APEC, PPPs and the tourism industry
Public-private partnership (PPP) has been a familiar concept in almost all parts of the world, aiming to create collaboration and mutual economic benefits and the Asia-Pacific region is not an exception.
A recent joint study of the United Nations World Tourism Organization (UNWTO) and the Griffith University titled “Global Report on Public-Private Partnerships: Tourism Development” tackled how PPPs promote a sound tourism policy in the Asia-Pacific region.
The Asia-Pacific Economic Cooperation (APEC) Organization is a pioneering international organization with formal business community involvement, represented by the APEC Business Advisory Council, which plays an influential role in APEC’s initiatives and policymaking.
In the tourism industry, APEC is driven by close partnerships with the private sector, including the International Association of Air Transportation (IATA), the Pacific Asia Travel Association (PATA), and World Travel and Tourism Council (WTTC).
The PPPs have allowed APEC and its member-countries to develop recommendations for sound tourism policy frameworks and implement innovative policymaking that are both strategic and practical. Tourism PPPs involve the lowest up to the highest form of governments, individual businesses and tourism representative bodies, non-governmental agencies and various community organizations.
“Successful PPPs are those that provide a benefit to all stakeholders involved. Demonstrating tangible outcomes is not only important in encouraging participation but also for maintaining momentum and ensuring the sustainability of the project,” the report said.
The joint report showed that one of the PPP outcomes in the region is the easy travel access and visa facilitation among APEC member economies, leading to an increase in 57 million tourists, $89 billion to the gross domestic product (GDP), and around 2.6 million additional jobs within the region.
Furthermore, APEC’s Tourism Working Group has produced a tool to support developing sustainable tourism destinations, which is intended for use by various tourism stakeholders, policy makers, community leaders, academics, private sector and organizations involved in tourism services.
“Among the beneficiaries, one of the most important groups is small and medium tourism service providers who can strengthen their relative position in international markets using a sustainable approach,” it said.
APEC also developed key policy tools to promote sustainable tourism, which include use of permit fees to control access to environmental and cultural conservation sites and introduction of land-use legislation for conservation parks.
This year, APEC continues to assess the impact of taxation on the travel and tourism industry. A recent UNWTO and WTTC study showed that there is a causal link between taxation and tourism development.
“Taxation policies significantly influence the competitiveness of intra-regional and international tourism destinations. APEC is working closely with the private sector to assess taxation strategies that will maximize the competitiveness of destinations,” UNWTO said.
APEC works with public-private partnerships to develop tools in policy options for its members’ emerging economies. Member countries are able to learn from best practices from other developed and developing economies. Public-private partnerships at the regional level are used to deliver policy recommendations, providing a context for continued policy formulation and effective implementation.