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Making tourism work

Don’t let that dollar go

Governments can reduce leakage by thinking strategically about procurement, emphasising local business development, integrating supply chains and investing in education and training to prepare workers for tourism jobs.

Such changes helped Samoa, where tourism is one of the economy’s main pillars, develop a more diversified and lucrative portfolio. Tourism income has grown from US$73 million in 2005 to US$141 million in 2015 (at current prices), when the industry contributed 20% of the country’s GDP. It welcomes about 134,000 international visitors annually.

Among other innovations launched jointly by donors, government and community groups, Samoa increased locals’ share of traveller resources by reinventing its fales – simple, sometimes open-air beach huts that often attract backpacker-types – to appeal to luxury travellers.

Out of the 2,000 hotel rooms in Samoa, about 340 are now fales, which are typically owned and operated by local families. The Samoa Tourism Authority assists them in business planning, marketing and service delivery.

Samoan tourism was given a boost by a lucrative 2009 contract with the Body Shop to produce and sell coconut-based beauty products. With the Samoan Women In Business Development Initiative securing continuity and scale, this deal is likely to create positive domestic tourism spin-offs like greater entrepreneurial capacity among Samoan women, business confidence, and brand enhancement of Samoa with luxury connotations.

By 2014, Samoa was no longer classified as a least-developed country.

Making sure that visitor dollars benefit local people also depends on the commitment of foreign-owned companies, particularly hotel groups, to partner with and invest in local communities.

The Marriott in Port au Prince, for example, has been feted not just for setting up shop in earthquake-shattered Haiti (one of the world’s least-developed countries) in 2015 but for hiring local, paying well and focusing on professional development. This has proven to be a good business strategy, too. With happy workers, the hotel has very low turnover.

Making tourism work

Ecuador, Fiji and South Africa are among other countries illustrating that tourism can contribute to development and alleviate poverty. The English travel agency; Responsible Travel, which holds annual World Responsible Tourism Awards, showcases more great examples.

International organisations such as the UN can help countries find this balance by financing transport connectivity, for example, and facilitating infrastructure investment that’s mindful of potential tourism uses.

Capacity-building among domestic stakeholders is also critical. Only when a destination’s tourism offices, luxury hotels and ecoparks are run and staffed by well-trained locals can the benefits of tourism be equitably distributed, its costs effectively managed and its growth sustainable.

Individuals have a role to play, too, by making ethical travel choices. Tourists visiting developing countries can maximise the community benefits of their trip by “going local” on everything from food and tour companies to craft purchases.

Opting for certified “responsible” companies and simply by asking the right questions may also send an important signal over time that tourists care about their impacts.

Tourism will never end poverty. But if governments, industries and consumers start paying attention, they can make it a force for change.

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Susanne Becken is professor of Sustainable Tourism and Director, Griffith Institute for Tourism, Griffith University

Source: Theconversation

One comment

  1. Despite that tourism is a great tool in promoting development, “leakage” is still a threatening factor to Uganda’s tourism. Most of the airlines, international hotels, foreign tour operators and foreign car rental agencies increase the leakage to great levels. To realize serious benefits from tourism, the Uganda government must try to formulate policies that can change this direction.

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