The Russian National Film Fund, the organisation that distributes funds in the Russian film industry, has called on the Russian government to reform the current system of state support of Russian filmmaking.

Sergei Tolstikov, an executive director of the Film Fund, proposes that all the state subsidies should be distributed among the leading Russian film producers, depending on the results of their work, in particular box office of their movies, and the quality of the projects, proposed for funding.

For the last two years the funds were equally divided among the leading producers.

It is also possible that a new Industrial Council would determine how subsidies are spent for each project. The Industrial Council would also determine the percentage of funds would be recouped by the Fund.

It is planned that this year the size of government subsidies should reach 5.3 billion rubles (USD$159 million), of which the Film Fund will receive 3.8 billion rubles (USD$114 million).

The proposed reform won’t widen the group of companies to receive funding — there are currently seven companies who get the support.

Renat Davletyarov, president of the Russian Guild of Cinema Producers, suggests that the current system is like a cartel agreement, already resulting in significant increased costs for film production in Russia.

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