Mumbai: Film producers and distributors fear tighter release schedules and greater uncertainty after the Ministry of Information and Broadcasting discontinued the Central Board of Film Certification’s ‘Tatkal’ or priority certification scheme.

The withdrawal of the fast-track system – which allowed filmmakers to get CBFC certification within 10-15 days by paying a premium – from June 1 could aggravate delays in film clearances, already worsened by the abolition of the Film Certification Appellate Tribunal (FCAT) in 2021, industry executives said.

It could particularly affect multilingual releases, last-minute edits and films locked into fixed theatrical windows, while increasing legal and operational uncertainty for producers, they said.

“The impact will be felt most by independent producers and regional films, where production timelines are often compressed and release windows are highly competitive,” said Suniel Wadhwa, cofounder and director at Karmic Films.

Executives said the absence of both FCAT and the Tatkal route could slow dispute resolution, forcing producers into prolonged litigation and making release schedules harder to predict.

The ministry had floated a public consultation in February proposing discontinuation of the priority scheme before formally withdrawing it from June 1 through the notification of the Cinematograph (Certification) Amendment Rules, 2026, on May 20.

Some regional producers and industry veterans welcomed the move, saying the priority system had long disproportionately benefited large studios and influential production houses, often disrupting release plans of smaller producers who finalise theatrical windows months in advance.

“Situation becomes chaotic when big producers release films without advance communication,” said Naveen Chandra, founder of 91 Film Studios. “This disturbs the release schedule of films which have been planned months in advance.”

He said the growing volume of films requiring certification had made the priority system increasingly difficult to sustain.

“India’s long-term average suggests that nearly 1,800 films are produced annually across languages, amounting to almost five films a day. Besides this, there are festival films in sizeable numbers,” Chandra said. “It is not possible to physically watch films on a Tatkal basis and remain objective.”

Distributors highlighted practical challenges in certifying big-budget films, noting that Indian filmmakers, including big directors, often re-shoot and work on visual effects until just days before a film’s release.

“Unlike in the West, where studios plan films well in advance, one hardly sees big directors presenting full films to CBFC one month prior to release,” said Shaaminder Malik, film distributor and trade analyst.

The ministry, while proposing discontinuation of the scheme, had argued that routine use had diluted its intended purpose and created a “two-tier certification system” where applicants with deeper pockets secured faster clearances.

Government data tabled in parliament showed CBFC-certified theatrical films rose to 2,687 in FY25 from 2,031 in FY22. The ministry said average certification timelines for feature films currently stand at 18 working days against the prescribed 48 working days under the Cinematograph (Certification) Rules, 2024.

Mumbai: The micro-drama sector is increasingly emerging as a new avenue for experienced television writers in India, as the TV industry grapples with shrinking audiences and rising competition from other entertainment platforms.

The trend is being driven by a mix of higher content volumes, faster payments, greater creative freedom, flexibility to write around commercial breaks, opportunities to explore diverse subjects, lower time commitments and the ability to work remotely, writers, producers and senior executives at micro-drama platforms told ET.

According to estimates by senior executives at micro-drama apps, a micro-drama app in India produces 50-200 hours of content a month, depending on its scale.

At present, there are 40-45 micro-drama apps available for download in India. This shows the volume of micro-drama content being produced in India.

Generally, key people at micro-drama apps collaborate with production houses to create content. “The micro-drama ecosystem has opened up genuine opportunities for creative professionals, including writers. Most of these professionals previously had a TV background,” said Saurabh Pandey, founder and chief executive of Story TV, a micro-drama streaming app.

The low entry barrier is a key reason why experienced TV writers, and even inexperienced writers, are entering the micro-drama space, writers said.

“The micro-drama space is quite democratized. There is so much micro-drama content being created today. In my long experience as a writer, for the first time I am seeing such a high demand for writers,” observed veteran television writer Sanjay Bhatia, who wrote the crime television series Encounter and recently ventured into the micro-drama space.

On the lower side, micro-drama writer fees generally range between Rs25,000 and Rs1 lakh per series, senior executives at micro-drama apps said. On the higher side, fees may go up to Rs3–4 lakh per series depending upon a platform and its scale of operation.

Lower time commitment compared with TV and demand for diverse subjects are among key factors that triggered high interest among writers.

“Unlike TV, where TRPs define content preference, in micro-drama, a writer can work on diverse subjects. On average, a micro-drama series is made in 10-15 days, which gives high scope for writers to experiment,” said Shakeb Sayed, a veteran television writer associated with serials such as Saraswatichandra. “Today, a lot of first-time writers are coming into the micro-drama space. In fact, there is a shortage of writers and other creative professionals in the micro-drama space.”

Remote working and faster payments have added to the attractiveness of the segment, writers said.

“Micro-drama has decentralized the way writers work. Today, a writer can be in Indore and write a micro-drama series and earn money. Also, payment is faster in this segment. Unlike TV (45 days), micro-drama writers receive payment in a month or less,” said a writer requesting anonymity.

According to producers, TV experience has helped these writers do well in this space.

"Micro-dramas are creating a major opportunity for fast writers and young creators because the format rewards speed, relatability, storytelling agility, constant cliffhangers, and the ability to keep audiences engaged every 60 seconds," said Suniel Wadhwa, cofounder and director of film production and distribution company Karmic Films, adding: “Experienced TV writers pull these things off well.”

