Hansard: EPC: Debate on Vote No 35 – Tourism

House: National Assembly

Date of Meeting: 16 Jul 2014

Summary

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Minutes

UNREVISED HANSARD

EPC – OLD ASSEMBLY CHAMBER

Wednesday, 16 July 2014 Take: 166

WEDNESDAY, 16 JULY 2014

PROCEEDINGS OF THE EXTENDED PUBLIC COMMITTEE – OLD ASSEMBLY CHAMBER

________________

Members of the Extended Public Committee met in the Old Assembly Chamber at 14:00.

The House Chairperson Ms M G Boroto, as Chairperson, took the Chair and requested members to observe a moment of silence for prayers or meditation.

FIRST ORDER

START OF DAY

UNREVISED HANSARD

EPC – OLD ASSEMBLY CHAMBER

Wednesday, 16 July 2014 Take: 166

APPROPRIATION BILL

Debate on Vote No 35 – Tourism:

The MINISTER OF TOURISM: Chairperson, hon members and members in the gallery over there, I'll ignore the hecklers, for now, especially the trainee chefs who really came here wanting you all to identify them. [Applause.]

Who would not be touched by the famous quote from Alan Paton's Cry the Beloved Country:

There is a lovely road that runs from Ixopo into the hills. These hills are grass-covered and rolling, and they are lovely beyond any singing of it. The road climbs seven miles into them, to Carisbrooke; and from there, if there is no mist, you look down on one of the fairest valleys of Africa.

This is a moving description of but one corner of this most magnificent country of ours; a country of almost unrivalled and diverse scenic beauty. It is home to the landscapes of iSimangaliso Wetland Park and uKhahlamba Drakensberg Park in KwaZulu-Natal, as well as the Cape Floral Region, with Table Mountain majestically towering above this parliamentary precinct.

We are the world's third most biodiverse country, and these are only three of our eight unique World Heritage Sites.

We also boast World Heritage Sites narrating the story of where we come from: the Vredefort Dome in the Free State, which reveals geological secrets about the origins of life on earth; the Cradle of Humankind in Gauteng, where our symbolic umbilical cord lies buried – the place we all come from; the spectacular Richtersveld landscape, which is still home to the Nama pastoralists in the Northern Cape; and the ancient site of the advanced Mapungubwe civilisation, with the golden rhino and other artefacts dating back to the 14th century, in Limpopo.

There is also no other country in the world whose first democratically-elected President has been immortalised through a day declared by the United Nations in honour of his legacy; a day on which the world is mobilised to fight poverty and promote peace and reconciliation.

It is only here that we can walk in uTata Madiba's footsteps along the route of the Madiba Journey, a pilgrimage which includes a visit to Robben Island.

These sites belong to all of us and instil a shared pride that has the potential to further build our nation. They offer us the narrative of a common humanity in South Africa, on the continent, and in the world. The onus now is on us to do much more to ensure that this wonderful country of ours, with such scenic beauty, abundance of wildlife, rich history and cultural diversity indeed belongs to and is enjoyed by all.

Our heritage landscape is slowly changing to reflect our African identity and our struggles against colonialism and apartheid. We boast vibrant music and dance, fine arts and crafts, film and photography, as well as fashion and design that shape and define us as a nation.

Our museums and theatres, our festivals and events and the abundance of sport and leisure activities make up an irresistible offering.

Therefore, provided that all the correct building blocks are in place, there is absolutely no reason why the tourism sector should not continue to grow as it has been doing over the last 20 years.

Domestic tourism has grown. However, as stated in our National Tourism Sector Strategy, it must grow more, and we will endeavour to ensure that this happens inclusively and responsibly. The child of a mineworker must have the same opportunity as the child of a wealthy businessperson to visit our world heritage sites, to go to our national parks and botanical gardens, to attend theatre and concerts, and to visit museums and art galleries.

