Multiplex association urges state govts to reopen cinema halls

Mumbai: AFTER THE Centre’s nod to cinema halls, multiplexes and theatres to open with up to 50 per cent seating capacity in areas outside containment zones from October 15, the Multiplex Association of India (MAI) urged state governments, including Maharashtra, to restart operations. Currently, Tamil Nadu and Maharashtra have not allowed cinema halls to reopen until October 31.

The share prices of PVR and Inox Leisure increased by 12 percent after the Union Home Ministry permitted the opening up of cinema halls outside the containment zones from 15 October.

Multiplex Association of India (MAI) "wholeheartedly" welcomed the guidelines.

In a statement, the MAI said the home ministry's decision was awaited by "millions of movie lovers, employees of the cinema exhibition sector, along with the entire film industry."

"We would like to extend our heartfelt gratitude to the Ministry of Home Affairs and the Ministry of Information and Broadcasting for their support and guidance."

"We are committed to ensure a safe, secure and hygienic cinema-going experience for the movie lovers of our country, as always, we would continue to assign top-most priority to the health and well-being of our guests and employees," the association said.

Reeling under heavy losses as multiplexes and cinema halls have been shut since March, industry experts said the closure of cinema halls in Maharashtra beyond October 31 could impact new releases and the business.

On an average, Maharashtra’s contribution to the box office is around 30 per cent, with Nagpur and Mumbai being two big Hindi movie markets.

“The Unlock 5.0 guidelines have put rest to uncertainty. Producers can announce and plan theatre releases now. Initially, under the testing phase, as seen in the international market as well, many theatres and owners will start with old hit movies, until the new releases flow in. If the state continues with the closure for long period, it will impact the business,” Mohan Umrotkar, former CEO of Carnival Cinemas said.

Alok Tandon, CEO of INOX Leisure Ltd, said the new guidelines were “optimistic”. “This decision has ushered in a lot of optimism not just for the film industry and its audiences but also for the employees of the cinema exhibition sector. We are hopeful that the state governments will give us a green signal, and allow us to resume operations within the specified guidelines.”

At a meeting with representatives of multiplex and single-screen owners, theatre owners and film studio owners’ association, Deshmukh said he would discuss the matter with Chief Minister Uddhav Thackeray, Deputy CM Ajit Pawar and Revenue Minister Balasaheb Thorat. “In the next six months, the emphasis will be on solving the problems of cinema owners who have faced huge losses,” he said.