From theatres to living rooms, South Indian cinema is increasingly dominating the showbiz, accounting for nearly 60% of all theatrically successful films acquired by streaming platforms across Indian languages in 2025.

While this marks a significant shift in OTT content-buying strategies, it is driven by stronger viewer engagement for South Indian titles on streaming platforms, with a higher proportion of viewers tending to watch them till the end after starting them, senior executives at large media and entertainment networks said.

Of the 125 films that each drew more than one million admissions in theatres and bought by leading streaming platforms, 74 were South Indian titles, according to a study by media and entertainment research firm Ormax Media.

“South Indian titles generally show strong engagement patterns, often delivering high completion rates and sustained viewing, which improve long-term platform value,” said Krishnan Kutty, head of entertainment business, south cluster, at JioStar. “At streaming scale, consistent engagement matters more than opening spikes, and regional content is increasingly delivering that consistency,” he added.

In addition, the share of South Indian content in total watch time on streaming platforms has been increasing, industry executives said.

“Across films and web series, we are witnessing phenomenal growth from the South, which accounts for more than 41% of total watch time on ZEE5,” said Siju Prabhakaran, chief business officer at ZEE5. “Every region in South India brings a unique flavour and intellectual depth that resonates across age groups and geographical boundaries.”

Producers said South Indian titles also offer advantages in terms of acquisition costs and content supply compared with Hindi films.

“These titles also provide pipeline stability,” said Suniel Wadhwa, cofounder and director at Karmic Films. “A larger volume of theatrical films with stronger audience retention in the post-pandemic period comes from the South, giving streamers a more dependable content acquisition ecosystem.”

Language affinity and the cultural rootedness of South Indian stories have helped these films attract audiences well beyond their regional markets, independent streaming consultants said.

“In addition to subtitles and dubbing, audiences’ affinity for their mother tongue and the cultural authenticity of these stories and their presentation have helped South Indian titles find viewers beyond their traditional markets,” said Shrirang Nargund, an independent consultant to the streaming industry. “Today, audiences outside the metros increasingly prefer such stories.”

The next 100 million subscribers to India’s streaming ecosystem are expected to come from markets beyond the major metropolitan cities.

According to the Ormax study, Netflix acquired 34% of all South Indian titles bought by streaming platforms in 2025, followed by JioHotstar (19%), ZEE5 (18%) and Prime Video (17%).

“We studied films that recorded one million footfalls in theatres across all languages in India. The South emerged as a bigger content market for streaming platforms,” said Keerat Grewal, head of business development for streaming, TV and brands at Ormax Media.

Streamers also acquired 35 theatrically successful Hindi films, with Netflix accounting for 57%.

In the past two years, Bollywood production houses are increasingly diversifying into film distribution space. Though not unprecedented, a notable aspect of this shift is that today diversification into film distribution space has become a structural and survival imperative for production houses to deal with rising costs of filmmaking and grab larger share of revenues available across the value chain of filmmaking, producers, exhibitors and film marketing experts said.

Dharma Productions, and most recently Jio Studios, are the two prominent production houses that diversified into film distribution space in noteworthy manner in the last two years.

"Cost of making films has gone up due to the huge talent cost. Then, distributors are doing away with minimum guarantees (upfront cash) to producers. A combined effect of these is production houses venturing into distribution,” explained Suniel Wadhwa, co-founder & director, Karmic Films.

A key rationale behind production houses diversifying into distribution is to retain a larger share of revenues that a film can generate, noted established producers.

A key rationale behind production houses diversifying into distribution is to retain a larger share of revenues that a film can generate, noted established producers.

Functioning as distributors helps production houses reduce their dependence on sub-distributors, explained independent exhibitors.

"Production houses are going full throttle. They have set up offices in Bihar and West Bengal," said independent exhibitor Vishek Chauhan. “They are not dependent on sub-distributors. So, a distributor’s commission is their savings,” he explained.

Independent distributors earn 5-10% of revenues as commission income. “For instance, consider Dhurandhar. The film collected Rs. 1000 crore. And if a sub-distributor’s billing is Rs 450 crore, then 10% of it is Rs 45 crore. This is a huge number,” explained Chauhan.

Unfavourable experiences with studios have also contributed to this trend, noted producers. “There are studios who offer promotion, marketing and distribution to production houses for a fixed fee. These studios take a huge share of revenues earned through a film for the money they invest. This is in the range of 10-50% of box office revenues. This is a reason why production houses have diversified into distribution,” explained producer Rajesh R Nair.

Digitalization is another enabler for production houses to venture into distribution, explained distributors.

“Today, distribution is centralized, thanks to digitalization. One can keep a tab of everything sitting in Mumbai. Due to nuanced data, production houses have been able to negotiate with exhibitors on programming and revenue-sharing,” explained Shaaminder Malik, distributor and film trade analyst.

At present, apart from production houses, players such as AA Films, Pen Marudhar, YRF and PVR Inox distribute films.

In the long run, power dynamics in the distribution ecosystem is likely to shift in favour of multiplexes, said industry veterans.

