New Zealand and India to negotiate movie pact

New Zealand and India will negotiate a film co-production agreement, it was announced in Wellington on Tuesday.

"The aim is to expand and facilitate co-production to benefit film makers in both countries, and to develop cultural and economic exchanges," New Zealand Prime Minister Helen Clark said in a statement.

New Zealand was a popular location for Bollywood filmmakers for some years but they have stayed away recently, citing lack of government incentives compared to other countries.

Kuran, a production company based in Christchurch, used to work on up to 27 Bollywood films annually, but was involved in only one in the past year, Radio New Zealand reported.

"Films made jointly by New Zealand and Indian producers would qualify as works with national status in both countries, making them eligible for government support and facilitation," he said.