Pact plans to merge with TeledwyrAnnibynnol Cymru (TAC)/Welsh Independent Producers, which representsindependent TV companies in Wales.
The groups have agreed tomove towards a formal merger. The Welsh body will have access to Pact's greaterresources and lobbying power. TAC currentlyrepresents about 70 businesses.
TAC said it expected abilingual strategic board to be established, and its office in Wales would be bilingual as well. A new Director For Wales will be appointed to Pact's Nations and Regionspolicy group.
Dafydd Rhys, chairman of TAC, said: "Pact has excellent resources at its disposal which will benefittelevision and film producers in Wales as they evolve and adapt to the fast pace of changein the sector. The decision to merge with Pact was not taken lightly but it wasa unanimous one by the TAC Council. The decision reflects the evolving needs ofcompanies in Wales as they grow and exploit new markets in this increasingly competitiveand technology driven marketplace."
Pact chair Alex Graham added: "Pactwelcomes the merger with TAC and the opportunity to create a truly pan-UK tradeassociation which represents the interests of all independent producers in the UK."