Business Day

Visa rules drive 11% slide in tourist arrivals

- BEKEZELA PHAKATHI Cape Writer phakathib@bdfm.co.za

THE local tourism industry has received more bad news with internatio­nal arrivals declining 11% year on year for the June to August period, according to the latest figures from the World Travel and Tourism Council.

The council cited a 6.8% decline for the period between September last year and May this year.

World Travel and Tourism Council CEO David Scowsill said in an interview yesterday that there “is absolutely no doubt that the decline has to do with the visa regulation­s”.

“There could be other reasons like Ebola … but for the most part, the visa complicati­ons are having an impact on the number of internatio­nal visitors to SA,” he said.

The council warned that the decline was likely to continue unless SA urgently reviewed the new rules.

SA’s travel and tourism industry was set to grow about 4.3% a year for the next 10 years. However, this was unlikely to be achieved if the visa regulation­s were not revised.

The tourism industry has been reeling since the introducti­on of the contentiou­s visa regulation­s last year, and has been fiercely lobbying the government to review them.

The South African Reserve Bank warned in its quarterly bulletin last week that the visa regulation­s would hurt the economy.

Mr Scowsill said the council would continue to lobby the government and the inter-ministeria­l task team that was due to look at the visa regulation­s, with an eye to a possible review, particular­ly the requiremen­ts for unabridged birth certificat­es for minor children and biometric identifica­tion.

A study by Grant Thornton, commission­ed by the Tourism Business Council of SA, estimated that the country could attract 100,000 fewer foreign visitors this year. This could translate into about 9,300 jobs being shed and a total net loss to gross domestic product of about R4.1bn.

Grant Thornton said the sector was entering its first serious crisis and attributed this to the Ebola pandemic in West Africa, the economic slowdown in some source countries and the implementa­tion of the new visa rules.

Mr Scowsill said African states must work together to open up the continent’s skies in order to maximise the potential of the travel and tourism sector.

The World Travel and Tourism Council estimates that the travel and tourism industry in Africa will grow 4.9% a year over the next 10 years. But to achieve that growth, African countries would have to work on liberalisi­ng air services to stimulate intra-Africa traffic, cut the operating costs of airlines and move towards a common visa that would allow internatio­nal visitors access to several different countries on the continent, Mr Scowsill said.

“I know that this has started but it hasn’t gone quite far enough and SA is not yet part of that. There is an East African single visa initiative which Kenya, Rwanda and Uganda have set up. All that needs to be done is to add SA … Tanzania, Namibia and Botswana should be part of that.”

Gerrie van Biljon, the executive director of Business Partners — a specialist risk finance company for formal small and medium enterprise­s in SA whose client base includes a range of entreprene­urs in the tourism industry — said the tourism sector had much to be hopeful about despite the storm clouds created by the new regulation­s.

“It appears that the government is not unified over the new visa rules, with the deputy president now tasked with heading up an inter-ministeria­l committee on visa regulation­s to examine concerns about the amended visa regulation­s, which might lead to a rethink.

“The rand also finds itself at a level that tourism businesses have been dreaming about for a long time. SA is now truly one of the best value-formoney destinatio­ns in the world,” Mr van Biljon said.

 ?? Picture: SUNDAY TIMES ?? FLOORED: Internatio­nal arrivals in SA fell 11% in the three months to August, which the World Travel and Tourism Council attributed to new visa rules.
Picture: SUNDAY TIMES FLOORED: Internatio­nal arrivals in SA fell 11% in the three months to August, which the World Travel and Tourism Council attributed to new visa rules.

Newspapers in English

Newspapers from South Africa