We will not have successfully mined the potential of tourism until all South Africans speak with a single, proud voice about all that we have to offer, and for this story to be heard by different segments of the tourism market everywhere in the world. I use the word "mined" deliberately. The tourism industry is indeed the new gold, directly employing 617 000 people, or 4,6% of the total workforce in 2012.

This is far more than the number of people employed in the mining sector. If we add indirect employment, it exceeds 1,4 million people, roughly 10% of the total workforce. [Applause.] This represents an impressive annual growth rate of 4,7% over the past 20 years.

In addition, we have seen a number of developments over the last 20 years. The number of accommodation establishments has almost tripled from just 7 721 to almost 20 000. Conference venues have almost doubled from 1 250 to 2 598. The fleet of cars and coaches has more than doubled, whilst the number of airlines flying to South Africa has grown from just 21 to 76; in 2012.

According to Statistics SA, tourism's direct contribution to gross domestic product, GDP, was R93 billion, with a staggering annual average real growth rate – listen to this – an average real growth rate of 7,3% over the past 20 years; and international tourist arrivals to our shores grew to almost 10 million last year.

As impressive as these numbers are, some say we may have reached a plateau. If this is the case, it would follow that some bold and innovative new initiatives are needed that will have a positive impact on the entire tourism value chain.

Our strategies must be informed by excellent research and planning. We need institutional arrangements that will operate effectively, and also strengthen the co-ordination between national, provincial and local tourism authorities.

For tourism to succeed, the attractions must be appealing and high-quality, and marketing must keep pace with our fast-changing technological world, where the internet has become as important as the travel agent. Ease of mobility and safety for tourists are paramount.

Although our country, with its warm hospitality, is not difficult to sell, we will have to use all our creative energy and do all the right things to get a greater share of the international tourism market, and to extract the full value of inbound tourism as an earner of much-needed foreign exchange. This means understanding the factors that drive inbound tourists' decisions, and ensuring that the excellent work done by SA Tourism and Brand South Africa translates into South Africa becoming one of the top 20 destinations by 2020, as envisaged in the National Tourism Sector Strategy.

South Africa is competing with many other destinations. We need to do everything possible to ensure ease of access for tourists. This includes entry requirements, cost of entry, and the convenience and affordability of air travel. The promotion of this amazing offering represents a key part of the mandate of SA Tourism, our destination marketing organisation, which receives the lion's share of our 2014-15 budget allocation – the one which you are about to approve – of R1,6 billion.

SA Tourism has built a strong reputation for wisely investing our resources in identified markets, where we know we will get a good return. Its global marketing campaigns literally reach billions of people all over the world and are supported by consumer campaigns in targeted markets. This includes long-haul overseas markets, but very importantly, also our regional African and domestic markets.

Given the strong growth potential in Africa, we have ring-fenced nearly R300 million for SA Tourism to expand its marketing presence on the continent. This will include the opening of another four marketing offices across the continent over the next few years.

SA Tourism's Sho't Left marketing campaign for domestic tourists is already delivering good results, and will be bolstered in the next financial year by another R100 million in secured, ring-fenced investment.

The positive brand awareness that SA Tourism has built also finds expression in how we have modernised Indaba, the biggest trade show on the continent. We have positioned the SA National Convention Bureau and the Meetings Africa trade platform to make sure that we and our partners on the continent get our fair share of the lucrative market for business tourism events.

Furthermore, we must make sure that we deliver the quality experiences that tourists expect. This forms a critical part of the work of the Tourism Grading Council of South Africa, TGCSA, as well as the national Department of Tourism's ongoing efforts to advance service excellence and create a registration database for tour guides.

For most countries, we are a long-haul destination. Therefore, we need to work extra hard to ensure that the long haul is worthwhile and that every visitor to South Africa, whether for business or leisure, sport or conferencing, leaves with a good, lasting impression and firm plans to return soon.

