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The world's two leading movie industries have signed a pact to strengthen production, distribution and commercial ties.

The popular American and Indian film industries - Hollywood and Bollywood - produce the majority of commercial cinema in the world.

The pact also aims at co-productions and encouraging Indian filmmakers to shoot in the United States.

Earlier this year the two industries pledged to crack down on movie piracy.

The pact was signed between the city of Los Angeles - home to Hollywood - and the Indian film industry at a prominent movie studio in Los Angeles, according to a release issued by the Motion Picture Association of America.

"India has always held a fascination for Hollywood, and this agreement pulls us closer together with the aim of sharing ideas and best practices on domestic and international film production," said producer Bobby Bedi, who led the Indian delegation.

He said Indian filmmakers looked forward to "working with the city of Los Angeles to increase Indian productions here".

The mayor of Los Angeles Antonio Villaraigosa said seven Bollywood movies had been filmed in Los Angeles last year and he hoped more would be made.

Studios and production houses in the two industries have partnered in a number of joint ventures and co-productions over the past few years.

Hollywood film studio Dreamworks, co-founded by Steven Spielberg, agreed to a joint venture in 2008 with Reliance ADA Group, a big player in Bollywood.

In March, the two industries launched an "alliance against copyright theft" - there have been allegations that many Bollywood productions routinely lift their stories and themes from popular Hollywood hits.