The Telangana Exhibitors Association held a crucial meeting on Saturday and decided that films will henceforth be screened only under the percentage-sharing system. “The percentage system will come into effect immediately from today for all films, including Peddi,” said Sridhar, secretary of the Telangana Film Chamber of Commerce. He added that the decision was made because producers have been continuously delaying discussions on the issue.
“After our previous meeting, the Telugu Film Chamber of Commerce formed a committee consisting of producers, exhibitors, and distributors to discuss the matter. However, nothing concrete came out of it. They wanted to postpone the discussion for another three weeks and kept delaying it further. If we continue to delay, many single-screen theatres may shut down. That is why we decided to implement the percentage system from now onwards,” Sridhar explained.
He further said the issue was first seriously discussed during the release of Hari Hara Veera Mallu. “At that time, the producers requested more time and we agreed. It has now been almost a year, yet the issue remains unresolved. They asked us to wait until the release of Peddi, and later it would become another big film like The Paradise. Every time the matter gets postponed because of a major release. So, we finally decided to take a firm stand,” he added.
Sridhar pointed out that the percentage-sharing system is already being implemented in other states, whereas Telangana still follows the rental system. “Nearly 120 theatres are currently in a difficult financial situation. Ten to fifteen years ago, exhibitors were in a much better position, but the scenario has changed drastically now. Even successful films run only for about a week, which means exhibitors are not generating sufficient revenue. Producers, on the other hand, have multiple revenue streams through OTT, satellite, and other rights. We are still open for discussions, but we don’t want further delays,” he said.
He also clarified that the matter could be resolved within a couple of days if discussions happen seriously. “There is no need to drag this issue for weeks. We are only asking for a percentage share. Producers and exhibitors can sit together and discuss how much percentage should be given,” he added.
When asked about ticket price hikes for upcoming films, Telangana Exhibitors Association president Vijayender Reddy confirmed that there would be no hike in ticket prices in Telangana, including for Peddi.
“We are against ticket price hikes in Telangana. We have already submitted a letter to Chief Minister A Revanth Reddy, the Telugu Film Chamber of Commerce, and the Exhibitors Association requesting that ticket prices should not be increased. If they force us, then it will depend on demand and supply,” he said. However, he mentioned that ticket price hikes may still be implemented in Andhra Pradesh.
A few days ago, Suniel Narang resigned as president of the Telangana Film Chamber of Commerce, and Juvvadi Chandrasekhar Rao was elected as the new president. Several exhibitors from Telangana participated in the meeting, including popular Sudarshan Theatre owner Balagovind Raj and Sadanand, among others.
The exhibitors also opposed the grading system proposed for theatres.
“You cannot grade theatres based only on ambience or hygiene. The grading should depend on the revenue a theatre generates. Even multiplexes are not equal in terms of facilities, yet the same percentage system applies to all of them. The same principle should apply to single-screen theatres as well,” said Balagovind Raj.
With this latest decision, the producers of Peddi are now under pressure over how they will handle the issue, especially since they are reportedly keen on both ticket price hikes and continuation of the rental system.
