Producers' association hits back at allegations, says loss figures aren’t for personal gain

In response to growing criticism over the release of box office collection figures for Malayalam films, the Producers' Association has issued an official clarification. The move follows concerns raised from within the film industry itself.
In a letter sent to its members, the Association pointed out that for most Malayalam films, theatrical revenue remains the primary, and often the only source of income. It added that even the gross collections are not always received by producers, as a significant portion often goes toward the high remuneration demanded by leading actors.

Although there was initial optimism about increased income through OTT releases, the reality turned out to be quite different. Rising fees for actors and technicians have led to a steep increase in production costs. As a result, producers are now under immense pressure to recover their entire investment solely through theatrical releases, even after accounting for double taxation under entertainment tax laws.

Given this financial strain, the Association stated that its executive committee had unanimously decided to begin collecting and publishing data related to theatrical collections.

The letter also noted that efforts were made to discuss the matter with AMMA (Association of Malayalam Movie Artists). However, a formal dialogue can only take place after AMMA’s general body meeting, since it is currently under an ad hoc committee.

The Association clarified that the decision to release collection figures is rooted in transparency. It believes it is crucial for new producers entering the industry to understand the actual financial conditions involved in filmmaking.
Finally, the Association dismissed allegations that the publication of loss figures is meant to benefit only a few at the top. It called such accusations baseless and emphasised that producers should not be forced to continue enduring exploitation or deceit within the industry.