Territory Stories

Budget Paper No5 Northern Territory Economy 1998/99



Budget Paper No5 Northern Territory Economy 1998/99

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Tabled Paper 382


Tabled papers for 8th Assembly 1997 - 2001; Tabled papers; ParliamentNT




Tabled by Michael Reed


Made available by the Legislative Assembly of the Northern Territory under Standing Order 240. Where copyright subsists with a third party it remains with the original owner and permission may be required to reuse the material.




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TOURISM The strong growth in the tourism industry achieved in recent years was curtailed during 1997 with the number of visitors to the Territory decreasing 3.9% and expenditure by tourists falling 3.2%. Moderate growth in the industry is expected over the next five years with growth in international visitation expected to outpace domestic visitation. Due to the production based method of calculating GSP, information on the tourism industry is spread across a number of industry categories. The "Accommodation, Cafes and Restaurants, and Cultural and Recreational Services" categories captures a signif icant proportion of tourism expenditure although tourists also contribute directly to other industries such as retail trade and transportation. Using "Accommodation, Cafes and Restaurants, and Cultural and Recreational Services" as a proxy for the tourism industry indicates that tourism contributes more to the Territory economy than in any other State or Territory (see Table 9.1). Using the same definition, the Territory tourism industry employs 8.7% of employed persons compared to 7.2% nationally. VISITOR NUMBERS Data prepared for the Northern Territory Tourist Commission (NTTC) shows that the total number of visitors travelling within the Territory decreased by 3.9% to 1.2 million in 1997 compared with the previous year. This decrease was the result of fewer interstate visitors (down 7.8%) and fewer Territorians travelling overnight within the Territory (down 6.1%). These falls were partially offset by an increase in the number of international tourists (up 4.2%). Interstate visitors from New South Wales, Victoria and South Australia accounted for two thirds of interstate visitors to the Territory. Visitors from UK/Ireland represented 23.1% of international visitors while USA/Canada 17.0%, Germany 14.1% and Japan 13.8%, were the next most common countries of origin. Tourists from Asia (excluding Japan), make up only 3.7% of international tourists. EXPENDITURE During 1997, visitors spent some $695 million in the Northern Territory on accommodation, tours, food, souvenirs and other goods and services. This was down 3.2% on 1996. Figure 9.1 shows expenditure on a financial year basis and demonstrates that expenditure by tourists fell slightly in 1996-97 after a period of steady growth. The 47 Chapter 9 % OF GSP Northern Territory 6.6 Queensland 5.1 Australian Capital Territory 5.0 New South Wales 4.3 Tasmania 4.2 Victoria 3.8 South Australia 3.5 Western Australia 3.0 Australia 4.1 Table 9.1 ACCOMMODATION, CAFES AND RESTAURANTS, AND CULTURAL AND RECREATIONAL SERVICES Source: ABS Cat. No. 5220.0, 1995-96

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