Address by KwaZulu-Natal MEC for Economic Development and Tourism Mr Michael Mabuyakhulu during the Sports & Events Tourism Exchange programme held in Durban

Programme Director, I am extremely proud that the Province of KwaZulu-Natal was chosen as an ideal place to host this important gathering, the Sport & Events Tourism Exchange for 2012 which is further embellished by the fact that it has also secured the right to host it for 2013 and 2014.

There is no doubt that this is Africa’s most important sport’s tourism trade show. Its existence is indeed an acknowledgement that sport has become of the key economic phenomenon as it provides not just the space for men and women to compete for top accolades in sporting codes of their choices, but also allows nations to showcase their investment and tourism potential to world that might have converged as patrons of sporting events.

In 2008, just as we were hard at work preparing to host the historical 2010 FIFA World Cup it was reported that sport accounted for more than 10% of the global tourism and travel market which in real figures is estimated at US$600 billion. It is not surprising that many cities are smartly integrating sporting activities in their strategic economic plans since it has become a fact that world class ports events attract not only visiting fans, but potential investors that were likely to become regular tourists in the respective metropolis areas.

The impact of tourism sport has not only been recorded through our own experience of the 2010 FIFA World Cup which saw the nation investing around R50 billion on infrastructure development- generating an estimated 130 thousand employment opportunities, Barcelona has since become the sixth most attractive city in Europe for investors since it hosted the 1992 Olympics Games.

Other Spanish cities have also benefited from the Olympics spinoffs. The same is said about Sydney which increased its economic performance following the 2000 Olympics Games. It’s argued that mega-sporting events are now used as triggered for long term economic stimulation hence fierce competition amongst cities of the world to host these icon games – as they don’t just symbolise national pride and prestige, but are instrumental elements to attract big spending tourists that stay longer than normal transitional visitors in the country.

The longer the stay, the more chances that the visitors will become familiar with and appreciative of the host cities and countries which they eventually recommend to their fellow compatriots or friends as the ideal location for vacation or doing business. Amid the fact that nations have to inject a lot of resources to prepare for high profile spectacular sporting events, it they put up top draw shows, they are assured of long term benefits since the host continues to linger in the minds of thousands that would have formed the army of fans that graced the tournament, who incidentally become vocal ambassadors of the host nation.

In a sense, mega sporting events become the nucleus of the marketing efforts to attract tourists and investors to one’s respective city, region or country. Meanwhile, the advent of hosting back to back world revered porting events such as 2014 FIFA World Cup and the Olympics Games in 2016 has elevated Brazil’s economic profile.

There is anticipation that the country currently featuring as the 10th largest world economy that soon after the Olympics Brazil will occupy the 5th spot in the global economic ratings - with the Rio de Janeiro’s games expected to generate close to U$24 billion in net profit. The economic ascendance is inevitable – particularly that you have two of the most premier sporting occasions in the world held in one country within short period in between.

South Africa hosted the 2010 FIFA World Cup against the backdrop of harsh recessional conditions effecting the world - and despite that we couldn’t hit the initial target of 400 000 foreign fans largely because everyone across the world was reeling from the stagnated world economic performance, the country was partially saved from the deadly recession. Sport was the solution and indeed we might have hosted this sporting razzmatazz at a cost through the construction of facilities such as stadiums, roads and airport, but the long term socio-economic benefits of the world cup experience will certainly reverberate across the layers of generations to come.

In view of the acknowledgement and appreciation of the role of sport in growing the economy in general and tourism sector in particular, KwaZulu-Natal features sporting events prominently in its plans. The City of eThekwini for instance has invested handsomely in the development of infrastructure amenable to a wide range of sporting codes and besides the big local activities such as the annual Comrade Marathon, Vodacom Durban July and many more, the province boasts the best facilities essential in hosting any global sporting spectacle.

It’s not a fake claim that we have become the truly African playing ground and we believe that by hosting this event right in here our province you would become the ambassadors that would have witness the best the province can offer.

In addition to second to none sports amenities, the province is endowed with a plethora of tourism attractions that include cultural diversity and indescribable topographic beauty peaked by the advent of two UN declared World Heritage Site such as the ecotourism mecca, iSimangaliso Wetland Park that links the province to Swaziland and Mozambique and it features game reserves like Hluhluwe-uMfolozi which home to the Big Five.

Of course on the north western frontier, the majestic uKhahlamba-Drakensberg mountain ridges make an impeccable wedge that gives existence to the exquisite escarpment. This national treasure with its exquisite rock forms harbours various artefacts that reflect our history as this is where you could come across evidence of the early San people with their artistic drawings embedded on the rocks.

