by Datuk Kamil Othman
Amid the recent ASEAN Summit 2025, my thoughts wandered away to the possibility of establishing a Common Market for ASEAN Films.
We use the term’ film’ in a nostalgic way, but it can now also include other forms of multimedia content production, of course.
Back to the Common Market. It is not an original concept, as the Europeans have been doing it for years. But for us and ASEAN, it will be one historic step forward. What this means is that film production within ASEAN can be made together and in collaboration with fellow ASEAN nations, freely using resources from within ASEAN itself – whether talent, technology, marketing, distribution and financing – to formalise a collective market within ASEAN, a market that is now potentially worth billions.
Seeing how the world has changed in terms of the consumption of content, this will be a good move. Let’s see how this very idea could change the current “in the box” landscape.
To make a film in Malaysia today, any producer will be dependent on limited sources of funding. The most obvious will be the National Film Development Corporation of Malaysia or FINAS (observe the queues whenever the grants are opened), but there again, this agency is about support, and not financing, which is quite understandable since it is public money.
Other than FINAS, other sources would typically include own money and other private investors if one is lucky enough to know (and convince) them. Assuming funds have all been secured, and the film gets made, then there is the need for marketing, promotion and distribution.
Fortunately for Malaysia, there is a Skim Wajib Tayang. This means any local film must be shown in local commercial cinemas here by law. For two weeks under the law, however, there is a caveat that should attendance drop below a certain percentage for the first few days, then cinema owners can either reduce the number of screens or pull it out altogether.
This is still very much a domestic hand holding initiative. Usually, unless if the publicity and promotion is good, and the public comes in droves to watch the film, a local film will not stand the chance of a longer life at the local Box Office.
Typically, after the cinema runs, the film might go to other platforms, Netflix, VIU and its ilk. As for overseas distribution, we know that noble attempts have been made by many distributors here but generally Malaysian films are a hard sell to other countries for a variety of reasons. This is the real “as is” tale of locally made films.
Taking all that into account, a Common Market environment might be able to take us out of the box. Yes, all these years despite humongous Government support, we are still boxed in.
Imagine, under the Common Market concept, where as a matter of policy and under an agreement between all ASEAN countries, firstly, films can be made using resources in any ASEAN country, and secondly, once made, the films can freely move within ASEAN countries.
That means the “going beyond our shores” part is partially resolved. The films must be of good quality and standard. But this will come naturally as local producers become more aware (unlike now) of what sells.
Under the understanding that there is freedom of movement of resources under the Common Market when it comes to producing films, Malaysian producers can tap on this brave new digital world and undertake co-productions, thus encouraging a new way for the film business in this country to be organised and facilitated.
They will have access to ASEAN-wide financing, training, casting, technology utilisation, marketing and promotions. The EU has been doing this for years, in recognition that no country is an island when it comes to the production, financing and monetisation of films.
Films are expensive to make, and any investor is careful about his ROI (return on investment) and has to be convinced that what he or she is investing in can travel far and wide.
It is common in Europe that sources of finance could be multi-national including distribution deals for multiple countries, including pre-sales even while the films are in development. The whole idea is that producers should try to do anything viable to get their films to travel far and wide.
This is what the ASEAN Common Market can gradually facilitate. The ASEAN Common Market initiative, which can include ASEAN++ (meaning Korea, China and Japan), will open up the possibilities of Malaysian producers now looking for collaborations with their counterparts outside Malaysia.
Amongst them, to decide on scripts of common interest, and to secure a bigger budget through their own business plan, and most importantly, expand the market reach and depend less on Government funding.
At present, not many Malaysian distributors are familiar with overseas territories. The ASEAN Common Market connections can then catalyse the learning curve so that local producers can find out how “How To Make Millions Before Grandma Dies” actually made millions or how Indonesian horror went global or how “Upin & Ipin” penetrated the Indonesian market.
Such interactions with ASEAN filmmaking communities leading to more collaborations are not to be underestimated. Co-productions have the tendency to create the right environment for Malaysians to learn from others.
For example, a production of Mahsuri, using both local and Thai talent and money. In this instance, a distribution deal or pre-sales in Thailand will be assured right from the start because the Thais are involved. Likewise, a Malaysian producer can make a film based on a Timor Leste folklore, and hire an Indonesian director to direct it and get on board Filipino, Cambodian and Singaporean talent (and financing). Its distribution in Timor Leste as well as the countries from where some of the talent come from, will be a given.
The main criterion at the end of the day is who owns the IP or intellectual property. No different from Nike shoes being made in China, but the IP belongs to the company in the USA. In many ways, Malaysia is already familiar with the mechanics of co-productions. Our very own Tiger Stripes (Malaysia’s submission to the Oscars in 2024) had funding from more than six countries, yet it is still a Malaysian film.
Abang Adik (Malaysia’s submission to the Oscars in 2025) is another example, technically funded by both Taiwan and Malaysia, but it is a Malaysian film. Both are prime examples of what cooperation and collaboration can achieve.
Additionally, way back in the early 2000s, many animation projects were Malaysian co-productions with South Korea, Japan and Australia. Those early days of learning and collaborating are now paying off with Ejen Ali raking in millions at the local Box Office and BoBoiBoi becoming a household name in Japan.
Even today, many Malaysian performers and technical experts are already working outside Malaysia. It is timely and ready to go, taking advantage of cross-pollination of talent and technology. Malaysian creatives are working together with creatives from other ASEAN countries to produce films with universal themes.
How about implementation?
If we are serious enough, we can propose that ASEAN nations look at their legislation and policies on taxes, investment parameters, immigration, import permits and other aspects with a view of streamlining or custom-fitting them to the ideals of a Common Market.
For Malaysia, it will be no different from the concessions or collaborative efforts already in place. We already have the experience of the MSC, where there were guarantees to attract ICT companies from all over the world.
The streamlining will also help complement our currently standalone Film in Malaysia incentives (FIMI), and the cyclical disbursement of grants to hopefuls in the country.
The ASEAN Common Market will be our best entry point into universality and globalisation, and to optimise the economic multipliers, including the impact on tourism and other sectors, and create opportunities most organically.
Datuk Kamil Othman was once Chairman of FINAS
WE