Rudd urged to give tourism a boost
A report in the Age says that Prime Minister Kevin Rudd should do more to help Australia’s struggling tourism industry through the international financial crisis and he should start by taking a holiday, tourism officials say.
Operators have been hit this year by a strong Australian dollar, spiralling fuel prices, bad weather and fierce competition from cheaper and closer overseas destinations, which has limited growth from overseas markets.
And Australians have snubbed the traditional Aussie break, taking advantage of good conversion rates to holiday overseas in record numbers.
Now the world economic crisis is expected to dampen tourism in the first half of next year.
Australian Tourism Export Council (ATEC) managing director Matt Hingerty said the federal government should set up a fund to encourage innovation in the industry.
He said the fund would help entrepreneurs through tough times and assist the government’s own goal of stimulating the market with taxpayer money.
“It’d be nice if a little bit of loose change fell off the edge of the table for people with good ideas – like chasing after the health and wellness sector – to turbo charge their efforts at a time when it’s needed,” Mr Hingerty said.
But the government could also do simple things to help, he said.
“Instead of the prime minister working himself to the bone over Christmas, he should have a holiday in Australia and show a bit of leadership,” Mr Hingerty said.
He said Mr Rudd’s ministers and senior bureaucrats should do the same.
“For the services economy, not just tourism but retail as well, Christmas is its key time of the year and it would be good if our leaders, and the opposition as well, could set an example by having a holiday at home,” he said.
He said big businesses should encourage their employees to do the same.
Meanwhile, ATEC has called on the Australian government to address the British government’s new air departure tax, which will add nearly $200 extra to each ticket to Australia by the end of 2010.
Business-class travellers will be slogged nearly $500 under the plan to tax travellers based on distance covered.
A statement issued by ATEC said the tax would “significantly impact” travel to Australia from a key market.
It said the new charge was a protectionist measure to shield the UK from overseas competition and would degrade the new Tourism Australia campaign, which piggybacks Baz Luhrmann’s new film Australia.
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