He then took a break from directing and turned producer with films including Aitraaz (2004), Iqbal (2005), 36 China Town (2006) and Apna Sapna Money Money (2006). In 2006, he set up his own film institute Whistling Woods International in Mumbai. The institute trains students in filmmaking: production, direction, cinematography, acting, animation. Ghai has done brief cameos in his directorial ventures.
In 2006, Ghai founded Whistling Woods International, a film, communication and creative arts institute located in Mumbai, India. Currently, he serves as the chairman of the institute.