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OVERVIEW OF THE NEW ZEALAND SCREEN PRODUCTION SECTOR NOVEMBER 2005

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OVERVIEW OF THE NEW ZEALAND SCREEN PRODUCTION SECTOR

NOVEMBER 2005

CONTENTS

FOREWORD 03

1. A TIMELINE 04

2. INTRODUCTION 07

3. SETTING THE SCENE 08

4. WHAT’S IT WORTH? 09

5. INDUSTRY SECTORS 11

i. FILM 12

ii. TELEVISION 14

iii. COMMERCIALS 16

iv. ANIMATION 17

v. POST-PRODUCTION 17

6. REFERENCES 18

7. SOME LARGER INDEPENDENT

SCREEN PRODUCTION BUSINESSES 19

8. TELEVISION BROADCASTERS 20

9. SECTOR BODIES 21

10. GOVERNMENT-FUNDED ORGANISATIONS 22

02

COVER AND INTERIOR PHOTOS: Lost Children, Big House Productions 2005

03

FOREWORD

This resource document provides an overview of the different

components of the screen production sector. Information is

also provided on key industry and government organisations

involved in the sector.

The target audience is senior secondary school students or

entry level tertiary students.

This Overview of the New Zealand Screen Production Sector

includes material from a report prepared by the New Zealand

Institute of Economic Research (NZIER), whose contribution is

gratefully acknowledged. It is the Screen Council’s intention

to update this document periodically.

Tim Thorpe

EXECUTIVE DIRECTOR

NZ SCREEN COUNCIL

03

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0303The New Zealand screen production sector creates

feature fi lms, short fi lms, television movies, television

drama, comedy, documentaries and commercials; it

has also become internationally acclaimed for its

post-production and computer animation facilities.

1896 – First public fi lm screening in New

Zealand, in Auckland, by Professors Haussman

and Gow. Their show introduced Edison’s New

Marvel – The Kinematograph.

1898 – The fi rst fi lm is shot in New Zealand:

The Opening of the Auckland Industrial and

Mining Exhibition.

1914 – New Zealand’s fi rst feature fi lm is

completed: Hinemoa, produced and directed by

George Tarr.

1922 – Rudall Hayward, New Zealand’s most

prolifi c early pioneer fi lmmaker, makes his fi rst

feature fi lm, My Lady of the Cave. It was only

the fourth feature fi lm ever made by a New

Zealander. Hayward would make three more

silent features, as well as a popular series of 23

two-reel comedies.

1936 – Rudall Hayward completes his fi rst

sound feature fi lm On The Friendly Road which

would be followed in 1940 by Rewi’s Last Stand, a

remake of his second silent feature.

1941 – The government establishes the National

Film Unit at Filmcraft studios in the Wellington

suburb of Miramar. Part of the Tourism

Department, it makes short fi lms promoting the

war effort and later promotional fi lms about

New Zealand and a series of weekly newsreels.

It was the only fi lm post-production facility in

New Zealand for many years.

1950 – John O’Shea, a seminal independent

New Zealand fi lmmaker, joins the independent

production company Pacifi c Film Productions.

1952 – John O’Shea co-directs (with Roger

Mirams) his fi rst feature fi lm Broken Barrier at

Pacifi c Films (formerly Pacifi c Film Productions).

He would make two more features and would

produce countless newsreels, sponsored

documentaries, television fi lms and commercials

for which he employed and mentored emerging

talents including Tony Williams, Michael Seresin,

Gaylene Preston and Barry Barclay.

1. A TIMELINE

1960 – New Zealand’s fi rst offi cial television

transmission takes place in Auckland.

Christchurch and Wellington follow in 1961,

Dunedin in 1962 and the rest of the country

in subsequent years. Television is initially run

by the state-owned New Zealand Broadcasting

Service, which is also responsible for radio

stations; the New Zealand Broadcasting

Corporation (NZBC) is formed a year later.

1963 – The fi rst locally written television drama

All Earth To Love is broadcast.

1964 – John O’Shea’s second feature Runaway

is released.

1964 – New Zealand’s fi rst local television

documentary series Islands in the Gulf screens on

Auckland’s television service, AKTV2.

1965 – Town and Around, a regional magazine

programme produced out of each of the four

main centres, is launched on television. It acts as

an infl uential training ground for a large group of

producers, directors, interviewers and researchers.

1966 – John O’Shea’s third feature Don’t Let

it Get You is released. These three features are

the only New Zealand features made in three

decades.

1970 – At an Arts Council conference, John

O’Shea makes a keynote speech saying there

should be a national screen organisation to

provide support for making New Zealand fi lms.

A seven-year campaign begins, seeking state

fi nance for fi lmmaking by New Zealanders.

1971 – The NZBC produces the fi rst New

Zealand drama series, Pukemanu.

1972 – Rudall Hayward completes his last

feature, To Love A Maori.

1974 – With John O’Shea as producer, Barry

Barclay completes six groundbreaking television

documentaries titled Tangata Whenua,

researched and written by Michael King. This

was the fi rst time that Maori had been portrayed

signifi cantly on television.

1974 – Coverage of the Commonwealth Games

in Christchurch provides the spur to introduce

colour television.

1975 – A second state-owned channel is

introduced, South Pacifi c Television (SPTV). The

NZBC is split in three: Television One, SPTV

and Radio New Zealand under the control of

the Broadcasting Council of NZ (BCNZ). The

two television broadcasters focus on in-house

production, reducing the already small input

from independent companies. Pacifi c Films

survives by making commercials and sponsored

newsreels. Other independent companies close

down.

1975 – The opening of BCNZ’s Avalon studios

near Wellington allows for the expansion of

television production. New Zealand’s fi rst

television soap Close To Home begins an eight

year run, providing long-term work and a

training ground for actors, writers, directors and

producers.

1976 – New Zealand fi lmmakers take their short

fi lms to the MIP television market in France for

the fi rst time, led by Roger Donaldson and Ian

Mune with their Winners and Losers series.

1977 – Roger Donaldson’s fi rst feature Sleeping

Dogs is seen by more than 250,000 New

Zealanders during its theatrical release – the

biggest-ever audience for a local fi lm. Its success

encourages politicians to consider the need for a

local fi lm industry.

1977 – After seven years of lobbying from

fi lmmakers and the cultural community, the

interim New Zealand Film Commission (NZFC)

is established. An Act establishing the NZFC is

passed by Parliament at the end of the following

year. The NZFC’s purpose is to encourage, assist

and promote New Zealand fi lmmaking.

1978 – BCNZ sets up a Commissioned

Independent Productions scheme to give

opportunities to independent fi lmmakers to

produce programmes for broadcast on television.

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1978 – BCNZ establishes the Natural History

Unit in Dunedin. It produces wildlife series

which over the years win widespread national

and international acclaim.

1979 – The independent managements of the

government’s Television One and SPTV are

amalgamated into a single organisation called

Television New Zealand (TVNZ) monitored by

the Broadcasting Corporation of New Zealand

(BCNZ) until 1988.

1980 – The NZFC takes New Zealand feature

fi lms to the market at the Cannes Film Festival

– the fi rst time that New Zealand has been

represented at a major international fi lm market.

1980-1984 – Loopholes in tax legislation are

used to create incentives that encourage private

investment in feature fi lms, until the government

removes them. The fi lm industry booms – 40

features are completed in three years – then

slumps when the tax incentives are no longer

available.

1983 – Theatrical release of the documentary

Patu, produced and directed by Merata Mita,

about the civil unrest at the time of the 1981

Springbok tour. It is the fi rst feature fi lm

produced and directed by a Maori.

1986 – TVNZ appoints its fi rst commissioning

editor. This is the fi rst corporation decision

indicating that independent production is an

integral part of its programming policy.

1986 – The BCNZ fails in its bid for substantially

increased funding via the licence fee. Cuts in

TVNZ’s budget lead to a reduction in local

content.

1987 – Barry Barclay’s Ngati, the fi rst dramatic

feature fi lm written and directed by a Maori,

is selected for Critics Week at the Cannes Film

Festival and wins the top award at the Taormina

Film Festival in Italy.

