The tourism industry of Australia observed low tourist arrival in the first four months of this year due to surging fuel prices and unfavorable government policies.
According to ATEC (Australian Tourism Export Council), the Australian tourism industry, the second largest export industry of the country, is facing the issue of low tourist arrival and is currently static, as reported by China View.
The initial four months of 2008 saw 1.9 Million tourist arrivals to Australia in which 424,100 visitors came in April 2008. On comparing the April’s figure with the corresponding month last year, a 3% decline was observed in arrivals. On the other hand, 1.5 Million tourists entered Australia during the period January-March 2008 but the arrival figures were same as they were in the same period last year.
According to the industry experts, the decline in tourist arrivals is a direct consequence of rising fuel prices across the globe. Spiraling fuel prices have forced the airline industry to increase fair and cut services to avoid losses; as a result, the interest among tourists to visit Australia reduced.
Moreover, the government policies casted a negative impact on the tourism industry. Offices across the Asian region have been shut down that led to loss of valuable skilled employees like trade marketing managers.
Majority of tourism organization have had these trade-marketing managers in various states. These states recognize the value of trade-marketing managers and took benefit from them. Hence, the decline in both international and domestic tourist arrivals is because of policy direction of the Australian government.
In addition, appreciation of the Australian Dollar is also harming the tourism industry. Tourists from Europe and the US are deliberately staying away from visiting Australia because of high expenses. Instead, they are choosing closer destinations for holidays as long haul flights are considered unfavorable for starting a holiday.
According to a Research Analyst at RNCOS, “The Australian tourism industry is facing slowdown in the tourist arrivals due to hike in fuel prices and may require for government support. Also, the Australian tourism industry must address the issue of climate change in order to survive. Moreover, the Australian tourism industry must focus on the rapidly growing tourism industry of India and China as they are showing impressive growth rate.”
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