durga Puja has also informed that they won’t be paying the VPF and even the Gujrati & Punjabi films producers and distributors are in support of eliminating the VPF Module.

Non National Cinema Chains (apart from PVR Cinemas, INOX Leisure Ltd, Carnival Cinemas, Cinépolis Cinemas, Movie Time Cinemas) and Single Screen are also in support of scrapping VPF module as this would save them from paying assured digital guarantee amount to distributor irrespective of the film’s fate if failed at box office and also hope they would be able to screen the small and mid-size films as the producer wouldn’t have a burden of the VPF cost while screening and making it wide release of the film. Backing the scrapping of VPF Module Non National Cinema Chains Holder has also demanded that they should also rethink of terms of Cinemas Release Plan restriction, that has bounded by National Cinema Chains as the other Cinema Chains feels left out for the screening of the small films like Kaamyaab, The Tashkent Files etc.

“While Hollywood studio movies do not pay any kind of VPF for their films while screening in India, but the Indian produced movies have to pay VPF every week” Jackky Bhagnani of Pooja Entertainment has voiced the said statement also asked why such step motherly treatment given to Indian Producers by this Digital Vendors during the Zoom Conference of Survival Plans in the Post-Lockdown era on July 28, 2020 by Bombay Times between heads of Inox, PVR, UFO and him but hadn’t received the satisfactory reply to his query.

Previously Ronnie Screwvala had filed a case in CCI regarding the same but then had not got enough support then except Hansal Mehta, Ramesh Taurani, Anand Pandit who openly supported him, now with the pandemic situation it has made other producers and distributors realise their mistakes of not supporting him then and now have united to make the desire changes in the film industry.

It was also reported that Disney/Fox Star, Viacom 18, Jio Studios, T-Series, Zee Studios and distributor Anil Thadani, producer Siddharth Roy Kapur (President of the Producers Guild Of India) and producer Mukesh Bhatt were looking at ways of joining Ronnie’s existing complaint with CCI back then.


It’s also reported from a source that even Yash Raj Films, T Series Film which is all set to release their respective films Bunty and Babli 2 and Indu ki Jawaani would not be paying any VPF amount for all their further films.

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