By Timothy Owase

Creating a film friendly environment that promotes and encourages production of filmed entertainment in all of our communities in Kenya should be considered as a priority by all. Today I take you through a journey that outlines the processes involved in a production, with a broader look at how communities can attract, retain and co-exist with filming.

To have a successful filming activity in Kenya, key actors get involved, and include; permitting authorities such as Immigration, Kenya Revenue Authority, Kenya Film Classification board, County governments, location owners, services providers, lobby groups, security agencies, visitors’ bureaus, neighborhood associations and residents and crew among others. These players represent a tool for community promotion and economic development.

Why is filming important to your county

Production of filmed entertainment creates and generates revenues for the local economy. Ksh. spent by a production company have a long life; it keeps going, and going, and going. A film production company in your community is likely to patronize hardware stores, florists, dry cleaners, neighborhood restaurants, hotels, money transfer services, technology, transport, local skills, and knowledge transfer among others.

Across the world, cities and small towns, states and geographic regions seek to attract producers to their areas in hope of attracting a feature film or television projects. It has been proven that, just one good-sized production can translate into economic good times for your town or community. Thus attracting filming business to your county will offer the key economic solutions that we are seeking to fill.

Types of Productions

• Features

A feature project is typically two hours in length with a cast and crew size of generally 85 to 100 people. Preparation time can begin up to 60 days in advance of the start of photography. During that time, budgets are set and locations are chosen. The average shooting schedule for on-location photography is estimated at three months.

• Commercials

Commercials have a very short turnaround time, sometimes one day. They can be filmed and edited one week, and aired the next. Commercial producers are retained by an advertising agency and the advertising executives sometimes make final decisions on location filming.

• Made-for-Television Movies (MOWs)

While crew sizes are similar to those of a feature length film, budgets for MOWs are much smaller.

• Stills Photography

Stills Production makes up the vast majority of filming. Most crews are small and require little in the way of extra lights, catering etc. Locations to be used for a stills shoot are often only decided on short notice.

• Episodic Television

These are usually one-hour drama series, although occasionally some 30-minutes situation comedies will also shoot on location. Cast and crew sizes for television shows are slightly smaller than for features. Episodic television typically will film an episode in seven working days, with three to four days per episode shot on location.

Who gets involved in a Film Shoot?

• Location Manager / Scout

This is the person responsible for finding, selecting and finalizing the locations needed for the script. As a rule the location manager is the first person to make contact and arrangements with a potential location.

• Unit Production Manager

This is the executive in charge of all production arrangements, such as location contracts, negotiations and shooting schedules. The location manager reports to the Unit Production Manager.

• First Assistant Director

The primary job of the first assistant director is to assist the cast and work as an intermediary between the director and the cast and crew. He/She is in charge of the set and everything that happens on it.

What attracts filmmakers to your county?

• Accessible Locations

Every filmmaker wants accessibility to locations to get their perfect shots. A town may have perfect venue, but unless a company can get in to scout it, or subsequently rent facilities in it, it doesn’t do much to make your town film – friendly.

Discover what you have that is of special interest to filmmakers, package and present it in a way that is seen to fill a specific need or niche. You need to know what is unique about your county and the selling points associated with it. Know how your area fits within the larger context of your region.

• Consistent Rules

Conditions and rules for filming should be consistent and reasonable. For instance, a requirement that 100% of the neighbors surrounding a chosen film location sign their approval not only deters production companies from filming in your neighborhoods, it enables one or two individuals effectively to hold a production and your community hostage i.e. Some towns claim to have no permit requirements, yet require approval for street closures, parking or exceptions from noise ordinances.

• Reasonable Fees

Filmmakers typically don’t mind paying location fees: however make sure the rents are fair. Counties should do all they can to discourage property owners from trying to overcharge film companies. Have a good general knowledge of the cost of labour, permits, location fees, housing, production space and support services.