1988 – TVNZ’s drama section closes and

South Pacifi c Pictures is set up as a TVNZ

subsidiary with $1 million capital from the

BCNZ. The BCNZ requires that 50 percent of

the funding for each project comes from sources

other than itself.

1989 – The Broadcasting Commission (NZ

on Air) is established to fi nance New Zealand

television programmes. The Commission is to

use the public broadcasting (formerly “licence”)

fee to fund local content that would not

otherwise be made by commercial television

broadcasters. This gives a new lease of life to the

independent production houses.

1989 –TVNZ becomes a State Owned Enterprise

with a profi t-driven mandate and requirement

to return an annual dividend to the government.

It is also charged with providing programmes

which refl ect and foster New Zealand’s culture

and identity.

1989 – The Broadcasting Standards Authority is

established to hear and adjudicate on complaints

from the public about breaches of broadcasting

standards.

1989 – TVNZ loses its free-to-air broadcasting

monopoly when the privately owned TV3 is

launched. Independent producers now have a

second potential buyer of programmes.

1990 – Sky Television, New Zealand’s fi rst pay

television service, established by a privately

owned company, begins broadcasting.

1990 – The NZFC establishes “Super POD

(Producer Operated Development)” schemes,

which help fi nance the growth of production

companies, including initially the Gibson Group,

Movie Partners, Endeavour Tucker and Preston

Laing.

1991 – Limits on overseas shareholdings in New

Zealand broadcasting companies are removed.

The legislation is in response to lobbying from

TV3, to rescue it from receivership. Canwest

Global Communications Corporation, Canada’s

largest independent broadcaster, takes control

of TV3.

1992 – Shortland Street is launched on TV2

with the help of funding from NZ On Air. It

breaks industry ground as New Zealand’s fi rst

attempt at daily drama and is still going strong

in 2005.

1993 – The fi lm industry sets up Film New

Zealand to market New Zealand locations and

talent to offshore production companies.

1993 – Te Mangai Paho is established to

promote Maori language and culture through

fi nancing television (and radio) programmes.

1993 – The American-owned Pacifi c

Renaissance begins six years’ location shooting

in New Zealand of two television series for US

networks: Hercules: The Legendary Journeys

and Xena: Warrior Princess. The series employ

hundreds of New Zealanders, substantially

increasing the range of skills and experience to

the benefi t of the wider production industry.

1993 – Jane Campion’s The Piano, fi lmed in New

Zealand, produced in Australia and fi nanced

from France, wins the top prize at the Cannes

Film Festival; the following year it wins three

Academy Awards, including one for actress Anna

Pacquin.

1994 – Lee Tamahori’s Once Were Warriors,

fi nanced by the NZFC, becomes the most

successful feature fi lm ever released in

New Zealand. With more than 100 international

sales, it also sets records as the most successful

New Zealand fi lm ever, until its success is

overtaken by The Lord of the Rings and

Whale Rider.

1994 – Peter Jackson’s fourth feature Heavenly

Creatures, fi nanced by the NZFC and a German

investor, wins the Silver Lion at the Venice Film

Festival and is acquired by the US company

Miramax for worldwide release.

1995-1997 – TVNZ sells its Natural History Unit

and its production house South Pacifi c Pictures,

which join the private sector.

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1998 – Prime Television New Zealand Ltd,

a national free-to-air UHF network, begins

broadcasting.

1999 – Peter Jackson buys the National Film

Unit from TVNZ in preparation for post-

production on The Lord of the Rings trilogy.

1999 – The Lord of the Rings starts production.

1999 – Tax provisions that have attracted

signifi cant private investment into projects such

as Xena: Warrior Princess and The Lord of the Rings

are closed by the government.

2000 – The government establishes the Film

Production Fund (the “Film Fund”) with a one-

off contribution of $22 million. Its goal: to help

fi nance larger-budget New Zealand fi lms. By

2005 the fund will have invested in Whale Rider,

Perfect Strangers, Perfect Creature, The World’s

Fastest Indian and River Queen.

2000 – The public broadcasting fee is abolished

and replaced by an annual grant from general

taxation to fi nance local content in the public

interest.

2001 – Worldwide release of The Fellowship of

the Ring, the fi rst of Peter Jackson’s trilogy, which

sets box offi ce records everywhere.

2002 – Mataku (Fear), an anthology of Maori

Twilight Zone stories, screens on TV3. The series

breaks new ground for Maori drama production

and introduces signifi cant bilingual elements into

mainstream programming.

2003 – The TVNZ Act transforms TVNZ

from a State-Owned Enterprise to a Crown

Company with a Charter. It is now required

to balance commercial performance with

public broadcasting objectives and receives

direct funding for Charter purposes. This gives

independent producers an additional source of

production funding.

2003 – A Large Budget Screen Production Grant

scheme is introduced by the government as an

incentive to encourage large-budget fi lm and

television production in New Zealand.

2003 – The New Zealand Screen Council is

established by the government as recommended

by a Screen Production Industry Taskforce report.

Its purpose is to facilitate the growth of the

screen production sector on a sustainable basis.

2003 – The Television Local Content Group,

made up of national free to air broadcasters, the

Screen Production and Development Association

(SPADA), and NZ On Air, is established to set

targets for local content.

2004 – The Maori Television Service is

established to play a major role in the

revitalisation of the Maori language and culture.

2004 – The Lord of the Rings – The Return of the

King wins 11 Academy Awards. Worldwide, the

box offi ce gross for the trilogy exceeds $US3

billion.

2004 – Prime Television becomes eligible for NZ

On Air funding and commissions its fi rst drama

and documentary series.

2005 – The highest level of screen production

ever – $596 million – is estimated for the sector

(to year end March – source SPADA/NZFC).

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The New Zealand screen production sector has built

its international reputation on the successes of its

domestic productions and the talent that created them.

2. INTRODUCTION

From time to time its employment is boosted by

overseas projects that decide to fi lm in New Zealand

or to use the world-class post-production facilities

and talent. New Zealand faces strong international

competition in attracting overseas productions but

these can bring benefi ts from an economic and

development perspective.

The New Zealand screen industry is infl uenced

by fl uctuating trends in the highly competitive

international industry, particularly relating to changing

patterns of distribution, new technologies and the

availability of investment fi nance. Film investment

is a high-risk business. However, the potential world

market is generally considered to be growing.

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3. SETTING THE SCENE

B y the end of the 20th century, however,

a number of large production companies

combining fi lm and television projects

had emerged, establishing a more secure position

for the industry in terms of ongoing larger-scale

employment and the potential for fi nancial

success.

One of the key issues for the sector is growing

sustainable businesses in what is nominally

a project-based industry. The cyclic nature

of the sector means that it can be diffi cult

to maintain continuity of work with fl ow-on

effects for employment and investment. This is

more problematic in the fi lm industry than in

television, commercials or post-production.

Until 1978, when the government decided to

intervene in the market by establishing the

New Zealand Film Commission (NZFC), feature

fi lm production in New Zealand was occasional

and infrequent. There was no continuity of

production and almost no investment fi nance.

Opportunities for independent fi lmmakers had

also been scarce in television, because of the

in-house production policies of the monopoly

government-owned public broadcasting channel

that began transmission in 1960.

However, the in-house production and

television’s training programmes also helped

lay the foundation for what was to become

a dynamic independent sector. A raft of

programmes in the 1970s and 1980s provided

training, experience and employment for

producers, directors, studio and fi eld crew,

researchers, writers, presenters and actors.

Production was spread throughout the four

main centres. This gave a generation of fl edgling

programme-makers the opportunities they

needed to hone their skills.

The Broadcasting Corporation of New Zealand’s

(BCNZ) decision in 1978 to start commissioning

programmes from outside companies, combined

with the regular investment provided by the

NZFC for the production of New Zealand feature

fi lms, brought major changes and rapid growth

for the screen production industry. Change

continued at the end of the 1980s with the

establishment of NZ On Air and the decision

by the NZFC to encourage the development of

larger production companies.

