Indian film tourism has potential to generate $3 billion by 2022, says EY

Published on : Saturday, January 12, 2019

Cinema today plays a significant role in an Indian’s life and in some form or the other influences their decision making. Based on this fact Film tourism has developed as a concept. Like the desire of an individual to wear similar brand and style of clothes used by the film stars, or use the products used by them, the idea of film tourism is to create a desire to visit the location portrayed in films.


In India film tourism has a scope to generate $3 billion by 2022 as there is potential for up to one million film tourists to visit the country by 2022. However, to achieve this potential there is an urgent need to simplify, incentivise and promote this segment, notes a joint report by EY and PHD Chamber of Commerce and Industry.


The report, ‘Building brand India through film tourism’, points out avenues for collaboration and policy initiatives that the industry can undertake towards making films an effective investment medium to enable destination tourism in India.


The Indian film industry, one of the fastest growing sectors in the country today, is also one of the largest producers of cinematographic films in the world and the projected size of the industry is estimated to reach Rs 20,400 crore by 2019.


“Cinema should be a priority sector for policy making as film tourism offers several direct and induced benefits,” said Utkarsh Sanghvi, partner- Indirect Taxation, EY India.


“For simplifying, incentivising, and promoting film production in India, it would be pertinent to setup film commissions or such similar quasi-governmental, non-profit, public independent bodies both at the central and state levels to serve as the focal point for film producers wanting to shoot in the country and/or state,” Sanghvi added.


Film tourism offers several direct benefits including revenue and employment generation, technology transfer in production, etc. The induced benefits of tourism include awareness and the creation and shaping of attractions.


A major issue that producers face in India is non-availability of a single window clearance facility towards all filming permissions. The report suggests that the state governments must consider setting up of online portals for single window clearance facility.



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