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TN permits movie halls to operate with full capacity

By Bhawana Anand - January 06, 2021

Theatre operators are hopeful of getting permits for running in other states as well

Tamil Nadu becomes the first state to permit cinema theatre operations with full capacity since lockdown. Operating with 50% capacity from November, the state government has now allowed operations in full capacity. This move is likely to benefit cinema advertising with some improvement in the business to be led by an increase in the footfall. 

Until now, other states such as Delhi, Maharashtra, West Bengal, Uttar Pradesh and others have been operating with 50% capacity. Cinema theatre operators are now hopeful that this move might be followed in other states as well. 

Cinema advertising has been on of the worst hit post COVID 19 led lockdown, leading ot the shutting down of many movie halls. Latest reports by global media houses too indicate the negative impact on cinema. advertising. 

GroupM’s ‘This Year Next Year: Global End-Of-Year Forecast’ report released last month stated that globally this sector likely generated less than $3 billion during 2019 and likely fell more than 75% during 2020 given the absence of major studio releases in most markets around the world.

Highlighting the Indian Media & Entertainment (M&E) in its 12th edition report titled- ‘A year off-script: Time for resilience’, KPMG estimated that cinema advertising business reported ₹10.6 billion in FY20 and is likely to drop to ₹3.7 billion in FY21. Moreover, a number of single screen theatres have shut down and no new screens are expected to be added during FY21. 




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