House debates

Tuesday, 10 September 2024

Grievance Debate

Lingiari Electorate: Tourism

6:58 pm

Photo of Marion ScrymgourMarion Scrymgour (Lingiari, Australian Labor Party) Share this | | Hansard source

I take this opportunity today to speak on a matter of particular interest and significance to constituents in my electorate of Lingiari, concerning the state of tourism in the Northern Territory. In 2017-18, the Northern Territory welcomed 1.7 million visitors, of whom approximately 16 per cent came from overseas, with the remainder travelling from interstate or from within the Northern Territory.

Tourism is one of our important sectors, contributing $2.6 billion to the Northern Territory economy and delivering huge financial and lifestyle benefits. Around 6,900 people are directly employed across the Northern Territory in tourism and hospitality, with a further 12,500 people indirectly employed. Aboriginal cultural tourism is a key driver for this thriving industry, contributing around $383 million to the Territory economy and employing over 1,400 workers. Just on 80 per cent of tourist visitors believe the Northern Territory is the destination of choice to connect with Aboriginal culture.

Tourism is one of five core growth sectors to propel the Northern Territory's economy in the long term, but since 2020 COVID travel restrictions, tourist visitation numbers and expenditure have dropped markedly in key regions across the Northern Territory, particularly in my electorate of Lingiari. The Alice Springs and MacDonnell Ranges and the Barkly regions recorded the highest drops in June 2022, with visitation numbers falling just under 50 per cent and tourism expenditure reducing by between 45 and 80 per cent across the region. This trend is similar for the same period in the Katherine and Big Rivers region, which recorded a drop of 24 per cent in visitor numbers and 30 per cent in tourism expenditure. The greater Darwin region recorded the smallest drop, reducing by 16 per cent in visitation numbers and 18 per cent in expenditure. Only the Lasseter region recorded an increase in tourist visitor numbers and expenditure, reporting a 25 per cent and 28 per cent increase, respectively.

There are many factors contributing to these significant drops in current demand in the visitor market across tourism in the Northern Territory. The COVID travel restrictions and local labour shortages have hindered many operators' ability to take full advantage of this growth in demand. More work is required to train a local tourism workforce, particularly Aboriginal people who can engage directly with overseas visitors on culture and country.

Aviation is another hot topic impacting the tourism industry in the Northern Territory. A key priority for the Territory is ensuring sustainable and affordable aviation services that connect Territorians with both the rest of Australia and the world and make the Territory accessible to visitors.

Recent law and order and community safety issues that led to two curfews in Alice Springs were deeply disturbing and totally unacceptable. The negative media resulting from this violence has been extremely damaging to the local tourism industry and its workforce, causing immeasurable brand damage. Tourism Central Australia estimates that the ongoing law and order issues and the resulting negative media have had a sustained impact on the financial viability of many tourist operators in Alice Springs, Central Australia and the Barkly region, leading to increased booking cancellations and substantially reduced profit margins. There have been a number of closures, but, as the federal member, I have certainly said to Tourism Central Australia that I will continue to provide my strong support and advocacy to help this sector recover and rebuild its brand. While the outlook for tourism in the Northern Territory remains uncertain, I'm impressed by the resilience of local operators as they take every opportunity to stay competitive.

I congratulate the Minister for Trade and Tourism, the Hon. Don Farrell, for taking the time during his recent visit to Yulara to meet with the delegation of Central Australian tourism operators and to hear firsthand the issues and challenges they are facing. This group greatly appreciated the time and understanding shown by Minister Farrell for their situation. I will continue to work with Minister Farrell's office in advocating for immediate relief to enable this immensely important industry sector for the Northern Territory economy to remain afloat.

I also look forward to meeting with the new Northern Territory Minister for Tourism and Hospitality, Marie-Clare Boothby MLA, to see what strategies, funding and solutions we can work together with the new CLP government on to address the current problems confronting tourism in the Northern Territory and aid its important recovery.