Prithviraj Sukumaran reacts to the ongoing crisis in Malayalam film industry: 'This whole hue and cry..'

Here’s what Prithviraj Sukumaran has to say about the financial struggles in Malayalam cinema.

By Anjali Choudhury

Published on Mar 25, 2025 | 12:59 PM IST | 5.8K

Prithviraj Sukumaran reacts to the ongoing crisis in Malayalam film industry: 'This whole hue and cry..' (PC: Prithviraj Sukumaran Instagram)

Mollywood has been delivering some of the best films in recent times. However, reports suggest the industry is facing a major financial crisis. This year, Officer on Duty has been the only film to perform well at the box office despite several big Malayalam releases.

In an exclusive chat with Hindustan Times, L2: Empuraan director Prithviraj Sukumaran addressed the issue, stating that losses are a natural part of the industry. He dismissed concerns about a shutdown, explaining that cinema has never had a year of complete net profit.

He believes the discussion feels amplified due to the internet and social media. Prithviraj Sukumaran also pointed out that no film industry worldwide has ever seen the majority of its films succeed, as failures have always been a part of the business.

In his words, "It's a high-risk, high failure rate industry. Everyone knows that. It's just been spoken about more right now. This whole hue and cry about the various film industries of India being at a loss is because we have news channels, social media, and means of communication more accessible to the general public."

In a previous report by The News Minute, film producer G. Suresh Kumar warned that Malayalam cinema could face a complete shutdown from June 1 if financial troubles persist. He made this statement on February 6 after a meeting with industry associations, including FEFKA.

According to him, only 24 out of 200 films released last year were profitable, with the industry suffering losses between Rs 600-700 crore. Rising production costs and high actor fees have exacerbated the crisis. Additionally, the One Nation, One Tax policy has worsened the situation, as GST and entertainment tax consume 30% of a film’s revenue.

Efforts to negotiate with actors have failed, as they do not adhere to agreed terms. Meanwhile, OTT platforms are not a reliable alternative, as they only acquire successful films at their own set prices.

Coming back to Prithviraj Sukumaran, he is gearing up for the release of L2: Empuraan on March 27. The film features Mohanlal, Manju Warrier, Tovino Thomas, and several others in key roles.