08/08/2003

2004 will finally see the implementation of a tax incentive system to encourage films to be shot in France. Prime Minister Jean-Pierre Raffarin confirmed the news in an editorial published on 6 August by “Le Monde”.
Raffarin, clearly eager to calm the troubled waters that are threatening the French entertainment industry, confirmed that the tax incentive system currently in place would soon be modernised, making it more favourable for the film industry (by setting up credit lines), something that his minister of culture, Jean-Jacques Aillagon first spoke of on 30 April. The Prime Minister “hopes that a new fiscal system aimed at encouraging film production in France would be in place as of 1 January 2004. A system that will allow our country to maintain the professionals employed in this field and encourage independent production – a source of pride for the French film industry worldwide.”
This is good news, coming as it does at a time (the first six months of 2003) when almost half of all French films are being made abroad. It is also a significant opening to international co-productions, so many of which in recent years have benefited from the fiscal sweeteners operating in the United Kingdom, South Africa, Belgium, Ireland and Germany.

French film industry associations and institutions welcomed Raffarin’s words, and are eager to examine the details of the new proposals – scheduled to be announced in the autumn. The French Film Producers’ and Exporters’Chamber of Commerce called the new proposal “very positive”, the Independent Producers’ Guild said it was “very happy with this overview, as opposed to a partial triumph” but warned “the hope must now become a tangible fact.” ARP, France’s Authors-Directors-Producers’ guild “hopes this proposal will not take the place of others”.

(Translated from French)