Report Urges Tourism Industry Transformation

Federal tourism marketing needs to be transformed according to a report on Australia's tourism strategy.

Minister for Tourism, Martin Ferguson yesterday released the 'Jackson Report' produced by the Long Term Tourism Strategy Steering Committee. Led by former Qantas Chairwoman Margaret Jackson, the report says Tourism Australia needs a "substantial cultural and operational shift" for the industry to survive over the next two decades.

The long-awaited report calls for the organisation to be revamped so it is not only responsible for selling Australia as a destination, but to work closely with Austrade to stimulate international investment in the industry and infrastructure.

"If Australia does not make the necessary changes, between now and 2030 we risk forgoing 3.6 million international visitors, $22 billion of tourism's contribution to gross domestic product and as many as 100,000 tourism jobs," the report warns, adding "this cannot be allowed to happen."

Tourism generates 10 times the employment of the textile, clothing and footwear industry and five times that of the automotive sector but receives less government assistance than either, the report says and last year, tourism generated $40 billion in GDP and employed 500,000 people.

Tourism's contribution to GDP peaked in 2001 and has been falling since. Between 1981 and 2000, international arrivals increased at 9.1% a year. After the Olympics boom, the growth rate of international visitors declined to 1.6% compared with 3.9% globally and 7% in the Asia-Pacific region.

Some analysts dismissed the report, released yesterday by Tourism Minister Martin Ferguson, as stating the obvious and others demanded leadership from Canberra.

However, Minister Ferguson said the report would be considered as a "valuable contribution" to the development of the national long-term tourism strategy to be finalised this year.

Chris Brown, Managing Director of TTF Australia and a member of the Jackson committee, said action was urgently needed, with tourism numbers in freefall since 2001, stating "with the global financial crisis, coupled with the outbreak of swine flu, the tourism industry is in a deep hole," adding "tourism unemployment figures in Cairns have shot up to 13% ever since the Japanese tourists stopped visiting northern Queensland.

"We've got to stop the rot in tourism or it will wither and die. We are calling for a fundamental recasting of TA's role.

"The industry is demanding some leadership from Canberra."

Former Qantas Chief Executive Geoff Dixon will join Tourism Australia next month as deputy Chairman, but the body is still looking for a replacement for Chief Executive Geoff Buckley, who leaves at the end of the month.

For more information go to www.ret.gov.au/tourism/policy/national_long_term_tourism_strategy

Image: The Illawarra Fly. 

30th January 2009 - TTF FEARS TOURISM JOB CUTS