Tourism Development Authority, a shot in the arm for industry

by Lalin Fernandopulle

The Tourism Development Authority set up under the new Tourism Act which will come into force from tomorrow will infuse new blood to the industry with a vibrant public private partnership. Additional Secretary, Ministry of Tourism, George Michael said the Tourism Development Fund set up under Section 25 of the Tourism Act is one of the most far-sighted recommendations in the new Act.

"The funds that the tourism industry gets are not sufficient to carry out promotional and marketing activities. Promotional activities of target markets had to be curtailed due to lack of funds", he said.

The industry depends on the Treasury for funds which had been providing Rs. 140 million annually for tourism promotional activities prior to 2004.

The Treasury provided Rs. 700 million this year for promotional work.

The development fund will target a collection of Rs. 900 million annually which will be ploughed back to the industry for product and human resource development.

Collection of one-third of Airport tax and one percent from all registered institutions of the Tourist Board are the sources of funds to the tourism industry.

"Provisions under the Tourism Act to set up administrative structures to carry out projects with an equal representation of the private and public sector will be a great support to the industry", Michael said The Hotels School will be an independent organisation under the Tourism Act.

Chairman, Sri Lanka Conventions Bureau, Prema Cooray said private public sector partnership in tourism promotion will be a new impetus to the industry.

The private sector which has a majority stake in the industry will play a vibrant role in developing the industry.

The Tourism Development Authority set up under the Act will oversee policy and product management.

The representaion of the private sector in the Promotion Bureau will help promote the destination in an effective manner.

All structures under the Authority are geared to take the industry to new heights, he said.

Group Director Hem Tours (Pvt) Ltd., Abbas Esufally said the private sector which has a majority stake in the industry is well represented in all institutions under the Tourism Development Authority.

The Promotions Bureau, Sri Lanka Institute of Tourism and Hotels Management, the Sri Lanka Conventions Bureau and the Tourism Advisory Committee were set up under the Authority.

The Tourism Authority will look into more aggressive promotions and marketing of destinations.

Renton de Alwis, Chairman, Sri Lanka Tourist Board was appointed the new Chairman of the Tourism Development Authority and the Promotion Bureau. Ken Balendra was appointed Chairman of the Tourism Advisory Committee.

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