“Today, multiplexes generate 70-75% of box office revenues. This shows their power in the entire distribution ecosystem. In the long run, the power dynamics will shift in favour of multiplexes,” said Neeraj Joshi, a film marketing and strategy consultant.

Rage-bait cinema — films which contain elements that spark polarizing debates on social media — is increasingly turning out to be an effective marketing tool in keeping a film alive in the public consciousness after it has resonated with audiences by providing incremental footfalls, said producers, veteran film marketing professionals, distributors and film trade analysts to ET.

Such films stay alive in public consciousness after release by fuelling online arguments, especially when makers tap into uncomfortable social truths that keep conversations active and extend box-office momentum, industry executives said.

“Today, 60% of cinema chains are concentrated in the NCR (National Capital Region) and Mumbai territories. This shows how important are these territories in terms of business. These territories have changed tremendously due to social media,” said Neeraj Joshi, a film marketing and strategy consultant. 

“Today, almost every action of people on social media is about performance and activism. So, makers consciously insert elements in their films which capitalize on uncomfortable truths and fault lines contained in the worldview or value system of audiences.”

Recently, the American romantic comedy film The Drama sparked heated debate on social media, with some viewers saying its gun activism theme felt completely out of place in a light-hearted film from the romance genre.

Such kind of insertions in plots works for both camps—the supporters and the protestors, said film marketing strategists.

“Online debates around films often serve as a marketing tool particularly for those films which aim to become a talking point. Virality generates both positive and negative perspectives, while also drawing fence-sitters to theatres, leading to incremental footfalls,” said Saurabh Varma, a veteran film marketing strategist.

“Additionally, through virality, makers aim to gain attention of streamers and film rights buyers who tend to favour films which achieve high visibility and engagement.”

Last year, the big-budget film Dhurandhar that released on December 5, collected Rs. 103 crore on its opening weekend, indicating that the film resonated with audiences. However, within a few days of its release, debates about its historical authenticity and whether it is a nationalistic or propagandist film emerged on social media. These debates piqued audience’s interest and provided incremental footfalls as in the second weekend — between December 12 and December 14 — the film collected Rs 140.5 crore.

Film trade analysts believe that social media debates can potentially transcend and become a 360-degree buzz if a film deeply resonates with audiences first.

“When a film resonates deeply with audiences, social media debates can become a 360-degree buzz covering radio, television and even newspapers. This provides incremental footfalls,’ noted producer and film business expert Girish Johar.

Producers acknowledge the growing importance of the audience in shaping narratives.

“Social media has become a battleground of identity, politics and morality. Today, audiences have a larger role than critics in shaping big narratives given the democratization of social media platforms. However, a social media debate alone cannot provide incremental footfalls to films which have not resonated with audiences,” observed Suniel Wadhwa, cofounder and director of Karmic Films.

Social media’s algorithmic structure also fuels and reinforces views and debates which trigger audience’s curiosity.

“We live in an age of algorithms which keep people in echo chambers. When films have morally ambiguous elements and when there is boycotting sentiment, usually, audiences become curious and go and watch films in theatres,” said Shaaminder Malik, a film distributor and trade analyst.

Mumbai: Mid-budget southern films lacking any established stars have not only been increasingly successful over the past two years but also generated superior return on investment (RoI) than high-budget superstar-led projects, marking a sharp shift toward content-driven productions.

This segment is emerging as a reliable business model, especially at a time when big-budget star-studded films are frequently delivering thin margins, said producers, film trade analysts and content deal syndicators.

Many films made within an estimated budget of Rs 10 crore – such as Little Hearts and Anaganaga Oka Raju (Telugu), Tourist Family and Youth (Tamil), Su From So and Love Mocktail 3 (Kannada) and Premalu, Kishkindha Kaandam and Vaazha - Biopic Of A Billion Boys (Malayalam) – generated box office collection of Rs 40-140 crore, said trade analysts.

For instance, the latest Malayalam sequel Vaazha 2 - Biopic Of A Billion Bros, has grossed Rs 100 crore on a budget of Rs 10 crore, indicating a staggering RoI of 900%.

“The biggest disruption in the southern cinema today is not scale but efficiency of returns. Mid-budget films made for less than Rs 10 crore are generating five to ten times returns,” said Suniel Wadhwa, co-founder and director, Karmic Films. “This makes mid-budget films one of the most efficient and scalable opportunities for producers and distributors.”

Stars no longer guarantee business in southern films, with the result that the role of the script has become paramount for makers, according to analysts.

“Today, script is king. A bad film of a southern star loses the audience’s interest right after the morning or noon show through strong word-of-mouth communication on social media,” said Sreedhar Pillai, a veteran trade analyst.

“Historically, Malayalam cinema has always been known for non-star content-oriented films. But, today, we are seeing similar trends in other languages in the south too.”

The youth and family audiences have a large role to play in the success of the non-star films.

“Unlike star-studded films, these mid-budget films open slowly. But their collections grow so well organically that in the long run they beat even big-budget films in returns. Today’s youth—late teens to 34 years—is not awed by stars. Content—its novelty and freshness—drives the youth to theatres,” said Chennai-based entertainment sector analyst Ramesh Bala.

“Family audiences are drawn to these mid-budget films largely because they deal with highly relatable universal themes and values. Also, since the stakes are low, makers experiment a lot in these films by blending and innovating with genres through conviction-based storytelling," he added.

