China pips Japan to become second biggest film market

BEIJING: Just like in various others spheres, China is coming into its own at the box office too. Latest figures show it has edged out Japan to become the world’s second-biggest movie market after the United States.

The surge has been driven by a 36% growth in box-office earnings, taking revenues to $2.7 billion in 2012, the Motion Picture Association of America (MPAA) has said.

Some of the credit goes to the decisions taken by Xi Jinping , the current president, during his US tour a year ago. China had eased some restrictions on the number of foreign films allowed to be screened, permitting an additional 14 Imax or 3D films, over and above the quota of 20 foreign films.

The government had also allowed distributors of foreign films to collect a higher portion of ticket sales, from 13% to 25%.

A further easing of restrictions would mean more growth in box-office revenues , sources said.

“China is building about 10 screens a day,” says Chris Dodd, chairman and chief executive of MPAA. “There is a voracious appetite for product . Our films have done consistently well there.”

The change will be beneficial for the Chinese government , which has in the past complained about Hollywood’s wrongful portrayal of China. The lucrative nature of Chinese market would prevent any negative portrayal since producers would fear their movies might be blocked in China, the sources said.