Notwithstanding our good brand, some new, innovative programmes are needed to sharpen our competitive edge. It is with this in mind that I invited various stakeholders to a consultative workshop last Friday. This followed various interactions with industry representatives over the last few weeks.

My department and our partners will now embark on an intensive exercise to design three new initiatives to enhance important components of the tourism value chain. These initiatives will create significant new work opportunities.

One of these initiatives is to finalise our tourism incentive programmes, which many in the industry know as the Department of Trade and Industry, DTI, subsidy. The plan is to incentivise the retrofitting of tourism attractions and accommodation for energy and water efficiency and universal accessibility. Not only will this keep operating costs down, but it will contribute significantly to our drive for a green and low-carbon economy.

Tourism destinations and tourists worldwide are responding positively to the call for responsible tourism. Many travellers make decisions based on fair trade, community benefits and sustainable development practices. There are already many inspiring examples of establishments recycling grey water and introducing energy-saving measures. The process of retrofitting the entire industry, including accommodation and attractions, will create work for years to come, and will enable us to claim world-class, sustainable development practices as adding value for tourism.

It is well known that tourism works best if tourists know where to go and how to get there. We intend making our ports of entry more welcoming and tourist-friendly. This could include branded and staffed information centres equipped with touch-screen portals. We will link these information centres to similarly branded centres at our main tourism attractions around the country, so that we do more to encourage tourists to visit our hidden gems in all corners of our country.

We have so many of these treasures, many of which we don't even know about ourselves, let alone the tourist who comes to South Africa for the first time. It is very important for us to empower the tourist with information and to ensure that the tourist knows about the splendour of our entire offering. [Interjectons.]

You know, when one uses old technology, such as paper, things tend to get stuck to each other! [Laughter.]

Exploring also requires clear and attractive signage that works. We will co-operate with other departments and spheres of government to creatively overhaul tourism signage so that it becomes a more attractive reflection of our brand identity. In addition, in the day and age where tourists travel with handheld devices and smartphones, and share their experiences in real time using geolocation tags, enhancing the digital or virtual signage of our attractions, roads and facilities represents another significant opportunity.

Our strategy takes into account the diversity of our attractions and experiences. Research shows that successful tourism destinations aggressively market their unique attractions to improve their competitiveness.

Working with the industry, we will focus on our strongest tourism magnets – those attractions that not only provide the pull for inbound tourists, but should also be on every South African's have-to-do list. These iconic attractions include our national parks, botanical gardens, vibrant city precincts and, of course, our world heritage sites.

A visit to some of these treasures must also become an entitlement of every child in our country. Our challenge is to find new ways of ensuring access and affordability. Enhancing and marketing these iconic offerings requires partnerships with industry, other government departments – particularly the Departments of Arts and Culture, Sport and Recreation, Environmental Affairs and Basic Education – and Brand South Africa, as well as with the provincial and local tourism authorities.

The National Tourism Sector Strategy has identified fragmentation in the system, in particular, the fragmented funding of tourism development, as one of the challenges to be addressed. Therefore, to facilitate stronger co-ordination between the different funding vehicles for tourism, a national tourism development funding forum will be established, which will be chaired by the national department.

This will go hand in hand with the finalisation of the new tourism incentive programme, the expansion and improvement of how we apply our Expanded Public Works Programme, EPWP, funds to ensure sustainable outcomes and the mobilisation of new interagency funding to benefit tourism.

We are at the start of a new political term of office and our mandates are clear. The ANC-led government will honour the pledges made in our manifesto and we will use the National Development Plan as our guiding document and vision. We will do all we can to ensure that tourism contributes significantly to job creation, the elimination of poverty and the substantial reduction of inequality.

Ultimately growth in tourist arrivals is not an end in itself. The growth of our sector must be shared. We must maximise the economic potential of tourism for our country and all its people. As tourism happens in local communities, this is where tourism should deliver significant and meaningful economic benefits.