• One-stop Shopping

Eliminate the run-arounds and avoid sending location managers all over town to get their permits. Placing all the approvals (such as roads, parks and public safety, security, trade etc.) under one roof is an attractive plus. Location managers would rather be on-location than navigating county hall for permits.

• Emphasize Service

If a producer has a problem on location, solve it. If a neighborhood has concerns about the production, mediate it. Offer a world class service delivery.

• Marketing

Remember, your county is just but one of the many, thus make sure your information is accurate and easy to understand and visible. Filmed entertainment is very cost sensitive, hence develop marketing and location packages that are both compelling and exceptional representations of your area.

Always be sure that your packages are honest representations of what you have to offer. You must never misrepresent your area, or promise something you may not be able to deliver. Remember your brand is your promise!

By Timothy Owase

A co-production is a production where two or more different production companies agree to work together, for example in a film production. In the case of an international co-production, production companies from different countries work together on a project. It is the most common form of film industry cooperation.

Co production agreements enable foreign producers to pool their creative, artistic, technical and financial resources to co produce projects that enjoy the status of national productions in the countries involved.

There are other common ways of cooperating internationally that are not limited to distribution, film festivals and educational cooperation, artistic production, post-production, script development among others. For long, festivals were generally seen as a way to accessing international markets, good networking opportunities and a good way to expose local audience to foreign films but that has since changed.

There are two types of co-productions:

• Co-production where the creative control is shared between local and foreign partners, and where there is a mix of local and foreign elements in the creative positions.
• Co-production that encompasses a straightforward co-financing arrangement (finance only) in which one partner provides partial funding while another company undertakes the actual production.

Why Kenya should embrace film co production initiatives.

International co-production is an important avenue through which producers tap into international financing and talent to create films and television programs with international audience appeal. Governments enable co-production agreements with other countries.

These agreements permit foreign producers to combine their creative, technical and financial resources to co-produce films and television programs, which benefit from national status in each co-producer’s country, thus bringing many benefits to the local or partnering entities to which the advantages are not limited to;-

• Enables access to bigger and new markets

• Avails opportunity to learn from the partner and network
• Provides access to a desired location
• Immense cultural benefits, e.g. promoting one’s country
• Offers an increase in the quality of production
• The ability to pool financial resources
• Access to the partner government’s incentives and subsidies
• An open access to specialized skills or equipment in host country
• Access to less expensive inputs to the production
• the opportunity to learn from the partner

 International Treaty co-productions are governed by agreements, with specific requirements that may not be limited to approvals by a recognized authority in the partnering country, set minimum financial participation by each partner, agreed costs incurred in each country and a balance between the financial, technical and artistic contributions of each country.

In most cases, audiovisual co production treaties and MOUs are negotiated between two countries to outline their respective obligations with regard to an audiovisual co production. These guidelines provide producers with detailed information on the requirements and procedures to follow when making a recommendation application for an international co production.

Governance

Governments support openness, fairness and consistency at all levels of co production operations. Similarly, they develop several grids to help evaluate co production projects. These grids are not an integral part of the co production guidelines, but serve as a tool to assess the creative and technical aspects of projects to be considered.

A project must first and foremost meet the required minimum creative positions, as they are defined in co production guidelines. If a project doesn’t meet this minimum, it is then evaluated using the grids, which include a bonus-point system. Particularly complex or atypical projects can be evaluated on a case-by-case basis.

 How co production’s work

Agreements between Governments specify how projects can be ‘co-produced’ between partner countries. These agreements are in the form of either a Treaty or a Memorandum of Understanding (MOU). There are differences between the two but for the purposes of administering the co-production program and applying for co-production status, the practical effect is usually minimal thereby using the general term ‘Arrangements’ to refer to these agreements.

Each country which is party to an Arrangement nominates a ‘Competent Authority’ to administer the co-production program. Thus work together and jointly approve projects in order for them to be eligible as co-productions.

In conclusion, Kenya has to explore this opportunities as one way to bolster the creative economy sector in the country.

