Total production activity in Canada tipped over the $3-billion mark for the first time in 1997/98, up from $2.9 billion the previous year, according to an economic profile of the industry prepared by PricewaterhouseCoopers.

cavco-certified production levels accounted for $1.09 billion of the $3 billion total, a slight rise from $1.08 billion a year earlier. Foreign location shooting was worth $818 million in comparison to $768 million in ’96/97, with the remaining $1.09 billion resulting from in-house broadcaster, non-cavco and non-theatrical production.

These statistics form part of the third annual profile of the Canadian film and tv industry commissioned by the cftpa and l’Association des producteurs de films et de television du Quebec. PricewaterhouseCoopers based the report on data from cavco, Statistics Canada, the crtc, the cbc and the Department of Canadian Heritage.

The report shows that since ’91/92, film and tv production in Canada has nearly doubled in size from $1.6 billion to the $3 billion high. The report indicates that between ’93/94 and ’97/98, the industry has grown at a rate of 7.2%.

Foreign location shooting has risen dramatically over the past five years, worth $211 million in ’91/92 and valued at $818 million in ’97/98.

Indigenous production, however, has faced some setbacks. While cavco-certified production grew from $569 million in ’91/92 to $1.2 billion in ’95/96, production levels fell off in ’96/97 to $1.08 billion, recovering slightly in ’97/98 to $1.09 billion. The study says the decline was a result of the transition to the new Canadian film or video production tax-credit program, changes in eligibility criteria, and a resulting shift away from private investment to the provision of tax credits.

Total budgets of cavco-certified television programming decreased by $77 million in ’97/98 to $1.6 billion.

The category of fiction, music, variety and performing arts faced a $41-million drop, accounting for $569 million in budgets in ’97/98.

Documentary programming fell slightly to $80 million from an all-time high of $87 million the previous year, and children’s production dropped to $157 million from $170 million.

Indigenous feature filmmaking increased by $97 million in ’97/98 to $250 million. However, the report shows that the level of activity of theatrical production has been inconsistent over the past seven years, rising and falling annually by margins of 30% to 50% .

Regionally, Quebec and British Columbia posted dramatic increases in production activity.

Quebec’s cavco-certified production jumped by $100 million and foreign location shoots rose by $45 million. Overall production activity in the province reached $976 million, up from $821 million a year earlier.

b.c.’s indigenous production climbed $13 million and location shooting increased by $65 million for an overall tally of $591 million in production, as compared to $505 million in ’96/97.

The Prairie provinces felt a growth spurt in ’96/97, with production rising by $90 million to $193 million. However, volume fell $30 million to $163 million in ’97/98, with a 48% decrease in foreign location shooting in Alberta a large factor in the drop.

Saskatchewan asserted itself in the area of indigenous production, with cavco-certified production budgets soaring to $17 million in ’97/98 from $6 million in ’96/97.

Ontario registered a decline in activity, with total budgets falling by $150 million to $1.2 billion. The lion’s share of the drop was faced by cavco-certified production, which plummeted by $100 million. Location shooting fell $30 million.

Atlantic Canada’s volume of activity has remained fairly constant over the past four years. The ’97/98 total was $65 million, a $1 million increase over the previous year and a $1 million drop from its ’95/96 high of $66 million.

Overall, the foreign revenue collected from film and tv production in Canada (including presales and distribution advances on cavco and non-cavco projects, as well as non-theatrical exports) jumped from $891 million in fiscal ’95 to $1.2 billion in 1996 and held steady in 1997.

Broken down, however, presales and distribution revenue reported on cavco projects fell slightly to $278 million from $330 million a year earlier. Non-cavco and non-theatrical projects had foreign revenues rise to $123 million from $119 million, and revenue collected from foreign shoots in Canada rose to $818 million from $768 million.

Foreign financing derived from treaty coproductions grew to $247 million, an increase of $90 million over the previous year.

The level of public financing in cavco projects declined by 3% in ’97/98, accounting for 18% of total financing. The report finds that levels of public financing have varied over the past seven years, from the low of 11% of total financing in ’94/95 to a high of 21% in ’96/97.

While spending by private, specialty and pay-tv on acquired Canadian programming grew between 1992 and 1996, spending declined 5.4% in the ’97 fiscal to $180.7 million from $190 million a year earlier.

Of the ’97 expenditure, specialty tv spent $94.8 million (from $100.5 million in ’96/97), pay-tv spent $14.2 million (from $15 million a year earlier), and conventional tv spent $71.7 million (from $75.5 million the previous year).