The Film Industry in the Russian Federation
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THE FILM INDUSTRY IN THE RUSSIAN FEDERATION November 2012 Set up in December 1992, the European Audiovisual Observatory’s mission is to gather and diffuse information on the audiovisual industry in Europe. The Observatory is a Euro pean public service body comprised of 39 member states and the European Union, represented by the European Commission. It operates within the legal framework of the Council of Europe and works alongside a number of partner and professional organisations from within the industry and with a network of correspondents. In addition to contributions to conferences, other major activities are the publication of a Yearbook, newsletters and reports, and the provision of information through the Observatory’s Internet site (http://www.obs.coe.int). The Observatory also makes available four free‑access databases, including LUMIERE on admissions to films released in Europe (http://lumiere.obs.coe.int) and KORDA on public support for film and audiovisual works in Europe (http://korda.obs.coe.int). Nevafilm was founded in 1992 and has a wide range of experience in the film industry. The group has modern sound and dubbing studios in Moscow and St. NEVAFILM Petersburg (Nevafilm Studios); is aleader on the Russian market in cinema design, film and digital cinema equipment supply and installation (Nevafilm Cinemas); became Russia’s first digital cinema laboratory for digital mastering and comprehensive DCP creation (Nevafilm Digital); distributes alternative A REPORT FOR THE content for digital screens (Nevafilm Emotion); has undertaken independent monitoring of the Russian cinema market in the cinema exhibition domain since EUROPEAN AUDIOVISUAL OBSERVATORY 2003, and is a regular partner of international research organizations providing data on the development of the Russian cinema market (Nevafilm Research). BY NEVAFILM THE FILM INDUSTRY IN THE RUSSIAN FEDERATION (2012 Edition) A report for the European Audiovisual Observatory by Nevafilm November 2012 The Film Industry in the Russian Federation Research by Nevafilm for the European Audiovisual Observatory. Director of Publication: Wolfgang Closs, Executive Director of the European Audiovisual Observatory Supervising Editor: André Lange (European Audiovisual Observatory) Study carried out by: Oleg Berezin, Igor Kallistov, Eleonora Kolyenen-Ivanova, Xenia Leontyeva, Svetlana Mudrova. Chief Editor: Xenia Leontyeva Translation, editing and proofreading of the English text: Eclectic Translations, [email protected], David Steele, Jim Barratt Publisher: European Audiovisual Observatory 76 Allee de la Robertsau – F – 67000 Strasbourg, France Tel.: +33(0)3 90 21 60 00, Fax: +33(0)3 90 21 60 19 E-mail: [email protected] URL: http://www.obs.coe.int Nevafilm Research: 33-2B Korablestroiteley Street, St. Petersburg, 199397, Russia Phone: +7 812 449 70 70, Fax: +7 812 352 69 69 “Tsvetnoy, 30” Business Center, office 307, bld.1 30, Tsvetnoy Boulevard, 127051, Moscow, Russian Federation Phone / Fax: +7 495 694 2615 E-mail: [email protected] Web: http://www.nevafilm.ru http://www.digitalcinema.ru The reference version of the report is the English version, published on the European Audiovisual Observatory website – www.obs.coe.int. The analyses presented in these articles are the authors’ own opinions and cannot in any way be considered as representing the point of view of the European Audiovisual Observatory, its members or of the Council of Europe. Data compiled by external sources are quoted for the purpose of information. The authors of this report are unable to verify either their means of compilation or their pertinence. © European Audiovisual Observatory, November 2012. Table of contents INTRODUCTION ......................................................................................... 7 EXECUTIVE SUMMARY ................................................................................. 8 ABOUT THE RUSSIAN FEDERATION ............................................................ 13 CHAPTER 1 THE FILM INDUSTRY IN RUSSIA: INSTITUTIONAL FRAMEWORK .... 16 1.1 An overview of state policy governing the Russian film industry ..... 16 1.1.1 System of state support for cinema ................................................. 16 Transition to the market economy ........................................................ 16 The 1996 federal film law .................................................................... 17 Current state priorities ........................................................................ 18 State financing of film ......................................................................... 18 Evolution of state support to the Russian film industry in the decade 2002– 2012 ................................................................................................. 19 State support for film festivals ............................................................. 22 Centralized importation of film stock ..................................................... 23 State priorities in 2012 ........................................................................ 23 1.1.2 The activities of federal authorities in cinema ................................... 24 Federal executive agency and Ministry of Culture ................................... 24 Department of Cinematography and Modernization Programmes .............. 24 The Russian Cinema Fund .................................................................... 25 Method for determining which companies are eligible for state support ..... 25 Repayment (recoupment) terms ........................................................... 28 Other provisions ................................................................................. 29 Subjects of social significance .............................................................. 29 Optimization of Cinema Fund operations in 2013 .................................... 30 Executive office .................................................................................. 31 Council on the Development of the Russian Film Industry ........................ 31 State Film Fund .................................................................................. 32 Legislative committees and commissions on the arts ............................... 32 1.1.3 Activities of regional and local authorities in film ............................... 32 Scope for local initiative ...................................................................... 33 Location support for foreign film crews .................................................. 33 Powers of municipal authorities in relation to the film industry ................. 34 1.1.4 Review of the regulatory acts governing cinematographic activity ....... 35 The 1996 Federal Film Law and the definition of a ‘Russian film’ ............... 35 Film rights ......................................................................................... 36 Tax concessions and exemptions .......................................................... 36 Copyright fees ................................................................................... 37 Legal basis for federal budget subsidies................................................. 37 CAIS box office information system ...................................................... 38 Protection of children .......................................................................... 38 Russian film quotas ............................................................................ 39 1.2 The system of professional film education in Russia ........................ 39 Universities........................................................................................ 39 Educational programmes, film schools, and courses ................................ 41 1.3 Activities of state-owned cinematographic organizations ................ 43 3 State film studios ................................................................................ 43 Public–private partnerships .................................................................. 45 Development of state facilities .............................................................. 45 Consolidation of film archives ............................................................... 46 Research and development .................................................................. 46 CHAPTER 2 FILM INDUSTRY: AN OVERVIEW ................................................. 48 CHAPTER 3 DESCRIPTION AND ANALYSIS OF THE VARIOUS BRANCHES OF THE RUSSIAN FILM INDUSTRY .......................................................................... 57 3.1 Film production in Russia: producers and production companies .... 57 3.1.1 Industry structure .......................................................................... 57 Methodological aspects ........................................................................ 57 General state of the market ................................................................. 57 State support ..................................................................................... 63 3.1.2 Principal trends ............................................................................. 67 3.1.3 Players ......................................................................................... 68 Ranking of Russian film production companies by number of films ............ 68 Classification of Russian film production companies ................................. 69 Principal players in Russian film production with films in theatrical distribution........................................................................................