Tag Archive for: South African Tourism

The Department of Tourism presented its revised budget in parliament on 9 July, highlighting how the coronavirus pandemic and the national lockdown have caused massive damage to the industry.

Addressing parliament’s tourism portfolio committee, Tourism minister Mmamoloko Kubayi-Ngubane, said that while easing lockdown regulations in the sector was aimed at assisting businesses, it had to be done under strict conditions, and while reinforcing government’s health objectives towards defeating Covid-19.

The minister added that her department’s focus will be on supporting domestic tourism as the first point of recovery.

However, she caution cautioned that the recovery of the entire tourism industry would largely depend on how travel-ready authorities are in terms of managing and controlling coronavirus locally and globally.

The below graphic, taken from the department’s presentation, shows how tourism and the aviation sector is likely to open up in South Africa.

The department did not provide information on when these phases are likely to be introduced – noting again that they were heavily dependent on aviation regulations. However, it made it clear that it will focus on ‘domestic tourism first’.

“Tourism recovery will experience a number of phases, from hyper-local community attractions, through broader domestic tourism, regional land and air markets, and lastly resumption of world-wide international travel.

“The phases may not necessarily follow the same sequence but of certain is domestic tourism first.”

Tourism director-general, Victor Tharage, confirmed that the department lost close to R1 billion in its readjusted budget as announced by finance minister Tito Mboweni.

However, Tharage said that although there were difficult times ahead for the industry and those dependent on it, his department would still be able to meet all its amended targets in line with its adjusted budget.

Travel

At the end of June, Transport minister Fikile Mbalula announced that a number of air travel restrictions will be eased as part of the country’s move to ‘advanced’ level 3.

Mbalula said that this will include the reopening of a number of domestic air routes, as well as general relaxations around the industry.

The airports include:

  • Bram Fischer International Airport (Bloemfontein);
  • Kruger Mpumalanga International Airport;
  • Pietermaritzburg Airport;
  • Port Elizabeth International Airport;
  • Richard’s Bay Airport;
  • Skukuza International Airport.

OR Tambo International, Cape Town International, King Shaka International airport, and Lanseria have been open since the start of the June.

South Africans are currently only allowed to fly domestically for business purposes, with international travel only allowed for repatriation and medical evacuations.

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email info@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: [1], [2].

The African Travel and Tourism Association (Atta) has called for international inbound tourism to resume as “close to September 1 as possible”.

“By opening up as close to September 1 in a responsible manner, we will save the entire 2021 inbound tourism revenue stream and tourism in SA,” the trade association, which promotes tourism to Africa, said in a statement issued on Tuesday.

It said that although parts of the travel and tourism sector have been earmarked for return in levels 2 and 1, depending on their risk profiles and the spread of Covid-19 in SA, the association said it has already seen the inclusion of business travel in level 3 through successful lobbying for earlier reopening of this critical sector.

It said the country’s tourism private sector, under the Tourism Business Council of SA (TBCSA), has been engaging on the tourism recovery strategy being developed by South African Tourism.

Atta said the TBCSA was advocating the earlier phased reopening of international tourism to SA this year to as close to September as the risk-adjusted strategy allows, based on a phased approach.

It said this data-driven recovery strategy has been presented to relevant government authorities and is guided by the government’s risk-adjustment strategy to ensure safety and stringent health-focused protocols to guide and assist stakeholders within the travel and tourism value chain.

The association said the protocols are important because they will inform the timelines for the reopening of international tourism.

Inbound tourism employed more than 375,000 people in SA, it said, of which an estimated 40,000 jobs had already been lost.

The association said the summer high season runs from September to March and represents 60% of the annual business for tourism.

“The nature of international inbound tourism is such that we have long lead times between booking and travel,” it added.

The proposed phased recovery strategy provides for an initial six to eight week preparation phase, followed by a trial phase where safe source markets with similar risk profiles and stages of the pandemic were allowed to travel to SA.

The association said these travellers would be vetted, all stringent safety protocols would be in place and the focus would be on low-contact products and low-risk areas, traditionally with low density.

In the next phase, SA would further open key markets and expand the experiences on offer, until the next phase when air access is opened fully.

The association said it was confident that SA’s tourism economy could be opened up safely if global best practice was followed.

