Territory tour operators plead for help as visitor numbers decline

Territory tour operators have had a grim start to the visitor season as the latest tourism numbers show a decline in arrivals. Read which regions had the biggest visitation slump.

There’s lean pickings for Territory tour operators so far this holiday season, as would-be visitors battle a cost-of-living crisis, exorbitant airfares and uncertainty about their safety should they make the journey north.

Operators in four of the Territory’s six main tourism hubs have reported substantial reductions in visitor numbers as high interest rates and higher costs force Australians to revise their holiday plans.

The latest tourism data for the 12-months until the end of March showed a decline in all but two of the NT’s six designated tourism regions, with Lasseter recording an 11 per cent increase and Alice Springs and Macdonnell a 5.4 per cent increase, on the back of higher international visitor numbers.

The total Top End visitor drop was 11 per cent with Greater Darwin down 12 per cent, Kakadu-Arnhem and Katherine-Daly down 22 per cent.

Central Australia’s Barkly region recorded a 40 per cent decline in visitors.

Nitmiluk National Park and the Katherine region recorded a 22 per cent drop in visitors.

In the year to March 31, tourism generated $2.7bn for the Territory economy from 1.65 million total visitors, a total decine of 3.2 per cent, with average nights stayed dropping 0.4 per cent to seven and the average visitor spend increasing by 5 per cent to $1658.

NSW visitation dropped 16 per cent, Queensland increased 26 per cent and Victoria fell by 19 per cent.

Our top five international markets; the United States, UK, Germany, New Zealand and Japan, all recorded visitation increases.

Alice Holiday Tours owner Mahesh Mahendra described the operation’s worst year since Covid, which he said followed two years of high-profile crime in the town.

“We’re not getting the bookings,” he said. “The social disturbances we’ve experienced has made an impact. Fear has come to town.

Alice Holiday Tours owner Mahesh Mahendra, second from left.

“Visitors worry about their safety and about whether they will be safe if they walk the streets at night. Instead of 10 people coming for a tour previously, we might only get two this year and their priority is personal safety.”

He said earlier this year a tour party returning to Alice Springs was rocked by children and two US nationals had to be dropped at Alice Springs hospital for treatment after the incident.

In the Top End, tour and accommodation operator Daniel Thurling said his three tourism businesses, Darwin Fishing Charters, Litchfield Park Adventures and Darwin Harbour Suite Apartments had all suffered reductions.

“Litchfield would be down 25 per cent and fishing charters would be down 50 per cent,” he said.

“The age groups are changing because the family groups, and people between 30 and 50 aren’t able to afford to come to Darwin because they have to spend money on their family.”

Mr Thurling said the Ghan’s twice weekly Darwin arrivals boosted activity but eye-watering airfares, in part because of Darwin Airport tarmac upgrades, meant potential visitors had to look elsewhere.

Daniel Thurling has three Top End tourism businesses, Darwin Fishing Charters, Litchfield Park Adventures and Darwin Harbour Suite Apartments

“When it’s cheaper to fly from Melbourne to Japan than Melbourne to Darwin, where do you think people will visit?”

Mr Thurling called on the government to reintroduce the $200 Covid-era tourism vouchers or another scheme to try to generate activity for operators, but also the broader economy.

Samantha Bennett general manager Tourism Top End August 2023

Tourism Top End’s Samantha Bennett backed the call.

“Top End operators would welcome any sort of support from government to pass on a cost saving to Territorians so they can get out and explore their backyard while we’re under a cost of living crisis,” she said.

Tourism Central Australia’s Danial Rochford also said there must be a focus on increasing visitation.

“We have to mobilise all available energies to remain competitive as a destination and we need to focus very strongly on aviation attraction, competitive airfares and any support to lessen the cost of visiting the Territory,” he said.

In Katherine, Nitmiluk National Park manager Arun George said the collapse of budget airline Bonza meant the NT’s second most popular visitor spot after Uluru was experiencing a slowdown.

“Visitors normally take the golden triangle tour visiting Nitmiluk, Litchfield and Kakadu, but now they might visit only one or two parts of the leg,” he said.

“We’re still running the same number of tours, but instead of 60 on the Kakadu boat, we’ll have 50.”

Originally published as Territory tour operators plead for help as visitor numbers decline