Govt offers sops for multiplexes

MUMBAI, JUNE 22: The state government's recently announced tourism policy may well see the long-awaited growth of mulitplexes all over th...

MUMBAI, JUNE 22: The state government8217;s recently announced tourism policy may well see the long-awaited growth of mulitplexes all over the state. The government has announced that multiplexes will be given a tax holiday of four to five years and electricity for five years at industrial rates instead of commercial rates.

The Maharashtra Tourism Development Corporation MTDC, the nodal agency under the Department of Tourism which will implement the policy, has already received seven to eight applications for both converting existing cinemas into multiplexes as well as building new ones, said MTDC General Manager and Company Secretary Madhav Bhide. 8220;Aa per the rules, there must be a minimum of five cinemas in multiplexes Mumbai city and suburbs and three in other cities of the state. The government will soon issue a notification spelling out the norms for the entertainment and amusement facilities which have to be provided,8221; said Bhide.

The cinema trade didn8217;t sound so keyed up about the tourism policy.Shyam Shroff of Shringar Films, who also runs Cinemax theatre in Goregaon, felt that the tax holiday would lead to the setting up of atleast 500 cinemas within the next two years. However, U A Thadani, president of the Theatre Owners8217; Association, was more circumspect. 8220;More than 20 theatres have closed down in Mumbai in the recent past, including Badal, Bijli and Barkha. One has to study the economics of running five cinemas in multiplexes 8211; their cost-effectiveness, supply of films and maintenance,8221; he added.

Santosh Singh Jain, president of the Central Circuit Cine Association, also opposed having as many as five cinemas in multiplexes. 8220;From where will you get five new films every week for five theatres in a multiplex? Hardly 120 Hindi films are made, of which barely five per cent are hits and the rest flops? Three cinemas in a multiplex in Mumbai and two in other cities is feasible, not five and three cinemas besides other amusement facilities,8221; said Thadani.

Four cinemas rather than five, saidPadam Sacheti of Jaipur Gems. Sacheti has set up the Jaipur Multiplex Entertainment Company along with Vimal Surana, who runs Rajmandir cinema in Jaipur, and diamond merchant N M Kothari, and they have got clearance to build a multiplex with four theatres at Jogeshwari West. 8220;We8217;ve got a NOC from the Brihanmumbai Municipal Corporation for four cinemas. But we can8217;t stay loyal to the government8217;s tourism policy though we8217;ve provided more than 30,000 square feet for a restaurant and parking space. But the government should not insist on a minimum of five cinemas in a city like Mumbai, where the cost of land is so high,8221; he said.

Sacheti also pointed out that holding shows in five theatres simultaenously would lead to a law and order problem8217;, as the numbers staggering out of theatres after the last show at 1 am would be huge.

Theatre owners also suggested that the MTDC be made a nodal agency for all the licences required for constructing cinemas. At present, one has to obtain not less than five to sixlicences from different departments. They also suggested that there should be no restrictions on floor height or maximum or minimum seating capacity.