Good news for hall owners

New Delhi, April 16: Bollywood is in for a bonanza with states deciding today to progressively reduce entertainment tax on films and the Centre planning a crackdown on piracy.

The film industry?s concerns were discussed in detail at a conference of state information ministers called by Jaipal Reddy here today.

States have agreed to bring down entertainment tax below 30 per cent to revive the film industry as well as cinema halls, many of which are facing closure, he said. ?In many states, entertainment tax is high and they have promised steps to bring it down.?

Piracy, a nagging problem for producers, was on top of the conference?s agenda. ?There was unanimity among all states on the need for effective anti-piracy laws with adequate powers to the administration to enforce the regulations strictly,? the I&B minister said after the conference.

Reddy said the government was thinking about a standalone optical disc law to curb piracy. It proposes tracking down manufacturers of counterfeit discs through a source identification code provided in each disc and unique to each licensed manufacturer.

This will involve licensing of facilities for manufacturers of optical discs as export, import and domestic movement of equipment.

Such a law will also help the music industry.

Producers have been having a tough time getting people to the theatres because hundreds of pirated cassettes of every new film are released on the video circuit. Video libraries will now have to get a licence before starting operations or come under some kind of regulation, Reddy said. The states will decide how to implement the move.

Cable operators, who are also blamed for promoting pirated films, will have to register their presence with the district magistrate, the sub-divisional magistrate or the police commissioner, depending upon the area they operate in.

The controversial Conditional Access System (CAS), brought in by the NDA government but not implemented in all metros, has been brought out of the closet. CAS is in operation in Chennai, and will now be introduced in Mumbai, Delhi and Calcutta. The detailed scheme will be worked out with the states concerned, Reddy said.