Tourism 'A Priority' In The Drive For Ireland's Economic Recovery

Martin Cullen TD, Minister for Arts, Sport and Tourism has said that the Government was committed to maximizing the contribution of tourism to Ireland's economic recovery in 2010.

The Department's Tourism Services Budget for 2010 is over €155m, representing an increase of 2% on 2009.

The Minister stated: "While 2009 was a difficult year for Irish tourism, as consumers across the world tightened their belts, there is real potential to return to growth from next year."

"The increased allocation of public resources for 2010 is clear recognition by Government of the important role that the tourism and hospitality sector will play in Ireland's economic recovery.

"While the sector has suffered this year, tourism is a critical indigenous sector that sustains around 200,000 jobs, generating over €4 billion in export earnings and almost €1.5 billion in taxes for the Exchequer. The challenge for us is to build on the excellent tourism offering that we have."

The Minister added: "This is helped by Government investment in festivals and events around the country.

"For example the Volvo Ocean Race this year brought major benefits to Galway city. Fáilte Ireland and the Arts Council will continue to invest in festivals and events in 2010 to help increase visitor numbers and in that regard I am particularly looking forward to the 3 Irish Open which returns to Killarney in 2010."

The Tourism Marketing Fund in 2010 has a provision of €44.25 million. This will enable the level and value of investment in overseas marketing of Ireland to be maintained in real terms as recommended in the report of the Government's Tourism Renewal Group.

Funding for regional campaigns will be maintained at 2009 levels - including the promotion of the wider Shannon Airport catchment along the West Coast.

Tourism Ireland's marketing plans for 2010 commit to a major push in the Great Britain and German markets and have the objective of increasing overall tourism overseas numbers and revenues by 3% next year.

Fáilte Ireland's allocation for capital investment in tourism product development will be increased threefold next year to €22 million.

This investment will be focussed on completing the upgrading of some major tourism attractions, developing a select number of new visitor attractions, improving infrastructure for recreational cycling, walking and water-based activities and heritage attractions.

Fáilte Ireland will also intensify its activity in enterprise support, leisure tourism (including golf, heritage and culture), business tourism and festivals.

Commenting on business tourism, Minister Cullen said: "Business tourism visitors are important for the Irish economy as they spend significantly while here and three quarters of them say that they are likely to return again as holidaymakers.

"A total of 86% of respondents in a 2009 survey for Fáilte Ireland said they were 'satisfied or extremely satisfied' with Ireland as a destination for conferences.

"The opening of the Convention Centre Dublin in September 2010 will create a step change in Ireland's capacity and profile in the global market for business tourism and conference events.

"Both tourism agencies are ready to make the most of the opportunity to ensure that Ireland takes its share of this valuable market.

"Both Fáilte Ireland and Tourism Ireland are also making the most of Cork's inclusion in the Lonely Planet's "Best in Tourism 2010" list," added the Minister.

"The Government's commitment to the sector is also shown by tourism's inclusion in a range of cross-cutting measures - including the Employment Subsidy Scheme, the Credit Review System and incentives for investment in energy-efficiency.

This is in addition to the focusing by Fáilte Ireland of supports to tourism businesses, helping them cut costs, market their services better and survive the downturn. This enterprise support program will continue in 2010.

The increased investment in tourism is part of a broader strategy for economic and tourism renewal, as set out in the Government statement "Building Ireland's Smart Economy" and the Tourism Renewal Group's Framework of Action, outlined in their Report to the Minister, published in October.

The Tourism Renewal Group, which was chaired by Mr Maurice Pratt, was established by Minister Cullen to renew the strategic framework in 'New Horizons for Irish Tourism: an Agenda for Action 2003-2012'.

The Report of the Tourism Renewal Group set outtourism's contribution to Ireland's economic, social and cultural development, the prospects for Irish tourism in a changed world and a Framework for Action for tourism's survival, recovery and growth over the period to 2013.

The Report of the Tourism Renewal Group provides the central framework for the Government's response to current challenges, to sustain the industry in the short term and to maximise its potential in the medium term.

Commenting on some of the major tourism events of 2009, Minister Cullen concluded: "There were a number of high profile festivals and sporting events in 2009 including the victory by Shane Lowry in the 3 Irish Open in May and the Volvo Ocean Race Galway stopover which in terms of visitors, revenue and impact exceeded all predictions."

The Minister said: "The Volvo Ocean Race provided a much needed boost to the local economy and a great advertisement for Irish tourism. This event clearly shows the potential of sports tourism events to attract widespread positive international media coverage as well as additional overseas visitors to Ireland, generating significant foreign revenue earnings for the Irish economy."