BIG DEVELOPMENT: PVR INOX proposes to SCRAP VPF | Indian movie News

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BIG DEVELOPMENT: PVR INOX proposes to SCRAP VPF | Indian Movie News


In a vital development for the Indian movie exhibition sector, PVR INOX Limited has proposed to utterly discontinue the Virtual Print Fee (VPF) charged to movie producers. The proposal has been submitted before the Competition Commission of India (CCI), which has now invited feedback, objections and strategies from the public and industry stakeholders until October 1, 2026.

The matter relates to Case No. 42 of 2023 involving The Film and Television Producers’ Guild of India Limited and PVR INOX Limited. In September 2025, the CCI had directed an investigation into alleged contravention of Section 4 of the Competition Act. PVR INOX subsequently filed a dedication utility under Section 48B of the Act.

As per the non-confidential abstract, the CCI had prima facie raised considerations over PVR INOX’s continued levy of VPF. Among the allegations have been that sure Hollywood and Hindi movie producers weren’t required to pay VPF while others have been, that the upfront cost might pose difficulties for small and medium-sized producers to be launched in cinemas, and that the charge was allegedly not linked to any particular service offered by PVR INOX.

To deal with these considerations, PVR INOX has proposed that VPF – and, importantly, any upfront cost from movie producers irrespective of the language of the movie – will stop within 120 days from the date the CCI accepts the commitments.

Instead, producers could be given two selections. Under the first option, they’ll pay a weekly per-show Exhibition Service Charge (ESC) of Rs. 450 for normal screens and Rs. 600 for premium screens. After the movie completes 60 reveals, the charges would fall to Rs. 250 and Rs. 350 respectively. Premium codecs embody IMAX, 4DX, Screen X, Luxe, and many others.

Alternatively, producers can decide for a Revised Revenue Share (RRS), under which their current share of web box-office collections may be decreased by not more than 7.5% of the present charge. The proposal stresses that neither option would contain an upfront cost.

PVR INOX has supplied to keep the framework in place completely, though the ESC and RRS quantum could also be reviewed every three years based on goal value data and session with producers.

If accepted, the proposal might mark a major change in the long-running debate over VPF and the economics of theatrical distribution in India.

What is VPF?
VPF is a charge that big multiplex chains in India take from producers or distributors to help cowl the fee of upgrading their technology, which is supposed to give audiences a better movie expertise. On average, this price is around Rs. 20,000 per screen. For smaller cinema chains and non-2K theatres, this price is collected by corporations like UFO, Scrabble, Qube, and many others., which give digital cinema providers.

For a long time, producers have argued that the VPF shouldn’t be charged indefinitely and it was supposed to have been imposed only for a sure time. The exhibitors, on the other hand, really feel that VPF is critical as it helps bear the fee of taking part in the movie utilizing the latest technology and has many benefits.

In 2019, the matter turned widely recognized and mentioned after producer Ronnie Screwvala filed a case with the CCI against PVR, Inox, Cinepolis and Carnival Cinemas over VPF. However, the CCI ruled in favour of the multiplexes.

In 2025, there have been shockwaves in the industry after PVR Inox suspended the bookings of Jolly LLB 3 twice after Viacom18 refused to pay VPF. The reserving was, in fact, halted a night time before the release. As a consequence, the makers selected to pay VPF but under protest.

Two weeks after this episode, the CCI stepped in and directed an investigation against PVR INOX Limited over allegations of abusing its dominant place by persevering with to levy VPF on movie producers. The CCI order, revealed at that time, revealed that PVR INOX entered into preparations with YRF and Viacom that included “sunset clauses”, that is, agreements to section out the cost of VPF by December 2024. It additional said that as per PVR INOX, Yash Raj Films (YRF) and Viacom are eligible for sundown clauses only if they stop paying VPF to other exhibitors/DCE suppliers.

Interestingly, had those agreements been applied, YRF’s 2025 releases, Saiyaara and War 2, might have loved VPF-free releases. Bollywood Hungama was among the first ones to report about it, and this piece of info was widely mentioned in the industry.

Meanwhile, Viacom18 aka Star Studio18 again locked horns with PVR Inox over VPF during the release of Single Salma (2025). Since the CCI investigation was present process at that time, PVR Inox agreed to release the Huma Qureshi-starrer without VPF, a uncommon Hindi movie to have this feat.

Around the same time, the Gujarati movie Laalo – Krishna Sada Sahaayate (2025) began doing miraculous blockbuster business, just like Hanuman Ansh. The distributor, Rupam Entertainment, was flooded with requests to screen the movie. Realizing that that they had the higher hand, the distributors agreed to provide the movie, offered VPF was not charged from them. Since multiplexes have been determined to screen the devotional drama, they reportedly agreed to this condition. This development also raised a lot of eyebrows.

However, as per commerce sources, the VPF was later paid by the makers of Laalo – Krishna Sada Sahaayate and it was adjusted from the immense income generated by the movie.

Also Read: What to put on this Ganesh Chaturthi? Take cues from Deepika Padukone’s 10 best conventional appears

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