The creation of NZ On Air marked a fundamental

change to the public funding of local content on

television. Instead of the broadcasting licence

fee going directly to the broadcaster NZ On Air

would allocate funds on a contestable project-

by-project basis directly to producers. Partly

as a response to this, TVNZ largely dismantled

its in-house production units and independent

commissions became the rule rather than the

exception.

From the creation of the NZFC and the

availability of fi nance for domestic production,

the New Zealand screen production sector was

quick to gain international attention, primarily

through the achievements of its feature fi lm

makers.

First came the offi cial selection of feature fi lms

for the infl uential Cannes Film Festival – fi ve

times during the 1980s. The best fi lms from this

decade also received enthusiastic reviews from

infl uential critics in New York and Los Angeles,

further increasing the international visibility of

New Zealand and its fi lmmakers and building

a reputation for talent and creativity that was

boosted by the worldwide success of Jane

Campion’s features An Angel At My Table (1990)

and The Piano (1993), both international award

winners. The fi lm industry’s reputation further

increased with the critical acclaim and the

international distribution earned by Once Were

Warriors (Lee Tamahori) and Heavenly Creatures

(Peter Jackson), both released in 1994.

When the fi rst industry statistics were

gathered in 1994 by the Screen Production and

Development Association (SPADA) they showed

that the industry was leaving behind its “cottage

industry” reputation.

Peter Jackson’s success would soon be a catalyst

for substantial international investment in the

New Zealand industry, enabling him to create

an international-standard infrastructure in

Wellington. Unlike successful New Zealand

directors before him, he rejected offers to move

to Hollywood. As a result, Hollywood studios

made commitments to fi nance the feature fi lms

that were created from his rapidly expanding

base in Wellington. The worldwide success

of his trilogy The Lord of the Rings made the

New Zealand-based Jackson one of the world’s

top producer/directors, with consequent benefi ts

for the entire industry.

Since then, Whale Rider has set US and Australian

box offi ce records for a New Zealand feature

(excluding The Lord of the Rings), In My Father’s

Den has continued New Zealand’s record as an

international award winner, and three larger-

budget features due for release in 2005-06 are

expected to prove that New Zealand feature

fi lms can achieve substantial international

earnings as well as being popular at home.

In television as well, several companies have

shown an ability to create programmes that sell

to the international market, including NHNZ

in Dunedin (nature documentaries), the Gibson

Group (children’s and drama programmes)

in Wellington, and South Pacifi c Pictures

(drama), Greenstone (popular factual series)

and Touchdown Television (reality television)

in Auckland. Other companies have garnered

international success in television commercials

and animation. And several production

companies now work successfully across a range

of formats.

The government has had a major role in the

establishment of the sector. There are both

cultural and economic development reasons for

this. Only government intervention can ensure

funding for local production so that domestic

stories are told that might otherwise not be

commercially viable. The alternative is seeing

and hearing only production from abroad.

The screen production industry also provides

employment for a broadly based creative

sector and many associated groups, and brings

multiplier benefi ts to the New Zealand economy.

The screen production sector in New Zealand was at fi rst

described as a “cottage” industry, because it involved a number

of individual producers, often working with no support staff,

struggling to fi nd fi nance for productions.

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4. WHAT’S IT WORTH?

A ccording to SPADA survey fi gures

production fi nancing peaked at $527

million in 2001 before falling back to

$450 million in 2003 when fewer large-budget

feature fi lms were being made1. A major share

of the increase in production fi nance was due

1 Although SPADA surveys fi nished in the year ended March 2004, it has been estimated that production fi nancing for the sector (not including commercials) to year end March 2005 was

$596 million (source SPADA/NZFC). Statistics New Zealand is developing a new annual screen industry survey, the fi rst results of which are due in June 2006.

to greater foreign investment, while domestic

investment remained relatively unchanged.

Figure 1 shows the surveyed value of total

production fi nancing in the New Zealand screen

production sector, and the percentage that has

come from offshore.

There has been a growing amount of vertical

integration within the screen sector, with

production houses such as Silverscreen, the

Gibson Group and South Pacifi c Pictures offering

services from pre-production and production

through to post-production, in both fi lm and

television. Other fi rms remain specialised,

offering specifi cs such as post-production, sound

or lighting services.

Considerable investment in people and

infrastructure has been a recent feature of the

screen production sector. An ability to innovate

remains important as the creative community

fi nds new and cost-effective ways to make and

complete productions.

The pricing structure of the industry has had

to be internationally competitive; until recently,

this has been helped by the low value of the

New Zealand dollar against the US dollar, which

is the international benchmark currency for the

global screen production industry.

Measuring the performance of the screen

production sector is not as clear cut as in other

industries, because outputs are often intangible.

Figure 2 shows the value of total surveyed

company turnover and foreign exchange earnings

in the screen production sector between 1994

and 2004. Both variables followed a generally

increasing trend until turnover dropped in 2002

as production of The Lord of the Rings wound

down. Company turnover and foreign exchange

earnings have tended to follow similar growth

paths, refl ecting the infl uence of offshore

fi nancing.

Employment statistics indicate a period of strong

growth since 1999. Table 1 shows employment

as surveyed by SPADA. Strong growth in the

feature fi lm sector accounted for the large rise

in employment in 2000 and 2001. Much of this

growth was in the category of “independent

contractors”, who can work on multiple projects

during any 12-month period.

Another indicator of growth is the increase in

the number of full-time employees that occurred

between 1999 and 2003.

Screen production fi nancing increased signifi cantly between

1994 and 2003, notably between 1999 and 2001 as fi lming of

The Lord of the Rings took place.

Figure 1: Value of total production financing and percentage that is foreign sourced

Source: SPADA Screen Production Survey 2004 – year ended March.

Notes: (1) LHS: value of total production fi nancing ($million).

(2) RHS: percentage of fi nancing that is foreign sourced.

(3) Data for commercials was not recorded in the 2004 survey. Survey responses were also lower than normal.

Figure 2: Total company turnover and foreign exchange earnings 1994-2004

Source: SPADA Screen Production Survey 2004 – year ended March.

Notes: (1) Excludes turnover fi gures for CanWest and Sky TV.

(2) Data for commercials was not recorded in the 2004 survey.

$1400

$1200

$1000

$800

$600

$400

$200

$0

Millions

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004

Total company turnover

Foreign exchange earnings

$600

$500

$400

$300

$200

$100

$00

Millions

90%

80%

70%

60%

50%

40%

30%

20%

10%

0%

1995 1996 1997 19981994 1999 2000 2001 2002 2003 2004

Value of total production fi nancing

Proportion which is foreign sourced

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While the screen production sector contributes

less than 0.5 percent of GDP, it has a signifi cant

fl ow-on effect, particularly for tourism but also

in enhancing New Zealand’s image abroad as a

sophisticated, innovative country. A Tourism

New Zealand survey of visitor arrivals

undertaken in 2004 found that 93 percent of

those surveyed said that they were aware of

The Lord of the Rings trilogy, of which 94 percent

knew it had been made in New Zealand. A

“rough and ready” calculation of expenditure by

visitors who stated that the trilogy was the only

or main reason for visiting New Zealand

(1 percent of total visitors) was about $33 million

or 0.5 percent of total visitor expenditure.

Employment numbers

Year Total Independent Part-time Full-time

employment contractors employees employees

1999 7729 6412 552 766

2000 14,340 12,760 535 1045

2001 31,266 29,589 540 1136

2002 12,264 11,171 152 941

2003 12,097 10,411 491 1195

2004 5511 4637 104 770

Table 1: Screen production sector employment

Source: SPADA Screen Production Survey 2004 – year ended March.

Notes: (1) Independent contractor fi gures refer to “engagements” so a contractor may work for more than one fi rm in a year

and thus be counted twice or more.

(2) Part-time employees are employed all year but for fewer than 20 hours per week.

(3) Full-time positions are defi ned as those including independent contracts spanning more than 40 weeks.

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01111

5. INDUSTRY SECTORS

Figure 3: Flows in the screen production industry

Source: NZIER.

