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How is Australian Government supporting the ailing tourism industry?

February 13, 2021 Headline News No Comments

The indefinite closure of international borders has been quite a bummer for the tourism industry, grappling to stay afloat during the murky situation. Revenues fell dramatically for the tour operators, and many cash strapped businesses continuing to innovatively transform their business models have been forced to slash thousands of jobs.
While analysts predict the ongoing scenario to be the inflection point for Australian tourism, many accede that the recovery could prove to be a long shot without necessary government interventions. Meanwhile, Australian Minister for Trade, Tourism and Investment, Dan Tehan indicated that the ban on overseas tourists could remain in force for the remaining 2021.

With travel restrictions and the uncertainty clouding the travel settings, Australia’s tourism sector is on a very sticky wicket indeed, with travel operators and agencies urging Morris government to beef up the support measures.

Let us cast an eye over how the Australian Government is currently supporting the ailing tourism sector.

Financial Backing as Modus Operandi to Support Travel Players

Australian Government’s $1 billion COVID-19 Relief and Recovery Fund came as a saving grace for the tourism industry, left in the dire straits with the onset of the pandemic. JobKeeper wage subsidy has remained at the forefront and continues to support significant workforce.

The lifeline for thousands of travel employees seems to be drawing to a close, with Jobseeker wage subsidy ending on 28 March 2021. As per the survey conducted by the Australian Services Union (ASU), roughly three-fourth of aviation workers are concerned about making ends meet post the ending of the jobseeker wage subsidy.

While the federal government has turned down the further extension of the wage subsidy, it has indicated to support the Australian tourism industry via several other support measures.

Uniform Vaccination Policies
The rollout of vaccination programs across the world has brought glimmers of hope to kickstart air travel. The Australian travel industry is no different that can soon be free from a plethora of troubles encountered with sudden border closures.

Australian Government confirmed that digital vaccine certificate would be available on smartphones while the planning is ongoing for certificates recognition by other nations. It would boost the confidence of the travel enthusiast, expected to resume their travel plans with local Australian destinations initially.

As far as international travel scenario is concerned, the uniform approach is being targeted with COVID-19 tests, inoculation proofs such as vaccination passports anticipated to be mandatory for travelling. It would aid in aligning the travel safety requirements with the expectations of overseas countries.

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Will COVID-19 Vaccination Bring Some Respite for the Australian Travel Sector?

Targeted Supports Measures

The targeted support seems to be on the cards for Australia’s tourism, with Treasurer Josh Frydenberg indicating Morrison Government’s plan to offer sector-specific support to the travel players. Meanwhile, the industry last year saw the launch of several programs to boost various areas of travel settings such as infrastructure, airlines, and the promotion of in-situ spots.

A fund of $8 million has been allocated from the National Tourism Icons Program of the Australian Government for constructing Wangetti Trail from Palm Cove to Port Douglas. The project catering to deliver adventure-based ecotourism experiences is expected to attract international tourists, providing long-term growth prospects to the industry stakeholders.

Furthermore, the Government has put $5 million in travel promotional campaign in a bid to promote domestic travel.

Fabricating Feasible Travel Arrangements

Although international travel restoration can take a couple of years to return to pre-pandemic level, the recovery process would potentially involve building and expanding the travel bubble. One-way travel with New Zealand has already been reinstated, and the Government is considering setting the travel bubble with Japan and Singapore.

Meanwhile, alternative arrangements can be set up for flying back international students enrolled in Australian universities. It would empower not only the airline industry but also provide Australian economic a significant economic boost.

Copyright © 2020 Kalkine Media Pty Ltd

The travel players have swiftly gone on survival-mode, embracing a range of innovative, cutting-edge solutions for their travel services. At this juncture, the government’s active involvement for ensuring travel reboot can prove to be an elixir to pull many tourism-related businesses from the troubled waters.

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