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Increased airport tax benefits tourism says Gray

Tourism minister Gary Gray said 20% of the additional revenue raised by the passenger movement charge was given back to the industry through grants.    

This includes the four-year $48.5 million Asian Marketing Fund and the $48.5 million Tourism Industry Development Fund, which help to stimulate tourism demand by funding increased marketing activity in Asia and by increasing the quality of Australia’s tourism product.

“The charge of $55 also funds a range of border protection and transport security measures that helps provide consumers with the confidence to fly,” Mr Gray said. “It needs to be considered in the context of an Australian tourism industry being worth $107 billion – it is the eighth largest tourism industry in the world and the largest by visitor spend, with average international visitor spending $4096 in Australia.

“The increase in the charge in July 2012, from $47 to $55, has not impacted on visitor numbers. In fact, since then international visitor numbers have grown by 5% over the previous period. The charge accounts for less than 1% of an average international visitor’s spend.”

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