Cinema Ticket Prices Expected To Drastically Drop In Saudi Arabia After Film Commission's Decision To Reduce Licensing Fees

Riyadh: Cinema-goers in Saudi Arabia can anticipate a significant reduction in ticket prices as the Film Commission recently announced a substantial reduction in licensing fees for practicing and operating cinemas. This decision by the Board of Directors of the Film Commission, under the leadership of Minister of Culture Prince Badr bin Abdullah, aims to make cinema experiences more affordable and accessible for the public.

The Film Commission revealed the updated costs of cinema licenses after implementing the fee reductions. Here are the revised fees for different categories:

License to practice the activity of operating permanent or temporary cinemas or those with specialized needs:

Permanent cinema: In "A" category cities, the cost has been reduced to SR25,000 instead of SR210,000. In "B" category cities, the reduced cost is SR15,000 instead of SR126,000. For "C" category cities, the revised cost is SR5,000 instead of SR84,000.

Temporary cinema: In category "A" cities, the fee has been reduced to SR15,000 instead of SR105,000. In category "B" cities, the reduced cost is SR10,000 instead of SR63,000. In category "C" cities, the reduced cost is SR5,000 instead of SR42,000.

Additionally, the commission also reduced the fee for a license to operate a cinema to show one or more films on a permanent or temporary basis.

Permanent cinema: In "A" category cities, the revised fee is SR3,000 per branch instead of SR21,000 per screen. In "B" category cities, the cost is now SR2,000 instead of SR12,600. For "C" category cities, the fee has been reduced to SR1,000 instead of SR8,400.

Temporary cinema: In "A" category cities, the reduced fee is SR500 per branch instead of SR5,000 per screen. In "B" category cities, the fee is now SR500 instead of SR5,000. In "C" category cities, the current fee remains SR500 instead of SR5,000.

The Film Commission board meeting also included the transfer of jurisdiction for granting licenses for the operation of production studios, as well as the production and distribution of cinematographic films, to the Film Commission. Furthermore, financial compensation discounts for cinema ticket revenues and fees were approved to encourage the private sector to reduce ticket prices and offer attractive promotions, leading to the expansion and opening of a larger number of cinema screens and wider screenings of Saudi films.

These decisions reflect the Film Commission's ongoing efforts to achieve its strategic goals in the film industry by boosting the box office in Saudi Arabia, increasing economic contributions from sector companies, and supporting cultural and creative diversity in cinema. The commission aims to create a competitive environment that stimulates investment in the cinema sector and enhances the viewer experience, cementing Saudi Arabia's position as a leading center in the regional film industry.

Eng. Abdullah Al-Qahtani, CEO of the Film Commission, emphasized the commission's dedication to stimulating the film industry by encouraging cinema companies to provide discounts and promotions, ultimately enhancing the film culture in the Kingdom. Al-Qahtani highlighted that the reduction in licensing fees and ticket costs brings Saudi Arabia in line with international averages and supports the sustainability and growth of the cinema sector.

The Film Commission, since its inception, has been committed to developing the film industry in Saudi Arabia. By enhancing infrastructure, regulatory frameworks, financing and investment opportunities, local talent access, local production stimulation, and international production attraction, the commission continues to drive the cinematic movement forward in the Kingdom.