Bureaucratic inefficiencies throttling inbound tourism

Cape Town International Airport. Statistics South Africa’s latest international tourism figures show 2.4% more foreign travellers entered the country in June compared to a year ago. Picture: Leon Lestrade/ Independent Newspapers

Cape Town International Airport. Statistics South Africa’s latest international tourism figures show 2.4% more foreign travellers entered the country in June compared to a year ago. Picture: Leon Lestrade/ Independent Newspapers

Published Aug 4, 2024

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By Nicola Mawson

Although the Government of National Unity is in its infancy, it has several immediate tasks to deal with to encourage more foreign visitors to our shores. International tourism numbers have picked up, but South Africa remains a long way from recovering to pre-Covid-19 levels, and there are still several bureaucratic hurdles that need to be cleared.

Statistics South Africa’s latest international tourism figures show 2.4% more foreign travellers entered South Africa in June compared to a year ago. However, departures increased by 3.1%, while the number of those passing through the country’s airports to catch connecting flights increased by 21.3%.

The bulk of inbound tourists – more than three quarters – came from Southern African Development Community countries. What Statistics South Africa calls overseas travellers made up the rest – dominated by the US, UK and Australia, in that order.

David Frost, chief executive of the Southern Africa Tourism Services Association (Satsa), said while there was positive growth from last year, “we must scrutinise overall recovery levels to paint an accurate picture of South Africa’s tourism rebound”.

Delving into figures for the first half of the year, he pointed out that overseas arrivals were only at 85% of 2019 levels.

“While markets like the US have surpassed pre-pandemic levels, we’re woefully behind in tapping into the burgeoning Indian and Chinese markets. This oversight is costing us dearly, as these nations hold immense potential to revolutionise South African inbound tourism. Their contribution to mid-market travel products, which have lagged luxury offerings, could be substantial,” Frost said.

However, there were several issues hampering the sector.

“It’s imperative we remove barriers hindering these markets, particularly our ineffective visa regime. The difficulty faced by Chinese and Indian applicants is baffling, given their BRICS membership,” he said.

Rosemary Anderson, national chairperson of the Federated Hospitality Association of Southern Africa, agreed with Frost.

Pointing out that forecasts indicate Chinese holidaymakers will spend $250 billion (R4.5 trillion) on international travel this year, she said: “This clearly demonstrates where South Africa is losing out in terms of economic transformation.”

In 2022, tourism directly contributed 3.5% to the country’s gross domestic product, according to Statistics South Africa. While this was up from 2.3% in 2021, and 2.1% in 2020, it was below the 2019 pre-pandemic contribution of 3.7%.

Frost said that among other hurdles were the “unacceptable delays” when it came to issuing National Public Transport Regulations, which continued to hamper Satsa members. Moreover, he said the indefinite suspension of Air Traffic Navigation Services for instrument-based approaches at key South African airports needed to be tackled.

“This suspension affects not only regional hubs, but also major international gateways like OR Tambo and Cape Town International, which are operating at limited capacity. The impact on local communities is nothing short of devastating, threatening livelihoods and stunting economic growth in areas that can ill afford such setbacks,” said Frost.

While Satsa applauded Tourism Minister Patricia De Lille’s ongoing collaboration with the private sector, and stood ready to work with the government, “the industry’s success hinges on the responsiveness of other portfolios, notably Home Affairs and Transport. We’re cautiously optimistic about the appointments of Dr Leon Schreiber and Barbara Creecy to these respective ministries, which have long been thorns in tourism’s side”, he added.

Anderson noted that the industry was looking forward to the potential for change, given Dr Schreiber’s appointment.

“While maintaining strict visa compliance, the minister could transform the department into a catalyst for job creation, foreign exchange earnings and economic growth through tourism,” she said.

Frost said swift action on key issues, that were currently not mere obstacles, but “chokepoints strangling our economic revival”, could catapult South Africa’s tourist arrival recovery.

“Tackling these issues head-on holds the key to unleashing our tourism sector’s full potential,” he said.

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