Bala cited the Tamil film Youth, for instance, which appealed both to the youth and family audiences. The film focuses on a school student’s journey to becoming a mature and responsible person.

Significantly, the rise of well-scripted mid-budget southern films can partly be attributed to streamers and broadcasters.

“Streamers and broadcasters have become selective in buying films. So, makers are focusing on good scripts which perform well in theatres and fetch them high valuations from streamers and broadcasters after their successful theatrical innings,” said Arun Kumar, a Chennai-based content deal syndicator.

Producers said they welcomed the success of mid-budget non-star films because it allowed them to invest effectively in stories and other cinematic elements, unlike in big-budget star-studded films, where much of the budget goes to actor fees.

Filmmakers across Indian language industries are increasingly scanning and restoring their works in 8k, as a new market develops for restored movies long after their release days and box office numbers are forgotten. Helping preserve older content from irreversible damage is opening new monetization opportunities in a more visual-first market.

Prominent Indian directors and actors who have scanned their films in the 8k format include Mani Ratnam, Vidhu Vinod Chopra, Rajinikanth and Kamal Haasan.

“The cost of scanning a film is relatively cheaper than restoring it. Today, scanning old films in 8k is all about becoming future-ready. Film negatives are vulnerable. In future, when makers want their films in higher resolution, they can go back to their scanned 8k version,” explained Kavita Prasad, managing director, Prasad Corporation, one of the oldest film laboratories in India.

According to film processing labs, the average cost of scanning films in the 8k format is in the range of Rs 25–50 lakh. For 4k format scanning, the average cost is in the range of Rs 7–20 lakh.

Scanning films in 8k is a strategic rather than a tactical decision, said industry veterans. “Today, new films, especially big-budget spectacle films, are shot digitally in 8k. Producers can monetize such films across multiple avenues. One of these is large-screen formats such as IMAX,” said Hiren Gada, CEO, Shemaroo Entertainment.

“But scanning existing films in 8k is more of a strategic decision. Negatives are susceptible to natural decay due to climatic and storage conditions. Also, it is difficult to upgrade 4k content to 8k. However, it is easier to convert 8k resolution to 4k, given the high pixel density of 8k content,” he added.

Scanning films in 8k also helps significantly in digitally repairing and restoring images, said editors.

“A film restored in 8k can bring in visual aspects that may be missing in earlier formats. With the help of AI and VFX tools, a technician can repair images in an 8k version of a film to bring them as close to the original visual as possible,” said veteran editor Vaibhav Desai.

Scanned 8k films also fetch higher valuations for film libraries and licensing deals, said producers.

Mumbai: The pronounced and indisputable success of Dhurandhar franchise (original film’s worldwide collection: Rs. 1307.3 crore and sequel’s worldwide collection: Rs. 1006.5 crore, eight days) has set a new benchmark in filmmaking in in the Hindi film industry, triggering fresh discussions about revising, reviewing and doing away with old and verbose templates of filmmaking and focusing more on depth and authenticity than stardom, said producers, editors, trade analysts and distributors to ET.

“The Dhurandhar franchise is not a project put together by funding people. It is a triumph of a firm conviction and uncompromising intent of a director in achieving his personal creative vision. It has made mass cinema into event cinema and proved indisputably the importance of a director,” explained producer Rajesh R Nair.

“In recent years, a director’s role has been relegated to mere executor of scenes. This explains the intent of the makers. But the Dhurandhar franchise clearly scores well on intent as it breaks most established conventions of filmmaking,” he added.

Among the various departments, the film’s editing has set a new benchmark, shared editors. “After a long time, I have seen a film where a film’s editing is so clean. There are no loose ends. Necessary shots are preferred to good shots,” said Vaibhav Desai, a veteran editor.

“Using quick-cut transitions, events unfold rather than characters discussing how those events will unfold. This makes almost every scene engaging and pacy. So, the audience does not feel the film’s length,” he added.

Editors cite the quick-cut transition used in the beginning of Dhurandhar The Revenge. The audience is not shown why Ranveer Singh’s character needs an AK47 assault rifle, they pointed out.

The film’s bold and innovative use of music has also been lauded by distributors. “This may be perhaps the first mainstream Hindi film where a director has been so bold in the use of music including background. So many times, the music used is so contrasting and incongruous to the sentiment and mood of a scene,” noted distributor Shaaminder Malik.

“For instance, the use of the song Hum Pyaar Karne Waaley from the film Dil in the scene where Ranveer Singh’s character is abducted and produced before senior intelligence officers may seem risky. But it is the director’s conviction. Also, the use of original and vintage music has connected multi-generational viewers,” he added.

Even the film’s storytelling structure has been appreciated by producers. “The chapter-based narrative structure in the Dhurandhar franchise enhances its engagement and recall. This aids the film’s pacing. Also, it is in line with global viewing sensibilities of episodic storytelling,” explained Suniel Wadhwa, co-founder & director, Karmic Films.

Producers also acknowledged the depth in the film’s writing and clever use of contemporary history which matches the popular narrative.

“In the Dhurandhar franchise, even fictitious characters look real. There is authenticity in the presentation. There is also brilliant use of contemporary history to build a wonderful narrative of India’s resurgence in the films, which is lapped up by audiences,” shared producer Naveen Chandra.

