Tourism Business Supports Government's Infrastructure Development Drive

                                                                                                          
The Tourism Business Council of South Africa (TBCSA) has expressed satisfaction with recent State of the Nation Address (SONA); saying government’s renewed focus on infrastructure development will benefit tourism trade in the long-term.  

“After reviewing President’s speech, we certainly welcome government’s  strong emphasis on infrastructure development, as this will go a long way in boosting trade within the travel and tourism industry”, says Mmatšatši Marobe, CEO TBCSA. 

Announced plans to integrate the rail, road and water infrastructure in Limpopo and the North-West provinces, the planned improvements in the movement of goods through a Durban-Free State industrial corridor, as well as the upgrading of roads are all expected to have a positive impact on tourism businesses operating in these regions.  Tourism business is likely to benefit in terms of the improved facilitation of services such as water and electricity, and the alleviation the traffic congestion and damage caused to the roads by heavy-duty vehicles.

Marobe added that it was important for government to ensure that clear measures are put in place for a seamless roll-out of these proposed plans.

Although there was no direct focus of the travel and tourism industry in this year’s SONA, the TBCSA also commends the President for prioritizing the need to stimulate the country’s overall economic performance and creating an environment conducive for business to create jobs, as this will also be to the benefit of business in the sector.

In 2011, the TBCSA FNB Tourism Business Index (TBI) consistently showed that the dramatic rise in input cost was a major hindrance to business performance.  Marobe explained that it is in this context that the TBCSA viewed the President’s pronouncements on the need for Eskom to review how the price increase requirement can be reduced in a positive light.  “We hope that the same spirit of ‘ensuring that industry remains financially viable and sustainable’ will also prevail in the ongoing negotiations regarding the proposed implementation of the eTolling system and AARTO, she said”.

To conclude, Marobe said overall the 2012 SONA had been well received. “We look forward to hearing more details about the implementation and funding of these projects from the various Ministers.  Moreover, based on the TBCSA’s submission of budget suggestions to the Minister of Finance, we look forward to seeing a budget outline that will be sensitive to the needs of tourism and the wider business community”.