Maharashtra once had over 1,200 single-screen cinemas, but today only about 300 remain operational—and many of those are also struggling for survival.
Mumbai: As many of the city’s famous single-screen theaters vanish from the map, the heyday of Indian cinema is gradually coming to an end. Due to strict restrictions, high tax loads, and a lack of government support, 75 of Mumbai’s 125 single-screen movie theaters have closed in the last ten years, leaving the handful remaining to struggle for survival.
Maharashtra once had over 1,200 single-screen cinemas, but today only about 300 remain operational—and many of those are also struggling for survival. In Mumbai alone, the number of single-screen theatres has dropped drastically, from 125 to just 50. Back in 2000, the state did not have a single multiplex. Today, there are more than 500 multiplex screens, indicate the sharp shift in the cinema landscape.
Nitin Datar on the Struggles of Single-Screen Theatres
We spoke to Nitin Datar, President of the Cinema Owners & Exhibitors Association of India (COEAI). He explained that earlier, cinema was the only major source of entertainment. But over time, the industry has faced severe competition.
Shift in Entertainment Trends
“The downfall began with the arrival of Doordarshan and later with the launch of TV channels, which started telecasting movies in multiple languages. After that came video piracy, which entered every household and continues even today. Because of piracy, people preferred watching films at home rather than going to theatres,” Datar said.
He added that with the rise of multiple TV channels, followed by OTT platforms and other entertainment sources, cinema is no longer the primary option. At the same time, picture quality in many cases has declined, with producers focusing only on multiplexes.
Lack of Government Support
According to him, the government has also failed to recognize theatres as an essential part of the film industry. “Theatres are very much a part of the film business, but we have never been given the status of an industry. If the government supported us, it would bring huge relief. For example, theatres currently pay around Rs. 10–12 per unit of electricity, whereas multiplexes get concessions. If we were given industry status, the rate would drop to around Rs. 3 per unit.”
He pointed out that every year, electricity bills and various taxes on theatres keep increasing, discouraging new establishments in Maharashtra. “After paying salaries, municipal corporation tax, distribution tax, state and central taxes, nothing remains in our hands,” he said.
Burden of Various Taxes
Multiplexes, on the other hand, receive preferential treatment. “They were given five years exemption from entertainment tax, during which they saved 15–20 crore in advantage. We have been working for 70 years, paying entertainment taxes since 1923. Before GST, they contributed around Rs. 200 crores annually in entertainment taxes, in addition to central and state taxes, municipal levies, electricity bills, staff salaries, and distributor shares. We also deserve the same benefits to upgrade ourselves. But the government gives us no facilities,” he said.
Distributors’ Unfair Practices
Datar also accused distributors of discrimination. “They don’t give films to single screens easily. There’s a restriction where only about 800 single screens are allowed to show a film across India. In Maharashtra, if a film does well, we get only about 15 percent of the earnings, while the distributor keeps 85 percent. If the film flops, they still take 50 percent.”
Restrictions on Redevelopment
Further, single-screen owners are not allowed to use their property for other businesses. “It is our property, yet we cannot redevelop it. There’s a compulsion of maintaining at least 200 seats in one theatre, along with parking, fire safety, and other facilities. With such rules and increasing expenses, it has become extremely difficult to sustain.”
Datar stressed that many theatres have shut down due to stringent licensing requirements and restrictions. “Since many theatres fall under corporate zones, we are also barred from running other businesses there. This has forced several owners to close down permanently.”
Notable Theaters That Have Closed
NADA, Swastik, Dreamland, Alankar, Novelty, Meena, Ganga-Jamuna, New Shirin, Sharda, Gulshan, Taj, New Roshan, Moti, Deepak Talkies, Paradise, Nandi, Ludo, Chandan, Jaya, Diamond, Ashok Talkies, Star, Derby, Diana, Capital, New Empire, Royal, Daulat, Apsara, Bharatmata, Prakash, Geeta, Satyam, Shyam, Sachin, Akash, Ashok, Sahakar, and others.