Lastly, the film has also set a new benchmark in seamlessly blending genres without any special track for any one genre, observed producers.

“There are five genres in the Dhurandhar franchise: romance, patriotism, gangster, suspense and thriller. They blend seamlessly well without any genre overpowering This is an exception especially in Hindi films,” observed producer Ameya Naik.

Overseas distributors of Indian films are changing their business model to reduce risks of loss amid the West Asia war even as they continue to buy films from Indian producers, producers, overseas distributors and film trade analysts told ET.

"Broadly, business is still moving in the overseas markets including the Middle East, but the mood is more cautious rather than frozen," said Adi Tiwary, an Australia-based producer, consultant and a former international distribution partner.

To deal with the uncertainty in revenues, overseas distributors are increasingly opting for refundable advances, where the producer must repay the difference in case the film's net collection falls below the advance payment along with the distribution commission and expenses incurred in obtaining a film, experts said.

Historically, overseas distributors have been paying minimum guarantees (MGs), which are non-refundable, to producers to secure distribution rights for films expected to perform well in box-office.

They are also becoming more selective in buying films to deal with the uncertainty.

"Overseas distributors are focusing on films which do not have nationalist themes as they appeal to larger audiences," said a distributor requesting anonymity.

The Gulf countries, which are among the most impacted in the ongoing war, contribute 15-20% to the total overseas collections of most Hindi films, trade analysts said. But the share is at least 10% higher for most southern films, making them more vulnerable.

In fact, Malayalam films derive over 80% of their international business from the region, producers said. "Many South Indian films are pre-sold overseas on minimum guarantee deals. If uncertainty sustains in the Middle East, then distributors may push for refundable advances than MGs for upcoming southern films," said Suniel Wadhwa, cofounder and director at Karmic Films.

However, there is no change in release schedule for southern films, experts said.

"I think producers and overseas distributors are ready to take a hit," said Chennai-based entertainment sector analyst Ramesh Bala.

Trade analysts said overseas distributors are now increasing focus on markets other than West Asia. "This is a sound strategy to make up for potential revenue losses from the Middle east region," said Girish Johar, producer and industry expert.

Also, distributors can release films in West Asia much later than other territories, a veteran distributor noted.

Mumbai: Film producers are facing a mounting dilemma-rising costs of entourages accompanying stars. Such expenses have spiralled to about 10-12% of the total production cost of high mid-budget and big-budget films from the mid-single digits about a year and a half ago.

The drastic increase in budgets comes at a time when the industry is reeling from a volatile box office and few hits, with producers stating that the demands are becoming increasingly unreasonable.

Notably, the additional expense borne by producers often exceeds remuneration of key contributors such as cinematographers, writers, and even directors in some cases, according to producers and analysts.

"Historically, entourage costs were in the low single digits as a percentage of overall budgets," said Suniel Wadhwa, co-founder & director, Karmic Films. "In recent years, these costs have become double-digit figures in select projects. Today, a film requires an additional box office collection of Rs. 2-2.5 crore to recover a cost of Rs. 1 crore attached to it. This shows how high entourage costs impact its earnings."

Conservative estimates shared by executive producers and veteran producers with ET showed the percentage share of entourage costs in the total cost of producing a high mid-budget film — Rs. 80-100 crore, 70-day shoot — has surged to nearly to 10% in the past one and a half years. In the case of big-budget films — Rs. 100-200 crore, 120-day shoot — the share has jumped to 12% over the same period.

Producers attribute two key factors to this trend. “In the past one and a half years, heads of each overhead expense of some well-known talent have increased their fees,” said veteran producer Rajesh R Nair. “They have also employed more people in each overhead, thereby increasing entourage costs.”

Producers say there are at least a dozen overheads that make up entourage costs. Recently, content team comprising photographers and videographers for actors’ personal social media accounts have become part of entourage costs.

“Producers are catering to outrageous demands of actors,” said a veteran producer, requesting anonymity. “Actors want a meditation coach, life coach, and a companion (wife or a family member) on sets.”

“There is a finite universe of well-known actors and stars who can bring in audiences in theatres. So, producers give in. Also, betting on new faces is expensive given the high costs involved in making and marketing films,” the person said.

The rise of streaming platforms has also changed the dynamics of entourage costs, producers said.

“Before 2015, stars had a make-up artist, hair stylist and vanity van,” said distributor Shaaminder Malik. “Then streamers paid irrational prices for pre-release digital rights. These cash flows spoiled stars and mid-level actors. Producers gave in as digital rights revenues were assured cash flows.”

“But in the past two years, streamers have cut their budgets to focus on profitability. So, producers bear entourage costs today,” he added.

Another producer said actors’ demands have “become so specific and their attitude so stubborn that they are indulging in almost wild caprices.”

For instance, recently, a character actor who had worked for a few days brought a staff of seven people with him who also wanted to stay in the same hotel as the actor, said the producer, requesting anonymity.

Mumbai: After a string of underwhelming Bollywood sequels — War 2, Dhadak 2, Mastiii 4, Jolly LLB 3 and De De Pyaar De 2 — the industry is watching whether Dhurandhar 2 can buck the trend. Exhibitors and distributors are citing strong early demand that suggests the film could break the jinx at a time when Bollywood is grappling with box office volatility and old formulas that are no longer working.

