The Union Cabinet, on Wednesday, approved the merger of four government film and media units with the National Film Development Corporation (NFDC) Ltd. The units merged included the Films Division, the Directorate of Film Festivals, the National Film Archives of India, and the Children’s Film Society.
Union Minister for Information and Broadcasting, Prakash Javadekar, made the announcement on Wednesday, saying it would ensure “synergy and efficiency in the industry”. A press release issued by the Centre also said that the move would lead to better utilisation of the Centre’s resources, through a “reduction in duplication of activities and direct savings to the exchequer”.
With this merger, the NFDC, which earlier had objectives of planning and promoting the Indian film industry, will now have additional responsibilities. Its vision now is “to ensure balanced and focused development of Indian cinema in all its genres-feature films, including films /content for the OTT platforms, children’s content, animation, short films and documentaries”.
With this merger, the NFDC will also be placed under a single management with regard to promotion, production, and preservation of filmic content.
The statement said that the interests of the employees of all concerned media units will be ensured and no employee would be retrenched. The Union Cabinet has also approved the appointment of a Transaction Advisor and Legal Advisor to oversee all aspects of operationalisation of the merger.
The Centre’s decision was welcomed by some members of the film industry:
This is a huge initiative taken by MIB to bring about synergy in the films sector. This enables India to harness its soft power potential within the country & globally. A huge initiative under the guidance of Hon PM @narendramodi ji & Hon MIB @PrakashJavdekar ji. https://t.co/jhsIeBTp8Z
— Madhur Bhandarkar (@imbhandarkar) December 23, 2020
Great initiative .. v gd decision .. I hv great hopes .. thx @PMOIndia @narendramodi ji @PrakashJavdekar https://t.co/LTpp8hCNfv
— Anil Sharma (@Anilsharma_dir) December 23, 2020
Fantastic move! I’m sure the merged entity will be able to work a lot more efficiently to promote & develop India’s entertainment sector. @PrakashJavdekar @narendramodi @PIB_India https://t.co/8goYwfaD47
— Akshaye Rathi / अक्षय राठी (@akshayerathi) December 23, 2020
Modijis govt decision to merge NFAI, DFF, Films Division, CFSI & NFDC is a welcome decision . Film industry looks forward to working with the umbrella organisation. #MIBSynergy4Films #OptimisingResourcesMIB
— priyadarshan (@priyadarshandir) December 24, 2020
FICCI welcomes the government’s move to integrate its film sector media units into one single body. This will bring efficiency, synergy & growth to the sector. It is a reform in the right direction: FICCI President Mr Uday Shankar.#FICCISpeaks https://t.co/h51Y9J7aqY pic.twitter.com/gWCEcF10LF
— FICCI (@ficci_india) December 23, 2020
CII welcomes the bold initiative by Prime Minister @narendramodi to merge @MIB_India media units related to the film sector into a single entity. This decision further reinforces the Govt’s commitment to Minimum Government, Maximum Governance. #OptimisingResourcesMIB @PMOIndia
— Confederation of Indian Industry (@FollowCII) December 23, 2020
Earlier in November, the Centre had brought digital news platforms and content providers like Netflix and Amazon Prime Video under the ambit of the Information and Broadcasting Ministry. This meant that in addition to digital news, over-the-top platforms would also come under the purview of the Centre and would be regulated by the same.
The NDFC was incorporated as a Central Public Sector Undertaking in 1975, with the primary objective of planning and promoting an organised, efficient and integrated development of the Indian Film Industry. The Films Division was formed to create documentaries and news magazine to publicise government programs, the National Film Archives of India was formed to acquire material to preserve India’s cinematic heritage, the Children’s Film Society’s was formed to offer value-based entertainment for children, and the Directorate of Film Festivals was formed to promote Indian films and cultural exchange.