Notes: (1) Dashes indicate fi nancial fl ows.

(2) Solid lines indicate product/service fl ows.

International & Domestic Finance

Animation & Post-Production

International & Domestic Markets

Film Television Commercials

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The screen production sector can be broken down into

fi ve major sub-sectors: fi lm, television, commercials,

animation and post-production. The sectors are

interdependent and rely on each other for business,

skilled staff and a successful fi nished product.

Figure 3 portrays a

simplifi ed fl ow diagram

of interrelationships

within the screen

production industry.

12

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F ilm production is the longest-running

component of the screen production

sector in New Zealand, but although

New Zealanders have always been enthusiastic

fi lmgoers, feature fi lm production was infrequent

for the fi rst 70 years of cinema. Only three

New Zealand features were made in the three

decades of the 1940s, 1950s and 1960s. Only

15 features were made in the 1970s.

Continuity of production – an average of four

or fi ve features a year – didn’t start until the

availability of investment from the NZFC after

its inception in 1978.

Since that time, more than 200 New Zealand

feature fi lms have been made, and another 37

features from offshore have used New Zealand

locations.

Rapid production growth in the early 1980s was

assisted by tax leverage until the government

outlawed the use of these tax breaks in 1984.

Between 1980 and 1985, 45 New Zealand

features were produced, most of them benefi ting

from tax leverage, and with this came substantial

growth in the fi lm production sector. There was

large investment in equipment and this fl owed

through to post-production and laboratory

facilities.

When the tax advantages ended, so did the

boom period in the fi lm industry. Investors

were not willing to risk funds in fi lm production,

a notoriously high-risk sector, if they couldn’t

guarantee a profi table outcome. With the

disappearance of almost all private investment,

fi lm production fell and workers in the industry

who were once able to command high wages

for their services found it diffi cult to fi nd

employment.

The slump lasted for three years, at a time when

the continuing international releases of fi lms

made during the earlier tax-break years started

to create an awareness of New Zealand as a

source of talent and creativity.

i. FILMThe NZFC was established in 1978 to fi nance the

development and production of New Zealand

fi lms. As a publicly funded body, it was the fi rst

attempt by the government to support and

encourage New Zealand screen production by

the private sector.

The NZFC’s aim has always focused on

discovering and nurturing talent. This was best

exemplifi ed with its $5 million investment in

Peter Jackson’s fi rst four feature fi lms, starting

with Bad Taste in 1988 and culminating in the

international success of Heavenly Creatures

in 1994, which positioned Jackson and his

collaborators to become major international

players, with a difference. Earlier New Zealand

directors who received international acclaim had

chosen to move to Hollywood. Jackson insisted

on working at home.

The growth of his international reputation, and

the growth of the world-class infrastructure

that he created, led to New Zealand’s biggest

fi lm project, The Lord of the Rings trilogy, which

Jackson began shooting in New Zealand in 1999.

The three fi lms had combined production costs

of more than $600 million, aided by a package of

tax breaks estimated to have been worth around

$200 million. The tax breaks were abolished by

the government immediately afterward.

A further increase in public fi nance for

fi lmmaking came in May 2000 when the

government established the Film Production

Fund (the “Film Fund”) with $22 million (incl

GST) intended to boost the production of

larger-budget New Zealand fi lms. To date the

Film Fund has provided part investment for fi ve

larger-budget New Zealand features (Whale

Rider, Perfect Strangers, River Queen, Perfect

Creature and The World’s Fastest Indian).

The growth of the feature fi lm industry brought

international recognition of its talent base and

its expanding range of skills and experience;

these were key factors in decisions to bring

features to New Zealand locations.

Vertical Limit, The Last Samurai, Boogeyman,

Without A Paddle and The Lion, The Witch and

The Wardrobe are examples of offshore features

that have been attracted to New Zealand

in recent years. A study on The Last Samurai

expenditure in 2004 found that, at the national

level, the multiplier2 effect of this project ranged

from 1.57 (employment) to 1.71 (value added)

(direct and indirect effects).

The establishment of Film New Zealand added

a second, non-government body to the small

group of organisations supporting the industry.

It took over the job of providing information

about New Zealand locations and crews for

international producers whose interest was

whetted by the successes of New Zealand fi lms,

but whose enquiries until then had been dealt

with by the NZFC.

Film New Zealand’s establishment was followed

by the establishment of regional fi lm offi ces

fi nanced by local bodies, seeking to attract

screen production to their districts. In addition,

New Zealand Trade and Enterprise grants worth

$2 million were provided to the Wellington and

Auckland regions respectively in 2003 and 2005

to fund sound stages and increase the capacity

of the local screen production sector.

The establishment in 2003 of the Large Budget

Screen Production Grant, offering to repay 12.5

percent of the amount of production money

spent in New Zealand if it was $15 million

or more, marked a new level of government

encouragement of fi lmmaking. Whereas the

scheme seemed likely to benefi t only offshore

investors, it had been preceded by the Film Fund,

aimed at enabling New Zealand fi lmmakers to

make larger-budget features.

Figure 4 shows the impact of The Lord of the

Rings’ production in 2000 and 2001 on the

fi lm production sector, as well as the location

shoots of The Last Samurai and Vertical Limit.

The foreign exchange generated by these

projects was the most signifi cant earned by the

2 Multipliers are an expression of the amount that initial expenditure compounds or is multiplied throughout the wider economy.

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01313

industry; the projects were aided signifi cantly

by the availability of a workforce that had been

developed by the Auckland-based location

shooting of the long-running television series

Xena: Warrior Princess and Hercules: The

Legendary Journeys.

Although expenditure fell in 2002, investment in

fi lm remains considerably higher than pre-2000

levels.

The value of fi lm fi nance as a proportion of total

surveyed screen production sector fi nance also

grew rapidly over the 2000-01 period. It has

since fallen but the fi lm sector still continued

to account for a large portion of total industry

fi nance in 2004.

Employment in the fi lm production sector

has been surprisingly steady over the period

surveyed.

Figure 5 provides statistics for fi ve years’

employment in the fi lm and video production

sectors.3 Employment numbers on a full-time

equivalent (FTE) basis have more than doubled

since the mid-1990s.4

Employment numbers did not decline after

production ended on The Lord of the Rings,

despite a fall in the value of fi lm production

fi nance over the same period. Much of this

can be attributed to activity amongst domestic

productions such as Perfect Creature, Perfect

Strangers and King Kong, as well as the location

shooting for The Lion, The Witch and The

Wardrobe.

Figure 4: Film production financing and its share of total industry financing

Source: SPADA Screen Production Survey 2004 – year ended March.

Notes: (1) LHS: value of total fi lm production fi nancing ($million).

(2) RHS: percentage of total screen production fi nancing.

(3) Includes both feature and short fi lm production.

(4) 1996 fi gures include production of The Frighteners.

3 Statistics New Zealand does not have a data collection category for fi lm production alone.

4 After 2003, Statistics New Zealand began to collect screen industry employment statistics on the basis of an employee count from Inland Revenue data. This accounts for only those receiving a wage/salary

and therefore excludes contractors or proprietors who do not pay themselves a wage. The FTE measure counts the number of full-time positions and half the number of part-time positions.

Figure 5: Employment in film and video production 2000-04

Source: Statistics New Zealand Table Builder ANZSIC P911100 - year ended February

Note: 1. FTE: number of full-time equivalent employees.

Numbers employed

$350

$300

$250

$200

$150

$100

$50

$0

Millions

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004

70%

60%

50%

40%

30%

20%

10%

0%

Value of total fi lm production

Film production as a % of

total industry fi nancing

4000

3500

3000

2500

2000

1500

1000

500

0

2000 2001 2002 2003 2004

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Television broadcasting in New Zealand

began in 1960 through the government-

owned New Zealand Broadcasting

Service, now TVNZ.

New Zealand’s television broadcasters, free of

the local-content requirements that are common

in other countries, have had a long record of

purchasing a majority of their programming

from offshore, at a much cheaper rate than they

would have to pay for programming made in

New Zealand by New Zealanders. Yet, despite

its high relative cost local content has been a

constant feature of New Zealand television, and

consistently enjoyed by viewers.

