Incentives, dollar exchange rates, travel and labor costs, and production infrastructure all play key roles in helping producers determine the perfect location to get the most for their money. Almost 10 years ago Canada introduced a highly successful program that lured many Hollywood productions north of the border. The Canadian currency was weak and labor costs were lower, so it made fiscal sense for productions to look to save some money and get more bang for their buck. Since then, incentives like tax credits and rebates began cropping up everywhere.

Now it seems the tide has turned. “Based on current film activity forecasts worldwide, U.S. producers will have less production in foreign jurisdictions offering incentives during 2008 compared to recent years,” says Marco Cordova, director of business development for Entertainment Partners. “Major factors for declining film activity abroad include the weakness of the U.S., dollar compared to other major currencies, and more incentives offered by U.S. state and local jurisdictions."

Other countries are still in on the action, though it’s exceedingly difficult to keep up with the rapidly shifting and über-competitive climate. “Last year Germany and Australia unveiled new incentives,” explains Cordova, “that will help these jurisdictions attract foreign productions during 2008.” The Czech Republic was hot last year, though a lack of government support this year has led to a decline, including losing big motion pictures like the sequels to Hellboy and 007’s Casino Royale, but pending legislation could change it all again.

Everyone is “intensely interested in financial incentives,” says Bill Bowling, worldwide locations executive for Warner Bros., though he cautions that it is sometimes cheaper to shoot in a location with lower costs than in a place with high costs and great incentives. It all depends on the project and the elements involved.

To help you with your search for the most cost-effective international locations to shoot in, here is a list of some of the fastest growing areas. Things change rather quickly, however, so please verify that the following information is still relevant before planning your next shoot.