Wellington, New Zealand – The New Zealand government has announced plans to nearly triple the entry fee for foreign tourists, a decision that has raised concerns within the nation’s crucial tourism sector. From October 1, 2024, the fee for international visitors will increase from NZ$35 (RO8.35) to NZ$100 (RO23.86).

The government has justified the hike as a measure to ensure that tourists contribute more towards public services and the high-quality experiences offered during their stay in New Zealand. The fee increase is part of a broader effort to manage the environmental and social impacts of over tourism, which has become a growing concern in popular destinations like New Zealand.

Minister for Tourism and Hospitality, Matt Doocey, emphasised the importance of international tourism to the economy, noting that overseas visitors spent over $11 billion in the year ending March 2024. However, he also highlighted the costs associated with tourism, including added pressure on regional infrastructure and increased maintenance across conservation areas.

The tourism industry, however, is worried about the potential negative impact of the fee hike, especially as the sector continues to recover from the effects of the COVID-19 pandemic. Rebecca Ingram, Chief Executive of the New Zealand Tourism Industry Association, warned that the increased fee could deter visitors at a time when the country’s tourism recovery is lagging behind the rest of the world.

Recent data from Stats NZ showed that profits in the travel industry from June 2023 to June 2024 were down 5% compared to pre-pandemic levels, further fuelling concerns about the impact of the new fee. Additionally, the government’s proposal to increase taxes on regional airports has added to the industry’s worries.

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