Australia’s tourism industry has reacted angrily to the Federal Government’s decision to increase the country’s Passenger Movement Charge (PMC), which will require travellers departing Australia by plane or cruise ship to pay A$80 (US$58) – an increase of A$10 on the current figure.
The Tourism & Transport Forum (TTF) chief executive Margy Osmond called the move “an absolute shocker”, and said it was being implemented without industry consultation.
“We’re outraged that the government has decided to make travel even more expensive, when operators are already under enormous pressure from the ongoing fuel crisis and surging operating costs,” Osmond said.
The Australian Tourism Export Council (ATEC) said the increase in the PMC failed to support Australia’s international tourism competitiveness at a time when inbound visitor momentum is softening and global travel is becoming increasingly uncertain.
ATEC said the combined impact of stripping more than A$50 million from Tourism Australia’s budget over the next four years and a further A$10 increase to the PMC sent the wrong signal about the value placed on tourism as a A$40 billion export sector.
“This Budget reduces support for an industry that is still stabilising post pandemic, and facing growing pressure around traveller affordability, aviation costs and booking conversion as a result of the Middle East conflict,” ATEC managing director Peter Shelley said.
He added that reduced Tourism Australia funding “risks Australia’s ability to convert travellers in an increasingly cautious and price-sensitive long-haul travel environment”.
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