Supporting the Indonesian Film Industry through The National Film Market

The growth of the Indonesian film industry is increasing with the increment number of domestic film production and the number of viewers. In 2018, a teenage romantic movie, Dilan, is able to draw up to 6.3 million viewers, and is able to survive on cinema screens for more than a month.

Previously in 2016, Joko Anwar’s film Pengabdi Setan was able to reach 4.2 million viewers, in which the film DKI Warkop Reborn: Jangkrik Bos! Part 1, production in 2016, which is still the film with the highest number of viewers in the history of Indonesian film, with as much as 6.5 million viewers. The higher number of viewers watching the local films is certainly a very exciting thing for the national film industry. With the increasing number of viewers, it is expected that more investors will look at the local film industry.

The development and growth of the national film industry has been, in essence, not optimal. This can be seen in the film industry’s contribution to the Indonesian economy. In 2015, the film industry only contributed around 0.16% of Indonesia’s Gross Domestic Product (GDP). Meanwhile, at that time, the average creative industry sector was able to contribute 6.03% of Indonesia’s GDP.

The national film industry can thrive if its market share increases. The increase in the number of local film viewers is certainly a positive thing. Therefore, the Ministry of Education and Culture targets national films to control 50% of the domestic film market this year. To achieve this target, the government is ready to sponsor national film actors to work with international film actors in producing quality films that will attract more audiences.

Nevertheless, from the side of the film industry, Cinema 21 projects this year’s national film market share to be lower than the government’s target of 37%. The projection is based on the calculation of the local film market share in 2017 which is only 35%, with an audience of 42.7 million. This number increased from 2016, where the number of Indonesian film viewers was at 37.2 million.

Therefore, in order to encourage the national film industry, one of the government’s efforts is to open a Negative Investment List (DNI) which further expands the opportunity for investors to invest in the field. This, according to the Creative Economy Agency (Bekraf), is a good opportunity to expand the national film market and gain outside experience in terms of its contribution to the film industry.

The increase number of viewers was also driven by the increasing factor of film screens in Indonesia. If there were 609 film screens in 2012, then by the end of 2017 the number of screen screens had reached 1,412 screens. Increasing the number of screen films also provides opportunities for many local films to last longer in theaters. The reason, according to Bekraf, one of the causes of the difficulty of increasing the national film market share is due to the lack of screens.