According to film trade analysts, the film will release in India on 5,000–5,500 screens and is likely to record Rs 75-80 crore in collections on opening day, March 19.

Audience appetite has been whetted by the blockbuster success of espionage actioner Dhurandhar, directed by Aditya Dhar and starring Ranveer Singh, Akshaye Khanna, Sanjay Dutt and others. Released in 2025, Dhurandhar is one of the biggest films ever, having grossed Rs. 1005.8 crore in India alone and close to Rs. 300 crore in the overseas markets, according to box office data research firm Sacnilk.

In overseas markets, the sequel has generated advance or pre-release ticket sales worth $800,000.

“This is not an ordinary sequel. Audiences have already bought tickets worth more than Rs 5 crore for preview shows (March 18) alone,” said Shaaminder Malik, a film distributor and trade analyst. “They don’t want to know spoilers before their theatre experience. Tickets are being sold in a premium price range of Rs 300 to Rs 2,500 for a four-hour film. This shows the audience’s eagerness.”

Experts said Dhurandhar 2 is a proper tentpole release expected to drive significant box-office momentum.

“It is already reflected in its ticket sales,” said Gautam Dutta, CEO, revenue and operations, PVR Inox. “It will be the biggest release in terms of screens in India. In fact, a comforting factor is that the film has at least two weeks with no major release, which means the scope for record collections is high.”

Optimism about Dhurandhar 2’s performance increased recently with the release of Toxic: A Fairy Tale For Grown-Ups being delayed--it was to have debuted on the same day.

“The postponement of Toxic: A Fairy Tale For Grown-Ups has effectively cleared the competitive landscape for Dhurandhar 2,” said Suniel Wadhwa, co-founder and director, Karmic Films. “When two highly awaited big films don’t clash, exhibitors typically allocate 40–50% more premium screens and show slots to the releasing film, which can materially strengthen its opening-day collection. In theatrical economics, clashes create headlines, but clear release windows create box office records.”

Dhurandhar 2 will be dubbed in all four southern languages, unlike the original, which was released only in Hindi.

“The sequel is dubbed in multiple southern languages, which broadens its reach in the southern territories, thereby significantly boosting its India collections by at least 25–30%,” said producer Rajesh R Nair. Screen density, especially single-screen halls, and overall screen share (over 50%) in the southern markets is higher than in the rest of India.

Conservative estimates by trade analysts suggest the film could record an opening weekend collection of Rs 250-300 crore.

“In the absence of competition, I think the film’s collections could easily be boosted by at least 25%,” said Girish Johar, film producer and industry expert. “Given the high audience interest, I foresee an opening weekend collection of Rs 300 crore for the film.”

Mumbai: Pure-play streamers have begun actively exploring and acquiring satellite rights, particularly for mid- and small-budget movies, over the past two months, according to producers and legal experts involved in negotiating these deals, marking a shift that could further cement the growing dominance of such platforms in the film distribution ecosystem.

A partner at a leading law firm in India said that, in the past two months, both pure and hybrid streamers had been showing clear interest in buying satellite rights.

"If streamers are in an advantageous position, then they ask for satellite rights. But if producers are in a precarious situation, then they bundle satellite rights with digital rights and sell them to streamers," said the lawyer, who didn't want to be named.

India's cinema ecosystem is witnessing a structural shift, said Suniel Wadhwa, co-founder and director, Karmic Films.

"Streaming platforms are moving upstream in the content value chain," he said. "Streamers are increasingly acquiring digital streaming and satellite rights, sometimes across all languages."

He cited films such as Kis Kisko Pyaar Karoon 2 and Mana Shankara Vara Prasad Garu (for all languages), the satellite and digital rights of which were acquired by streamers JioHotstar and Zee5, respectively.

According to film trade analysts, valuations of satellite and digital rights have changed considerably, largely because of meagre growth in television advertising (less than 5%) compared with the digital space (growing at over 20%). Consequently, digital rights contribute at least 75% of a film's non-theatrical revenue, followed by satellite rights, which contribute 20-25%, analysts said.

Also, the merger of Viacom18 and Disney Star has triggered a power shift as it has reduced opportunities for producers in satellite deals. "Today, satellite rights valuations have declined sharply, in the range of 80-90% in many cases," said producer Sunil Bohra, cofounder of Bohra Brothers. "Channels have become more selective in acquiring films. In this ecosystem, producers can no longer rely on satellite rights as a primary revenue stream. Therefore, producers are bundling satellite rights with digital rights and selling them to streamers."

Apart from the declining valuation of satellite rights, another factor behind pure streaming platforms buying satellite rights is their competition with linear television players. "For pure-play streaming platforms, acquiring linear rights is a defensive masterstroke," said Anushree Rauta, equity partner and head of media, entertainment and gaming practice at ANM Global. "By 'ring-fencing' content, these platforms can effectively limit competition with linear television to preserve digital exclusivity and drive subscriber growth."

In addition to reducing competition with television and enabling the migration of traditional TV audiences to streaming platforms, streamers may monetize these rights in the future, producers said.