The Writer is a Chartered Marketer, Development Communication expert and film industry professional and can be reached at timothy.owase@live.com

 

 

By Timothy Owase

 In Kenya, film is one of the constituent parts of the creative industry. Apart from playing an important role in communicating ideas and providing information, the film industry is a potential employment catalyst as it generates jobs directly in companies involved in production, post production, casting, crewing, equipment hire, set design and property supply. It generates many more jobs indirectly in the support and hospitality industries, stimulating business in hotels, catering companies, restaurants and transport business.

Generally, film-making is a challenging combination of business and art. The art of film-making is however no more important than the business of film-making. Successful film makers are those who develop their entrepreneurial skills and “drive films into life”. Film as a cultural tool, can contribute to bringing together what politics has separated as well as to the hastening and consolidation of the process of reorganizing the economic field. On the other hand, cultural action can develop properly only on a solid material and economic basis and this cannot be separated from the socio-economic reality, which constitutes its backbone.

A well nurtured film industry would help in the process of nation building, communication and developing a common shared identity. It provides a forum for sharing ideas and debate and a delivery mechanism for other cultural industries in a country. It’s potential to educate while entertaining the public may even prove to be of a competitive edge for film and television in the society.

The film industry has become a substantial industry directly employs many people (including those self-employed). The growth and worldwide reputation of the sector, from its traditional strengths in acting, scriptwriting and film production through to more recent development in specialist post-production fields like visual effects, represents a real success story.

Kenya’s film industry has a symbiotic relationship with other creative industries. Every job supported in the core film industry a further job is supported through indirect and induced multiplier impacts. This contributes to the economy and exchequer in a number of other ways not captured by standard multipliers – for example, by promoting cultural life, attracting tourists to the country, supporting Kenyan exporters, and generating sales of industry products and other merchandise.

Cultural life

The film industry contributes substantially to the cultural life of the country. Successful films shot at a location, are a means of expression of the locations identity. They address the social challenges faced in the 21st century, including drug addiction, terrorism, as well as positive themes such as family values, friendship and triumph over adversity.

Tourism

The industry indirectly enhances Kenya’s tourist industry by encouraging more international tourists to visit and their spending supports a substantial number of jobs in return. On presentation of Kenyan life in films is not only important in sustaining our culture. But also has important impacts on the country’s tourism and trade. The impact of film on tourism is well-documented through a number of case studies and is recognized in the marketing campaigns of tourist boards around the world. For example, phone apps, podcasts and Movie Maps are available to direct tourists to key locations depicted in such films.

Promotion and trade

The film industry has a role in facilitating trade into the country. High quality films raise the awareness of the country as a place to invest, not only in the film industry itself but also in other sectors. The economic value of the direct, indirect and induced effects would relate to the total revenues of the film industry, while the catalytic impacts are benefits for other industries, consumers and the economy more generally

There are many channels through which the film industry makes contribution to an economy. This contribution includes but not limited to:

Direct impacts – employment and activities in the film industry itself. This covers all stages of film production (pre-production, production and post-production) which physically takes place in the country, together with the distribution and exhibition of films at the market place.

Indirect impacts – employment and activities supported down the supply chain to the core film industry, as a result of film companies purchasing goods and services from in country suppliers. This includes; jobs supported by the manufacture of production equipment sold to production companies; the manufacture of goods sold at cinemas; the spending of film crews in hotels, restaurants among others; business expenditure on TV, radio and other advertising; and a wide variety of activities in the business services sector (legal, Accountancy, Information Technology, Insurance, Management etc.).

 Induced impacts – employment and activity supported by those directly or indirectly employed in the film industry spending their incomes on goods and services in the country. This helps to support jobs in the industries that supply these purchases, and includes jobs in retail outlets, companies producing consumer goods and in a range of service industries. Additionally, there are economic catalytic impacts („spillovers‟) which result from the wider role film has on the following:

Skills and the labour supply – the industry improves skill levels in the economy by helping to retain highly skilled people who would otherwise go abroad or by attracting well-trained people from other countries to work in the country. This increases the pool of talent and skilled labour for other screen industries such as TV and commercials.

