] SPEECH: Speech to the Tourism Industry Association - Rt Hon John Key
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Speech

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29 October 2008
SPEECH: Speech to the Tourism Industry Association

Speech to the Tourism Industry Association
Queenstown


Thank you very much for the opportunity to speak with you today, in the middle of a region of New Zealand that is home to some of the most breathtaking scenery in the world – and a region for whom today's topic is crucially important.

Tourism is one of the major industries for New Zealand, one of the biggest. Your industry earns about 18% of New Zealand's export earnings.

Apparently there is some ongoing debate about whether tourism qualifies as the biggest export earner and it may have something to do with how you add up the competing agricultural industries, but no matter. 18% of New Zealand's export earnings is a lot in anyone's book.

Tourism is also responsible for about 9% of New Zealand's GDP, and employs about one in ten working New Zealanders. So, aside from anything else, it's an industry that's particularly important in maintaining and boosting this country's employment levels and growth prospects.

For all these reasons, and as a prospective Prime Minister who wants to get New Zealand's economy back on a real growth track; tourism is of real interest to me.

There is another reason it interests me. Tourism is about celebrating New Zealand's magnificent landscape, its wildlife, and its people.

And as someone who has spent a bit of time overseas, the opportunity to be involved in promoting this country and all that's in it would be a huge privilege.

There is a unique beauty in this country, something we are all rightly proud of.

New Zealand, the destination, is one of the three things in which I see us having a real competitive advantage over many other countries.

I see those three unique advantages as the experience we offer our visitors,
our strengths in food production, and our Kiwi ingenuity – the cleverness of our innovators, our engineers, our technicians, and our designers.

All three of these competitive advantages are going to be crucially important to ensure we get through the current world economic challenges and get on to a faster growth path.

All three have another connection; they are all about "Brand New Zealand" –
about how this small country at the bottom of the world punches far above its weight and does it in a natural, authentic way.

And we are a small country. So we all have to work together to keep getting noticed, keep getting seen, and giving all New Zealand products – whether it be our food, our scenery, our ingenuity – a reference point for people to buy.

The good news is that our location, though at the "bottom of the world", is also on the rim of the fast-growing Asian region and that is becoming a real strategic advantage.

Though we are far away from the old world, we are actually pretty close to the fastest-growing part of the world.

There are many opportunities for New Zealand to forge ahead – provided we take a focused and co-ordinated approach to all our international activities.

That's why I believe that as Prime Minister, should I be given that privilege by the voters, there is an obvious role for me to use my office to proactively advance the cause of the New Zealand brand by leading our tourism marketing effort.

It is also a real signal to tourism operators like yourselves that a National Government will recognise the importance of your industry to the New Zealand economy. And it is a tangible way of showing New Zealanders that their new Prime Minister is truly going to be focused on growing the cake rather than just on different ways to hand the cake out.

Taking an active leadership role in one of our major growth industries is one way I can demonstrate the next National Government's commitment to growth and higher incomes for all New Zealanders.

The only way out of this recession will be to grow our way out, and that means being more outwardly focused and selling more of our goods and services to the world. Tourism is a big part of that, both directly and indirectly, as a promoter of brand New Zealand

To promote that growth I will firstly want to ensure that all our international agencies, be they tourism, NZTE, MFAT, all work more closely together effectively as the external arm of New Zealand Inc. If you like, our international division.

They also need to work much more effectively with the private sector – as must the rest of the government sector. A country our size has limited resources.
We can't operate with different agencies in their own silos around the world.

So, the first thing I will be seeking is a strong cross-agency focus on marketing New Zealand in all the major markets in which we operate.

Today, National is releasing our tourism policy alongside this speech.

Our Foreign Affairs Spokesman, Murray McCully, is also releasing our Foreign Affairs policy, and our Trade Spokesman, Tim Groser, is releasing our Trade policy.

These three policies are being released at the same time to underline our commitment to co-ordinate those efforts.

Then I will want to look closely at Tourism New Zealand – in the same way we are going to review all government agencies – to ensure that the maximum amount of the resources we provide is being directed to the front line, and in this case the front line is New Zealand's international marketing effort and the maximum bang for our buck.

We will need to keep freshening our brand. 100% Pure has been working well for us but, as in all marketing, we will need to keep challenging ourselves to keep it fresh, modern, and relevant to our audience. Lately, TNZ has updated it by focusing on the fact that New Zealand is geologically the youngest country in the world.

Our marketing image as a country will be very much a focus for us.

We also need to protect the intrinsic qualities that are important to New Zealand's brand. I'm thinking of our environmental credentials, in particular. Global climate change awareness, resource shortages, and increasing intolerance of environmental degradation will give environmental policy renewed relevance in the minds of potential tourists.

