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Australian local content threatened by US

Screen Australia has today released the Federal Government’s  convergence review, ‘Convergence 2011: Australian Content State of Play’ which revealed Australian local content was diluted by international products across the digital, multi-channel networks.

Since 2008, the hours of foreign content on free-to-air (FTA) television have increased 154 per cent greatly outstripping the growth in Australian content at 59 per cent.

Commercial free-to-air broadcasters are still the most significant investor in Australian screen stories and their main channels screen above the quota of 55 per cent Australian content required by the Australian Content Standard. When including the digital multi-channels however, where there is no content requirement, there is significantly less Australian content.

When including the commercial network’s multi channels Australian content accounts for 35 per cent of hours and 33.7 per cent of audience.

When considering drama-only, Australian content makes up 7.8 per cent of hours and 9 per cent of audience share. UK television makes up 9.3 per cent of hours and 8.4 per cent of audience share while, US content accounts for a whopping 81 per cent of broadcast hours and audience share.

On the ABC, the review found, “Australian content accounted for 60.4 per cent of hours broadcast on ABC and its multi-channels, attracting 56.3 per cent of the ABC audience, in the first six months of 2011. On SBS, with its multicultural brief, Australian content accounted for 18.4 per cent of hours and 42.3 per cent of SBS’s audience.”

On top of local broadcast dropping, the audience numbers for local content has also dropped from 60 per cent in 2008 to 51 per cent in the first six months of 2011.

It’s cheaper to buy pre-packaged, high-rating products from overseas such as Two and a Half Men or on digital channels, re-run old US programs than to produce content. The review states, “As a result, more than 70 per cent of the commercial FTA broadcasters’ drama expenditure relates to foreign drama.”

When equating the costs for a broadcaster, the licence fee for an international drama per hour can cost between $100k-400k while the cost of Australian drama is $350k-1.4m (Aus Broadcaster contribution to production, licence fees, presales, equity investments etc).

Fiona Cameron, Screen Australia’s Chief Operating Officer said, “The strength of the US audiovisual sector is unsurpassed and the trend to greater levels of foreign content will only continue unless new ways of accommodating Australian stories on Australian screens are contemplated. Australia has a unique sense of national identity and an important Indigenous history. Australian stories reflect this sensibility and not only provide a valuable cultural contribution to our society but, importantly, generate a significant investment to the economy,” she said.

A review released earlier this week found that the film and TV industry contribute $6.1B to the local economy .

Television remains the most consumed medium of screen content. In 2010 96 per cent of people aged 14 years and above indicated watching three hours of TV (free to air or Subscription)a day in the preceding week. Homes with subscription TV watch four extra hours of TV per week.

To view the full report, visit Screen Australia.

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