Tourism hit hard by attacks Ansett
The Age
By PHIL HOPKINS
Friday 25 January 2002
The Australian tourism industry has suffered one of its worst years in two decades following the September terrorist attacks and the collapse of Ansett.
The number of international visitors fell by 2.7 per cent to 4.8 million in 2001, the first decline since the 1998 Asian financial crisis, according to Bureau of Statistics figures.
It is only the second time the tourism industry has recorded a slump.
Arrivals fell by 15 per cent in the December quarter, following four consecutive months of decline: 12 per cent in September, 16.2 per cent in October, 20.5 per cent in November and 10.7 per cent in December.
About 274,200 fewer visitors came to Australia in these four months, translating to a loss of about $900 million in tourism earnings.
Arrivals from Japan and the US in the December quarter were down 28.9 and 17.5 per cent respectively. However, some markets, including Britain, Germany, China and Canada, continued to grow, with a record number of visitors coming from the UK (611,400) and Germany (154,000) over the year.
Australian Tourist Commission managing director Ken Boundy said the December figures were better, signalling that conditions were improving.
"Feedback indicates that while forward holiday bookings for the January, 2002, quarter remain soft, there are definite signs of recovery across most tourism markets," he said.
The deputy managing director of the Australian Tourism Export Council, Greg Thomas, said it might be a little early to get too optimistic about a full recovery. "But it does look as though the industry may be over the worst of it," he said.
Mr Boundy said the September 11 terrorist attacks and the collapse of Ansett had had a huge impact, but the decline appeared worse than it was because the December, 2000, quarter had been particularly high because of the Olympic Games.
Soft economic conditions in home markets, such as recession in Japan and the US, were contributing to the drop in international tourists.
The Federal Government has announced plans to bolster the tourism sector. Tourism Minister Joe Hockey said the government would spend $10million from next week to attract more Americans to Australia. "We are one of the first nations to advertise aggressively in the US market," he said.
Trade Minister Mark Vaile today will announce a new grants scheme to help Australian tourism operators develop overseas markets.