"If we look at the trend in Hollywood these days, they are focusing a lot on larger-than-life films and animation. Producers there believe in making more children films as they feel that with a child, his parents will also go to see a film," Manoj said here on Monday at the second edition of Smile International Film Festival for Children and Youth (SIFFCY).
"In India, we don't have that much patience when it comes to animation. Producers want to make money in hurry. But to make a good animation film, you need three to four years. That much patience is not there in Indian producers.
"Our animation studios are mainly working for Hollywood. Hollywood outsources our talent, but we are not using it and respecting it," he added.
Manoj, who has done films like "Satya", "Shool", "Pinjar", "Gangs of Wasseypur" and "Aligarh", says Indian film producers are more concerned about getting money and less about talent and content in films.
"In our industry, they (producers) don't take you because of your talent, they take you because of the business that your last film has done," Manoj said.
"Somehow, the distribution network of India is not working properly... And this situation has been there for a long time. Also, there are less cinemas in India. The existing cinemas are all captured by mainstream films as producers only want money," he added.
Manoj feels if we need to make more of off-beat films, then "we have to think of a parallel distribution network which is still not there".
"I am optimistic that tomorrow things will be much better. Business is still dominating films, but what new is happening now is that off-beat films are now getting a chance to release in cinemas. Though they are screened for a short period, that is fine," Manoj said.
"When I was doing theatre, at that time films of Shyam Benegal and Govind Nihalani were given a single show in a state like Delhi. But now films like 'Budhia' and 'Aligarh' are getting released. This is a change in itself," he added.
Manoj is "happy" that more of subject-based films are being made and appreciated all across the nation.
"I have been a part of Indian entertainment industry since the last 20-21 years. I have gone through lots of ups and downs because when I got recognition with 'Satya', it was there in my mind that I am going to work in films that I believe in.
"But what you believe in, is not accepted so easily at the box office. So after that, your market value will go down and once that happens then offers stop coming to you," he said.