New Zealand Triples Tourist Entry Fees, Sparking Sector Concerns

New Zealand will significantly raise entry fees for tourists from October 1st, eliciting criticism from the tourism sector, which fears it will deter visitors. The government aims to offset public service and infrastructure costs, though sectors warn it may harm the country's tourism recovery post-pandemic.

New Zealand is set to nearly triple entry fees for tourists, the government announced on Tuesday, prompting criticism from the tourism industry. The increased levy, rising from NZ$35 to NZ$100 on October 1st, aims to ensure visitors contribute to public services and quality experiences during their stay.

The country has grappled with the environmental impact of tourism, with infrastructure strains becoming evident due to high visitor numbers. Despite a levy introduced in 2019, costs associated with tourism remained unmet. The government assured that the fee remains competitive and believes New Zealand will continue to be an attractive destination.

However, the Tourism Industry Association fears the higher fees will deter visitors at a time when the sector, once New Zealand's top export earner, is still recovering from COVID-19 border closures. "New Zealand's tourism recovery is lagging behind the world, and this will further dent our global competitiveness," said CEO Rebecca Ingram.

Stats NZ data showed travel export receipts at NZ$14.96 billion for the year ending June 30, a decline of 5% from pre-pandemic levels. Visitor numbers have reached roughly 80% of pre-closure levels. The government has also increased visitor visa costs and proposed added charges on regional airports.

Billie Moore, CEO of NZ Airports, called the fee increase a "triple-whammy" for the sector striving for economic recovery. ($1 = 1.6077 New Zealand dollars)

(With inputs from agencies.)