 The Writer is a Chartered Marketer and film industry professional and can be reached at timothy.owase@live.com

 

By: Timothy Owase

 The entertainment industry, particularly Film and Music, are currently the fastest growing in the world at a rate of about 14% per annum. Most countries are therefore presently focusing their investment in this lucrative industry. Countries where there is great mineral wealth, focus is mainly on the film industry due to its potential to contribute to foreign exchange earnings and creation of employment.

The film industry in Kenya has a very promising future. This is particularly so because of the country’s great scenic physical and environmental features, which makes it an ideal location for film-making. This explains why the film industry in Kenya has been identified as a key growth industry with great potential to spur economic growth through employment creation and investment. It also serves as a useful tool for tapping the artistic energies of creative Kenyans.

The current status of the film industry in Kenya indicates a nation possessing big comparative advantages in terms of the country’s unmatched filming locations and an abundance of professional filmmakers and artists. In addition, the country has a wealth of production services that can be sold to the local and international business community competitively.

The film Industry in Kenya has for long been identified as a key growth industry with great potential to spur economic growth. It is aimed to help in the realization of vision 2030 through tourist attraction, investment, cohesion and integration and employment creation. Currently the film industry is generating revenue and creating wealth through Film, documentaries and advertising commercials.

It is a national moral imperative to create platforms for ordinary Kenyans to be able to bear influence in the expression of their own stories. In this way, we, as an industry, can contribute to the advancement of our democratic ideals and create prosperity. This statement is fundamental to all players to accelerate the pace of economic growth and job creation within the cultural industries through film and to extend the scope of development and empowerment as outlined in the Kenya government’s vision 2030.

 Key priority areas

• To increase foreign and local direct investment into film production through encouragement of private public partnerships.

• To invest directly in infrastructure and facilitate industrial capital formation required to exhibit Kenyan film products.
• To improve access to a viable film industry in terms of ownership and consumption.

• To establish a regulatory and legal framework for the industry, that will provide the necessary certainty and stability required by the investor community.

The Kenya government does acknowledge that film is more than just an economic activity. It recognizes the social, ideological and cultural aspects film and the affirmation of a people’s culture. Film is an integral part of the overall social, cultural and economic development and therefore prosperity for this country.

It should be acknowledged, that film and television are key in asserting and projecting cultural presence and identity of a country.  Local productions tell stories in the language and idiom of a country and define places, people’s rich cultures and impact powerfully on people’s sense of belonging.

The key to the development of the film industry in Kenya is hinged on effective skills development, increased access to film theaters, nurturing prospects for people from disadvantaged communities and an open medium of film distribution.

Traditionally such opportunities have been concentrated in the urban centers. Even then, distribution outlets have traditionally not been keen on the locally produced films. But with the emergence of digital broadcasting and the shifting demands by audiences, broadcasters are buying into the idea as well as their willingness to support the industry; thus making the future very bright to the local film maker.

In Kenya, cultural industries and in particular film are not sufficiently exploited to their full commercial potential. Their contributions to local job creation and foreign exchange earnings are seen as being limited. Whilst recognized for the economic and commercial value it creates and the economic impact it has, it has not had the support required to achieve necessary societal impact. More often, this sector is to some extent neglected or not acknowledged as being a part of the manufacturing industry in the economy. Thus, the need to move away from the traditional view that film production should only be seen as a hobby rather than a profit making venture. This is quite contrary to other developed nations where the sector contributes a significant proportion of the gross national product. The film practitioners regard their profession as a business, and even feel threatened that being commercial may interfere with their artistic integrity.

Film industry has its future being an exporter of products to the rest world. There exist various opportunities that need to be explored so as to create a culture of sustainable resources management for the film industry to flourish.

