Dark forces are afoot in the shires of Middle Earth and suddenly Hobbitsia Zealandiensis is an endangered species.
Clouds have been gathering over Hobbiton for some weeks now, but with the entry into the wrangle of Prime Minister John Key and his economic development minister Gerry Brownlee - the latter taking leave from earthquake duty in Christchurch to attend to an upheaval of an altogether different kind - the level of the perceived threat has escalated.
What began as a minor spat, between a few actors seeking a larger share of the Tolkien pie and the Hobbit films' producers, has grown into a dispute that could sabotage this country's productive big screen industry.
On breakfast television yesterday Mr Key said the Government was happy to play a facilitation role in the dispute, and that there had been "tentative discussions" with ministers; and that he would be "greatly concerned" if the Hobbit movies were not a future part of New Zealand's $3 billion industry.
There have been noises from union representatives "hopeful of a resolution", but indications remain that the actors involved do not appreciate what is at stake and how provocative and perilous their actions may yet prove to be.
Energised by the encouragement of its offshore counterparts, New Zealand Actors' Equity has urged its members to adopt a " hold on signing" stance on contracts for work on the two Lord of the Rings "prequels" until Sir Peter Jackson and his production company, Wingnut Films, agree to discuss collective or standardised contracts for work on the movies.
This is an attempt by the actors' representatives to gain parity with their Australian and American counterparts for work on the $204 million-budget productions.
The demands are undermined by the failure of the New Zealand Actors' Equity to file its required "returns" for three years and thus appearing, as of last week, to have been deregistered as a legally constituted union; further, that as a supposedly "autonomous" branch of the Australia-based Media Entertainment and Arts Alliance, its demands have been conspicuously fronted, until the last few days, by the Australian head of that organisation - giving rise to claims that the "boycott" is being led by offshore interests with concealed agendas.
The substance of the actors' claims, or, indeed the appropriateness of Sir Peter involving himself in negotiations which could set precedents affecting the entire industry, are additional grist to the mill.
This dispute is the latest in a series of spats arising from a failure of the actors' unions to reach agreement with Spada, the Screen Production and Development Association, on a universal contract.
Sir Peter is quite right to resist involvement in such negotiations.
The question of remuneration is critical.
Sir Peter has revealed Wingnut Films pays a New Zealand actor in a small supporting role about $5000 a week, significantly more than United States-based Screen Actors Guild minimum pay guidelines of $3800.
On Friday he said that "residual" proceeds from The Hobbit - around which at least aspects of the dispute revolve - would be shared by local actors for the first time.
For their part, the actors unions' insistence over the weekend that there is no "boycott" is disingenuous.
Likewise the claim they only want to sit down and "talk" with Sir Peter.
Equally it might be thought that aspirations to parity with American and Australian counterparts are extravagant, given no other New Zealand occupation or industry industry enjoys this status, let alone such a precarious one.
Co-writer and co-producer Philippa Boyens said yesterday the dispute had "thrown doubt on how stable our industry is in terms of industrial relations".
Breaking the production team's silence, she said other countries were lobbying hard for the film to be moved, including Scotland, Ireland, Canada, Australia and countries in Eastern Europe, and the actions of the actors' unions had "put at risk the livelihoods of countless thousands of New Zealand industry workers".
That New Zealand has a contemporary film industry of international significance can be put at the feet - hairy or not - of Sir Peter, and while those arguing for a "better deal" for actors profess great admiration for the man, they seem unable to respect his advice on the severity of the crisis into which their demands have pushed the Hobbit movies - and the very future of the New Zealand industry.
Should they assist in creating a climate which makes it easier for the money men in Hollywood to relocate the productions, at a stroke condemning Hobbitsia Zealandiensis to extinction, sadly, the aftershocks will be felt for a good many years to come - not least among a host of unemployed actors.