23/04/2013 - Due to failing income from the decrease of DVD sales, the Norwegian cinema association is forced to reduce its support for cinemathéques and festivals

Norwegian cinema and video trade association Film & Kino, which also represents Norwegian municipalities, has announced drastic cuts in the support for quality cinema, including cinémathèques and festivals, following failing income from DVD sales, from which the company receives a major part of its income.

Since 2006, Film & Kino has been solely responsible for public subsidy of Norway's film festivals. In 2011 the association - due to increasing revenues from DVD and Blue-ray disc sales - took over subsidising certain areas of national film culture from the Culture Ministry, then totalling €3.1 million annually.

In 2007 video sales reached €12.5 million, in 2013 they are estimated at €7.9 million, and the 2014 forecast is €6.8 million. Film & Kino has subsequently closed the S-kino programming service, reduced the venues for the touring cinema, Bygdekinoen, and found new publishers for the Film & Kino magazine.

New cuts will totally erase all backing of cinémathequès outside Oslo, film cultural activities for children and young audiences at the regional film centres; there will be less money for the import and distribution of quality and children's films and price increases for the Bygdekinoen, according to Film & Kino Chairman Knut Even Lindsjørn.

The country's film festivals - including the Norwegian International Film Festival in Haugesund - have been informed that their public funding of €900,000 annually will be diminished by 50% from 2014. "This would have dramatic consequences," said Haugesund mayor Petter Steen jr, who has expressed his concern to Parliament.