"Meenaxi: Tale of 3 Cities" was screened yesterday in the market section of the festival, a sprawling area in which production companies around the world show off hundreds of movies in the hopes of doing overseas deals.
Husain, a painter-turned-director who made the film with his father, told AFP he believed he was now on the point of signing distribution deals in the United States and Britain.
"Meenaxi", a tale about a writer's relationship with a self-involved perfume-seller, was withdrawn from Indian cinemas last month when Islamic groups led by the All India Muslim Council took exception to a line of a song in the movie that was inspired by a quote from the Koran.
"They misinterpreted some part of the film and called it blasphemous ... it was totally baseless," Husain said.
The part in question was a Koranic verse used to praise the beauty of the Prophet Mohammed, which the filmmakers had changed to describe the beauty of the leading lady, played by well-known Indian actress Tabu.
Husain said that, rather than try to argue with the groups, he preferred to withdraw the movie.
"I put a year and a half of my life into this movie," he said.