A multi-million dollar deal between giant Hollywood production house Dreamworks and India’s Reliance Big Entertainment group, could see India emerge as the centre for global film financing.

According to Timmy Kandhari, head of media and entertainment practice at PricewaterhouseCoopers (PwC), more Hollywood studious and independent studios might follow Dreamworks lead, resulting in more productions and greater exposure for Indian films in the US.

“If through this arrangement, Reliance can get their home productions shot in Bollywood in to the US market, then Indian films and Bollywood will get better mileage,” Kandhari said.

Under the terms of the deal, Dreamworks, owned by Hollywood heavyweight producer Stevjn Spielberg, will make six films a year over the next three years with India’s Reliance Big Entertainment, with the productions to be distributed world-wide (except in India) by Walt Disney.

Anil Ambani, head of Reliance Group, said, the outlay of $US825 million is what we are aiming at in the next three years - $US325 million will be in the form of equity, $US150 million will come from Disney, while the rest will come from banks and others.”

However, while some see the deal as having the potential for increasing the Bollywood presence in the world of movie making, others are not so sure.

Jehil Thakkar, head of KPMG’s media and entertainment practice in India said, “the funding size of this deal is much lower than what we expected. It does not do much for Bollywood or India practically.”

Thakkar said at the end of the day, Dreamworks will continue to make Hollywood films, in Hollywood.

According to industry sources, Hollywood films generate only around three percent of the Rs12,000 crore ($US2.466 million) Indian film industry’s annual revenues.

Last year, Reliance tied-up with firms of such stars as Brad Pitt, Tom Hanks, Julia Roberts, Nicolas Cage, Jim Carrey and George Clooney, to develop Hollywood projects