Malayalam film industry faces deep financial crisis amidst internal rift
Kochi: The Malayalam film industry is grappling with a severe financial crisis, with producers and actors locked in a public dispute over rising production costs and remuneration demands. The Kerala Film Producers Association (KFPA) has announced an industry-wide strike from June 1, citing unsustainable expenses and declining box office returns.
KFPA Vice President G Suresh Kumar blamed actors and technicians for inflating their fees after a few successful films, leading to financial instability. He claimed that even movies entering the so-called ₹100 crore club do not yield significant profits for producers. "If a film earns ₹1 from theatres, only 25 paise reaches the producer," Kumar stated.
However, prominent producer Antony Perumbavoor criticised the strike decision, arguing it lacked proper discussions among stakeholders and would negatively impact many industry workers. Several actors, including Mohanlal, Prithviraj, and Unni Mukundan, supported Antony’s stance, intensifying the divide within the industry.
The dispute escalated after KFPA, along with film distributors and theatre owners, proposed banning films produced by actors from being screened. This move, seen as an unprecedented challenge, could lead to open confrontation with stars like Mammootty, Prithviraj, and Fahadh Faasil, who own production companies.
KFPA estimates that the Malayalam film industry suffered losses of ₹700 crore in 2024, despite a total investment of ₹1,000 crore. While 207 films were released last year, only 24 were considered successful. In January 2025 alone, 28 films hit theatres, but only one, Rekhachitram, made it to the hit list.
According to Saji Nanthyatt, Secretary of the Kerala Film Chamber, poor financial discipline, high daily production costs, and increasing wages for technicians and actors are pushing producers into crisis. He noted that changing audience preferences are also affecting the industry, with younger viewers dominating theatres while family audiences decline.
During the COVID-19 pandemic, several Malayalam films, including Drishyam 2 and Minnal Murali, found success on OTT platforms. However, streaming services have since altered their strategies, now preferring films with strong theatrical performances. This shift has further reduced revenue opportunities for struggling producers.
Amidst the crisis, industry leaders are urging the Kerala government to address double taxation on movie tickets and provide financial support by officially recognising the film sector as an industry. Discussions with authorities are expected, failing which the indefinite strike may proceed.
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Congress leadership asks Deputy CM Shivakumar to continue, say sources
Bengaluru (PTI): The power tussle and squabbling in the ruling Congress in Karnataka has subsided for the time being as the party high command told the Deputy Chief Minister D K Shivakumar to continue as the party state unit chief, Congress sources said on Sunday.
Shivakumar along with Chief Minister Siddaramaiah was on a two-day visit to New Delhi on last Thursday and Friday where they had a meeting with Congress leader Rahul Gandhi.
The meeting assumes significance as a campaign has begun to replace Shivakumar as the party state president.
Several MLAs and Ministers believed to be from Siddaramaiah camp want Shivakumar to discontinue as the Congress state chief.
They have been demanding the strict adherence of the party policy of 'one person, one post'.
Since Shivakumar is the state Deputy Chief Minister and Congress president, his rivals in the party have been demanding his removal.
The argument is also that a person holding a ministerial position cannot do justice to the state president's post as he cannot give time to the party cadres willing to meet him.
Party high command is not keen on replacing Shivakumar considering his immense contribution to the party especially in winning the assembly elections, good performance of parry during Lok Sabha elections and in winning all three assembly bypolls, the sources said.
"The party high command was not inclined to replace Shivakumar at least till November and December this year," a senior party functionary told PTI.
There are reports about a secret pact that Siddaramaiah would helm the first half of the Congress' five-year tenure in Karnataka, who will be replaced by Shivakumar.
Neither Siddaramaiah, nor Shivakumar have confirmed this but their supporter ministers and MLAs in the party have started lobbying for their leaders.
There were also discussions on Cabinet reshuffle, MLC elections and honey trap attempts on ministers and MLAs, the sources said.
According to them, cabinet reshuffle is not on the cards as of now.
Another party office-bearer said the Congress high command has left the selection of candidates for the MLC election to Siddaramaiah and Shivakumar.
Regarding the honey trap issue, Congress top sources said Rahul Gandhi was upset with the way it was raised.
"Gandhi was of the opinion that it shouldn't have been discussed inside the assembly, especially by Cooperation Minister K N Rajanna," a source said.
Rajanna had raised the issue inside the Karnataka Assembly. He even claimed that at least 48 MLAs have been honey-trapped.
The Minister got backing from state Public Works Minister Satish Jarkiholi who too stated that honey trap attempts were made on some ministers and MLAs.
About a fortnight ago, Rajanna had been to New Delhi to apprise the party high command how honeytrap attempts were made.
