'Telangana decision not to impact Telugu film industry'

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Hyderabad: The decision to form a separate Telangana would not have an immediate impact on the Rs 12,000 crore Telugu film industry based here, but industry-friendly policies would play an important role in its progress in either state, noted film personalities said here on Thursday.
The Telugu film industry, which produces about 150 films every year, shifted its base from Chennai to Hyderabad in early 1990s with the governments providing several incentives to the industry.
The Telugu film industry, which had its roots in Chennai, has been driven by those from coastal Andhra and the shootings of a few films had faced disruptions here when separate Telangana agitation was at its peak.
"I don't think it (decision to divide) will have any impact. It is going on fine here," prominent Telugu filmmaker Tammareddy Bharadwaj told PTI here today. He, however, said about 30 per cent of the film shootings do happen in places like Visakhapatnam and other coastal Andhra areas because of their scenic beauty.
He said incentives would be a motivator for the industry in having its presence either in Telangana or the new Andhra Pradesh. Observing that it is too early to foresee the future at this juncture, leading producer D Suresh Babu agreed that taxes and incentives would play an important role in the Telugu film industry - having its base in Hyderabad or in the new AP.
"As of now, it will be here only," he said, adding that there may be a reaction if any problems crop up in future. Recalling that the then Andhra Pradesh governments provided tax incentives for the Telugu film industry to encourage film making in the state in the 90s, Suresh Babu said filmmakers would go to the new AP (post division) if tax concessions are offered.
"If entertainment tax is common in both the states, nobody will go anywhere. But, if the other state is formed and they say that entertainment tax is exempt if you make film in that state and that state has 60 per cent of the market, they will go there," Suresh Babu, son of veteran producer D Ramanaidu and brother of actor Venkatesh, said.
He, however, said shifting base, if at all, to a new place would be painful given the difficulties involved. Replying to a query, he said the port city of Visakhapatnam would be a good choice for shootings in the proposed new state of Andhra Pradesh.
Citing the examples of Hollywood, Mumbai and Chennai, he said the film industry is always located in coastal areas. Even in film industry, there will be independent opinions on having their base, he said. Film producer K L Narayana, who made films with Ram Gopal Varma, also said there may not be any immediate changes for Telugu film industry.