The movie, titled 'Ini Mazhayulla Nattilekku' (Now to a Rainy Country), will tell the story of an Indian family living in Dubai, their struggles to cope with the loss of loved ones and their fight for compensation, The National report said.
"It is about the problems faced by the family here and at home in India," said director Shaheer Ummer, who is in Dubai for the shoot.
"The objective of the film is to highlight the tragedy, and the mental and financial impact it still has on people who lost their family members, and open the eyes of the government so it will take steps to prevent this from happening again," Ummer said.
Compensation payments have been a contentious issue for family members. Air India paid 1.15 billion rupees in compensation in 2012, but the case is still being heard by India's Supreme Court.
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Ummer was working for a cosmetics company in Sharjah when the crash happened. He has spent the past two years researching the crash, interviewing survivors and families of the victims in Dubai and India, the report said.
Shooting is expected to commence in the next three months and be completed in 45 days. It is being produced by Golden Seven, based in the UAE.