When all is said and done, the tourism balance sheet must show that we are delivering on the promise of a better life for all South Africans; and that tourism is a catalyst for rural development, job creation, the growth of small, medium and micro enterprises, SMMEs, and the nurturing of new skills.

In order to enhance our sector's contribution to inclusive growth, the Department of Tourism will continue to invest in skills training and entrepreneurship development, support the development of catalytic infrastructure in communities and will shortly be publishing the revised broad-based black economic empowerment, BBBEE, codes aimed at furthering our transformation objectives.

Allow me to express a few words of appreciation. I'll start with my friend and predecessor, Marthinus van Schalkwyk. He was at the helm of this department for no less than 10 years. It was under his watch that a solid foundation was laid, on which we will continue to build. [Applause.] Yes, he really deserves acknowledgment.

To Deputy Minister Thokozile Xasa, thank you for the warm welcome. I look forward to working closely with you to further build and transform this sector over the next few years. [Applause.]

Our director-general, Kingsley Makhubela, and his management team have ensured that we have a well-managed department.

The HOUSE CHAIRPERSON (Ms M G Boroto): One minute.

The MINISTER OF TOURISM: I have no doubt that we will get another unqualified audit for the 2013-14 financial year. Upon my arrival in the department, I have found a group of dedicated public servants, who are truly passionate about their work.

SA Tourism, under the leadership of a dedicated board and the CEO, Mr Thulani Nzima, continues to do outstanding work in marketing our magnificent destinations. It will be my pleasure to open our newest country office in Brazil, in September. [Applause.] That's the problem: I appreciate the applause, but it takes up my minute! [Laughter.]

Members of the portfolio committee and, in particular, the chairperson, Comrade Beatrice Ngcobo, I am really looking forward to interacting with all of you, working on the premise that we all want what is best for our country.

In conclusion, Friday will be the first Mandela Day since we lost our beloved and esteemed Nelson Mandela.

The HOUSE CHAIRPERSON (Ms M G Boroto): Hon Minister ...

The MINISTER OF TOURISM: In his state of the nation address, President Zuma called on all South Africans to roll up their sleeves and clean up our country.

The HOUSE CHAIRPERSON (Ms M G Boroto): Hon Minister, your time has expired.

The MINISTER OF TOURISM: Let's do it. Thank you. [Applause.]

The HOUSE CHAIRPERSON (Ms M G Boroto): Hon members, I will remind you when you have one minute left to speak. Remember, you don't have the clock in front of you, so please listen.

Ms B T NGCOBO

UNREVISED HANSARD

EPC – OLD ASSEMBLY CHAMBER

Wednesday, 16 July 2014 Take: 167

The MINISTER OF TOURISM

The HOUSE CHAIRPERSON (Ms M G Boroto): Hon members, I will remind you when you have one minute left. Remember that you don't have a clock in front of you. So, please, listen.

IsiZulu:

Nkk B T NGCOBO: Sihlalo, oNgqongqoshe namaPhini abo, malungu ahloniphekileyo, nezihambeli zethu, namhlanje sikhuluma ngesabiwomali sezokuVakasha. SinguKhongolose siyaseseka iSabiwomali esikhishelwe lo mnyango.

English:

Chairperson, hon members and guests, tourism will never be the same again in South Africa. While we applaud the achievements there are also challenges which we all have to fight or deal with as a country, as we did when we achieved our democracy.

As we celebrate 20 years of democracy, it is important to state that the ushering-in of democracy moved tourism from a meagre 3 million or 4 million visitors in 1993, to an impressive over 13 million visitors in 2012, which over 20 million were tourists. The growth in tourism in South Africa since 1994 is unprecedented and the growth trajectory is continuing. It was prudent to create a stand-alone Department of Tourism in 2009, as we are now reaping good results. As a country, we are on course.

