Government to Minimize COVID-19 Impact on Movie Theaters

Exemption of Late Fees on Film Development Fund Arrears
Support for Professional Disinfection Costs at Affected Cinemas

The CGV Sungshin Women's University Entrance branch in Seongbuk-gu, Seoul, confirmed as a location visited by the fifth confirmed case of the novel coronavirus infection, has suspended operations for the second consecutive day on the 2nd. Photo by Kim Hyun-min kimhyun81@

[Asia Economy Reporter Lee Jong-gil] The Ministry of Culture, Sports and Tourism will waive late fees on the Film Development Fund until the end of this year to reduce the damage to movie theaters caused by the spread of the novel coronavirus infection (COVID-19). In addition, it will support professional disinfection costs for movie theaters that have suffered damage due to visits by COVID-19 confirmed cases.

On the 26th, Minister of Culture, Sports and Tourism Park Yang-woo visited Art Nine in Dongjak-gu, Seoul, to check the current status of COVID-19 response and announced these support measures. This action was taken to rescue the severely damaged theater industry due to the spread of COVID-19.

According to the Korea Film Council’s integrated ticketing system for movie theaters on the 26th, the number of visitors to theaters the previous day was 75,963. This is the lowest since May 31, 2004, when there were 67,973 visitors. Recently, as COVID-19 confirmed cases surged, visits to movie theaters have sharply declined. Even new releases have been postponing their premieres one after another, putting the entire industry at risk of collapse.

The filmmakers who met Minister Park on this day requested four major types of support: ▲ infection prevention supplies and disinfection costs such as hand sanitizers and masks ▲ employment retention subsidies and operating costs such as rent, considering worsening business conditions ▲ expansion of small and medium-sized enterprise and small business policies for small movie theaters ▲ and future special exhibitions targeting independent art film theaters. Minister Park said, “I empathize with the difficulties faced by movie theaters on the ground,” and added, “We will actively take interest and prepare support measures to help movie theaters.”

On the 3rd, as concerns over the spread of the novel coronavirus infection grow, a movie theater in Gangnam-gu, Seoul is quieter than usual. Photo by Mun Ho-nam munonam@

The first relief measure prepared promptly is the installment payment and support for the Film Development Fund. Although monthly payment is the principle, late fees will be waived until December 31. A Ministry of Culture, Sports and Tourism official explained, “A total of 513 movie theaters nationwide are subject to this,” and “the collection charges apply from this month through November.”

The Ministry will also support disinfection costs for movie theaters damaged by visits from COVID-19 confirmed cases. In particular, it plans to contribute to creating an infection prevention environment by distributing 5,000 hand sanitizers to small-scale screening venues.

Meanwhile, Minister Park actively encouraged filmmakers to utilize government COVID-19 related support such as employment retention subsidies and tax support. Currently, businesses that have temporarily closed due to COVID-19 damage but maintain employment can apply for employment support funds at the local employment support center. The deadlines for national and local tax filing and payment have also been extended by up to nine months.