“The strike is off and all theatres across the states are open again,” said Nester D’Souza, president of the Cinematograph Exhibitors Association of India, which represents theatre owners.
He said the government of Maharashtra, of which Mumbai is the capital, cut taxes on cinema tickets from 55 to 45% and allowed cinema owners to increase the service charge on each ticket from two to four rupees (four to eight US cents).
The theatre owners had gone on strike on 17 October, demanding the ticket tax should be reduced to 30%.
The strike came at the start of the festive season for the Hindu holiday Diwali, a traditionally high-earning season for Indian cinemas.
D’Souza had earlier estimated the government would lose 15 million rupees ($326,000) a week in revenue from the strike during Diwali.
Bollywood is releasing a number of films for the Diwali season, including Pinjar (Skeleton), Raja Bhaiya (Brother Raja) and Love in Nepal.