The South African film industry is in crisis due to a malfunctioning cash rebate system, with industry leaders demanding accountability from the DTIC. Ongoing delays have left many applications unapproved and multiple claims unpaid, threatening livelihoods and economic contributions. Despite a recently proposed working committee, the industry’s future remains uncertain as stakeholders call for significant reforms and improved communication.
South African filmmakers are urgently addressing the challenges posed by the country’s cash rebate system. Leading industry representatives are expressing deep concerns over unpaid claims and demanding increased accountability from the Department of Trade, Industry and Competition (DTIC), which oversees the rebate program and currently owes significant amounts to filmmakers. As a result, many applications remain unapproved, causing a bottleneck in the system.
During a recent protest in Pretoria, filmmakers raised their voices against the DTIC, calling for swift action on pending rebate claims that date back up to three years. Joel Chikapa Phiri, chairman of Known Associates Group, emphasized the urgent need for the department to “pay the claims! Pay them now!” The protest was orchestrated by prominent industry bodies, including the Independent Producers Organization and the Documentary Filmmakers Association, highlighting the growing frustration over governmental inaction.
A memorandum delivered during the protest outlined key demands, including a need for a clearer and more efficient rebate system that would ensure prompt application processing and alleviate extensive bureaucratic hurdles. The film industry significantly contributes to South Africa’s economy, employing around 60,000 individuals and generating substantial revenue prior to the pandemic, but has faced setbacks that hinder recovery efforts.
The memorandum expressed concerns over ineffective communication from the DTIC and the lack of a clear strategy to promote industry growth. The report indicates that this ongoing crisis poses risks not only to the livelihoods of industry professionals but also threatens the broader economic contributions of the sector.
Economic challenges are compounded by funding shortages, as noted by various industry leaders. Marc Schwinges, an industry producer, highlighted the limited financial resources available, stating it is increasingly difficult to navigate the complexities of South African film financing without a functioning rebate.
Nomsa Philiso from MultiChoice remarked on the significant pressures that both producers and broadcasters are facing due to economic constraints, adding that not commissioning new projects is not an option for sustained growth. Meanwhile, Cape Town’s production services sector continues to reel from the uncertainties surrounding rebates, alongside the ongoing impacts of COVID-19 and international industry changes.
Despite some optimism following a successful collaboration on a Netflix project, many filmmakers are reconsidering their dependency on the rebate system. Marisa Sonemann-Turner from Film Afrika explained that they are now focusing on delivering value while minimizing reliance on rebates during negotiations.
Following the protests, Deputy Minister Zuko Godlimpi suggested the formation of a working group to facilitate dialogue with industry stakeholders, a development Tshepiso Phiri characterized as a positive step towards resolving existing grievances. Filmmakers remain cautiously optimistic, with industry veterans like Vosloo remarking on the historical resilience of the sector, suggesting that they have overcome challenges before and can do so again.
The South African film industry faces a critical juncture as filmmakers rally against a malfunctioning cash rebate system. With many claims unpaid and applications stalled, the economic repercussions threaten both industry livelihoods and national economic contributions. Despite these challenges, stakeholders are advocating for change and improved communication with government officials. While optimism persists among industry leaders, the need for timely resolutions remains paramount to foster sustainable growth in the industry.
Original Source: variety.com
