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European Film Funding and Co-productions
MEDIA - the film funding program of the EU
MEDIA is the European Union funding program for support of the audiovisual industry in Europe. It runs until the end of 2005. Three areas – education and advanced training, development, distribution,marketing and promotion – are supported with a total budget of € 400 million. Every member state active in the MEDIA program has a MEDIA Desk, which distributes information. Staff members mail submission guidelines and application forms, handle publicity for MEDIA, and consult and assist applicants with their submissions. It is recommended that those interested take advantage of the comprehensive support offered by the MEDIA Desk, which, in Austria, is situated at the Austrian Film Institute.
Eurimages
The Film Fund initiated by the European Council as a partial agreement in 1989 supports mainly the production of feature film, documentaries and animated movies with theatrical release which are co-productions of at least two member countries. In addition, support is available for the distribution of European films with theatrical release also in countries with no access to the MEDIA PLUS program of the European Union.
Funding guidelines and conditions in the area of co-productions were newly drafted and enforced starting January 1, 2004 to better serve current film production developments in member countries and thus meet the requirements of the film industry.
Funding can amount to a maximum of 15% of the total production costs and cap at € 700,000. If the total production costs lie under € 1.5 million, subsidies of up to 20% can be applied for. Funding will be granted on a loan basis with repayment due with first net producer profits.
Eurimages currently has 30 member countries: Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Latvia, Luxembourg, Macedonia, Netherlands, Norway, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden, Switzerland, and Turkey.
Co-productions
Austria has entered into both bilateral and multilateral international obligations in the sector of international co-productions. The multi-lateral European Convention on Cinematographic Co-Production is a European agreement regarding co-productions of movies with theatrical release which became effective as of January 1, 1995, in Austria. Furthermore, there are numerous bilateral agreements in place with the following countries: Spain, Italy, Germany, Switzerland, France, and Canada.
Upon acknowledgement of an international co-production, the acknowledging countries treat the co-produced film as a “national” film, so that national film subsidies (among other things) can be granted to such a film.
In addition, Austria is a long-time member of the Eurimages European Co-Production Fund and a participant in various EU media projects.
European convention on cinematographic co-production
The agreement applies to European movies with theatrical release. The term is used when a film fulfills a minimum number of conditions set out in Annex II of the Convention. The Convention’s scope of application encompasses
- co-productions in which at least three co-producers are involved who are resident in three different contractual parties (= countries) of the Convention, as well as
- co-productions in which at least three co-producers are involved who are resident in three different contractual parties of the Convention and one or more producers who are not resident in such contractual parties (however, only to a maximum of 30% of total production costs).
In the case of multilateral co-productions, the European Convention takes precedence over any bilateral co-production agreements (Art. 2 Par. 3 of the Convention). The provisions of the bilateral agreements remain in effect, however, as long as they are not in contradiction to the European Convention on Cinematographic Co-Production. Should there be no multilateral convention between countries, the members of which (residency is sufficient) are entering into a co-production, the European Convention shall generally apply to bilateral co-productions as well.
European cinema films considered under this Convention are entitled to the same benefits and advantages like the national cinema films produced by the individual member countries. These benefits are guaranteed to every co-producer by the country in which he is resident, within the framework of the applicable legal regulations and provisions. This refers in particular to national subsidies to be bestowed upon such co-production projects. Conditions include
- minimum investment in a co-production must not be less than 10% or greater than 70% of the cinema film’s total production costs. In the case of investment under 20%, the contractual country involved may decide on a restriction or entire exclusion from national subsidy programs;
- in the case of application of the European Convention to bilateral co-productions, investment in total production costs must be between 20 and 80%;
- Co-producers’ contributions to artistic and technical personnel, performers and technical equipment must be in proportion to their financial contribution, with the exception of the case of financial coproductions (Art. 9 of the Convention);
- Technical personnel involved in filming must, in general, be members of the countries participating in the co-production; postproduction must, as a rule, be carried out in these countries.
In addition, “financial co-productions” are acknowledged, if one or more minority investments are merely of a financial nature. In turn, the national share in each case must not be less than 10% or more than 25% of the production costs. A majority producer must be involved who actually provides a technical and artistic contribution in order to fulfill the prerequisites for acknowledgement as a national film in his homeland. Such film productions will then only be recognized as financial co-productions if they contribute to the promotion of European identity.
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