In the very early days resources were put into

extending coverage at the expense of local

programming. Light entertainment, children’s

television, drama and comedy had their

beginnings in the late 1960s and 1970s. In

1966 New Zealand’s longest running series

Country Calendar made its screen debut, and a

continuous fl ow of local drama began in 1971

with Pukemanu, a series set in a forestry town.

By the mid-1970s television produced comedic

creations like Fred Dagg and Lynn of Tawa, and

introduced New Zealanders to local satire with

A Week Of It. Children’s television fl ourished.

The popular series Hunter’s Gold and Children of

Fire Mountain sold overseas, marking the start

of New Zealand being an exporter of television

programmes.

New Zealand’s small market size, ambivalent

political enthusiasm for local content and the

dwindling value of the broadcasting licence

fee limited production opportunities towards

the end of the 1980s. The 1986 State-Owned

Enterprises Act set a new direction for TVNZ in

which profi tability was the primary objective

and, consequently, cultivation of New Zealand

productions less important.

However, the government also established NZ

On Air (1989) and Te Mangai Paho (1993), to

ensure that New Zealand television viewers

could continue to see a wider range of

locally made programmes than commercial

broadcasters were willing or able to pay for. This

ii. Televisionwas to be done by offering contestable funding

directly to producers provided they had their

projects approved for broadcast by a broadcaster.

Television was deregulated in 1989 which

provided for the establishment of privately

owned TV3 in the same year. At the same time,

and with the establishment of NZ On Air, TVNZ

began dismantling its in-house production

divisions to become primarily a programmer

rather than a producer.

In 2000 the broadcasting fee was abolished and

NZ On Air was funded directly from general

taxation.

The government’s creation of Te Mangai Paho

provided fi nance for Maori productions such as

the bi-lingual drama series Mataku (in which the

NZFC and NZ On Air also invested) and news/

current affairs programmes Marae and Te Karere.

The launch of the Maori Television Service in

2004 provided a further state-fi nanced platform

for Maori programmes. As a result of these

initiatives, there has been growth in production

companies (producers, directors, writers,

presenters, technicians) able to work bilingually,

growth in Maori language programming and new

perspectives offered on news and current affairs

issues.

In 2003 TVNZ was restructured into a

company with public service obligations.

These responsibilities, specifi ed in its Charter,

included a requirement to support and promote

the talents and creative resources of the

independent fi lm and television industry. Much

of the direct government funding allocated

to TVNZ for Charter purposes has gone to

independent producers.

As independent television production companies

began to expand in the 1990s and this century

there was signifi cant capacity building in

documentaries, comedy, drama and children’s

programming.

Although primarily making programmes for

domestic audiences several companies have had

success with international sales. South Pacifi c

Pictures’ Shortland Street has been sold to 20

countries; Touchdown Productions sells reality

formats throughout the world; the Gibson Group

has had particular success with children’s’ drama

and, more recently with adult drama series;

Greenstone Pictures has found ongoing markets

for popular factual series like The Zoo and Private

Lives; and NHNZ produces programmes about

the natural world that are seen in more than 200

countries.

Increased NZ On Air funding, along with the

arrival of the foreign-fi nanced productions

Hercules: The Legendary Journeys and Xena:

Warrior Princess allowed the television sub-

sector to expand even more, to develop key

infrastructure components such as art and

design departments and to invest in state-of-

the-art equipment and facilities. The overall

screen production sector benefi ted from this

growth.

Figure 6 shows the increase in New Zealand-

produced television shown on the main free-to-

air networks between 1990 and 2004, which has

occurred in tandem with the increase in NZ On

Air funding, the introduction of direct funding to

TVNZ for Charter purposes and capacity growth

in the television production sector.

Over this period the number of hours of local

content broadcast per year has risen from 4200

to 6400 or about a third of total programming

on TV One, TV2 and TV3. This compares with a

1986 survey showing the level of local content

at 25 per cent. This is a signifi cant increase

given the absence of minimum local content

“quotas”. However, a voluntary quota has been

in place since 2003 amongst the nationwide

broadcasters which, more recently, has included

Prime Television (which began broadcasting in

1998, but not initially nationwide).

Sky Television, New Zealand’s fi rst pay television

service, began broadcasting in 1990 and now

reaches nearly 40% of households. It does not

fund the development of local productions,

although it broadcasts live New Zealand sports

and entertainment. Some 15 regional television

channels can also be found throughout the

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01515

Figure 6 Hours of local content broadcast on network television, 1990-2004

Source: TV Local Content 2004, NZ On Air – year ended December.

Notes: (1) The surge in local content hours in 1992 was mainly due to coverage of the Olympic Games infl ating the fi gures.

(2) Aggregated fi gures for TV One, TV2 and TV3.

Figure 7 Television production financing and its share of total industry financing

Source: SPADA Screen Production Survey 2004 – year ended March.

Notes: (1) LHS: value of total television production fi nancing ($million).

(2) RHS: percentage of total screen production fi nancing.

(3) Data for commercials was not recorded in the 2004 survey.

Hours per year

country which are funded from a mixture of

private (mainly local) funding and, from 2005,

government funding.

SPADA surveys suggest that between 20 and

25 percent of television production fi nancing

is obtained from government sources, with the

remainder coming from broadcasters, private

funds and offshore.

Figure 7 shows that television production

fi nancing accounts for the majority of screen

production fi nancing, although between 2000

and 2003 its share fell to around 40 percent due

to the growth in fi lm production.

Issues on the horizon for the television sector

include the increase in the cost of producing

local content programmes, notably drama,

particularly in the fact of massive international

competition; and the inevitable move from

analogue to digital production and broadcasting.

The latter is an area in which New Zealand still

lags behind other countries such as Australia, the

United Kingdom and United States.

8000

7000

6000

5000

4000

3000

2000

1000

0

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004

$250

$200

$150

$100

$50

$0

Millions

1995

Value of total TV

production fi nancing

TV production as a % of

total industry fi nancing

1996 1997 1998 1999 2000 2001 2002 2003 2004

100%

90%

80%

70%

60%

50%

40%

30%

20%

10%

0%

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T he commercials sector has enjoyed a

relative independence from other sectors

in the industry. Its practitioners have

often been able to work full time. Recent

growth in the number of fi rms has encouraged

commercial companies to look to offshore

markets, to specialise in fi elds such as animation

or in the case of one or two larger companies to

diversify into post-production and feature-fi lm

production.

In the late 1980s the commercials sector had

become increasingly sophisticated. There was

signifi cant investment in new technology,

especially in areas relating to the use of

animation. Although larger commercials’

producers attracted clients from overseas, most

companies catered only for the local market and

faced competition from Australia.

In the 1990s, with communication technology

such as email and broadband internet, the

commercials sector had a greater international

focus, with New Zealand producers looking to

Asian, European and US markets for contracts.

The commercials sector has always been

susceptible to swings in the business cycle.

It was hit by the economic slowdown of 1997

and 1998 when margins were reduced while

competition increased – especially from offshore

fi rms.

At the start of the 21st century, the

combination of the low value of the New

Zealand currency relative to the US dollar and

greater awareness of New Zealand’s potential

as a fi lming location resulted in high demand

for some areas of commercials’ production.

This was counterbalanced by some work

moving offshore, particularly for multinational

companies. Investment in new technology has

been important as fi rms try to maintain their

competitive position within the world market.

Offshore work has become increasingly

important for high-end commercials fi rms.

Some companies estimate that their workloads

iii. Commercials

now consist of around 50 percent international

work as opposed to pre-2000 when international

work would have made up about 30 percent.

The Asian market is a particularly important

market for New Zealand commercials

companies. Many fi rms report growth in

commercials for companies in Japan, China, India

and, most recently, South Korea.

Financing in the commercials’ production sector

experienced signifi cant variation between

1997 and 2003, although overall the sector

has experienced positive growth as shown in

Figure 8.5 Its share of total screen production

sector fi nance has remained relatively constant,

averaging 11 percent over the survey period.

