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The first Malayalam film, "Balan," was released in 1938, marking the beginning of the industry. Initially, films were produced in Tamil Nadu and Kerala, with many artists and technicians from other parts of India contributing to the industry. The early years saw the rise of mythological and social dramas, with films like "Nirmala" (1941) and "Snehamulla" (1948). These films reflected the social and cultural values of Kerala, showcasing the lives of ordinary people and mythological stories.