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Expenditure and costs

Information is for the 2008 financial year, and for the 2008 financial year compared with the 2007 financial year unless otherwise stated.

Screen production companies 

  • Expenditure by screen production companies was $875 million. 
  • Of total spending, $357 million was spent on producing television programmes, up from $301 million in 2007.

Note: Before 2008, expenditure on feature films included expenditure on short films. From 2008 short films is included in ‘other’. 

  • $346 million was spent on producing feature films, 45 percent more than the $238 million spent on feature films and short films combined in 2007. 
  • Total expenditure increased 30 percent, with most of the increase attributable to the Wellington region. 
  • Expenditure in Wellington more than doubled, up from $128 million to $285 million. 
  • Auckland continues to be the region where screen production companies spend the most money, accounting for $491 million of total expenditure.

Equipment and facilities 

  • 900 businesses reported purchasing or upgrading equipment or facilities. More than two-thirds of these businesses invested in equipment for production. 
  • $197 million was spent on purchasing and upgrading equipment and facilities, an increase of 95 percent over 2007. 
  • 42 percent of investing businesses spent money on equipment for post-production. 
  • Of the five areas of investment, businesses spent the most money on purchasing or upgrading equipment for distribution, exhibition, and broadcasting. 
  • Spending on equipment for distribution, exhibition, and broadcasting was $82 million, or 42 percent of investment spending. This amount was more than six times the investment for this area in 2007. 
  • 36 businesses spent $27 million on the purchase or upgrade of land and buildings.

Cost movements 

Businesses were asked to indicate whether, in their opinion, costs for certain inputs had increased, decreased, or stayed the same over the previous financial year. 

  • Around one-third of all businesses in the screen industry felt that overall crew costs, digital technology, and production services costs had increased over 2008. 
  • The proportion of businesses with this opinion differed depending on the type of business. (Businesses were allocated to one business type only, based on their primary activity.) 
  • Of screen production companies, 47 percent felt that crew costs had increased, 46 percent felt the cost of production services had increased, and 42 percent felt that digital technology costs had increased. 
  • Around 30 percent of contractors felt costs had increased for each of: overall crew, digital technology, and production services.

See tables 21–22 and 28–39 under Available files for more information on expenditure and costs in the screen industry.

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