Page 26 - KZN Film Annual Report 2023/2024

KWAZULU-NATAL FILM COMMISSION
From the last baseline study in 2015, the KZN film sector increased its GDP contribution from R327 million to R464 million, thus showing a R137 million increase between 2015 and 2020. In terms of employment, job creation increased from 1 481 to 2 782 additional employment opportunities. This shows that 1301 new job opportunities were created since 2015. This also translates into an estimated 720 new permanent employment positions and 581 new employment temporary positions.
In relation to the above, the key challenges facing the KZN audio-visual industry include:
• Filmmakers are mainly independent freelancers, with
no unified industry association body for the industry to speak with one voice and prevent fragmentation. The industry is unregulated, making it difficult to protect the rights of freelancers.
• The province lacks the key infrastructure, such as studios, which attracts high-value productions. There is a lack of critical skills throughout the value chain, but particularly in Heads of Department positions.
• There is also a lack of knowledge on the ownership of IP of content produced, thereby reducing the long term earning potential of filmmakers and therefore their financial sustainability.
• KZN has a limited number of film servicing companies to support productions. There is a lack of black ownership throughout the value chain. Inadequate content is produced on KZN heroes and legends.
• The film industry is not transformed, particularly in key areas such as Heads of Department, Producers, ownership of medium to large film companies and the distribution of the major trade incentives in the area of servicing major productions.
• There is a lack of coordination between the spheres of government, and limited buy-in by local government in terms of resourcing programmes to support the industry. The KZN audio-visual industry does not appear to be a priority.
• Increased competition from other provinces, particularly, North West and Limpopo, in terms of public sector financial incentives.
The 4th industrial revolution
• New and emerging technologies are making a profound impact on both the production and distribution of audio- visual material. Blockchain presents opportunities to protect IP and facilitate payments, widening distribution opportunities. Post-production technologies are improving all the time, and virtual and augmented reality are poised to break through into the mainstream.
• As the lines between the digital and natural world begin to blur, the film industry needs to adapt its business processes, embracing online digital tools to engage and increase access. Training and information are critical, and internships for graduates specialising in animation and digital media should be a priority.
• Emerging digital tools and distribution platforms will open the possibility of creating all sorts of new content, including interactive training and educational material. Awareness should be drawn to the abundant skills development material already available online. Mobile devices literally place the power of the World Wide Web in every individual hands. As that ‘web’ expands and 5G connectivity becomes pervasive, the possibilities for innovative digital content creation will enter a new era.
• The entity needs to remain cognisant of the digital divide and endeavour to ensure that emerging filmmakers, who currently make up the majority of filmmakers in the province, are kept up to date with the innovations in the 4IR.
Organisational environment
The capacity of the entity
The KZNFilm comprises three divisions which are: -
• The Office of the Chief Executive Officer;
• Finance and Administration; and
• Marketing and Industry Development
ANNUAL REPORT 2023/2024
24