Coronavirus: Glimmer of hope for more tourism support

Tourism Minister opens door to targeted ­financial support for businesses hit by lack of international visitors.

Australia’s tourism industry is losing about $4bn a month because international tourists cannot travel here during the COVID-19 pandemic. Picture: Bill Hearne

Tourism Minister Dan Tehan has opened the door to targeted ­financial support for tourism businesses exposed by the loss of international visitors during COVID-19.

But he has asked the sector to justify any further assistance with hard evidence and provide ideas on how it could be delivered.

Mr Tehan said the reopening of international tourism was still at least nine months away but was hopeful of establishing travel bubbles in the interim with New Zealand, Singapore and other ­Pacific nations.

“That would give us some ­opportunity to open up Australia to international tourism, but the most likely scenario is that we are probably nine to 12 months away from international tourism as we know it restarting and it could be not until this time next year. So it’s a very challenging time,” he said.

Mr Tehan said the halt on international tourism meant that “part of the tourism sector ­remains in a state where it is very difficult for them to succeed economically” and that he had ­received from the industry ‘‘thoughts, ideas and feedback … as to how the government may be able to assist’’.

“One of the questions, and one of the key points of discussion that I’ve had with the sector, is how you potentially could target any assistance that was given. And also to ask them to see whether they could provide me with data which demonstrates the current impact … the loss of international tourism is having,” he said.

“I will continue to have those discussions, engage with the sector and look to see whether there is specific or targeted support that could be provided or is needed.”

While the sector has been pushing for a limited extension of JobKeeper beyond March 28, it is not the government’s intention to extend the wage subsidy program, with Scott Morrison and Josh Frydenberg on Thursday urging the private sector to prepare for the end of the $90bn program.

The Prime Minister argued it was too early to make a final call on whether Australia’s tourism industry needed a form of JobKeeper extension or replacement after The Australian revealed that tourism businesses were on track to lose about $7bn over five weeks as a result of lockdowns and border closures.

Mr Tehan also defended the strength of domestic tourism over the holiday period, saying it had played out “very strongly” in ­regional Australia.

“Unfortunately, due to some border closures, that has impacted certain regions in a way which has caused concern and, in some instances, damage to business,’’ he said.

‘‘But on the whole the feedback that I’m getting, especially in the regions, is that they’ve had a very strong summer in regards to the tourism sector. We have seen a domestic boost over the summer.”

Tourism and Transport Forum chief executive Margy ­Osmond, whose organisation represents leading tourism, transport and aviation businesses, said this week that Mr Tehan had been “highly receptive” in talks about support beyond the March JobKeeper cut-off date.