Filmmakers Globe-Trotting for Exotic Locations, Subsidies Add Extra Charm

While ace director S. S. Rajamouli thanked the Kenyan government for permitting him to shoot his upcoming film SSMB 29, the trend of Telugu filmmakers globe-trotting for exotic locations is only getting stronger.

Recent biggies like The Family Star and Manamey were shot in the U.S. and London, respectively. Beyond the visual appeal, these locations also come with another perk—foreign governments often reimburse a portion of production costs as part of tourism promotion. Countries like the U.K., U.S., South Africa, Europe, Australia, Dubai, and Kenya reimburse anywhere from 20% to 50% of the expenditure incurred on their soil.

“It is true that foreign countries partially fund Telugu films shot in their locales, easing the financial burden on producers. However, the process isn’t simple—filmmakers must tie up with local production houses, undergo audits, and clear other formalities,” admits producer Abhishek Nama, who shot the Grand Canyon in the U.S. and Dubai’s deserts for Saakshyam. “Some filmmakers do sign reimbursement agreements with governments and the percentage is fixed accordingly,” he adds.

Industry buzz suggests that ace producer Anil Sunkara reportedly pocketed over ₹10 crore from the U.K. tourism department for Mahesh Babu’s 1: Nenokkadine, sparking a trend in Tollywood. While Sunkara remains tight-lipped—“We received a small subsidy from the U.K. for using their locations, but what impressed us more was the hassle-free shooting”—his colleague, producer B. V. S. N. Prasad, acknowledges both the pros and cons.

Having shot films like Nannaku Prematho, Tholi Prema, and Mr. Majnu in London, he notes, “Getting subsidies is not as easy as it sounds, and the final amount is modest after loads of paperwork. Our choice of locations was driven more by story demands than subsidies.”

Director Hemant Madhukar, who filmed Nishabdam with Anushka Shetty in the U.S., shares a creative perspective: “Shooting in new environments energizes a director and enhances visual imagination. Subsidies may be an incentive, but we didn’t choose the U.S. for a few dollars.” He adds that such settings resonate with today’s audience: “Almost every Telugu family has someone working or studying abroad, so viewers feel a stronger connection with stories set overseas.”

However, subsidies come with strings attached. Some countries demand prominent showcasing of tourist spots, while others impose stricter regulations. Dubai, for instance, insists on script approvals, prohibits drone usage, and disallows content that portrays any community negatively. European nations, on the other hand, encourage extensive filming of iconic landmarks, sometimes offering up to 50% reimbursement.

As Abhishek Nama sums it up: “While the allure of subsidies and scenic backdrops is undeniable, filmmakers must also navigate creative restrictions that come with shooting on foreign shores.”