MUMBAI: At a film festival forum at the ongoing Shanghai Film Festival, Technicolor and the Shanghai Film Group (SFG) formed a joint venture company in order to serve the increasing demand in China for post-production services both in filmed entertainment and advertising.

The agreement was signed by Technicolor CEO Frédéric Rose and Ren Zhonglun, president of SFG. The joint-venture comes at a time when many Western media companies are looking to set shop in the East for new market opportunities.

Technicolor and state-run SMG will offer China‘s film, TV, animation and advertising producers‘ digital post-production services ranging from the visual effects increasingly seen in box-office hits and TV commercials, to the forensic watermarking used to try to limit widespread copyright infringement.

The Shanghai-based joint-venture will set up its office in the coming months with a few employees.

It is Technicolor‘s second operation in China; the first was established in Beijing in 2008.