So, National's environmental policy will work to protect the resources that tourism providers rely on – clean air, clean water, and unique landscapes. The things that make visiting New Zealand such a unique experience.

I also believe that New Zealand, as a responsible international citizen, must act to reduce greenhouse gas emissions.

National will work on the world stage to support international efforts to reduce greenhouse gas emissions and we will actively participate in efforts to build global alliances that build on the goals agreed to at Kyoto.

We have to do our bit, and be seen to be doing our bit on climate change so we can hold our own against the carbon miles bullies.

Here at home, National will work to reduce emissions in ways that result in least cost to society and the economy. It's very important we get that balance right, particularly at a time when many New Zealanders are already feeling the pinch from global financial uncertainty.

To that end, National will amend Labour's ETS to ensure it is balances our environmental responsibilities and our economic opportunities, to ensure it is fiscally neutral, fair on small and medium businesses, compatible with Australia's regime, and that it promotes carbon efficiency – not carbon export.

The second important step National will take to promote our tourism sector is to work with the public and private sector to help further develop the tourism industry, making sure that the public sector supports private sector initiatives.

And in taking those initiatives we will all need to focus on that over-used but under-realised tourism term "yield" – the return we obtain from each visitor, each activity, and each room night.

At a macro level you maximise yield by preserving the great things about the experience that visitors to New Zealand have, while eliminating the 'not-so-good things', and in some of those, government has a role.

I am not talking about writing another strategy or another set of targets or another plan. Tourism is one of those industries that has been blighted by far too many strategies, consultations, and general navel-gazing under Labour.

There is now an agreed tourism strategy for 2015. We will use that as a base, but our approach will be action-orientated and results-focused.

Tourism is also effectively provided by a huge range of mostly small and medium-sized New Zealand businesses which, like most SMEs, often wonder if Government is here to help or to get in the way. Under Labour its been, more often than not, to get in the way.

National's plans to reduce red tape, reform the RMA, and remove superfluous regulation across the board will help tourism businesses at least as much as other businesses, and they will encourage an entrepreneurial spirit that has often been stifled over the past nine years.

Many of the things that tourism businesses need to have happen in order to get ahead are the same things that all businesses in New Zealand need: Good infrastructure is important to a vibrant tourism sector – roads, energy, water, are all important. And ultra-fast broadband is important for communicating our offering to the wider world.

To achieve those things there is a need for investment, and a need to cut through compliance issues and red tape.

National is committed to taking a big step up in New Zealand's infrastructure investment and also to reducing the barriers in the RMA that could slow down much-needed development.

Of course, the Resource Management Act doesn't just slow down big infrastructure projects. I know it can make developments costly, time-consuming, and difficult for your businesses as well.

National will introduce into Parliament, within 100 days of forming a new Government, a Resource Management Amendment Bill to streamline and simplify the Act, and advance this into law within six months. Our first phase of reforms will simplify the Act by reducing the number of consent categories,
getting rid of vexatious and frivolous objections, making it easier for councils to update plans, and clarifying the vague Treaty of Waitangi references.

One of the short-to-medium term things the next Government will be doing is helping maximise the benefit brand New Zealand draws from hosting the Rugby World Cup in 2011. This will be one of the biggest promotional opportunities New Zealand will ever get on the world stage, and we will work with the organisers to ensure the success of the event as a fantastic opportunity to showcase New Zealand

The gloss has been coming off our tourism numbers a bit in recent times as the world economy enters a recession. We are going to have to work a lot smarter, all of us, to keep those numbers up and, more importantly, to maximise the economic return New Zealand gets from tourism and trade.

And the way we are going to have to approach tourism is an example of what we are going to have to do right across our economy to grow our way out of recession and get rid of Labour's projected decade of deficits – and that is to make New Zealand a wealthier country that can keep people here and afford First World services in health and education.

Remember, it is only a strong economy that will provide financial security for our families, larger superannuation payments for our older people, and well-paying jobs for our young people.

Though times are getting tough right now, the future for tourism is bright. You are a vital part of the economic engine that drives New Zealand and you will be celebrated and encouraged by my Government.

If I am made Prime Minister, I commit to leading that charge as your next Minister of Tourism.


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#1 - luciyahelan 2010-08-14 16:04 - (Reply)

Realy, Hat’s off. Well done, as we know that “hard work always pays off”, after a long struggle with sincere effort it’s done. This action proof to be a win, win situation. This is a true art work, which will be a success story.There’s usually a good bunch of talent nominated- they just don’t usually win.I am not talking about writing another strategy or another set of targets or another plan. Tourism is one of those industries that has been blighted by far too many strategies, consultations, and general navel-gazing under Labour. ===================================== Smile Travel Insurance


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