Adding in the menu of tourism attractions, KwaZulu-Natal is renowned for its fascination historical sites like the battlefields that include Blood River, Isandlwana, Rorkes Drift, Talana, Colenso and Spionkop. As coastal province, we are also proud of our ‘Beach Culture’ a range of world class beaches, internationally recognised surf spots and shark diving reefs. We fondly refer to this collective experience as the ‘Zulu Kingdom" while the world ‘Zulu’ literally means ‘People of Heaven’.

These are just some of the many features that make KwaZulu-Natal a complete product for tourists and investors – and our capacity to host world class sporting activities therefore become the cherry on top. Our visitors are therefore enjoy a wide range of options in terms of tourism products – when wishing to shift focus from the sporting events that would have been their prime reasons for landing on our shores.

However, we also realise that the impact of sports events extends way beyond the simple understanding that sports is about competing for personal and national glory or achievement. One of the core benefits of hosting such events is the actuality that it builds the knowledge and capacity for local population on how to successfully bid and host major events which has been an important focal point of the congress component of SETE 2012.

In addition I am sure you will agree that this conference has extended our knowledge with respect to the following additional important themes that have to be taken serious as we believe that sport has an indescribable contribution to our economy and that of the world.

These include:

·Maximising the commercial opportunities from major sporting events;

·Marketing major sports events;

·Raising sponsorship for major events; and

·Skills development within sports tourism.

Most importantly this congress has also chartered a clear strategic framework in the form of the South African National Sports Tourism Steering committee’s 17 year strategy, “Shaping and advancing South Africa’s development as a sports tourism destination”.

This plan will undoubtedly assist in identifying the key international events that South Africa should bid for, as well as the domestic events that need governmental support. As stated above KwaZulu-Natal is more than prepared to be home to a wide range of sporting events - and we have never been scared of challenging for mega activities like the Olympics and we proved during the 2010 FIFA World Cup that we mean business as we were able to have all critical facilities in place well in advance to this footballing extravaganza, including seamless relocation of the old Durban International Airport to the current state of the art King Shaka International Airport.

In addition I am pleased to report that this conference has led to the formulation of clear resolutions to help develop the sport tourism potential of our country and broader African region.

I am also delighted that this event has been an invaluable opportunity to showcase Durban and KwaZulu-Natal’s renowned ability to successfully hosting major international events as we had witnessed this during the world cup and this year’s spectacular automobile contest, Top Gear.

As stated above, there is a symbiotic link between sports events and business growth- which is highlighted mainly in the tourism sector. Research has revealed that as many as 20 - 40% of conference delegates and exhibitors that attend a business event do contribute significantly to sustainable growth as they very often share their experience littered with fond memories with their families, friends and colleagues.

This confirms that was mentioned above that visitors tend to be reliable and effective ambassadors that use the more interactive ‘word of mouth’ to paint a glorious picture of the places they would have visitors - either attending business or sporting function or just on a social excursion.

We therefore have to doubt that by hosting massive sporting activities we would be investing in the long term future growth since the hordes of sport enthusiasts that would be gracing our shore would guarantee a broadened opportunity to have our country, province and cities being spoken about across all corners of the world making our efforts less tedious.

In conclusion, ladies and gentlemen, once again, I wish to stress the unwavering gratitude to the organisers and the patrons of Sports & Events Tourism Exchange for opting for KwaZulu-Natal to host this gathering for the next more years. I believe this will further enhance the province’s profile as the most suitable destination for international sporting events which have positive socio-economic and tourism spinoffs.

We have proved that we can be trusted with the provision of superior service when assigned to house major functions- and one typical is Tourism Indaba which has become synonymous with KwaZulu-Natal whilst when it was first granted to us to host, cynics thought it would be getting new home soon.

It’s still here and we intend to make it a permanent phenomenon where the world converge to discuss how to propel the tourism industry to greater heights whilst ensuring that it contributes not only in the promotion of growth, but uniting people of the world just like what sport is capable of.

Indeed, South Africans have reasons to adore sport having experience its impact on nation building. As it created a space for reconciliation amongst racial groupings, we have confident that by bringing global sporting activities to our country and province, that would enable us to strengthen our relations with the rest of the global community as we want to play an active role in the world affairs.

I hope you are enjoying this experience, take some more of this experience in after this trade show ends tomorrow and return next year to SETE 2013 as converted ambassadors for our province and country.

I thank you!

Province

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