Money is not the problem that made Hollywood stopped distributing its movies to Indonesia.

Posted: February 19, 2011 in News

By Pebriansyah Ariefana– detikMovie

JakartaHollywood’s decision, through the Motion Pictures Association (MPA) to stop distributing movies was not due to the increased tax. More than that, Hollywood upholds its principals.

As stated before, Hollywood is willing to shell out the extra cash if the customs fee for  distribution rights for imported movies is made effective. But money is not the problem for them.

“It’s not about the amount of money they had to pay, but it’s about upholding the principals and equity of the distribution rule. There’s no such customs or tax in any part of the world, only in Indonesia. That’s why they deemed the rule to be completely unnatural and unrealistic.” Said Cineplex 21’s spokesperson Noorca Massardi, during his conversation with, via his cellphone, last Friday night (18/02/2011).

Before the rule was made effective, the MPA has already made negotiations with Indonesia’s Directorate General of Customs and Excise. But their pleas are left unnoticed. Thus, the decision of halting the distribution to Indonesia was made.

“That’s why they don’t want to distribute their movies anymore. That’s the consequences the Directorate General of Customs and Excise had to accept,” Said Noorca.

Noorca didn’t know the reason why the Directorate General of Customs and Excise made such decision. But he knows for sure, that instead of profit, it will only bring misfortune and disaster to Indonesia’s movie industry.

“If for example, the government, and in this case, the Directorate General of Customs and Excise wanted to increase their annual income from cinemas. Let’s say they want a 1000 percent profit increase, Hollywood can not, and could not deny them that. Hollywood itself won’t be at loss, because that 1000 percent increase (of tax) will be placed on the ticket, purchased by the consumer, which would force them to pay 1 million rupiahs for a single ticket.” Said Noorca.


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