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Malayalam Film Producers announce Shut Down from 1 June over Financial Loss and Actors’ Remunerations

The recent hike and hype for reaching a Pan India Status consumes Malayalam Film Industry as Producers step up to go on Strike, intending to curb the financial cuts of actors and budgets. 

The dark cloud hanging over the Malayalam Film Industry seems to grow as issues among the film associations post the Hema Committee Report or the subsequent inaction regarding the same made headlines. Similarly the Kerala Film Producers Association and Distributors took a stand to stop the widening remunerations by the actors and the significant inflation it causes in the budget. 

The Kerala Film Producers Association (KFPA) called for action on 6 February where Mr. Suresh Kumar, heading the producers and along with the members of distributors, exhibitors and the Film Employees Federation of Kerala addressed the issue, announcing that they will go on a strike from 1 June 2025. The decision was made after the recent changes happening, affecting the financial landscape of producers and distributors, who are affected by actors’ remunerations, Government’s double taxations over cinema tickets. 

The Kerala Film Producers’ Association sacked Producer Sandra Thomas on the grounds of ‘Indiscipline’

Issues put forth by Producer Suresh Kumar

  • Star Actors’ demanding hefty paychecks – In the recent years, Malayalam cinema has had a visible mammoth growth in terms of reception and in making high budget films. This also subsequently made the Star actors to increase their salary, to the point where it takes up a huge chunk of the budget. 
  • Government Levied Double Tax – The recent government policies, especially those regarding the entertainment taxes post the One Nation, One Tax scheme cuts off 30% of the film’s collection. 

Key Points on the Malayalam Film Associations’ Decision

Producer and actress Keerthy Suresh’s father Mr. Suresh Kumar clearly stated that “Of the 200 films that were released last year, only 24 ran successfully. The loss faced by producers of the remaining films came to 600 to 700 crore rupees” a staggering statistic that backs the point and the combined decision made by the Malayalam Film Associations valid. 

Budgets for Star actors movies are already over 100 Crores with no confirmed inclusion of the actors’ remuneration, which leaves apart from the 30% tax a few slices of the pie to be shared by the Producers, Distributors and the rest of the crew. 

Post the success of movies like Lucifer which is made as L2 Empuraan, Marco, Manjummel Boys, Aavesham and others, the budget scope in general is increasing to compete and to secure a place in the Pan Indian race that needs a separate budget for marketing which in turn increases a good OTT Rights Buy. 

Regarding the said remunerations, Suresh Kumar also recalled how unfortunate the situation is as Government’s policies and the salaries discussion in the past and how it has failed. “Talks with stars had not been successful in the past, as they agreed to everything during the meeting but later did as they pleased”, said Producer Suresh Kumar, as reported by The News Minute

The immediate action calls for a change not swiftly but in a considerable time in the Malayalam Film Industry. While the associations share their thoughts and strong stand on strike, fans share their insights on the situation. 

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South Moviez Team
South Moviez Teamhttps://southmoviez.com
"Passionate about South Indian cinema, Southmoviez delivers the latest updates on Tamil, Telugu, Malayalam, and Kannada films. From breaking news to in-depth reviews, we celebrate the magic of South Indian storytelling

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