Tourism is all about numbers. It has been raised here that some clear definitions have to be made, namely of tourist arrivals, to ensure proper recording and projections of tourism statistics. It is important to demystify tourism for the ordinary people so that they begin to know what it is and maybe become involved in tourism. It is essential that the department and SA Tourism, assisted by Statistics SA, make a clear distinction between arrivals and tourist arrivals to ensure credibility with of our tourists.

The increase in numbers warrants that scientific statistical data must be developed to ensure which arrivals are in transit and which are tourists that will leave pounds, dollars and euros in the country.

The National Growth Path identified tourism as one of the core pillars of economic growth that can be a vehicle to drive high-value jobs, particularly those that do not require high qualifications for the less skilled. In 2013 the South Africa tourism sector reported that tourist arrivals contributed R323 billion, and provided employment to 645 000 citizens. [Applause.]

The National Tourism Sector Strategy, which is a blueprint for tourism in South Africa, was developed in 2011 in partnership with all spheres of government, private sector and other role players. Its vision is to drive the economy, enhance visitors' experiences and position South Africa as a destination of choice. Its main thrust is to increase the number of tourists visiting the country through various innovations.

The target of the National Tourism Sector Strategy is to create 225, 000 additional jobs and contributing R499 billion to the country's Gross Domestic Products, GDP, by 2020. The Strategy will guide and shape the growth trajectory of tourism in South Africa and place tourism amongst the top 20 destinations by 2020.

The President in his state of the nation address quoted that global trading conditions in the traditional markets, South Africa's tourism sector continued to show positive growth in 2013, reaching a record high of 9, 6 million international tourist arrivals. He further said that "people love our country and continue to visit us." And this will continue to grow the industry, given the potential for job creation.

The tourism targets in the National Tourism Sector Strategy, NTSSSA, are reflected in the National Development Plan, NDP, and the vision for 2030. There will be greater focus on increasing the number of foreign-visitor arrivals up to 1,5 million annually by 2017.

This is a tall order from the President, and so the department must do more work, particularly in the emerging Asian markets and Africa, to attract new tourists to our shores. Further consolidation of marketing in the core markets must be done to defend other market shares and gains already harnessed in these markets.

I thought the Minister was going to mention the tourism office that is in Lagos - we already have a tourism office in Lagos.

The department works co-operatively with a range of others such as the Sports, which has had a range of global events in the country. SA Tourism has received a big boost in sports tourism. The department continues to maintain its mandate in increasing tourism growth and development through innovation and partnerships.

The World Travel and Tourism Council, WTTC, reported that over the past 20 years, SA Tourism has contributed R102 billion to the South African economy and directly supported 620 jobs in 2012 alone.

The grading of tourism facilities is an important tool that we use as a country to guarantee services of a particular standard to our visitors. There is a strong sense that grading of facilities should be made free and compulsory as this will encourage more establishments to enrol in the programme, and should also include the previously disadvantaged to participate optimally.

Various incentives should be made available to promote service excellence. Periodical assessment should be done to ensure compliance. A full tourism package should be made available to encourage tourists' interest. South Africa should promote various modalities of technology as the fastest way of communication and this will include using tourism social media through youth experts of tourist small, medium and micro enterprises, SMMEs.

There are projects however, that have funds that have been committed to them. Working with you, Minister, to move SA tourism forward, we have to monitor all these projects as a committee, to do proper oversight. The Minister did mention that the total budget is R1,6 million in the current financial year to deal with various programmes that the department will be looking into.

It is noted with enthusiasm that there are funds set aside for a number of special projects, which include a budget of R100 million transferred to SA Tourism to maximise domestic tourism. Most South Africans do not know their country, and most of them haven't even travelled through their own provinces.

The budget will assist South Africans to travel within their own country. The other funds transferred from Department of Trade and Industry, DTI, for the Tourism Incentives Programme will go a long way in incubating tourism SMMEs by exposing them to various markets and professionalising their businesses.