After 1998, the value of fi nancing in the sector

jumped signifi cantly and has since remained

above $37 million.

Figure 8: Commercials’ production financing and its share of total sector financing

Source: SPADA Screen Production Survey 2003 – year ended March.

Notes: (1) LHS: value of commercials’ production fi nancing ($million).

(2) RHS: percentage of total screen production fi nancing.

(3) Commercials not included in 2004 SPADA survey.

Some of this growth is due to greater response

rates to the SPADA surveys – this is certainly the

case for the large increase in 2002. However, the

post-1998 growth corresponds with a period of

overall expansion within the screen production

sector.

5 These fi gures are likely to be underestimates as SPADA survey statistics on this sector are affected by a low survey response rate.

$80

$70

$60

$50

$40

$30

$20

$10

$0

Millions

1997

Value of commercials’ production fi nancing

Commercials production as a % of

total industry fi nancing

100%

90%

80%

70%

60%

50%

40%

30%

20%

10%

0%

1998 1999 2000 2001 2002 2003

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01717

A nimation (the creation of artifi cial

moving images) is relatively new within

screen production in comparison with

other components such as fi lm and television.

However, as technology and the capability

of the sector to produce products such as 3D

animations and graphic effects have advanced,

its outputs are now commonly used throughout

the screen production sector.

The sector is characterised by constant research

and innovation, with continual upgrading of new

equipment. It relies on having the talented and

skilled human capital necessary to work in the

industry.

In the late 1980s New Zealand’s animation

sector was receiving international attention.

iv. AnimationDomestic fi rms were being contracted by foreign

commercial houses in Australia and Singapore to

provide the digital effects necessary for complex

commercials.

The 1980s saw a signifi cant amount of

upgrading and investing in new equipment

by fi rms to ensure they could compete with

overseas companies.

The technology and equipment upgrading

continued through the 1990s. However, New

Zealand fi rms were often at a disadvantage

compared to their international competitors

who could command discounts on expensive

equipment. The small scale of the industry

in New Zealand meant local fi rms lacked the

market power to negotiate on prices.

By the start of the 21st century the cost of using

animation techniques had fallen signifi cantly.

Animation was now seen as one way of getting

more out of shrinking production budgets.

Growth in the wider screen production sector

has increased awareness of what the animation

sector in New Zealand can offer, especially when

its innovative creations were shown worldwide

in features such as The Lord of the Rings and The

Last Samurai.

There are no statistics on the size of the

animation sector in New Zealand.

P ost-production is the collective name for

the work involved when shooting ends

– assembling the scenes to complete a

production by manipulating images and sound,

including editing, visual and special effects,

sound mastering and mixing and laboratory

processing.

The post-production sector has matured rapidly

since the 1980s. It involves expensive start-up

costs and demands trained and experienced

practitioners.

However, it differs from the production sectors in

that it relies on throughput to maintain viability.

A large portion of the costs of fi lm and television

production is labour related, with employment

involving short-term contracts that end when

the shoot is over. Post-production, however, has

high fi xed costs because of its capital equipment

that cannot be used on a short-term basis. This

means a steady work fl ow is crucial to ensure

the productivity of capital is realised and fi rms

remain profi table.

Post-production fi rms experienced a downturn

in demand for their services during the 1997-

98 period due to the effects of the Asian crisis

on the New Zealand economy and key Asian

and Australian markets. Despite the slowdown

fi rms continued to upgrade their facilities and

equipment, generally on an 18-month cycle to

ensure they had the latest technology to remain

competitive.

There has been a large increase in demand from

the commercials sector for post-production

services such as computer graphics. While only

about 20 percent of big-budget national brand

advertisements had this sort of post-production

in the early 1990s, this had increased to 60

percent by 1998.

As feature fi lm production increased, so did

the demand for post-production services. An

informal Onfi lm magazine poll of the New

Zealand post-production community in May

2001 found that more than 80 percent of

respondents had experienced an increase in work

volumes. However, only 20 percent reported

an increase in profi t margins and 50 percent

experienced a decrease.

At the start of the 21st century, post-production

companies faced a new challenge. Increasing

co-productions of New Zealand features meant

they were missing out on work that was being

carried out instead in countries (mainly the UK)

that had become the co-production partners of

New Zealand productions.

One way they have responded is to market

themselves internationally, taking advantage of

international awareness of New Zealand created

by The Lord of the Rings and its Academy Awards.

Statistics on post-production are not included

in the SPADA surveys but will become available

through the new Statistics New Zealand screen

industry survey in 2006.

v. Post-production

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18

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Anderton, J. (2003), Criteria for Screen Production

Rebates Confi rmed, press release accessed

from: www.beehive.govt.nz/PrintDocument.

cfm?DocumentID=18671.

Auckland Regional Economic Development

Strategy, (2004), Screen Production Initiative to

Substantially Benefi t Auckland Economy, press

release 9 December, accessed from: www.areds.

co.nz/latest_news/news_screen_approved.aspx.

BBC News, (2001), Lord of the Rings Boosts

Kiwi Capital, 12 June, accessed from: news.bbc.

co.uk/1/hi/entertainment/fi lm/1385460.stm.

Campbell, G. (2004), ‘Ring Cycle’ (editorial) The

New Zealand Listener, 17-23 January, Vol 192,

No 3323.

Day, Patrick (2000), Voice and Vision, Auckland

University Press

Dennis, J. (1996), “A Time Line” in Film in

Aotearoa, Dennis, J. and Bieringa, J. (eds), Victoria

University Press, Wellington.

Dunleavy, T (2005), Ourselves in Primetime,

Auckland University Press

“Evolution Theory”, (2003), AdMedia, March

2003, p26.

Fickling, D. (2003), The Guardian, “Triumphant

Return for Movie King Jackson”, 2 December,

accessed from: http://fi lm.guardian.co.uk/

lordoftherings/news/0,11016,1098044,00.html.

Film Production Fund, About Us, accessed from:

www.fi lmfund.co.nz/about/.

Gapes, D. & Shaw, S. (2004), “The Shootists”

AdMedia, August, p40-45.

Lealand, G. (2002), Marketing the Lord of the

Rings: The Fellowship of the Ring, Screen and

Media Studies, University of Waikato, accessed

from: www.mediaed.org.uk/posted_documents/

MarketingLOTR.htm.

Logan, C. (1987), “Bigger Splashes to Hit Small

Screen”, AdMedia, September, p43-45.

Malcolm, A. (2004), “Advertising Gets Animated”,

AdMedia, April, p30-31.

6. REFERENCES

Malcolm, A. (2004), “Basking in the Afterglow”,

AdMedia, April, p25-27.

McNickel, D. (1998), “Post: the Never-ending

Upgrades”, AdMedia, September, p22.

McNickel, D. (2001), “Suite As”, AdMedia,

October, p40.

McNickel, D. (2003), “Unwound”, AdMedia,

March, p28-30.

Ministry for Culture and Heritage, (2003),

Broadcasting in New Zealand: A 2003 Stock-take,

November.

NHNZ, About nhnz, accessed from www.nhnz.tv

NZ On Air, (2003), New Zealand Television Local

Content 2003, accessed from: www.nzonair.govt.

nz/about_us_detail.php?pid=231&sid=200.

NZPA, (2003) Tax Breaks for Film Come at a Cost

to Other Taxpayers – Clark, 24 March, accessed

from: http://global.factiva.com/en/arch/print_

results.asp.

Onfi lm magazine, (2001), “Going Postal” Onfi lm,

May, 18(5), p15-17.

Pickford, M. & Bollard, A. (eds), (1998), The

Structure and Dynamics of New Zealand

Industries, Dunmore Press, Palmerston North.

Pinfold, D., Yeabsley, J., Duncan, I. & Walton, M.

(2002), Capability Study: The New Zealand Screen

Production Industry, Report to Industry New

Zealand, Pinfl icks Communications and NZIER,

Wellington.

