M van Schalkwyk: Local Government Tourism Indaba

Speech delivered by Marthinus Van Schalkwyk, Minister of
Environmental Affairs and Tourism, at the opening of the local government
tourism indaba, Cape Town

26 January 2009

The state of tourism in South Africa

Despite the realities presented by the economic slowdown, 2008 remained a
buoyant year for the South African tourism industry. The latest available
figures for foreign arrivals, for the first ten months of 2008, show a strong
increase in arrivals of 5.4 percent from January to October. This follows an
excellent growth rate of 8.3 percent in 2007, a year during which we exceeded 9
million foreign arrivals to our country.

As we examine the statistics for the first ten months of 2008, we have to
note that we have begun to see some decreases in the month-on-month figures
when comparing 2008 to 2007. Arrivals from North America remained stable
compared to October 2007 and we saw increases in arrivals from Australasia (6.3
percent) and the Middle East (5.9 percent). We however experienced decreases in
arrivals of 6.5 percent from Europe and 4.6 percent from Central and South
America.

Our industry is by no means immune to the effects of the international
economic crisis, but we are still confident that we will reach our target of 10
million visitors in 2010. Our country continues to be a value-for-money
destination and with international events like the Confederations Cup and World
Cup lined up, there will be opportunities in abundance and tourism will retain
the important role it plays in our economic growth.

Tourism and local government

In order to ensure that we maximise the potential of our country and the
vibrancy offered by its people, it is vital that all role-players in the
industry share their skills, knowledge and talent. This includes forging
partnerships between governments at all levels.

Our department remains committed to working with local government to ensure
that the benefits of tourism are shared as widely as possible. This is amongst
others illustrated by the fact that since 1999, we have been financially
involved in 335 tourism projects in the nine provinces, aimed at enhancing
tourism and improving infrastructure at a local level.

To date, more than R1 billion has been spent on these projects and these
initiatives have contributed to the creation of 1480 permanent jobs and more
than 4 million temporary work days. I would like to encourage local authorities
to continue to work with us to ensure that these projects are completed
successfully. This will further contribute to job creation and the transfer of
skills where it is most needed.

The importance of the role of local government in the successful growth of
the tourism industry cannot be overemphasised and the examples of its pivotal
role are many.

Local government is an engine room that drives the planning and management
of South Africa’s natural and cultural assets. Tourism relies on having these
resources in a healthy state. Local government also provides the core utilities
and infrastructure on which the tourism industry is based.

It furthermore manages attractions such as sports stadium, convention
centres, parks, events and other amenities. Local government also enables local
tourism management through the provision of visitor information and through
being the primary source of funding for regional and local tourism
organisations.

There are, however, a number of challenges that are hampering an integrated
and co-ordinated approach. This includes that most local authority staff do not
have a collective approach to planning for tourism or destination management.
In some cases local government does not use national and provincial information
for tourism planning.

This conference aims to recognise and empower local government in terms of
tourism management as well as ensure ongoing co-operation between the various
spheres of government.

As part of reaching these goals, I am very pleased to be able to launch the
draft Tourism Planning Toolkit for Local Government. The intention of the
toolkit is to clarify how to complete a basic tourism plan within a South
African local municipality. The toolkit also makes an important contribution
towards advancing competence in tourism planning at a local level and the
setting of minimum standard for such plans.

We are extremely proud of the fact that the toolkit is a practical document.
It amongst others:
* provides research and management systems to help with the obtaining of
information, preparation of strategic tourism plans and assessment of their
effectiveness
* assists local authorities in their strategic and financial planning
* helps ensure the appropriate investment in infrastructure and services for
tourism
* assists with the development of community tourism plans
* describes how relevant legislation can be used for sustainable tourism
development
* provides case studies as examples of good practice.

Future challenges and strategic direction

I have already made it very clear that we have a lot to be optimistic about
when it comes to our tourism industry. We have seen phenomenal growth over the
last number of years, but we have to take cognisance of the international
realities of economic pressure and increased competitions for tourism
spend.

In this context, it is more important than ever that Brand South Africa is
promoted seamlessly and distinctively. This requires an integrated approach
from all of us. In addition, we recognise that a visitor’s holiday experience
is always further enhanced by good service, which is why we are very proud of
the Service Excellence programme we will be implementing this year in
partnership with the Tourism Business Council. I would like to appeal to local
government stakeholders to work with us to encourage product owners to take
part in these training programmes, as it is an investment in customer
satisfaction and the generation of future business.

Our department is also in the process of finalising a strategy for this
sector for the next five years in response to the changes we have seen in the
global arena and the local tourism marketplace. Our vision is to see tourism
valued as one of the leading economic contributors to a sustainable South
African economy. I believe this is entirely possible if we harness the power of
our collective action and if each level of government continues to maximise the
positive impact it can have on the tourism industry.

Conclusion

In conclusion, a cohesive approach will enable us to position ourselves
better, to proactively identify challenges and opportunities and to ensure that
tourism continues to benefit our country on many levels. There are obstacles to
be faced and there is hard work ahead, but every step we take will be easier
and advance us even further, provided we take it together. I thank you.

Enquiries:
Ronel Bester
Cell: 083 242 7763

Issued by: Department of Environmental Affairs and Tourism
26 January 2009

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