Some Facts about Bollywood
By Paul
“Although Bollywood's budgets and box-office takes still do not compare to Hollywood's, the scale of the business is not trivial. According to a PricewaterhouseCoopers report, India's film business earned $1.12 billion in 2004, up from $617 million in 2001, though that would not cover the takings from one Harry Potter film. In 2003, the industry earned more than $703 million. Much of this success is driven by global popularity. An average Indian movie's budget is $500,000 (though the major titles can budget more than $10 million), far below the average $14 million spent in the US.
PricewaterhouseCoopers believes that Bollywood will double its turnover by 2009. Since 2001, the government has allowed financial institutions to finance up to $1 million of a picture's budget or up to about 40% of the total production cost. A Rabo India study indicates that the number of films financed through organized sources last year went up 200% against 2002, though the total corporate finance into films is still quite low and was a little more than $150 million in 2004.
According to a study by KPMG, although India produces more films than any other country, its share of global cinema revenue is a lowly 1%. The US leads with 60%, and India is far behind Japan, the UK and France as well. However, KPMG projects that the revenue of the Indian film industry will cross $2 billion next year and $3.5 billion by 2010.”
More on India
What Detroit Can Learn From Bangalore
On Bollywood; Welcome to Bollywood and two earlier posts about Bollywood- Bollywood Sarukar and thought of the day.
Access Bollywood;behind the scenes with Bollywood actor Tom Alter.
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