The End of Multiplex Arbitrary Pricing

14 July 2018, Navbharat Times, Nagpur, Mumbai: The government is preparing to rein in the arbitrary practices of cinema theatres and multiplexes.

Minister of State Ravindra Chavan said in the Legislative Council on Friday that people would be allowed to carry food items prepared at home, or purchased from outside, into cinema halls and multiplexes. If any multiplex objects to this, action will be taken against it.

Following a court order, the government is preparing a policy on the matter, which will be implemented within six weeks. In addition, from the first day of the following month, multiplexes and cinema theatres will have to sell food items and other products at their printed/MRP prices.

Chavan told the House that inspections had been carried out at 44 multiplexes and malls across the state up to the end of June 2018. Three cases had been registered against establishments accused of selling goods at prices higher than the printed price.

“We have not received any information from the government so far”

Nitin Datar, President, Cinema Owners & Exhibitors Association of India, said that they had not yet received any information from the government regarding the matter.

“The government’s announcement means our campaign has succeeded”

Datar said that watching movies in multiplexes would now become more affordable for ordinary people.

“People can carry food from home”

Amitabh Gupta, Controller, Legal Metrology Department, said that people would be able to take food and other items from home into multiplexes.

Government will formulate a new policy in six weeks

The government has announced that a new policy will be formulated within six weeks. The issue had also been raised in the Legislative Council, where opposition members demanded that the practice of charging excessively high prices in multiplexes be stopped.

The government agreed with the sentiments expressed by the members.

Chavan stated that under Section 21 of the Maharashtra Cinema (Regulation) Rules, 1966, there is no restriction on viewers carrying food and water into cinema halls and multiplexes. If any cinema operator prevents this, action can be taken against them.

He also said that the MNS had recently protested against the alleged exploitation of the public by multiplexes, including entering multiplexes and engaging in confrontations.

Court’s strong stance prompts government action

The government has taken this step following criticism from the courts. The Bombay High Court had questioned why the government was not taking action against multiplexes that were allegedly selling food items at prices higher than their actual cost.

Three cases were reportedly registered against multiplexes over the issue.

Following the government’s announcement, shares of multiplex-related companies reportedly witnessed a significant decline in the stock market.

₹250 for ₹5 popcorn, ₹200 for ₹30 popcorn

Popcorn that is available in the market for around ₹5–10 is reportedly sold for ₹250 at some multiplexes.

Similarly, items such as two samosas that may cost around ₹30 outside are reportedly sold for around ₹200 inside some multiplexes.

Digital posters will be allowed

Cinema theatres will reportedly no longer be allowed to display plastic banners and posters outside their premises.

Under the BMC’s new policy, digital displays/boards will be permitted, allowing theatres to display movie advertisements outside their premises in a more attractive manner.

NBT View: Relief for moviegoers

For people who enjoy watching films on the big screen, this could bring considerable relief.

Until now, people visiting theatres were often compelled to purchase food and beverages at prices several times higher than those outside. In addition, such food was not necessarily considered healthy.

This had caused considerable frustration among moviegoers for some time, but they had limited alternatives.

The state government’s decision would provide relief to cinema audiences. They would now be able to bring healthy, home-prepared food into theatres as well.