Market wire

Movie piracy continues to be the thorn in the side of the Indian, Chinese and U.S. film industries. According to the Motion Picture Association of America, Inc. (MPAA), India suffered industry losses of $180 million (US) in 2005, the vast majority of which were to the local film industry. In China where the piracy rate is estimated at 93%, meaning that there is virtually no legitimate market for filmed content, the losses from movie piracy are estimated at $2.7 (US) billion.

Despite the negative impact of piracy on India and China’s film industry, the problems continue to be fueled by challenged regulatory systems.

Elizabeth Kaltman, MPAA’s Communications Director explains, “Lack of enforcement resources and attention are key to the piracy problem in India, as is the lack of any real deterrent sentencing from the judiciary. Unquestionably one of the foundations of China’s piracy problems is the lack of market access accorded to foreign films (non-Chinese films). China’s theatrical exhibition quota, frequent imposition of ‘blackouts’ on the theatrical release of foreign films, and restrictions placed on home video distributors, give movie pirates a tremendous market advantage.”