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12
T H E C 1 X B T E (' H N JCIA X
May-June, 1080
SURVEY OF FILM PRODUCTION STATISTICS
Preliminary Results of the Import Duties Act Inquiry
Reprinted from THE BOARD OF TRADE JOURNAL
lOK the purposes of this Inquiry, the trade was regarded as comprising the following four classes of firms : —
(//) producing firms that owned studios;
(6) producing firms that hired studio space and. in
many cases, equipment and services; (r) owners of studios that produced no pictures but
let out studio space and services to producing
firms ;
((/) firms carrying out other services on behalf of producing firms.
The printing of cinematograph films was regarded as forming a distinct trade and no particulars are included in these tables relating to firms whose business consisted wholly or mainly in that branch of the industry.
The number of returns received was 134, and the results are believed to be fully comprehensive of the industry in the United Kingdom. Under the Import Duties Act. particulars relating to the lease and hire of studio Bpace and equipment could not be obtained compulsorily and were accordingly asked for as voluntary data. The Hoard of Trade were assisted in the Inquiry by the co-operation of all firms in the industry, and all the details required, whether compulsory or voluntary, were furnished with reasonable accuracy and promptitude.
Period Covered.— The period covered by the Inquiry was the calendar year 1937, but firms whose year of account was not the calendar year were given the option of making returns for a business year ending not later than 8th April, 1938.
Output. — Firms that produced cinemtograph pictures were required to value their output on the basis of the total cost of production, which was defined as covering all payments for materials and fuel purchased and used, salaries, w ages and other overhead charges properly attributable to the work carried out, including payments for copyrights, hire of studios, etc. Owners of studios letting out space, equipment, etc., to producing firms returned as the value of their output the total amounts received by them in the year for these services.
The production of cinematograph films is not necessarily completed within the limits of the producer's business year, and in order to obtain an accurate measurement of the value of the output in the twelve months, the details of pictures produced are divided into three sections, viz. : —
Table II A. — Films produced wholly within the year of return; for these films the number, total length and cost of production are given.
Table II B. — Films completed in the year of return but not wholly produced in that year; the number, total length and cost of production of such films are shown, together with the cost of the "Work in progress at the beginning of the year," this last item being shown as a deduction from the total cost in order to arrive at the correct valuation of work actually carried out in the year.
Table 11 ('. — Films begun during or before the year of return and not completed at the end of the year; for these films, only the cost of the work done in the year can be shown.
Materials and Fuel. Firms were instructed to return only the cost of materials and fuel which they themselves purchased and used in connection with their output in the year. .Materials, etc., purchased by the studio owners and let out on hire to producing firms were included in the returns of the former but not of the latter firms.
Persons Employed. — The numbers shown relate only to persons employed in the specified weeks. These weeks may not. however, coincide with the periods in which production of cinematograph films took place, and in view of the irregularity of employment the "average" numbers shown in the tables may not be strictly representative.
Net Output. — This figure. Bhown in Table I, represents the value of the gross output less the cost of materials,, fuel and electricity purchased and the amounts paid for work given out and for the hire of studios, equipment and services. It forms the fund out of which wages and salaries and other overhead charges have to be provided.
Owing to the necessity of avoiding disclosure of particulars relating to the business of individual firms, certain items of information are shown under more general headings than those under which they were originally furnished.
Table I. — General Summary
Unit
1937
Value of gross output ...
£'000
7.i&3
Cost of materials, fuel and electricity used
899
Amount paid for work given out
323
Amount paid for hire of studios, equipment
and services
1 ,064
Net "output
4.877
Average number of persons employed
No.
7.785
Net output per person employed
£
626
Number of returns
No.
134
Table II. — Output
Detailed particulars in the form in which returns were furnished as shown in Tables II A — P. The results are summarised below.
Gross output
^'000
Work done in the year of return: —
On films produced wholly within the year ... ... 3,652
On films completed in the year of return but not
wholly produced in that year ... ... ... 790
On films begun during or before the year of return
but not completed by the end of that year ... 1,267
Total — Work done on films in the year ... ... 5,709
Receipts for hire of studios, equipment and services 1,337* Receipts for other work ... ... ... ... ... 117
Total ... ... ... ... ... ... 7.163
* Amount received.