BIG DEVELOPMENT: PVR INOX proposes to SCRAP VPF for all films; move comes a year after Jolly LLB 3 controversy; Saiyaara, War 2 ‘sunset clause’ revelations

In a significant development for the Indian film exhibition sector, PVR INOX Limited has proposed to completely discontinue the Virtual Print Fee (VPF) charged to film producers.

The proposal has been submitted before the Competition Commission of India (CCI), which has now invited comments, objections and suggestions from the public and industry stakeholders until October 1, 2026.

The matter relates to Case No.

42 of 2023 involving The Film and Television Producers’ Guild of India Limited and PVR INOX Limited.

In September 2025, the CCI had directed an investigation into alleged contravention of Section 4 of the Competition Act.

PVR INOX subsequently filed a commitment application under Section 48B of the Act.

As per the non-confidential summary, the CCI had prima facie raised concerns over PVR INOX's continued levy of VPF.

Among the allegations were that certain Hollywood and Hindi film producers were not required to pay VPF while others were, that the upfront payment could pose difficulties for small and medium-sized producers to be released in cinemas, and that the charge was allegedly not linked to any specific service provided by PVR INOX.

To address these concerns, PVR INOX has proposed that VPF – and, importantly, any upfront payment from film producers irrespective of the language of the film – will cease within 120 days from the date the CCI accepts the commitments.

Instead, producers would be given two choices.

Under the first option, they can pay a weekly per-show Exhibition Service Charge (ESC) of Rs.

450 for standard screens and Rs.

600 for premium screens.

After the film completes 60 shows, the rates would fall to Rs.