Anthony Albanese (Grayndler, Australian Labor Party, Shadow Minister for Infrastructure and Transport) Share this | Hansard source

In the absence of the tourism minister, who I understand is on sick leave, I have some issues on tourism to raise with the acting minister. The first issue is the backpacker tax that has been brought in. Some 134,000 working holiday visa holders per year will lose the tax-free threshold of $18,200 at the moment, increasing from 1 July. They stay some eight months on average and they earn on average $5,000, but the point is they spend $13,000 while they are here—a net gain of $1.3 billion to the economy. I am wondering what modelling the government did, prior to this change, on the economic impact, particularly on regional areas. The minister would be aware that, in many regional areas, the tourism sector relies upon this workforce. The point is: not only do they contribute indirectly by making sure that those tourism hotels and facilities are able to operate where there is a shortage of what is often seasonal labour but they also spend the wages that they earn in the local economy while they are there. We have not seen any modelling from the government on that issue.

The second issue is the survey of tourism accommodation, which remains under a cloud. I believe very strongly that the sector is right in asking for this survey to be reinstated. To take one example, Dianne Smith, the CEO of the Victoria Tourism Industry Council, said:

This will severely hamper the industry's ability to learn, grow and realise its potential.

One of the roles of government is to provide that evidence that forms the basis of good policy. It seems to me that this is a very short-sighted approach.

The third issue, and one that is also within the foreign minister's portfolio, is the decision to withdraw from the United Nations World Tourism Organization. For a relatively small amount of investment, Australia has lost its place at the table in engaging in its region through this organisation. The fourth issue is Australia Week in China this year. Will it be held? If it will not be held, why won't it? Surely this is a common sense position that is important for us to support.

There is, of course, less funding for Tourism Australia in the budget. Our most important marketing body generates some $16 returned to the economy for every dollar spent. The government has cut funding in real terms each year since being elected. The Parliamentary Library, in a paper that has been produced, described the cuts as significant. With the tourism grants cut for round 2 of the Tourism Industry Regional Development Fund, some 450 applications were submitted. They lost, therefore, $10 million of matching private investment in the process. Also, will the government reconsider its views toward the axing of all domestic marketing of tourism here in Australia? The last issue, but certainly not the least, is: for the first time in more than 40 years Australia has no designated tourism minister. John Key, the New Zealand Prime Minister, is also the tourism minister. The New Zealand government recognises the importance of tourism. Will the government consider appointing someone with responsibility for tourism?

In conclusion, it is pretty clear that tourism is a super growth sector for the Australian economy. It contributes $107 billion to the national economy. Every dollar spent in tourism generates another 92c in other parts of the economy. I feel very strongly that the government needs to take tourism seriously and not just have it as an afterthought.

See this speech in context