State Government under-values tourism: Page

July 31, 2008

The State Government continues to underestimate the importance and value of tourism in regional New South Wales, according to Ballina MP and Shadow Minister for Tourism, Don Page.

Mr Page said regional New South Wales accounts for two-thirds of the State’s holiday and leisure market but receives only 5% of the total budget to promote itself.

“Regional New South Wales only gets around $3 million to promote itself from the State Government’s total tourism budget of around $56million,” Mr Page said.

“The State Government needs to immediately act on a key recommendation from the O’Neill report, which recommended $21.1million specifically allocated to regional tourism in 2008-091.”

Mr Page said the Report also recommended promoting regional tourism to Sydney residents; improving transport to the regions; and more focus by State Government on developing tourism strategies in the regions.

“The State Government is talking up its Brand Sydney campaign as a way of boosting tourism,” he said.

“It is important to promote Sydney as the gateway to Australia. However, the State Government needs to do more to encourage people to venture into regional areas..

“The State Government needs to immediately adopt the important recommendations of the recently released O’Neill Report into Tourism in New South Wales.

“The Report found the State Government’s under-funding of the tourism industry has cost some $3.5billion in lost revenue over the last seven years.

“The Report also found regional tourism has particularly suffered in recent years because of a lack of funding, despite approximately half of all visitor nights spent in New South Wales being in regional areas.

“Tourism is a major employer in regional areas, accounting for more than 73,000 jobs.

“Tourism operators in regional New South Wales are struggling and they need appropriate ongoing support from the NSW Labor Government.”

The report also pointed out that Local Government is required to support regional tourism whereas that is generally not the case in Sydney.

The report is also critical of the high cost and low return of Tourism NSW marketing strategies.

“The strong Australian dollar, high petrol prices and high interest rates are having an impact on our domestic tourism industry and the State Government needs to do more to support regional tourism and the people who depend on it for a living,” Mr Page said.

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