Rupee’s deterioration worries Telugu cinema

With rupees’s downfall against the foreign dollar in the financial market, the Telugu film industry has come under huge losses. The budget of upcoming films is getting misbalanced and this is a major point of concern for Telugu Film Producers Council. Now it’s difficult for producers to schedule the shooting abroad. Forthcoming flick Masala’s producer Suresh Babu commented, "The over-all cost of production could just go up by around 20%."

Producer and president of Telugu Film Producers Council, Burugupalli Sivaramkrishna says, "If the estimated budget for shooting a schedule was around `25 lakhs, (at a time when the rupee was 55 to a dollar), it has now shot up to around `40 lakhs. So, filmmakers need to make adjustment and re-work their budgets. Bollywood films will have a greater impact since major portions of their films are shot overseas." Shooting a low budget film locally is also not easy as fuel prices and material costs are also on a hike.

A small producer spoke, "I cannot shoot my film overseas, but with the rise in fuel prices, set properties, and essential commodities, the costs of shooting locally too is also rising." Besides this, a producer selling films overseas can expect profit. An exhibitor and distributor from US, Raman Sanchula revealed, "Those who are selling their film's overseas rights now are minting money as compared to those who sold it a couple of months ago. The situation is viceversa for overseas exhibitors as they have to shell out more to acquire the right." Producers hence have to cut short their budget to be in tune with the current status of the rupee.