"Tender Mercies" was shown in competition at the 1983 Cannes Film Festival, where it was described as a relatively optimistic alternative to darker, more violent entries like "One Deadly Summer", "Moon in the Gutter" and "Merry Christmas, Mr. Lawrence". It was also shown at the 1983 International Film Festival of India in New Delhi. A jury headed by director Lindsay Anderson determined that none of the films in contention, including "Tender Mercies", were good enough to win the Golden Peacock, the festival's top prize. Film critic Jugu Abraham said the jury's standards were higher than those of the Academy Awards, and that "Tender Mercies" lack of success at the festival was a "clear example of what is good cinema for some, not being so good for others".