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Flyers may face tourism levy
By Malcolm Cole Tourists and business travellers may face an Ansett-style ticket levy to fund a new international campaign to promote Australian tourism. The Federal Government is also believed to be considering another increase in the international passenger movement charge, as it searches for funds to bail out the ailing tourism industry. The industry wants an injection of up to $100 million a year to pay for overseas promotion and reform of the domestic industry, as part of the Federal Government's 10-year strategic plan, due to be issued next year. The rescue plan has been prompted by significant downturns in international tourism since September 11, and a "flat" domestic market, caused by Australians reducing the frequency and cost of their holidays. But with the drought and the war on terror pushing the Federal Budget close to the red line, Government insiders say any bailout package for the tourism industry will need to be self-funding. The sugar industry recently secured a $150 million rescue package, on condition it be funded through a new tax on domestic sugar sales. Tourism Minister Joe Hockey has ruled out the possibility of a bed tax, leaving airline passengers as the most likely source of new funds. Tourism Taskforce chief executive Christopher Brown said the industry was "at the depths of its depression", after dramatic falls in inbound tourist numbers in recent years. But he said there was "a reluctant industry acceptance" that it would need to contribute to any rescue measures to flow from the strategic plan, and called for an extra $50 million to $100 million annually on top of existing funding. "If you're talking seriously about a world campaign in Aussie dollars, you're talking about $30 million or $40 million a year minimum before you're even scratching the surface to get your message heard. "So it's big bucks, and there will probably be a requirement for industry to dig deep." Queensland Tourism Industry Council chief
executive Daniel Gschwind said the industry should be entitled to a share of
the $350 million raised by the international departure tax, which now goest
to general revenue. Tourism operators were growing "weary . . . of increased
charges on our industry", and would need to be sure they would see real
benefits from any new levy. |
