The Malayalam film industry in Kerala is preparing for a complete shutdown on January 22, 2026, as film organisations across the state plan to observe a one-day token strike.
The move comes after months of waiting for the state government to respond to long-standing demands that industry members say are critical for their survival.
According to reports by 24, the strike is meant to serve as a final warning rather than an immediate confrontation. However, industry representatives have made it clear that this pause could quickly turn into an indefinite strike if meaningful action does not follow.
Many within the industry feel they have reached a breaking point after repeated discussions failed to deliver results.
On the day of the strike, cinema halls across Kerala will remain closed, with no film screenings taking place. All film-related work will also come to a halt. Shoots will be cancelled, production units will stand down, and even post-production work will be paused, bringing the entire filmmaking ecosystem to a temporary standstill.
At the heart of the protest are a few key concerns. One of the major demands is the withdrawal of the entertainment tax that is charged in addition to the Goods and Services Tax.
Theatre owners have also been asking for a special electricity tariff, saying that soaring power bills and operational expenses have made it increasingly difficult to keep theatres running. Industry bodies argue that without immediate relief, many businesses could be pushed to the edge.
Film organisations have warned that if their concerns continue to be ignored, they will have no choice but to escalate the protest into an indefinite strike, which could severely disrupt film releases and employment across the sector.
In the past, representatives from various film bodies had met Kerala Chief Minister Pinarayi Vijayan to personally present their grievances. While the government did hold multiple rounds of discussions, no clear resolution has emerged so far.
In light of the planned strike, the state government has now scheduled another meeting on January 14, with several associations expected to attend under the leadership of the Kerala Film Chamber of Commerce.
The timing of the protest could not be worse for Malayalam cinema. The Kerala Film Chamber of Commerce recently revealed that the industry suffered losses of Rs 530 crore in 2025, largely due to box-office failures.
That year saw around 185 new Malayalam films released in theatres, along with eight re-releases, yet only a small number managed to succeed commercially.
Explaining the situation in a Facebook post, the Film Chamber said, “2025 was a year of major experiments and expectations for Malayalam cinema. Around 185 new films were released in theatres this year. But how many of these films made profits?”
They added, “The total investment in new films came to around Rs 860 crore. Based on theatrical revenue, 9 films can be placed in the super hit category and around 16 films in the hit category.”
The post concluded, “It can be assessed that around 150 films failed in theatres. After excluding films that recovered their investment and those that made profits, 2025 stands as a year in which the Malayalam film industry suffered a loss of Rs 530 crore.”
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