At this point it is important to thank the department for having done a sterling work in the first five years as a stand-alone department after being separated from Environment. It has maintained an unqualified audit and was able to deal with the issues that the Auditor-General raised. [Applause.]

IsiZulu:

Sengiphetha Sihlao, mangisho ukuthi kubalulekile ukuthi njengekomidi elibhekene noMnyango wezokuVakasha kufanele umsebenzi wethu siwenze ngokukhulu ukuzimisela nangokukhulu ukuthembeka ukuze abantu baseNingizimu Afrika abadla imbuya ngothi nabo babe yingxenye yabavakashi nabantu abemukela izivakashi. Ngiphinde futhi ngisho ukuthi kubalulekile ukuthi sazi ukuthi le mboni siyithuthukise ngendlela engenakulinganiswa, siyishukumise ngempela ukuze wonke umuntu alibone iqhaza layo. [Ihlombe.] Kufanele ngempela sibambe igiya eliya phambili, singalilokothi elibheke emuva.

English:

Secretariat, thank you very much because you really helped us to do our work and you helped us to actually take tourism running. We are really grateful. Chairperson, I thank you. [Applause.]

Mr J VOS

Ms B T NGCOBO

UNREVISED HANSARD

EPC – OLD ASSEMBLY CHAMBER

Wednesday, 16 July 2014 Take: 168

Mr J VOS: Madam Chairperson and colleagues, according to the Travel and Tourism Report for 2013, produced by the World Economic Forum, Wef, South Africa is ranked number 135 out of 140 countries for travel and tourism government expenditure.

According to the United Nations World Tourism Organisation, UNWTO, last year there were about 56 million inbound visitors to Africa, of which only between 13 million and 14 million visited our country. Clearly, not enough is being done to market South Africa internationally.

It goes without saying that global competition for the tourist dollar is fierce, and that's why Tourism SA must focus its efforts squarely on enhancing visits from international markets, thereby increasing our national income. For that reason, destination marketing requires a bigger budget to achieve this goal.

The budget allocation for SA Tourism for the 2014-15 financial year, has increased by a meagre 2,6%. Yet the targets set out in the National Development Plan, NDP, indicate that by 2020, the tourism sector should be able to create 225 000 new jobs and create a direct or indirect contribution of R499 billion to gross domestic product, GDP.

We all agree that we are a high-quality destination, but clearly we need more capacity and more supply. In order to grow the tourism sector, we need tourism infrastructure, and here the Western Cape and KwaZulu-Natal are the only two provinces that have established provincial tourism co-ordination structures in which the public-sector and the private-sector representatives work together.

Other successes include the fact that in the second quarter of last year, the Western Cape province got 23,6% of South Africa's total tourist spend and that over the next three years, the Western Cape is set to welcome a further 3,6 million international visitors.

So when I say that tourism is a big part of the DA strategy to increase income, attract more international investment, create more jobs and strengthen prosperity, I mean it.

I believe that the tourism industry as a whole is in a good position, but the reality is that any plan to boost tourism will be hampered if the government insists on proceeding with the new visa regulation requirements applicable to tourists. [Applause.]

In order to get positive progress on this matter, I want to make use of this opportunity to put forward the DA's proposals of introducing online lodgement for visitor visas. The government must investigate the use of electronic visas, mobile visas and e-passports as an alternative to the traditional options to improve security and decrease turnaround times. Electronic visas are already in use in countries such as Dubai, India and Australia.

The government must work with industry to support the development of tourism infrastructure that can drive demand. Further to this, this department must also consider implementing measures to assist underperforming and failing municipalities that are unable to make any progress on tourism development.

We all know that tourism is, at heart, a local issue and therefore it is a fact that when local government is collapsing and struggling - as we see it currently happening in many parts of our country - then ultimately the ability of communities to benefit from tourism also collapses.

