New Delhi, Dec 8 (PTI) The incentive for foreign filmmakers to shoot in Indian locations "appears to be meagre" compared to international norms, a parliamentary panel has said, and suggested reviewing the rates.

The Standing Committee on Transport, Tourism and Culture in its report -- Role of Indian Missions Globally for the growth of Tourism -- cited Hrithik Roshan starrer "Zindagi Na Milegi Dobara" to highlight how the Spain Tourism Board tied up with the filmmakers for promotions of the film shot there to woo tourists.

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It said that countries offer various types of incentives to encourage movie producers to shoot films in beautiful locations. Most countries offer tax sops in the form of VAT refunds ranging from 10 per cent to 20 per cent depending on the location and the budget of the film.

"Sometimes the governments even bear some cost of the production as films act as advertisements for the country and huge benefits are accrued. The Spain Tourism Board partnered with the Bollywood film 'Zindagi Na Milegi Dobara' for promotions and got a huge influx of tourists that year.

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"The incentives offered by the Indian government appear to be meagre compared to the international norms and the considerable payoffs," the panel said.

It recommended that the Ministry of Tourism may review the incentives provided to foreign film producers as per internationally competitive rates.

The Ministry of Information and Broadcasting has launched a scheme relating to incentives for foreign film producers for shooting in Indian locales.

Under the scheme, international film production companies can claim a reimbursement of up to 30 per cent on qualifying expenditure in India subject to a maximum of Rs 2 crore.

Foreign films shot in India can claim an additional five per cent bonus up to a maximum of Rs 50 lakh (USD 65,000) as additional reimbursement would be granted for employing 15 per cent or more manpower in India.

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)