FREQUENTLY ASKED QUESTIONS
Answers by South Africa Tourism

economic performance

How is the South African Economy performing?

·         The economy continued to expand but at a slower rate at 4.9 in May 2007 compared to the previous high of 5.4.

·         Economic growth is projected to average just over five percent per year over the next three years. 

·         More rapid growth has meant more rapid job creation.  According to the December Quarterly Employment Statistics, employment in the non-agricultural parts of the economy rose by over 3 percent in the first nine months of 2006.

How is the tourism industry performing in South Africa?

Arrivals[1]

We had a 13.9% increase in tourism arrivals over the comparable figure for 2005. This means that South Africa had over 1 million more visitors in 2006 than in 2005.

Nearly 8.4 million people (8 395 833) visited South Africa last year. Once more, the largest source of growth was Africa, with an increase of 14.7% in arrivals from the African continent. However, we also saw strong growth in arrivals from North America, with an increase of 14.8%.

We had an increase of more than 73 000 visitors from Europe, almost 30 000 more visitors from North America, and over 30 000 more visitors from Asia, Australasia and the Middle East.

Growth in South African and indeed sub-Saharan African tourism is driving overwhelmingly positive tourism performance on the continent. Over the past two years Africa has achieved the fastest growth rates of any major region in the world.

According to the United Nations World Tourism Organisation:

“Africa has outpaced all other regions with almost twice the rate of global growth reaching 8.1% in 2006, following an already strong 2005. This star performance was led by Subsaharan Africa (+9.4%), while North Africa (+5.8%) also ended the year above average. Major destinations such as South Africa, Kenya and Morocco all continued to post excellent results.”

Spend[2]

Total foreign direct spend for 2006 was R49.8 billion showing a decline for R15.6 billion from the 2005 figure of R65.4. It is important to note that the largest decline in spend was in the shopping category i.e. down 61% from 2005.

Average spend in South Africa estimated at R5.345 per foreign tourist.

Africa contributed an estimated R7 billion to the TFDS despite having the lowest average spend per person of R4.561. Africa’s substantial contribution to tourist expenditure was a factor of large arrivals numbers from this region (Africa contributed 77% of arrivals in Q3 2006).

Europe accounted for R2.2 billion of direct spend with an average spend of R7.955. The Americas contributed R822 million in total with the highest average spend of any region of R8.874 per person.

Most visited provinces[3]

·         Gauteng attracted about 30% of all foreign tourists to South Africa,

·         The Western Cape was the second most visited province with 29.5% and KwaZulu Natal followed at 13.4%

To what do you attribute the growth of tourism in South Africa?

Better marketing and better positioning strategies employed over the last three years.

The Tourism Growth Strategy, which was developed together with the Department of Environmental Affairs, and Tourism in 2001 helped us to define our vision.  We realised that we could not be everything to everyone or everywhere. 

Now we are more focused about which markets we pursue and we work smart in those markets.

We have a dedicated and dynamic team around the world that is driven to succeed and we have had the positive word of mouth about our country and our nation.

In addition, global geopolitical situations have worked in our favour e.g. terrorism and SARS.

What is the South African government’s stance on the contribution that tourism makes to the economy?

Government has identified tourism as one of the sectors in the economy that has the highest potential for growth and has, officially and formally, recognised tourism for the substantial contribution it makes to socio-economic development; to creating jobs; and to growing the economy for the benefit of all South Africans in its Accelerated Share Growth Initiative of South Africa. 

The Tourism industry currently contributes 8% to South Africa’s GDP and within the context of ASGI-SA this contribution is set to grow to 12% by 2014.  Targets for the next five years include creating 500 000 new jobs, increasing tourism arrivals and growing tourism contribution to GDP.

South African Tourism has identified the following areas of focus in order to meet the targets of ASGI-SA:

1.                 Skills: Building a skills partnership in tourism

2.       Transport: Creating an enabling aviation environment

3.       Safety and Security: Addressing tourist safety and security concerns

4.       Product and Business Development, and Investment: Developing tourism SMMES, enhancing the product offering, and implementing a targeted investment strategy for tourism

5.       Market Growth: Increased resourcing of tourism marketing

You say that you can link tourist spend to economic prosperity - it is often quoted that every twelve tourists creates one new job in SA.

Where do these figures come from?

WTO satellite accounting system - A mock satellite account was constructed in 1998 to demonstrate the potential that tourism to make a meaningful contribution to the economy and one of the figures that we quoted was the eight tourists creates a new job.  Once the Tourism Satellite Accounting system for SA has been completed in the next three years, we will have an accurate measure of tourism’s true contribution to job creation.