The HOUSE CHAIRPERSON (Ms M G Boroto): Order, hon members!

Mr J VOS: On the subject of quality assurance, this committee must, as a priority, direct its attention to the functioning of the Tourism Grading Council, TGCSA. Given the importance of tourism in our country, it is pivotal that the workings of this body must be looked at in order to establish a common set of standards whereby patrons may compare establishments.

Ultimately, we need to ensure that quality control mechanisms and standards are maintained for products and services and furthermore, that incentives must be considered to reward establishments that sustain or improve their grading over time.

It is for this reason that we are advocating a renewed assessment of the functioning of the Tourism Grading Council which must in the long run work towards the objective of reaching consistency in the industry, assisting establishments to meet their goals and then, finally, improving our product offering as South Africans.

South Africa has a wonderful diversity of people, landscapes and wildlife and with eight World Heritage Sites to our credit, it has all the opportunities and potential to make this country a sought-after and affordable destiny of choice. But we cannot take our tourism successes for granted, we have to increase domestic tourism in order to sustain jobs.

This brings me to an important section of the local market. For a long time, there has been a stigma attached to South Africa's townships.

Township tours have often followed the same approach where tour operators bus in visitors to local craft shops or to experience a braai at a local tavern. But when tour companies change the focus of their visits to another area, those township residents and craft shops are left without income.

I hope to prove through the following projects that there is hope and possibilities. I am excited to share with you the story of Maboneng Township Art Experience. I invited the founder, Siphiwe Ngwenya, and his team to be here today. They are here today and they are seated in the public gallery. He is the founder of Maboneng Township Art Experience, which started in Soweto, then opened in Alexandra and then in Langa, where they are changing the original township tourism experience through the arts. This project changes homes into galleries, bringing residents together, empowering and inspiring communities and artists.

Maboneng which means "place of light" in Sesotho, runs festivals and tours as a means to generate income for locals. Siphiwe says that this project is about placing ownership of a tourism product in the hands of the township residents. This is an amazing project which showcases the benefits of township tourism when properly put into operation.

We most certainly don't want to create "poverty tourism" by going into townships, but it is all about creating lasting opportunities for entrepreneurs. This is exactly the point I am making through this good-news story. In order to make township tourism benefit the community and the tourism industry at large, this department must strengthen this very important and sometimes overlooked sector by providing training programmes and funding.

To Siphiwe and all the others involved in township tourism, keep up the good work. [Applause.] It is an honour for me today to acknowledge their role in not only building up those communities, but South Africa too.

Finally, to ensure that we become the world's top-20 tourism destination by 2020, we strongly recommend that this department's budget be increased during the medium-term review. I thank you. [Applause.]

The HOUSE CHAIRPERSON (Ms M G Boroto): Thank you, hon Vos. Members of the public, a reminder: You are guests here and you may not participate in the debate. Therefore please stop clapping hands. Thank you.

Mr G A GARDEE

Mr J VOS

UNREVISED HANSARD

EPC – OLD ASSEMBLY CHAMBER

Wednesday, 16 July 2014 Take: 169

Mr G A GARDEE: Hon Chair, The EFF notes that the Department of Tourism has chosen to bring to the House the highly underpaid and exploited workers of the tourism and hospitality industry, who are paid slavery wages and working under unsafe conditions, for long hours and are subjected to racism by foreign white tourists.

To you fellow black workers up there, we assure you that the EFF will legislate a minimum wage that is decent and will root out the racism prevalent in your working environment. [Interjections.]

The HOUSE CHAIRPERSON (Ms M G Boroto): Order, hon members! Order!

Mr G A GARDEE: We reject this policy speech in that nothing was said about the workers of this industry in terms of their slave wages, labour-broking or the fact that they are forced to live on tips and work long hours and are subjected to racism of the worst kind.