Scoop Media, (2001), Some Facts About Lord

of the Rings, press release: New Zealand

Government, 7 November, accessed from: www.

scoop.co.nz/mason/stories/PA0111/S00128.htm.

Screen Production Industry Taskforce Report,

(2003), Taking on the World, New Zealand Trade

and Enterprise, Wellington.

Shaw, S. (2004), “Dollar Mixture”, AdMedia, April,

p32-33.

Shaw, S. (2004), “Raining Sun”, AdMedia, April,

p80.

SPADA (1999-2003), Survey of Screen Production

in New Zealand, annual surveys, prepared by

Colmar Brunton Research.

Te Mangai Paho, (2004), Annual Report 2004,

Wellington.

Venture Taranaki, (2004), Economic Impact

Assessment for the Filming of The Last Samurai in

Taranaki, February.

Wakefi eld, P. & Barnes, G. (2001), “Beehive Yet

to Back Film NZ Plan” Onfi lm, July, accessed

from: www.onfi lm.co.nz/editable/lotr/onfi lm_PJ_

0701a.html.

Walton, M. & Duncan, I. (2002), Creative

Industries in New Zealand, Economic Contribution,

Report to Industry New Zealand, NZIER,

Wellington.

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7. SOME LARGER INDEPENDENT SCREEN PRODUCTION BUSINESSES

GIBSON GROUP

The Gibson Group is a privately owned

production company established by Dave

Gibson and Yvonne Mackay in 1977. It is an

independent fi lm and television production

company specialising in television drama for

both primetime and children’s audiences. Arts

magazine, comedy and factual and documentary

programming also contribute to an output of

between 80 and 100 hours of programming

each year. The Gibson Group’s feature fi lms

and television programmes have sold in more

than 80 countries worldwide. Since 1994, the

company has co-produced major television

drama series and feature fi lms with partners

based in Canada, the UK, Australia and Sweden.

GREENSTONE PICTURES

Greenstone Pictures is a television production

company based in Auckland. It produces factual

television programmes that celebrate the “Kiwi”

and Pacifi c perspectives. Its fi lming activities

extend into the Pacifi c Islands.

NHNZ(formerly Natural History New Zealand)

Owned by Fox, this Dunedin production company

has offi ces in Beijing and Washington DC.

Each year NHNZ creates more than 60 hours of

programming exploring the natural world, health,

science, adventure and people. NHNZ works

alongside major international networks such

as Discovery Channel, Animal Planet, Discovery

Health, TLC, National Geographic Channel, PBS

(US), NHK (Japan), France 5 and NDR (Germany).

OKTOBOR

Sister company to Silverscreen, Oktobor is a

creative talent-based visual effects, animation

and post-production studio based in Auckland.

From 3D character animation to iTV and web

production to feature fi lm vfx, Oktobor provides

expertise and experience to fi lm production

companies, advertising agencies, broadcasters

and fi lm/TV studios worldwide.

PARK ROAD POST(formerly the Film Unit)

Park Road Post is Peter Jackson’s post-production

facility located in Miramar, Wellington. Also in

Miramar are other facilities owned by Jackson

and his colleagues including Stone Street

Studios.

SCREENTIME

Screentime produces documentary and

reality television plus commercials, in-fl ight

entertainment and corporate and promotional

videos. Screentime also produced the acclaimed

movies Once Were Warriors and Rain. It offers

a complete range of production and post-

production facilities.

SILVERSCREEN FILMS

Silverscreen Films combines the experience of

New Zealand producers Don Reynolds and Geoff

Dixon to deliver creative and production services

to local and international fi lm and television

productions.

SILVERSCREEN

PRODUCTIONS

Silverscreen was founded more than 30 years

ago and is one of Australasia’s largest fi lm

production companies. Its primary focus is the

making of high-end commercials with offi ces in

Auckland and Sydney. It offers a full production

service.

SOUTH PACIFIC PICTURES

In its 15 years South Pacifi c Pictures has

produced more than 1800 hours of drama

programming. Its cornerstone production is the

primetime nightly half-hour series Shortland

Street, now in its 13th year of production. The

programme has been seen in 20 countries

worldwide. The feature fi lm Whale Rider was

also produced by South Pacifi c Pictures. South

Pacifi c Pictures has a 50 percent interest in

Satellite Media, which produces music-based

entertainment for television, online and

print. In June 2004, Kura Productions, a joint

venture between Quinton Hita and South

Pacifi c Pictures, was formed to offer a range of

programming to the Maori Television Service and

other broadcasters in New Zealand. South Pacifi c

Pictures is owned by Managing Director John

Barnett’s company Endeavour Entertainment,

and UK media company All3Media.

TOUCHDOWN TELEVISION

Touchdown Television is one of New Zealand’s

largest television production companies with

branches in Auckland, Sydney and Los Angeles.

Touchdown was formed 10 years ago and is

privately owned by Julie Christie and other senior

executives. Touchdown produces 20 television

series a year in New Zealand and Australia.

Touchdown specialises in entertainment,

factual and reality television and latterly in the

development of formats that have been sold to

more than 20 countries including the US, the UK,

France and Germany. Touchdown Television has

recently started a new arm called Touchdown

Film and Drama.

WETA WORKSHOP

Founded in 1986 by Richard Taylor and others,

Weta Workshop is a physical effects company

based in Wellington. It has produced creatures

and makeup effects for TV series and effects

for fi lms such as Meet the Feebles and Heavenly

Creatures. Weta Workshop’s output came to

worldwide prominence with director Peter

Jackson’s fi lm trilogy The Lord of the Rings,

producing sets, costumes, armour, weapons,

creatures and miniatures.

WETA DIGITAL

Weta Digital, owned by Peter Jackson, Richard

Taylor and Jamie Selkirk, offers visual effects for

feature fi lms and commercials. The company is

best known for its visual effects work on The Lord

of the Rings trilogy, directed by Peter Jackson.

Other work has included the action adventure

Van Helsing (2004: Universal), I, Robot (Fox) and

King Kong.

WINGNUT FILMS

Peter Jackson’s primary fi lm production

company. He has a number of other facilities,

studios and project-specifi c production

companies based in Wellington including

Camperdown Studios, Stone Street Studios and

Big Primate Productions.

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8. TELEVISION BROADCASTERS

MAORI TELEVISION

SERVICE

The state owned Maori Television Service,

announced in July 2001 and established in 2004,

aims to give tikanga Maori (Maori culture) and

te reo (Maori language) a strong, independent

voice, undiluted by the constraints and

competing priorities that apply to a mainstream

commercial broadcaster.

PRIME TELEVISION

Prime Television is an Australian publicly listed

company that has operated as a “free-to-air”

television broadcaster in New Zealand since

1998.

Prime transmits a UHF signal and is also

available on Sky Satellite. The schedule is a

mixture of general entertainment, lifestyle,

drama and comedy, sourced primarily from

Australia and the US.

REGIONAL TELEVISION

There are 15 regional channels in New Zealand,

all operating on UHF frequencies (except for

Invercargill, which is VHF). Sixty percent of

New Zealand’s population can pick up reception

of a regional channel. They are all privately and

mostly locally funded, except for the annual

funding of $3.5 million over four years through

NZ On Air announced by the government

in 2005.

SKY NETWORK TELEVISION

SKY Network Television is New Zealand’s

largest pay television company with a

subscriber base of around 40 percent of total

New Zealand households. Over eighty percent

of subscribers are digital subscribers. SKY is a

publicly listed company with major shareholders

Independent Newspapers Ltd (78 percent), and

Commonwealth Bank of Australia (8 percent).

TELEVISION NEW ZEALAND(New Zealand Broadcasting Service)

TVNZ, the state-owned broadcaster, is the

largest player in the New Zealand screen

industry, operating two free-to-air channels.

It is a broadcaster, programme maker and

commissioner of programming.

State-owned television began as a public

broadcaster in 1960 and then became a state-

owned enterprise in 1987 with a profi t mandate.

In 2003 it became a Crown-owned company

with public service broadcasting as well as

commercial mandates.