"Streamers are building multi-language catalogues that can be monetized later through syndication, bundled licensing or strategic broadcasting deals," Wadhwa said.

Mumbai: Unlike in the West where films such as Mission: Impossible, Star Trek, The Fugitive, and Downton Abbey made successful crossovers from television to the big screen, the recent trend in India of adapting successful intellectual properties (IPs) from TV and streaming platforms for theatrical releases has failed to garner much success in the box office.

Earlier too, 'Khichdi 2: Mission Paanthukistan' (2023), 'Office Office (Chala Mussaddi..Office Office)' and 'Chhota Bheem And The Curse Of Damyaan' - a live action film adaptation - didn't work. Film adaptations of successful IPs of TV and streaming platforms have relied more on nostalgia and familiarity than on creating a cinematic experience on familiar ground, producers, distributors, and film trade analysts told ET.

This September, Excel Entertainment plans to issue the film adaptation of its web series 'Mirzapur, titled Mirzapur: The Movie'. A challenging aspect of film adaptations of successful IPs of TV and streaming platforms is they appear like extended versions of original medium of storytelling, according to producers.

"Television and OTT IPs enjoy strong recall, but theatrical success depends on scale, novelty and a compelling big-screen experience," said Suniel Wadhwa, co-founder and director, Karmic Films. "When adaptations resemble extended episodes rather than cinematic events, audiences prefer to consume them at home instead of paying for a theatre visit".

"Without a clear upgrade in storytelling, production value and positioning, familiarity alone does not translate into box-office footfalls," he added. 'Bhabiji Ghar Par Hain: Fun On The Run' saw a tepid response at the box office. According to box office research firm Sacnilk, the film, made on a budget of Rs 10 crore, managed to collect less than Rs 2 crore.

"The idea behind making a film based on our serial Bhabhiji Ghar Par Hain! was its long and successful run on television," said Vihaan Kohli, head of content, Edit II Productions, the movie producer. "There is a following for serial, which has made it a successful IP for us. We wanted to recreate the same magic on big screen." Besides lacking cinematic language, producers said film adaptations aren't strategically planned in terms of target audiences.

"Film adaptations of successful IPs of TV and web series are not strategically planned," said Anjali Bhushan, founder, Yantra Films, a label of film production company Mahakaal Vibes Studios. "Makers need to conduct proper research by studying market before embarking on cinematic adaptations. A key reason these casual adaptations aren't cinematic in nature is because they are not aimed at a target audience."

"It is important to consider the language and sensibilities of each subculture and film-viewing habits across target groups. As makers fail to do their R&D, these adaptations lack a strategic point of view," she said.

Mumbai: A growing number of Hindi films are missing out on theatrical release in the UAE, and with it a key source of good box-office revenues, overseas distributors and domestic producers told ET. After Sky Force, The Diplomat and Dhurandhar last year, Border 2 is the latest Bollywood film that has been banned in the Gulf nation where 35-38% of the population is of Indian origin.

"The UAE is a big market in terms of box-office potential," said Pranab Kapadia, founder of Moviegoers Entertainment, a major overseas distributor of Bollywood films. "Malls are a big part of the culture in the region. Due to the hot climate, people prefer to visit malls, which in turn boosts footfalls in film theatres. A big film which is well-received can easily earn 25-40% of its overseas revenues from the UAE region."

For a non-event or non-spectacle film, the UAE market contributes 15-16% of the total revenues in the overseas markets, experts said.

A fundamental reason behind the banning of certain Hindi films in the Gulf region is the divisive geopolitical elements contained in them, producers said.

"The criterion of the UAE authorities is clear. They don't want to disturb the peace and harmony of the multi-cultural or cosmopolitan fabric of the region," said Anjum Rizvi, a veteran film producer. "So, even if they have an inkling that a certain film may create chaos in the region, they don't release it." Veteran producers said makers of films are mostly aware of this.

"Producers are well-aware of what to expect from the censor/classification boards of each of the major international territories. They factor in the risk and adjust box-office potential upfront when making and releasing such films," said Shariq Patel, former CEO at Zee Studios.

It's a significant risk. Hollywood and Indian films each form 40-50% of the UAE box office collection, followed by Arabic films, experts noted. "The Gulf countries have emerged as a structurally critical overseas market for Indian cinema, not a peripheral one. For large-scale Indian films, the Gulf has become one of the most decisive overseas markets," said Suniel Wadhwa, cofounder and director at Karmic Films.

A recent big budget film that lost out on the box office potential of the UAE is Dhurandhar. The film collected Rs. 997 crore (gross) in India and Rs. 294 crore (gross) from overseas markets until Friday, according to box-office research data firm Sacnilk.

"Dhurandhar collected $28 million from overseas markets without the Gulf markets. The absence of the UAE region translates into a revenue loss of $5-8 million, or Rs. 45-72 crore at current exchange rates," Wadhwa said.

"Beyond the revenue loss, an unreleased film in the UAE region is also susceptible to unregulated consumption (due to likely high demand from Indians in the Gulf), which can affect its performance in other territories," he added.

Mumbai: Hindi cinema saw a significant growth in footfalls in movie halls in 2025, topping those for other language films, according to Box Office 2025 report by Ormax Media, a media and entertainment research firm.

