Analyse of the sector 30/11/2010
Tourism in Tonga impacted by the global recession

Travel and tourism in Tonga has suffered as a result of the global recession. The economies of New Zealand, the US, and Australia, Tonga’s main sources of inbound tourism, have all suffered contractions. The US, the epicentre of the global recession, has been the most adversely affected. Despite the Australian government introducing two stimulus packages in an attempt to aid economic recovery, Australian tourists tended to choose other short-haul destinations, rather than Tonga, in 2009.

 

The ferry disaster – another setback

 

Travel and tourism in Tonga had not fully recovered from the impact of the global recession when the industry suffered another setback. The Princess Ashika, an inter-island ferry, sank with 117 people on board, of which 62 died. The incident attracted negative publicity regarding the safety of inter-island ferries, particularly in the key source markets of Australia and New Zealand.

 

Tsunami strikes northern island of Niuatoputapu

 

Tonga again hit the headlines after being struck by a massive tsunami in September 2009. Fortunately, the sparsely populated, remote, northern island of Niuatoputapu was the only area of Tonga affected, which lessened the tsunami’s impact on travel and tourism in the country.

 

Tonga to participate in the Shanghai World Expo 2010

 

With the theme of “Better City, Better Life”, The World Expo 2010 in Shanghai, which will run for six months between May and October, will promote more sustainable and harmonious urban living. Tonga’s participation in the event is an opportunity to promote the country to an anticipated 70 million attendees.

 

New Zealand carrier on domestic routes in Tonga

 

Chathams Pacific, a subsidiary of Air Chathams Inc based in Chathams Islands, New Zealand, has become the sole service provider on Tongan domestic routes after the demise of Airline Tonga in the face of rising fuel costs. In the absence of competition, there is the possibility that prices will become inflated, particularly as air travel, rather than inter-island ferry, remains the preferred mode of transport between the islands of Tonga.