Student visa cuts will have a double impact on tourism

The Australian Tourism Export Council (ATEC) has cautioned both sides of politics to consider the full economic consequences of restricting future international student visa numbers, citing a new report which shows more than eighty percent of all international students also attract at least one other overseas visitor to Australia during their stay.

ATEC Managing Director Matt Hingerty said the International Education Visitation - Tourism Opportunities report, published earlier this year by the Sustainable Tourism Cooperative Research Centre (STCRC), showed that the ramifications of cutting student visas were not fully understood by either side of politics and urged that further industry consultation was necessary on the issue.

"For the first time this report shows the impact of the international student market on the inbound tourism industry in black and white," Mr Hingerty said.

"The STCRC report shows that any changes to international student visa numbers need to be made with the knowledge of the flow-on effects this will have on other sectors of the economy."

Mr Hingerty said the report, the first comprehensive tourism study of international students and their visiting friends and Relatives, showed that the international education sector was a vital component of Australia's $26 billion inbound tourism sector, with more than 70 percent of student-visa holders expecting at least two friends and two or more family members to visit them in Australia.

"Australian tourism businesses are just emerging from one of the most challenging trading periods in recent memory, having to deal with the Global Financial Crisis, a high dollar, a shortage of labour and increased competition from overseas tourism destinations," Mr Hingerty said.

"Right now these operators more than ever need the custom of not only the international student market but also their associated visiting friends and relatives."
"ATEC looks forward post-election to explaining to both sides of politics that decreasing the number of international students will adversely impact upon the inbound tourism industry," Mr Hingerty said.
 
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