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email info@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: [1], [2].

Durban, an already popular tourist destination, sitting in South Africa’s third largest municipality, has two new ways of boosting travel through its borders.

Cruise Terminal

Managing Director of MSC Cruises South Africa, Ross Volk recently revealed that MSC Cruises will begin building its Durban Cruise Terminal in November. The terminal will eventually be 4516 square metres in size.

The news was confirmed at an exclusive media launch held at MSC Cruises head office in Sandton on 20 August. The new R200 million cruise terminal at South Africa’s busiest cruise port is due to be completed in 2021.

“MSC Cruises is committed to growing the cruise tourism sector in the country and Africa at large. We are investing heavily in infrastructure as well as training, which includes the new Durban Cruise Terminal that will also house the MSC Shosholoza Ocean Academy,” Volk said.

He added that the multi-user terminal will make Durban an even more desirable destination for cruise ships from all over the world.

“It will substantially boost tourism numbers, create thousands of jobs and lead to supplier development. The construction of this state-of-the-art terminal is an exciting project that MSC Cruises is proud to be a part of. The design phase took a little longer than we anticipated, but it was vital that we got this right as we want the Durban Cruise Terminal to be an iconic destination,” he said.

According to Tourism Update, the MSC Cruises fleet currently comprises 16 ultra-modern, innovative and elegantly designed ships.

It is said to be the world’s largest privately-owned cruise company and the number-one cruise line in South Africa, Europe, South America, and the Gulf. The company reportedly achieved 800% growth in its first 10 years, building a global reputation in the industry and one of the youngest cruise fleets at sea.

At the media launch, Angelo Capurro, the group’s Global Executive Director also said that South Africa is an important market for MSC Cruises and reflects its broader growing investment in cruising globally.

“In fact, in South Africa for the next cruise season starting in December, we will have two ships operating. The bigger MSC Musica with the capacity to carry 3 200 guests will be homeported in Durban, while MSC Opera will be homeported in Cape Town and have a capacity for around 2 500,” Capurro stated.

Coach Route

Intercoach has announced they are now running a route from Durban to Mozambique. With no direct flights between the two locations, it’s often an awkard transfer at Johannesburg that has to facilitate those who travel by air. But last year, things got a little easier on this commute.

The Maputo-Catembe Bridge was inaugurated by the President of Mozambique, Filipe Nyusi, on Saturday 10 November 2018. The three-kilometre-long suspension bridge, which extends 680 metres over Maputo Bay, has been lauded as a Southern Africa’s latest and greatest engineering feat, giving SA a direct route to the capital city of Maputo.

With this bridge now in place, it have shaved hours off of the journey time. And Intercape are ready to pounce upon the opportunity. Here’s everything you need to know about the new service.

Return tickets are around R600, which is multiple times cheaper than a flight. The trip takes 9.5 hours, has 12 stops, and officially opens on 6 September.

Four hours into the journey, passengers can grab refreshments and stretch their legs at the Hluhluwe PetroPort, before embarking on the remaining five-hour trek.

Border crossings, meanwhile, will take around 40 minutes. It’s essential you have the correct travel documents and your passport with you, in order to make any inspections run as smoothly as possible. You can no longer buy a visa on the Mozambique border, and travellers will have to sort theirs before departing.

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email marketing@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: flowcomm [1], [2].

A new direct route between Cape Town and Newark, New Jersey, USA will be taking to the skies in December.

The seasonal route will be operated by United Airlines – their only route to Africa after they ended their Nigerian route a few years ago – and will operate between Cape Town International Airport and Newark Liberty International from 15 December 2019.

It will be a three-times-weekly service on Sunday, Wednesday and Friday from Newark, departing at 20:30 and arriving in Cape Town the next day at 18:00, and will depart again at 20:50 and arrive in Newark at 5:45. The flights will be serviced by a Boeing 787-9 Dreamliner.

It will cut travel time by eight hours for a round trip flight.

This is just another feather in the cap for the Cape Town Air Access team, making this their 15th new direct route since they started in 2015. According to Wesgro CEO Tim Harris, the new route is projected to bring in R425 million in direct tourism spending to the province by 2021, and R238 million in the first year of operation.

