Backing for $8b tourism 'is just empty words'

The Government lauds an annual $8.3 billion in tourism export earnings but lacks the commitment to back the industry with serious funding, the head of the New Zealand Hotel Council says.

Chief executive Mark Oldershaw accuses the Government of reaping the benefits of New Zealand's largest export earning industry, but continually failing to give it the recognition and support it deserves.

The parliamentary opening speeches by the Government ignored tourism, Mr Oldershaw said. The attitude was evident in the 17th place given to Tourism Minister Damien O'Connor in cabinet rankings, compared with Agriculture Minister Jim Anderton's third.

Tourism contributed 9 per cent of New Zealand's gdp, employed one in 10 people, and earned as much as the primary industries of agriculture and dairying, but got scant recognition in comparison.

Mr O'Connor, however, said the sector was well-valued, with $82 million in annual direct funding. Other initiatives, such as $223 million spent on the Conservation Department estate, also directly benefited the industry.

But Mr Oldershaw said the Government's tourism rhetoric was empty words.

Government tourism funding was at least matched by the private sector, and the industry needed more attention now than ever before.

"The thing about tourism is it is beneficial to the corner dairy owner, the taxi driver, the petrol pump guy, but it is often the big landmarks, like hotels, that fund it," he said.

The tourism sector was struggling this year, he said, with falling visitor numbers in some areas over the summer and a poor 2006 winter, and though the Government's Tourism Strategy 2015 was a good start, there was yet to be any action.

"It's not one of those things that can be left to look after itself. We need to see the Government leading on the front foot. Now is the time tourism needs to be recognised as a business sector."

Mr O'Connor said the implementation of the strategy would undoubtedly need more funding but did not say whether the Government would play any part in that.

He said the Government's contribution reflected the importance placed on the sector, but was not obvious.

"There is a limited awareness of government's role in tourism. By tourism's very nature it is diffuse, with benefits spread across invisible parts of the economy. So too is government's investment. Therefore government investment is not often obvious - but is hugely significant," Mr O'Connor said.

Tourism Industry Association New Zealand chief executive Fiona Luhrs backed the minister, saying tourism had good government support.

But with challenges mounting on the horizon in the form of dropping visitor numbers, a strong exchange rate, the international credit crunch and increasing awareness of the environmental impacts of long-haul flights, Ms Luhrs said more help would be appreciated.

- © Fairfax NZ News