For Kenyan films to flourish, it has to appeal first to audiences at home before we can hope to break into foreign markets, at the same time proper facilities have to be created. It is should be the intention of government to see a thriving film industry. A focus on facilitating investment and funding into film will be the true engine for job creation.

Government’s role is therefore going create an enabling environment that supports the development of a vibrant market for film, stimulate the emergence of locally based small business enterprises, and creation and support for distribution channels.  This will bring the markets closer to the community and communities being brought into the mainstream of the economy. The core to a true film industry ownership is film production tools, distribution and exhibition, copyright and other intellectual properties.

I encourage all players in the sector to embrace the emerging trends in technology as I strongly believe that innovations are likely to pose new opportunities and challenges to film industry value chain. Hence identify new avenues for distribution, emerging markets and ways in which to interact with the business environment.

The writer is a Chartered Marketer and a film industry professional and can be reached at timothy.owase@live.com

 

The communication and information Act 2013 brought by it a raft of measures in the communication industry. Late 2014, the Communications Authority of Kenya released targets for broadcasters to meet set terms threshold levels of local content.  As set on yearly basis, 40% by June 2015, 50% by June 2016 and 60% by June 2018.

Broadcasters have given foreign content priority over the years, and as a result suppressing the growth of talent and skills in the Kenyan market. The government has for long lost revenue caused by the imbalances in television content. Digital migration process having been concluded, the government envisions that local content will flood the industry with plans underway to direct TV broadcasters increase the transmission ratio of local content to 60 percent. To ensure compliance, the government has promised to have penalties applied to ensure local content is given priority by the companies which will in turn stabilize performance of the industry.

In view of the migration, what are the opportunities and challenges brought about in Kenya? It is real; the migration has taken place and with it, there is mixed expectations for the stakeholders. Government, content creators, broadcasters, distributors, consumers and others, present and hold the key to foster the growth of the sector. To begin with, it is a laudable step to have migrated within the set timelines, which is a milestone in itself. Above all, content holds the key in enabling a sound broadcasting industry. It is sound for every player to define their space in programming and define a niche for survival.

Content is now being defined on informed decisions and its envisioned play as a key factor to which the interest of audience and the market demands. Competition in this field is also expected to get tighter as more players enter the market. As a result, this will lead to improvement in the quality of services offered of which for a longtime have been wanting. In essence, television services providers that will be able to innovate and come up with better programming will carry the day and grow their viewership. Competition may also lead to price cuts especially on the pay television platforms. As a result, the customers will end up as key gainers as they will have options arising from multi-channels, hence much freedom to choose.

For the investors, the migration has made it easier and cheaper to put up their own stations, given that; it is now easier as compared to before. Prior to the migration, one would need to have to set up equipment or transmitters, especially if you wanted set up across the country. The migration has resulted to an optimal utilization of the transmission infrastructure with more channels which translates to the need for more content which would result in more jobs in the sector especially for actors and producers. It is now obvious that each station want to appeal to its audience in the best way possible. Sourcing for content is creating opportunities for the youth in the industry.

The country expects an increase in the number of players in broadcasting. What the coming on-air of more stations, translates to more opportunities for the industry, and in this instance independent content productions and a boom in the creative industry. These sectors have, over the years, received very little funding support and had very few options for the airing of local content, as the country had very few licensed broadcasters. However, there are other considerations to be made so that the country harnesses fully the ‘opening up of the airwaves’, and realizes professional, diverse and fully –fledged local content in Kenyan broadcasts.

Current broadcasting industry, very few independent productions are aired on Kenyan television, a reflection of the challenges shared. These include among other issues, the stringent commissioning conditions and editorial control and quality of productions, as set by the broadcasting entities. The challenges the industry may face in meeting its obligatory quota will definitely filter down to the new television broadcasting players. At this juncture what is required is diversity in television production to include a variation in content for documentaries, diversity in language use in sitcoms, diversity in socio economic and political issues in drama and even exploring reality TV that genuinely reflects Kenyan day to day experiences.