Do you think tourists care about the economic impact?

The are growing indications that informed travellers do like the ‘feel good’ factor; growing trend in SA towards holidays that ‘put something back into community’ (building schools etc)

Don't you think that visible poverty might put some travellers off - especially those looking for exclusive treatment?

Tourists have demonstrated significant interest in South Africa’s history/ Soweto/Khayelitsha township tours very popular and departure surveys show that cultural and history are top of mind draws. Emerging entrepreneurs are benefiting from visitors who want to ‘touch the people of South Africa’.

2010 fifa world cup

Is South Africa ready for the 2010 FIFA World Cup?

We have been reluctant to draw direct comparisons with Germany’s World Cup preparations, not only because of the vastly differing conditions in our two countries, but mainly due to the fact that we plan to offer a unique World Cup experience. However, I am pleased to say that South Africa was:

·          13 months ahead of Germany in the announcement of stadia to be used;

·          four months ahead in finalising the Organising association agreement;

·          four months ahead on the presentation of the official logo;

·          2010 legislation has been drafted and passed through cabinet;

·          All five official sponsors agreements were concluded before the 2006 began;

·          Government has allocated some R23 billion to stadium construction and upgrade and infrastructure development over the next three years.

We are on track with the preliminary draw and are fully confident that all the stadiums, infrastructure and associated needs will be met.

Will there be enough beds in the host cities?

We are confident that supply will meet demand.

The structure of the tournament is such that there is not a one visitor to one room ratio.  You need to take into account the nature of the event and thus the movement of people in the country and at different stages.

“We know the needs, the requirements and expectations.  The people who were involved with FIFA in 1994 are still with FIFA and have a very strong understanding of the various trends within accommodation for a World Cup country.” 

(Adam Brown - Match Services)[4]

FIFA had asked for a guarantee of only 55 thousand beds and SA exceeds this with current stock.

SA Tourism is currently building a national product database to ensure that we have up to date information on all the accommodation and tourism venues in the country.

There are currently 55 000 qualified records on the database

As 31 December 2006 there were 4911 (86375 rooms) graded establishments[5] and the Tourism Grading Council expects to have graded 9500 establishments by 2010. 

Match has already contracted 27 000 rooms, and are therefore well placed to meet their target of contracting 55 000 rooms by 2010.

What about transport infrastructure?

Government has set aside an additional R8.4 for stadium construction, a further R1.7 billion to upgrade roads, and stations in areas critical to the World Cup. In total, over R9 billion will be allocated by national government for municipal transport, roads and precinct upgrading relating to the 2010 FIFA World Cup.

Two major initiatives are underway, namely the rapid rail link for Gauteng (the Gautrain) as well as the Taxi Recapitalisation Programme.

The government has set aside R14 billion for the rapid rail link with construction having begun. The key line between Johannesburg, the Airport and Pretoria is slated to be complete in time for 2010. 

In terms of safety and security, an additional 5000 railway police will be in place by 2007 with the first already deployed in the Western Cape.

Starting this year, government has implemented a taxi recapitalisation programme at a cost of R7 billion over the next seven years.  The programme aims to make South Africa’s roads safer by replacing about 97 000 minibus taxis with safer more reliable vehicles.  To aid this, government has introduced a once off scrapping allowance of R50 000 per registered vehicle.

Airports

The Airports Company of South Africa has begun its five-year investment programme in all the major airports in the country.  A total amount of R5.2 billion will be spent over five years to accommodate the 2010 FIFA World Cup, R492 million was spent at three international airports – Johannesburg, Cape Town and Durban and R46 million was invested at the Port Elizabeth, East London, George, Bloemfontein, Kimberley, Upington and Pilansberg National Airports.  It is projected that ACSA will handle more that 22 million passengers by 2012.

It has been said that South Africa is behind schedule with regard the stadiums to be used for the 2010 FIFA World Cup? 

At what stage is stadium construction?

Ten venues have been identified in total across the provinces of South Africa. R5.6 billion will be invested in the construction of five new venues. A further investment of R1.95 billion will go into the upgrading of five existing venues.

All of these venues are due for completion by 2009 in time for the Confederations Cup, which will be the final testing grounds for the tournament in 2010.

What about Airlift?

South Africa’s Cabinet recently approved a new airlift strategy for the country whose key point is to facilitate greater access to the country.

