Producers and distributors are protesting against high entertainment tax and rising actor remuneration, which have caused significant financial losses.
No movies will be screened in Kerala theatres from June 1
The Malayalam film industry is set to come to a standstill as key stakeholders have announced a strike beginning June 1, 2025. The decision, which will halt all film shooting and screening activities, follows ongoing disputes over industry regulations and operational challenges. Further discussions are expected to take place in the coming weeks to resolve the situation and minimise disruptions to the region’s thriving cinema sector.
The strike stems from mounting concerns over severe financial setbacks faced by producers and distributors, driven by steep entertainment taxes and rising actor fees.
Addressing the media, G Suresh Kumar, former actor and president of the Kerala Film Chamber of Commerce, highlighted the financial strain on producers due to double taxation, with both entertainment tax and GST being imposed on film tickets.
Following the strike, the film bodies have decided to suspend all film shoots and screening of movies in effect from June 1. In addition to the issue of double taxation, producers are frustrated with the soaring remuneration demands of leading stars, which they say are adding to their financial woes.
G Suresh Kumar revealed that around 60 per cent of filmmaking expenses are consumed by actor remuneration. He further claimed that the Malayalam film industry suffered losses exceeding Rs 100 crore in January alone, with only Asif Ali’s Rekhachithram turning a profit out of the 28 films released during the month.
G Suresh Kumar issued a stern warning, stating that he would disclose the remuneration details of some of the highest-paid actors if the situation demands it.
Ahead of the strike, representatives from various film bodies are expected to meet Kerala Chief Minister Pinarayi Vijayan to present a memorandum outlining their concerns and demands. The meeting aims to seek government intervention to address the industry’s pressing issues.
