Canada is lessattractive to so-called runaway production, with 10% fewer feature filmproduction dollars spent in the country in 2001-2002. According to the annualreport of the Canadian Film and Television Production Association (CFTPA),foreign theatrical location production dropped 10% to C$737m (US$484m). Overallforeign location production, including TV fare, was off only slightly, withaggregate spending down by C$2m to C$1.8bn (US$1.18bn). Production was down inBritish Columbia, the region most reliant on the mostly US productions lured byCanada's weak dollar and its tax incentives.
As a whole, thefilm and television production industry reported its first zero-growth year ina decade. Production volume for 2001-2002 has remained at the previous year'slevel of C$5.1bn (US$3.3bn). A downturn in worldwide sales, downward pressureon prices and the indebtedness brought about by failed convergence strategiesare blamed for the plateau. Since 1994-1995, when volume was C$2.3bn(US$1.73bn, at 1994 exchange rates), the industry had grown annually by doubledigits.
Speaking at theassociation's annual state-of-the-industry conference, CFTPA presidentand CEO Elizabeth McDonald said the Canadian industry was healthy but thatnegative trends, such as a decline in the production of English-language dramaand children's programming and an increase of in-house production byCanadian broadcasters, were 'disconcerting.' Blame for those trendswas placed squarely with federal regulator the Canadian Radio-Television andTelecommunications Commission (CRTC). In 1999, CRTC regulations eliminatedbroadcaster expenditure requirements and liberalized the interpretation ofCanadian content production, reducing the incentive to produce capital andlabour intensive production such as drama.
No comments yet