The strategy supports the national economic growth through greater alignment with the tourism strategy and industry, prioritising tourism and trade markets.

The strategy allows for greater market access to support growth and competition in the air services industry.  This is achieved through the creation of an enabling regulatory framework, which allows for capacity to be negotiated ahead of demand and unlocks capacity by introducing mechanisms such as the use-it-or-lose-it principle.

Here are some highlights as a result of this strategy:

q       In October 2006, British Airways began operating a twice-daily service to Cape Town for the summer – an increase of two flights a week over the 2005 season, which added 14 040 seats to flights into the city. 

q       Air France launched two new weekly flights between Johannesburg and Paris on 31 October, bringing the total number of weekly flights to 12. Adding the offerings from KLM to this total, there are now 26 flights per week between Johannesburg and the European hubs of Amsterdam and Paris;

q       Thai Airways began flying into Johannesburg on the 31st of October;

q       In December 2006 Delta Airlines launched a new route between Johannesburg and Atlanta in addition to the direct flight from Washington DC to Johannesburg which was launched early in the year.

q       Etihad Airways has received two frequencies in the summer season and two in the winter

q       Besides expanding its route network to Europe, SAA will add exciting new destinations later this year to North and South America as well as to Africa. These new route developments will grow SAA’s international capacity by 8%. The direct flights to Munich will start from 1 July, with three flights a week.

q       Emirates begun flying an additional two frequencies to South Africa on June 1, 2007.

How safe is it for tourists to visit SA and why should people visit when there are safer places to visit?

This is one of our greatest challenges as a country and it is as a result of our historic legacy of inequality.

The safety and security of our citizens and visitors is of paramount importance to us and on the latest reading, crime across the board has been reduced.

There has been a significant increase in resources going to the fight against crime.  Since 2003/04, allocations to the Safety and Security ministry have increased by 43 per cent. Over the next three years, resources going to the police will rise by a further 34 per cent from R33 billion in 2006/07 to R44 billion in 2009/10. The budget for the Department of Justice increased by 41 per cent in the past three years and will rise by 52 per cent over the next three years.

In this year’s budget, we are allocating an extra R2.4 billion to the police to further expand police numbers and invest in technology and forensic equipment. By 2010, we will have close to 190 000 police officers on our streets. Electronic fingerprints and dockets will become the norm. The 2007 Budget also allows for the implementation of the salary upgrade programme that commenced in 2005.

The Department of Justice receives a further R1.5 billion over the next three years to improve court capacity, reduce case backlogs and modernise the administration of justice.

We encouraged by the fact that the travel trade continues to show confidence by sending people to visit; would not do so if they risked being sued for sending clients to unsafe destination.

The South African government is making fighting crime a strategic priority

The South African Police Service and the national (governmental) Justice, Crime Prevention and Security Cluster have defined their broad goals. Fundamentally, the goal is to reduce contact crime by between seven and ten percent on an ongoing basis… an objective that has been irrevocably set. Specifically, this will be achieved by:

·         Reducing the levels of crime in the country, in particular contact crime through the development and implementation of social crime prevention programmes;

·         Addressing organised crime;

·         Improving the integrated justice system;

·         The prevention of illegal drug use;

·         Reducing the incidence of illegal firearms;

·         Dealing with sexual offences, including violence against women and children;

·         Improving levels of national security; and

·         Enhancing the capacity and readiness of disaster management systems.

There has been a significant increase in resources going to the fight against crime. Since 2003/04, allocations to the Safety and Security ministry have increased by 43 per cent. Over the next three years, resources going to the police will rise by a further 34 per cent from R33 billion in 2006/07 to R44 billion in 2009/10. In this year's budget, government is allocating an extra R2,4 billion to the police to further expand police numbers and invest in technology and forensic equipment. By 2010, we will have close to 190 000 police officers on our streets.

The possibility of having designated police officers tackling tourism crimes at every police station is to be considered by the Department of Environmental Affairs and Tourism (DEAT).

DEAT will collaborate with the Department of Safety during the implementation of the National Tourism Safety and Awareness Strategy, to put such officers in place.

The long term aim is to establish Tourism Ambassador Units in police stations, with specialised training.

Some provinces have established Provincial and Local Safety and Security Forums, and the formal participation of the police was of significant importance, and others are in the process of putting such structures in place.

The police have established planning forums which are referred to as National and Provincial Joint meetings where operations for events are planned.

The tourism sector will ensure participation in these meetings to provide information on activities, routes and events taking place countrywide.

