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Date: 10 May 2012
Title: Dti boosts film industry
Pretoria - Trade and Industry Minister Rob Davies has approved amendments to foreign film television production and post-production incentive programme guidelines.
The amendments will help sustain the film industry, enabling post production companies to attract work that is not necessarily filmed in South Africa. According to the department, the revised incentive is effective from April and will be administered for a period of three years up to 2014.
"The South African government takes cognisance of the contribution the film industry potentially has in stimulating the country's economic growth, strengthening the country's profile in the global creative environment and in the facilitation of employment creation," said Davies on Thursday.
Davies said the film sector had enormous potential in bringing currency into the economy as well as the potential to bring in technology transfers that will upgrade the country's skills base.
"This is one of the best platforms a country can promote and showcase the country's creative skills," said Davies.
The guidelines are expected to go a long way in expanding the development of the film industry.
The package of incentives offered to foreign owned qualifying productions includes: post production expenditure of R1.5 million to R3 million will receive 2.5% of Qualifying South African Post Production Expenditure (QSAPPE), while post production expenditure of above R3 million will receive up to 5% of QSAPPE.
"The objective of the incentive is to create an environment that takes advantage of the country's diverse and unique locations as well as low production costs and favourable exchange rates, which makes it significantly more cost efficient to produce a movie in South Africa than in Europe, the United States, or Australia," said the dti.
"Through promoting South Africa as an international destination to attract further international productions and in encouraging the generation of local content production, the country continues to enjoy the benefits of the vibrant and growing film industry, attested in the past by productions like Invictus, which was nominated for three Golden Globe Awards and District 9, which was nominated in the 2010 Saturn Awards for the Best International Film," said Davies. - BuaNews