Tourism Business Council welcomes infrastructure development

"After reviewing the 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 of 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.

Roll-out of proposed plans must be seamless

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, the TBCSA also commends the President for prioritising 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.