The report said that in 2025, Hindi film ticket sales grew by 11.3% from 2024 to 256 million. The growth bucked the general downtrend, as the all-India figure for footfalls across all language films declined by 5.7% to 832 million.

“Today, only content works in theatres. Gone are the days footfalls would come to theatres merely on the strength of stardom of a star,” said Bhuvnesh Mendiratta, managing director at Miraj Cinemas. “The successes of Hindi films across diverse genres from historical (Chhaava), romance (Saiyaara), animation (Mahavatar Narsimha) and Spy (Dhurandhar) in 2025 prove this trend.”

This optimism is evident in the performance of Hindi films when compared to the all-India box office collection.

Last year, the box office (gross) of Hindi films grew by 18% from 2024 to Rs 5,504 crore. In the same period, the all-India box office (gross) grew by 13.2% to Rs 13,395 crore.

Although this growth in footfalls weakens the argument that people are averse to going to theatres, producers had a nuanced argument. Community experience in theatres may not be passe but the frequency of going to theatres for films has declined.

“Footfalls in theatres for Hindi films have shown visible improvement in 2025 compared to 2024. This growth has come despite a continued rise in average ticket price (ATP),” said Suniel Wadhwa, co-founder and director of Karmic Films. “It indicates that audiences are selectively returning to theatres for Hindi films which provide them genuine theatrical experiences.”

After the pandemic, the recovery in the industry’s business has been led more by increase in the average ticket price than footfall growth. The ATP of Hindi films grew by 6% to Rs 215 in 2025 from Rs 203 in 2024. In comparison, the all-India ATP grew by 20.1% to Rs 161 in 2025 from Rs 134 in 2024. A large part of the growth in all-India ATP was contributed by the ATP of southern films, which grew by 21.8% to Rs 123 in 2025 from Rs 101 in 2024.

Producers shared that theatres and entertainment avenues outside theatres will not be a threat to each other’s existence.

“I think there will be a lot of movies which audiences will watch in theatres. And there will be a lot of movies because of short windows, audiences will watch in their home theatres,” said Naveen Chandra, founder, 91 Film Studios, a studio that produces and distributes regional films. “Both forms of entertainment experience will co-exist.”

Lastly, producers also shared that audiences are the biggest promoters and campaigners of a well-made film.

“Today, audiences have become the biggest promoters and campaigners of a well-made film through strong word-of-mouth communications. No amount of out-of-the-box film marketing helps a bad film,” said producer Ameya Naik. “This is reflected in the successes of Hindi films such as Saiyaara and Mahavatar Narsimha in 2025.”

Film studios have been increasingly functioning as 'moneylenders' than as co-producers, stipulating stricter clauses in film agreements with producers, top law firms and producers told ET.

They are building in stiff terms in production deals – including a first-look clause that bypasses seed funding - after many films barely generated costs in their box office collections, putting focus on outsized efforts to recover costs or investments.

“There is a fundamental shift. Film studios are no longer functioning purely as distributors or co-producers. Using stricter clauses in agreements, studios are increasingly functioning as moneylenders focused on capital protection,” said Suniel Wadhwa, co-founder & Director, Karmic Films. “Producers now carry most of the downside while studios retain disproportionate control over a film and its IP,” he added.

A stricter clause which studios have been stipulating is: first-look deal.

“Earlier, studios were involved with a film right from the development stage. This provided seed funding to producers. Today, studios do not want to be involved in the development stage of a film. They put in a first-look rights clause in the agreement. In essence, they want producers to approach them with a full package which includes casting, budget and scripts,” explained Madhu Gadodia, deputy managing partner, Naik Naik & Company, a leading law firm in India.

Oddly enough, studios have been asking for personal guarantees from a key person representing a production house if they cannot recover their investments.

“There have been instances when studios are asking for personal guarantees from a key professional representing a production house in their agreements,” said Nitika Nagar Mohandas, Principal Associate at Naik Naik & Company.

In the past few years, studios have become more cautious about multiple film deals. They consider each film’s success in such deals. Consequently, they are insisting on a cross collateralization clause.

“In a multiple-film deal, through cross collateralization clauses, studios are recovering any loss on a film from the profits of the remaining films in the deal,” explained Nitika Nagar Mohandas of Naik Naik & Company.

Studios are also taking lien on future films of a producer if they fail to recover their investments. Taking a lien on future films essentially means that studios take ownership of Intellectual Property Rights (IPs) and revenues if they cannot recover their investments.

Also, studios have been coming on board on a film during the sale of rights stage post theatrical release.

“There are studios who come on board on most film projects during the licensing stage and not in the early production phase. They assess a film’s theatrical performance and then show interest in buying rights post release,” explained Madhu Gadodia of Naik Naik & Company.

Studios are also putting in a ‘takeover rights’ clause which means that in case a film is stalled due to its termination, a studio can take over the film and get it completed from other directors and producers.

The genesis of this stricter approach of studios can be attributed to new business dynamics.

“Today, there is no predictable formula for success. Satellite market has declined. Digital sales are inconsistent. And streamers have become more cautious. In this backdrop, studios are protecting their investments. This approach is manifested in increasingly one-sided agreements with clauses which may seek security beyond the current film,” explained Anushree Rauta, Equity Partner (Head of Media & Entertainment practice), ANM Global.