The Tourism Safety and Awareness Strategy is expected to be launched in September 2007.

During his Budget Vote Speech in June this year, Mr Van Schalkwyk said the strategy involved pro-active measures as well as support measures where incidents have occurred.

DEAT is working with the SAPS to produce a Tourism Safety and Awareness Handbook for practitioners that will serve as the definitive guide for the entire industry.

The strategy calls for an integrated approach in addressing tourism safety and awareness and recognises the police as a critical role player, with a direct mandate regarding safety and security matters.

What external challenges do the police face in achieving further reductions of crime levels in South Africa?

• Continuously reducing the incidence of crime, particularly contact crime, despite overall population increases and South Africa’s growing exposure to the international community;
• The sustaining of emphasis placed on the implementation of sector policing in all station areas but accenting implementation in identified high crime station areas;
• Developing partnerships with all sectors of society in the fight against crime, including the private sector;
• Improving inter-departmental cooperation, particularly with those departments that constitute the JCPS (Justice, Crime Prevention and Security) Cluster, in order to address those factors that trigger crime;
• Contributing towards development and capacity building in Africa through NEPAD by assisting African countries such as the Democratic Republic of the Congo, Sudan, Rwanda and the Comoros in the establishing of an effective and efficient policing service; and
• Developing planning for the policing and securing of the 2010 FIFA World Cup.

What about illegal firearms?

Ø      A six-month amnesty during which people who possessed firearms and/or ammunition illegally could surrender weapons and ammunition for destruction by the South African Police Service (SAPS), resulted in the recovery of nearly 34 000 illegal firearms and just under 609 000 illegal rounds of ammunition between January 1 and June 30 2006.

Ø      In addition, 42 095 legal firearms were handed in voluntarily to the police during the year ending March 31 2006. During the period April 1, 2005 to March 31, 2006: SAPS destroyed 107 468 firearms.

Ø      The Firearms Control Act stipulates the conditions under which firearms may be licensed, prescribes training requirements for gun owners, determines the quantity of ammunition that owners may possess and sets out the circumstances under which firearms may be used or stored.

Other safety and security initiatives

South Africa’s security and intelligence services, together with increasing support from local authorities, have shown amazing commitment to effectively dealing with safety and security issues. A number initiatives are already in place.  These include:

·         A Tourism Helpline was launched in 2003 in partnership with Engen, a national petroleum company. The 24-hour call-centre service is linked to an extensive national tourism database covering all products and services – and is the first-ever one-stop national call centre enabling tourists to obtain information and assistance. The number 083 123 6789 is given to all tourists entering the country.

·         A comprehensive Tourism Safety and Security Strategy developed by the Department of Economic Development and Tourism in the Western Cape.

·         In Mpumalanga, an innovative ‘Tourist Monitor’ campaign has met with unmitigated success. The campaign seconds unemployed youths drawn from each of the province’s police districts to monitor tourist safety, report any suspicious activity directly to police and generally assist tourists. Not only has the percentage of crime in the region decreased considerably, but also a number of arrests were made as a result of tip-offs and a general drop in crime levels was noted. Several teams have been retained on a permanent basis through self-funding by local businesses.

·         In Johannesburg, a bustling centre of cultural diversity, the Business Against Crime initiative has reaped rewards with a citywide CCTV operation that has resulted in a significant decrease in inner-city crime.

·         Crime Stop is a range of call centres responsible for collecting information / intelligence on criminal activity from the public. When phoning 08600 10111, members of the public are assisted by trained interviewing specialists to pass on information about criminal activity to the SAPS in a safe and non-threatening environment.

·         Initiatives such as South African Tourism’s well-known Welcome Campaign that is one of the country’s most recognised tourism campaigns, is committed to promoting a tourism-friendly culture amongst all South Africans.

In addition, a multi stakeholder tourism safety workshop, held in February 2007 and led by the Minister of Environmental Affairs and Tourism, resulted in the development of a comprehensive tourism safety plan for South Africa. 

The plan is based on cooperation between the tourism authorities, the tourism industry and the law enforcement agencies at provincial and local level, in order to ensure that the police are aware of tourist flows, routes and venues and can plan accordingly, and that the role-players jointly identify risks and how to minimize those risks. 