“By expanding air connectivity, we can expand opportunities for people, especially youth,” said David Maynier, Western Cape Minister for Finance and Economic Opportunities, at the launch.

It’s also expected to grow the US market by 20%, create 890 new jobs in the province in the first year and drastically increase cargo capacity between the two countries.

“We are grateful for the work done by our partners, especially the direct air access team,” lauded the city’s mayor Dan Plato.

“We see Cape Town, South Africa, as the gateway to Africa, and we have a lot to offer to the rest of the world.”

Why a direct route to Newark?

Americans are the third largest source market for tourists in Western Cape, after the UK and Germany, and while there has only been a 2% increase in passengers between 2017 and 2018, Business Class passengers grew by 19% in that same period.

Despite these numbers, New York (which is fed by Newark Liberty International) is one of Cape Town’s most under-served markets, followed by Brussels and Hamburg. Harris also noted that US travelers are also not beholden to seasonal travel – their numbers remain quite consistent throughout the year, even in the off-peak seasons when the city becomes a bit chilly.

And not only will a direct route boost tourism numbers, it will also boost trade exports and imports. Western Cape sells more to the US than it imports, and the US is its third biggest export market. The top six exports from the province to the US are products of iron or non-alloy steel, jewelry of precious metal, engine parts, citrus fruit, wine and yachts.

There will be a push to turn the seasonal route into a year-long route, but this is dependent on regular two-way traffic between the two countries. While marketing the US as a leisure destination to South Africans with the weak rand might be tough, the focus from SA Tourism’s side will instead be on the lucrative business travel sector.

Another point made by Harris was that the success of the air access program is the public-private partnership involved in route development, something that is unique in the world.

“We are competing with thousands of destinations around the world.”

“It is important to know what’s happening in the business sector when meeting with airlines, which is why you need a collaborative approach.”

What it means for South Africa

But the benefits won’t only be reaped by Western Cape.

For SA Tourism’s acting CEO Sthembiso Dlamini, direct air access is the best way to grow brand awareness of a country.

“Air access is very important in the business of tourism, which is a key economic growth factor for South Africa,” said Dlamini at the launch.

SA Tourism has plans and campaigns in place on the ground to drive traffic for the December launch.

“One of the key barriers to travel to South Africa is that it is too costly to get here from an airline’s point of view. So the first interaction a tourist or potential traveller has with a destination is through an airline ticket.”

“A lot of people say ‘you are not affordable’, but these issues are around perception. When you look at the currency or exchange rate, you get a lot of value for experiences using the dollar in South Africa.”

Other barriers highlighted by Dlamini are the appeal of other destinations over South Africa, concerns for personal safety and uncertain political climate – but these are, again, all an issue of perception according to Dlamini.

International visitors to SA saw a marked decrease of 1.3% between January and April 2019 compared to last year, while the domestic market saw an increase. SA Tourism plans to capitalize on this by reviving the ‘We Do Tourism’ campaign this year and getting corporates that aren’t necessarily in the tourism sector involved.

“We want to ensure that South Africans understand the value of tourism and the role that they need to play in ensuring that this sector grows,” says Dlamini.

While the US market saw a growth between 2016 and 2018 of 4.5%, major market China saw a 9% decline, which Dlamini claims is partly because the Chinese traveler doesn’t like layovers and want to fly direct.

She also noted that forward bookings were down for January almost 10%, as the peak booking period for this time took place during the drought crisis in Cape Town.

Besides the national markets, SA Tourism also wants to focus on special interest groups, LGBTQ+ travelers, repeat travelers, Millennials, and the meetings, conferences, and events sector.

Most US visitors travel to Western Cape, Gauteng and Mpumalanga, with traction seen in Limpopo, KwaZulu-Natal and Eastern Cape. SA Tourism will put their effort into showcasing those showing growth like the last three.

“We must look at what are the new products and experiences that we can start packaging so that South Africa presents a variety of products that people are looking for.”

SA Tourism’s plan of action is to “create desire through giving the traveler a vivid sense of the real South Africa before they visit” and “build confidence through giving access to real information that excites people about the country and dispels concerns”. For the US – and Canada – they want to market South Africa as an “ultimate adventure destination”.

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email marketing@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: Nicolas Jehly [1], [2].