
As the petrol fumes clear and the Fringe and Festival continue, it’s timely to reflect on what impressions visitors take away from this city and state when they return home. While undoubtedly they have had a good time, have we left them with more than fond memories of great sporting events and entertainment and some fabulous food and wines?
The answer to this question is important because these tourists can also be the best economic ambassadors we can find for the state.
The economic value of their visits is undoubted. The numbers tell the story. Tourism Research Australia and the Australian Bureau of Statistics estimate expenditure by 1.8 million interstate and 390,000 international visitors in the year to September 2014 at $5.3 billion, an outlay that bought 13,000 hotel room nights and 11.4 million domestic day trips.
In overall economic terms, the SA Tourism Commission estimated the sector’s contribution at $2.2 billion, or 2.3% of Gross State Product, in 2012-13.
The financial stimulus from ‘Mad March’ and sporting and cultural events for the rest of the year is tangible and supports the 18,000 tourism businesses across the state. But what chance of a greater investment in the longer term? What impressions have we left about the merits of actually doing business in South Australia?
If our visitor went to the India-Pakistan cricket match at Adelaide Oval, he or she would have no doubt been impressed with a world-class sporting stadium. A stroll across the bridge and one could start contemplating a conference at the superbly expanded Convention Centre. Our visitor might have enjoyed the free CBD travel of a modern tram – and wondered when that service might be extended to the airport or Port Adelaide. A drive to McLaren Vale would have drawn a wry smile that South Australia no longer has an expressway that only runs one way at any particular time.
These major infrastructure projects are more than mere conveniences for locals and visitors alike. They are a tangible manifestation of the state’s commitment to advancing the economy and the environment. Better roads improve the transportation of goods, an enhanced Convention Centre attracts business, and improved public transport takes cars off the road.
All of the major infrastructure projects that are either recently completed or underway help shape the perception that SA is a place in which you can do business. A major boost to this view of SA would come from a commitment by the federal and state governments to contribute funding to the Northern Connector project – the proposed rail-road corridor that would open up new transport options from Port Wakefield, the mid north, the Barossa Valley and the Riverland to the Port of Adelaide and beyond.
As Business SA said in a recent budget submission to the Federal Treasurer: “The Northern Connector is the type of project which will reduce freight costs for key growing regions of South Australia including the Adelaide Plains, Barossa Valley, Mid North and Riverland and help to increase their export competitiveness across a range of commodities and food and beverage manufactures. Reducing freight costs is a key factor in increasing competitiveness for Australian produce in world markets, particularly where Australian produce is already at a significant disadvantage from having to compete against heavily subsidised European nations and the United States.”
Such an investment in the future would certainly impress visitors to our state and convincingly make the case that we are open for business.
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