The digital migration process has brought with it the possibility for more channels for both radio and television, and this is because digital broadcast signals can be compressed and offer more channels for programming in the freed up spectrum that previously was only able to transmit a single analogue channel.

Timothy Owase a film industry practitioner, and a Marketing and Communications professional.

Call: 0722283967

Email: timothy.owase@live.com

 

By TIMOTHY OWASE

Governments all over the world use incentives to foster economic growth, create jobs and build infrastructure.In the film industry, they the offer production incentives inform of cash rebates, tax credits, and or back-end or up-front production project funding. Besides these, local governments also consider jurisdictional offers in sales, use, excise, hotel accommodation, receipts tax relief by way of waivers, credits, exemptions and deductions. Incentives are used to attract industries that are viewed as important to the country.

Film entertainment is amenable to incentives given that it is highly mobile, labour intensive and effective in promoting a country. In addition to the financial support provided through the new rebate incentives, a number of other measures are implemented as part of the broader sector development strategy. These include capacity development for emerging production companies, the development of writers and editors, enterprise development programme, the establishment of pilot programmes in different locations to address distribution infrastructure, local content and audience expansion among others.

The provision of the incentives encourages production companies to advance industry transformation through adherence to the requirements of broad-based economic empowerment. Moreover, incentives are structured in such a way that, they would provide necessary impetus to the growth of the Kenyan film and television production industries thus creating an environment conducive for producers to attract investment and develop stable output and sustainable production businesses.

• Cash Rebates

Refers to the sum of money paid to a qualifying production entity based on the amount of qualifying expenditures or jobs created in the location on the qualifying project. In most countries, they are administered by departments of trade and industry

• Tax Credits

This can be refundable or non-refundable, and transferable or non- transferable

1. Refundable Tax Credits – It operates the same way as production rebates, but usually administered by the local tax collecting authority, and claiming by filing a tax return. Sometimes banks or other lenders can monetize refundable tax credits so that the production company can get the money earlier.

2. Transferable Tax Credits – Is one that may be sold or assigned to a local taxpayer. The transfer is handled directly by the production company or indirectly through the use of brokers. The company does discount the credit from its face value to entice local taxpayers to purchase them. Its regulation differs from country to country. Some allow multiple transfers while others allow single credit to be divided among multiple transferals.

3. Non – Refundable, Non – Transferable Tax Credits – This can be used to offset a current tax liability of the production company. Excess are generally carried forward and used to reduce taxes in subsequent years. Each country sets forward the period of time within which the tax credit can be carried forward.

• Back – end or up – front funding

Refers to funds made available to qualifying productions from local taxpayers in exchange for advantageous tax treatment from the local jurisdiction.

How other countries have determined eligibility to film incentives

Each country defines the type of projects eligible for the incentive benefits. It is depended on a country’s legal and business structure. The scope is quite wide including film, TV, Video, Digital programming, Games, Advertisement commercials, Animation among others. Most countries consider exclusions i.e. adult programming, reality shows and others as determined by the jurisdiction. Also, a clear project plan and distribution deal has to be in place. Qualifying test project may also be considered based on minimum spend, days, locals employment, revenue base, goals in building film industry in a location. Others base on qualifying expenditure which defines goods and services that constitute expenditures for the purposes of computing the incentive benefit.  Some of the countries that have implemented incentives include the United Kingdom, New Zealand, South Africa, and Netherlands among others. As countries consider introduction of film incentives, they consider various factors that are not limited to the annual cap on the amount to be awarded, the time or period for consideration, annual funding caps, employment issues such as the cast and crew subject to tax in the country and actions for compliance, residency requirements to qualify, financial details and specific dates of operation.

The writer is a chartered marketer and film and media industry professional.

Email: timothy.owase@live.com

Phone: 0722283967