Proposed Visitor Levy must be used to improve tourism and support conservation says Tourism Export Council New Zealand

Inbound Tourism Operators and key tourism suppliers are heartened that the proposed International Visitor Conservation and Tourism Levy announced today will be used to improve tourism infrastructure and support conservation.

The Government is consulting on a number of changes and proposals that will affect international visitors travelling to New Zealand of which the proposed levy is one. The levy will be between $25-$35 which will generate around $57-$80 million per year. For visitors who require a visa, an extra charge will be added to their visa and those who do not require a visa before travelling to New Zealand will be required to apply for an Electronic Travel Authority and will pay their levy at that time. The Electronic Travel Authority is also being consulted on and has been designed to streamline the levy collection process.

The Tourism Export Council of New Zealand (TECNZ) which represents operators who sell New Zealand as a tourism destination in international markets says the majority of its members are supportive of a Levy but only if it was invested back into the industry.

Chief Executive Judy Chen says, a recent member survey indicated tentative support for a Levy of some sort but only if the money went where it is most needed in the industry.

Our members are saying there is much more that needs to be done to improve New Zealand’s tourism offering and any additional funding should go toward enhancing and developing tourism attractions and infrastructure, encouraging visitor dispersal into the regions and looking after our conservation estate. However, Ms Chen warns that any increased cost imposed on visitors to New Zealand will increase the expectations they have.

“The world of tourism is highly competitive and New Zealand is already one of the more expensive destinations. This means there is an expectation that we will deliver a premium product and more cost on the visitor will increase this expectation.

However, investment in our conservation estate and the tourism experience overall will go some way to deliver the iconic New Zealand holiday that is worth spending a little extra on. One seamless process of collection at point of entry is also a far better option than numerous and varying targeted rates put in place across the country by local Councils, as we have started to see emerge.

Our members know better than anyone what our international visitors want and the prices they will tolerate before they look elsewhere for a less expensive holiday destination.

New Zealand cannot afford for this government initiative to have a negative effect on New Zealand’s largest industry which provides $14.5 billion in FOREX, $3.3 billion in GST and almost 231,000 jobs across the country.

We look forward to further conversations with the government about how best allocate and implement the fund for best return on investment.”

ENDS

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