It also looks at the response to incidents and the necessary after-care, which has been shown to be a major factor in reducing the negative effect on perceptions of incidents of crime against tourists.  The plan covers:

1. The development of a common vision and the coordination of tourism safety
2. Prevention of crime against tourists with local and provincial focus and responsibility.
3. Communication within the industry, with the security cluster and with tourists
4. Development of awareness in communities of the importance of tourism in South Africa
5. Management of perceptions of crime against tourists in South Africa
6. Victim support
7. Crisis management
8. Monitoring and Evaluation

People say South Africa is becoming too expensive?

We have always positioned South Africa as a value for money destination.  Therefore currency fluctuations do not affect its reputation as remaining a competitive, value-for-money tourism destination that offers experiences to suit the individual demands of travellers, be they looking for 5-star luxury or 3-star quality.

Service/quality of experience and product/innovation – deliver on value           side of proposition; warm, friendly services and delivery of high-quality product at all times whether it be at 1-star or 5-star level

Market forces will always impact businesses felt to be over-charging.

Research shown that on average room rates South Africa is hugely competitive. Room rates in SA are on average US$85 versus $133 in Europe; 117 in the Middle East and $108 in Asia - Deloitte Hotel Benchmark Survey 2005.

Occupancy: At 69% in SA on par with the Middle East and 1% better than Europe while Asia is at 72% occupancy.  It is important to note that occupancy rates in South Africa in 2005 were 4.4% better than in 2004.

It is crucial that, as a world-class preferred tourist destination, South Africa retains its competitive advantage in providing good value for money; providing the WOW factor re service/hospitality.

What has the South Africa done with respect to the issue of overpopulation of elephants in South Africa’s National Parks?

By all accounts, elephant populations in national parks have now increased to the extent that biodiversity is threatened.  Some would argue that irreversible damage has already been caused.

Following a lengthy consultation process Minister van Schalkwyk announce in February that his Department would contribute an initial R5 million this year to the research project proposed by the Science Round Table, which consists of 21 scientists who have participated in a series of discussions on elephant management.

The scientists have proposed a comprehensive research plan that will hopefully reduce the scientific uncertainty concerning elephants whilst we continue to deal with our immediate challenges.  

In addition the Ministry has developed draft norms and standards (DN&S) in dealing with the elephant question.

The DN&S therefore provide for population control of elephants using one or more of the following options:

·         range manipulation (meaning water supply management, enclosure or exclosure, the creation of corridors of movement between different areas; or the expansion of the range by acquisition of additional land)

·         removal by translocation;

·         introduction of elephants;

·         contraception; and

·         culling.

In regard to the more controversial options of culling and contraception, decision-making authorities will be guided by the DN&S principles which state that:

·         whilst contraception appears to be a promising measure to control the rate of reproduction of elephants in certain limited  circumstances, the long-term social, physiological and emotional impacts on elephants are not yet fully understood and current contraception methods are highly invasive and should therefore be used with caution; and

·         where lethal measures are necessary to manage an elephant or group of elephants or to manage the size of elephant populations, these should be undertaken with circumspection.

And the standard itself is that: Culling may be used to reduce the size of an elephant population subject to …..due consideration of all other population management options.

The Draft Norms and Standards for the Management of Elephants in South Africa will be published in the Government Gazette on Friday 2 March 2007 for public comment.

What effect does regional unrest have on the SA tourism industry?

Levels of ignorance about South Africa and its geographic location are quite sad, but we are overcoming this and with having successfully hosting such high profile events such as WSSD, CWC when eyes of the world were focused on our country; confident in South Africa’s ability to be recognised as a stand alone, economically stable democracy within the African continent.

South Africa offers a strong, quality African tourism product to visitors coupled with world-class infrastructure and supported by state of the art technology.

South Africa recognised for democracy and stable economy; SA has increasing reputation as a safe destination, far away from the troubles in the northern hemisphere

The countries comprising the SADC region are working together to further build the region as a tourism destination through the creation of cross-border Peace Parks that will help assist a more equal spread of the benefits of tourist spend across the entire region. These groundbreaking transfrontier and conservation parks are without doubt making history. For example, the 35 000 square kilometre Greater Limpopo Transfrontier Park - that straddles the boundaries of South Africa, Mozambique and Zimbabwe and is governed by an international tripartite treaty - comprises the biggest transfrontier conservation area in the world, offering an eco-tourism experience second to none.

Many tourists that arrive in South Africa continue to want to include two or three of our neighbours in their itineraries to complete a wonderful African tourism experience.

South African Tourism continues to work with its partners towards the alleviation of poverty through tourism in the region by encouraging an increase in tourist volume, spend and length-of-stay, improved seasonality and wider geographic spread.

ENDS