India is one of the world's leading film entertainment markets, with the overall revenue raised by the Indian film industry exceeding 172 billion Indian rupees in 2022. Indian cinema industry’s revenue stood at Rs 15,000 crore, up from Rs 9,300 crore in 2021 and South Indian Cinema industry’s revenue totaled Rs 7,800 crore in 2022. The Confederation of Indian Industry (CII) revealed that South Indian cinema contributed Rs 7,800 crore or 52 per cent of total revenue generated by the Indian cinema industry in the last financial year.
The South Indian film industry expects its strong momentum in 2023, despite decline in revenues in Kannada industry. Kannada industry’s films are further expected to decline. Meanwhile, Telugu is looking down the barrel of marginal growth of 5 per cent in the ensuing financial year.
India has 8,700 screens as of 2022. Out of these, 4,216 are located in the five southern states of the country. The potential is much higher as these 4,216 screens amount to 16 screens per million population. Even if the region achieves 20 screens per million population, the Southern region should reach 5,500 screens.