Bollywood writer-director Sudhir Mishra says the Indian film industry is failing to produce good films as most producers are not literate enough to understand scripts that have elevated content and are putting in money for time tested subjects.

"To produce good films, it requires original work which is sometimes risky to put in money for. Our producers mostly give money for subjects which ensure them good returns and are sceptical to fund a script which is different from the rest that are churned out," Mishra told in an interview.

"In an industry where mediocre scripts rule, producers have got into the habit of compromising with content. I also feel that most of them are illiterate to understand good subjects," he said.

"The basic problem is that audiences also see bad films and hence producers prefer to give money for rip offs or stories that have been used before and can land hits. It is such a farce that we shout against piracy when we are operating on rip offs."

Mishra, who has written for some acclaimed films like "Jaane Bhi Do Yaaron", "Dharavi" and "Calcutta Mail", added that the film industry has to take some risks to support quality films.

"In recent years, everyone has seen that we can produce commercially successful films which need not follow the time-tested formulas," he said. "More and more producers should support such ventures for the good of the industry."

Mishra has directed films like "Hazaaron Khwaishein Aisi", "Is Raat Ki Subah Nahin" and "Chameli" and is currently making "Khoya Khoya Chand". It stars Soha Ali Khan, Rajat Kapoor and Shiney Ahuja in a romantic drama set against the backdrop of the 1950s.

Rajat and Soha play the role of celebrated actors of that era in the film.

Mishra said that though small budget films without having acclaimed actors could do good business at the box office, it is a star cast that always helps a movie maximise its returns.

"Lot of people go to see a movie because of its star cast. They are not interested in what the story of the film is. Having big stars always maximises returns for a film," he said.

"Moreover if you have big stars, it makes the film less risky for producers to come forward and support it.

"Stars have always been a rage in the country. Even now people follow what their favourite stars are wearing and then buy similar saris and clothes."