Supporting Tourism

The Irish Tourist Industry Confederation (ITIC) has called on the Government to increase the marketing support it plans to give…

The Irish Tourist Industry Confederation (ITIC) has called on the Government to increase the marketing support it plans to give the industry in the current year. ITIC's case deserves a hearing, though the issue of giving more money to tourism promotion at a time of extreme volatility must also be subject to scrutiny. To spend the taxpayers' money on advertising - principally on overseas media - is not a strategy that should be embarked upon lightly.

It is true that Ireland's capacity to win back tourists after the events of last year is challenging. Though the terror attacks of September 11th loom largest in the minds of potential visitors, it must not be forgotten that lingering damage was caused to the Irish tourist industry by the foot-and-mouth outbreak in these islands. Though the disease was successfully contained in this State, the restrictions on visitors damaged Ireland's reputation abroad as a rural outdoor destination.

September 11th had the effect - still felt - of curtailing air services between Ireland and the United States. Aer Lingus dropped its routes between Ireland, Baltimore/Washington and Newark. Delta pulled out of its New York-Shannon/Dublin service. ITIC estimates that in 2002 capacity across the Atlantic will fall by between 20 per cent and 30 per cent. The travel trade in North America, specialising in Irish holidays, has been seriously weakened.

Ireland's competitors have been gearing up to win back their own lost business and, where possible, capture market share. The British Tourist Authority, for example, has launched a new advertising campaign, under the banner UKOK, which will run between now and June in Canada, Belgium, France, Germany, Ireland, the Netherlands and the United States. Canada is spending heavily on a tourism marketing strategy in the east coast of the United States and the UK.

READ MORE

All this activity brings intense competitive pressure on Irish tourism interests. ITIC's solution is to call for more state funding. The Exchequer benefits strongly from investment in tourism which is an important generator of exports. There is a strong case for additional support for this vital industry. What form that support should take is open to debate.