No More Foreign Movies in Indonesian Theatre?

Indonesian government is planning to implement new tax policies. It will tax imported movies and MPA (Motion Picture Association), which represents most hollywood studios, was against it, followed by IKAPIFI (Ikatan Perusahaan Film Impor Indonesia) which imports Bollywood and Chinese Movies. Thus, if nothing changes, no more Hollywood, Bollywood and Chinese movies will be screened in theaters.

This is a move to protect local movies, however this will also have significant impacts because Hollywood is the market leader for theatrical movies and a benchmark in the industry. Some of the notable impacts are:
- Theatres have less options since there are no more Hollywood, Bollywood and Chinese movies
- Less people will go to theatres
Thus,
- Ticket price may increase - business will be bad for
- Movie rental and pirated DVD seller will be more advantageous
- Private studios will be more advantageous
- There is a possibility of increasing demand for cable TV and TV channels through satellite
- Local movies will have more variation (not dominated with only horror and soap opera movies like now)

There is an impact on new policies. it may be negative, but there is still positive impacts as well. Keep positive thinking and make use of this opportunity.

Update(s):
17 June 2011 (3). Minister of Finance has signed a new tariff regulation for imported movies. It will be around IDR 21,000 - 22,000 (about USD 3) per minute per copy. One movie usually has 20 - 40 copies. Two problems still exist:
1. The new regulation still need to be signed by Minister of Justice and Human Right.
2. Two importers/distributors of Hollywood Movies, Camilla and Satrya, have their licenses still suspended.

13 July 2011 (4). PT. Omega was reported to have earned NIK (Nomor Induk Kepabeanan), license number to do export import activities since June 2011, but it hadn't started to import any movies.

24 July 2011 (5). PT. Omega imported 99 copies of Harry Potter and The Deathly Hallows Part 2. It will be the first Hollywood Movies from MPAA imported to Indonesia after the incident. The movie was expected to be available in Indonesian cinemas by the end of July 2011.

29 July 2011. Three days before Ramadhan (fasting period for Moslems), Harry Potter and The Deathly Hallows (the only Hollywood movie title imported so far) was available in Indonesian cinemas, both in 21 group and Blitzmegaplex group.

Related Articles:
1. Theaters may stop screening imported films
2. Indonesians scramble to keep Hollywood films
3. Ini Tarif Baru Impor Film (viewed on 26 June 2011)
4. Film Impor Harusnya Sudah Masuk Bulan Lalu (viewed on 7 August 2011)
5. Akhirnya, Film Box Office Hollywood Tayang Lagi (viewed on 7 August 2011)