TV3

TV3 began in 1989 as a publicly listed company

but since November 1997 has been 100 percent

owned by CanWest, making it the fi rst private

commercial network in New Zealand.

TV3 offers a range of domestic productions

(in-house and commissioned) and international

programmes.

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9. SECTOR BODIES

ACTORS’ EQUITY

Actor’ Equity represents performers (for both

live and recorded performance) in contracts,

disputes, training, occupational health and safety,

and all other professional issues. Actors’ Equity

is affi liated to the FIA (International Federation

of Actors) and is a division of the National

Distribution Union.

NEW ZEALAND ACTORS’

AGENTS GUILD

The New Zealand Actors’ Agents Guild works

with and for New Zealand actors to provide

professional representation of a trustworthy and

ethical nature.

NEW ZEALAND

FEDERATION OF FILM

SOCIETIES

The New Zealand Federation of Film Societies is

a non-profi t organisation formed in the 1940s

to encourage the appreciation of fi lm from

the point of view of art and education as well

as entertainment. The federation’s member

societies screen fi lms that would otherwise not

be shown in New Zealand. It administered New

Zealand fi lm festivals until a separate trust was

established for this purpose.

NEW ZEALAND FILM AND

VIDEO TECHNICIANS

GUILD

The New Zealand Film and Video Technicians

Guild is a professional organisation representing

the interests of freelance fi lm and video crew

and allied crafts in the New Zealand screen

production industry.

NEW ZEALAND FILM

ARCHIVE

Established in 1981, the Film Archive is an

independent charitable trust overseen by a board

of trustees representing fi lm, archival, Maori

and community interests. The Film Archive’s

constitution/kaupapa is to collect, protect

and project New Zealand’s fi lm and television

history.

NEW ZEALAND FILM

FESTIVAL TRUST

The New Zealand Film Festival Trust is a not-for-

profi t organisation that runs the annual Auckland

and Wellington Film Festivals, plus festivals in

another 10 centres. Nationwide attendances at

the festivals now exceed 240,000. Established

in 1996.

NEW ZEALAND SCREEN

COUNCIL

The New Zealand Screen Council was established

by the government in 2003-04 in response to

the Screen Production Industry Taskforce report.

Its aims are to facilitate the development and

growth of the New Zealand screen production

sector on a sustainable basis.

NEW ZEALAND TELEVISION

BROADCASTERS’ COUNCIL

The New Zealand Television Broadcasters’

Council is an industry organisation representing

the non-competitive interests of the main

television broadcasters in New Zealand. Its

members are CanWest New Zealand, TVNZ and

Prime Television New Zealand.

NEW ZEALAND WRITERS

FOUNDATION

The New Zealand Writers Foundation is a

national organisation committed to the

professional development of emerging and

established writers in all forms of dramatic

writing, particularly for fi lm and television. It

is core funded by the NZFC and governed by a

board of trustees.

NEW ZEALAND WRITERS

GUILD

The New Zealand Writers Guild is a professional

non-profi t association for writers in the fi elds

of fi lm, television, radio, theatre, video and

multi-media.

NGA AHO WHAKAARI

Nga Aho Whakaari is the primary representative

of Maori working in fi lm, video and television.

Its core aim is the advancement and protection

of Maori moving images, culture and language,

and the professional development and growth

of independent Maori fi lm and television

production.

SCREEN DIRECTORS GUILD

OF NEW ZEALAND

The Screen Directors Guild of New Zealand is a

professional non-profi t association for directors.

It aims to create a forum where directors can

defi ne, defend and further their professional

industry.

SCREEN PRODUCTION

AND DEVELOPMENT

ASSOCIATION (SPADA)

SPADA is a membership-based organisation

that represents the collective interests of

independent producers on all issues that affect

the business and creative aspects of independent

screen production in New Zealand.

WOMEN IN FILM AND

TELEVISION

Women in Film and Television (WIFT) is an

organisation that supports women in the

fi lm and television industries and provides an

informal network for them to help each other in

their careers. WIFT is part of WIFT International.

22

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10. GOVERNMENT-FUNDED ORGANISATIONS

CREATIVE NEW ZEALAND

Creative New Zealand runs the Screen

Innovation Production Fund in conjunction with

the NZFC to support shorts, digital fi lms and

multi-media projects generally by fi rst-time

fi lmmakers.

FILM NEW ZEALAND

Film New Zealand is New Zealand’s production

location offi ce providing information,

introductions and support to fi lmmakers both

internationally and locally. It is a member of the

Association of Film Commissions International.

Film New Zealand is the prime industry body

interacting with regional fi lm offi ces located

throughout New Zealand. Its work promotes

New Zealand talent and facilities as well as

locations.

MINISTRY FOR CULTURE

AND HERITAGE

The Ministry for Culture and Heritage (MCH)

provides advice to the government on cultural

and heritage matters. It assists the government

in its provision and management of cultural

resources for the benefi t of all New Zealanders,

and undertakes activities that support and

promote the history and heritage of New

Zealand. MCH is the policy ministry that

oversees a range of government agencies such

as TVNZ, NZ On Air, the NZFC and Creative

New Zealand.

MINISTRY OF ECONOMIC

DEVELOPMENT

The Ministry of Economic Development (MED)

works across the public sector to advise on,

co-ordinate and align activities that stimulate

sustainable economic development. MED

oversees New Zealand Trade and Enterprise.

NEW ZEALAND FILM

COMMISSION (NZFC)

The NZFC has the statutory responsibility

“to encourage and participate and assist in the

making, promotion and exhibition of fi lms”

being made in New Zealand by New Zealanders.

The NZFC provides loans and equity fi nancing

to New Zealand fi lmmakers to assist in the

development and production of New Zealand

feature fi lms and short fi lms. The NZFC also

provides script and project development

funding, and supports training and professional

development. The NZFC is active in the sales

and marketing of New Zealand fi lms and

operates a sales agency that represents New

Zealand at major international fi lm markets and

festivals.

NEW ZEALAND FILM

PRODUCTION FUND

The New Zealand Film Production Fund, known

as the “Film Fund”, was established to invest

in bigger-budget New Zealand fi lm projects

than those able to be produced with NZFC

investment. The Film Fund was given a fi xed

sum of $22 million (inc GST) in 2000 and a

maximum period of eight years to spend this on

six to eight fi lms. The Film Fund is a commercial

investor and requires producers to seek offshore

relationships and funding. By 2005 it had

invested in fi ve features. It is administered by

the NZFC.

NEW ZEALAND TRADE AND

ENTERPRISE

New Zealand Trade and Enterprise is the

government agency charged with helping

New Zealand businesses to achieve success.

It has a range of programmes to assist business

development, investment attraction and

international marketing.

NZ ON AIR(New Zealand Broadcasting Commission)

NZ On Air’s purpose is to “refl ect and foster

the development of New Zealand culture and

identity”. NZ On Air allocates funding for

television production and some fi lm production.

Broadcaster commitment is a prerequisite for

NZ On Air fi nance. This has been effective

in ensuring that there is an audience for a

programme before funds are committed.

TE PUNI KOKIRI(Ministry of Maori Development)

Te Puni Kokiri (TPK) is the government’s adviser

on Maori issues. It aims to improve outcomes

for Maori and ensure the quality of government

services delivered to Maori. TPK oversees

Te Mangai Paho and the Maori Television Service.

TELEVISION NEW ZEALAND(New Zealand Broadcasting Corporation)

(See “Television Broadcasters”.)

TE MANGAI PAHO

Te Mangai Paho was set up “to promote

the Maori language and Maori culture by

making funds available for broadcasting and

the production of programmes”. Te Mangai

Paho helps production companies to achieve

economic stability and good business practices,

and to develop quality programmes that will

assist better economic outcomes.

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02323

NEW ZEAL AND SCREEN COUNCIL

Level 5, Gleneagles Building,

69-71 The Ter race

PO Box 8041, Wellington

P +64 4 914 0148

F +64 4 914 0149

E info@nzscr eencouncil.co.nz

W W W . N Z S C R E E N C O U N C I L . C O . N Z