The policy strategy of the department is elitist to the exclusion of the black Africans in rural villages. The industry is infamous for its notorious slave wages, labour-broking and commission-based salaries for the waiters and waitresses which the EFF in its election manifesto set at a monthly net income of R4 500.

The land struggle of the African people is being compromised by a budget policy speech that is anchored to the National Development Plan, NDP, and seeks to entrench and protect, in perpetuity, white-monopoly capital in the tourism industry. The state is buying stolen land that belongs to our people, which has been turned into private game farms, when millions of our people need the land to be expropriated without compensation.

Thousands of graduates, who are young and black and make up the majority the in tourism and hospitality industry, are neglected by this department ... [Interjections.]

The HOUSE CHAIRPERSON (Ms M G Boroto): Hon member, order! Hon member, are you rising on a point of order?

Ms P KEKANA: Yes, hon Chair. On a point of order: Is it parliamentary for the hon member to address us with his hand in his pocket?

The HOUSE CHAIRPERSON (Ms M G Boroto): Hon member, refrain from doing that. Continue.

Mr G A GARDEE: Hon Chairperson, academic qualifications for the tourism and hospitality industry have turned into a nightmare and a curse for the black majority of young people who have been sitting at home for decades, despite the continued production of the same graduates.

The subsectors of the tourism industry are predominantly owned by white-monopoly capital, protected by the stringent barriers of entry to keep blacks away from the lucrative tourism industry. White-monopoly capital colludes in the tourism industry to exclude emerging and aspirant black entrepreneurs.

At all major international airports in South Africa, the overflow of tourist transport and travel agencies is subcontracted to white bed and breakfast facilities to the exclusion of black bed and breakfast entrepreneurs. The national tourism strategy seeks to transform South Africa into a national zoo and playground for foreign, rich, white capital that continues to acquire private land ownership with rights they ordinarily do not have in their own country.

We must utilise the tourism boom to empower black Africans to enter the tourism industry and earn a decent, living wage. The EFF calls for the legislation of a minimum wage for the hospitality industry, in particular hotel workers, waitresses, chefs, waiters and porters.

The EFF rejects this budget policy speech in its entirety for its lack of substance in regard to changing the lives of black workers and aggressively empowering blacks in this industry.

We thank you, hon Chair.

The HOUSE CHAIRPERSON (Ms M G Boroto): Thank you, hon Gardee. May I have the microphone back? Thank you.

Mr J A ESTERHUIZEN

Mr G A GARDEE

UNREVISED HANSARD

EPC – OLD ASSEMBLY CHAMBER

Wednesday, 16 July 2014 Take: 169

Mr J A ESTERHUIZEN: Hon Chairperson, if tourism is to significantly impact poverty and unemployment, it has to develop in areas beyond traditional tourism routes. Aligned to the goal of tourism value reaching a greater portion of our nation, we must ensure direct participation by the previously disadvantaged majority. Transformation is a key imperative and requirement for future growth.

The uniqueness of our diverse cultures is a significant opportunity for South Africa, as this addresses the desire of outbound western markets to experience our cultures. [Interjections.]

The HOUSE CHAIRPERSON (Ms M G Boroto): Order, hon members! Hon member, could you just pick your microphone up a bit? Thank you. [Interjections.]

Mr J A ESTERHUIZEN: He is taking up my time. [Interjections.] No, do not take up my time.

I am not denying the importance of high-value markets, but the challenge now is to reach into the middle and domestic markets in order to generate the volumes necessary to create jobs across the country and to make them sustainable. The challenge is, therefore, to make the country more affordable and open, particularly for younger travellers as possible repeat travellers.

Last year, tourism contributed R103,2 million, or 3%, of the gross domestic product, GDP, and 4,6% of South Africa's labour force worked in the tourism industry. The current depreciation of the rand against most major currencies benefits our tourism market. But even though tourism is currently going well, it's also very fragile.

When a tourist is brutally murdered or raped in one of our national parks, on our hiking trails, in our hotels, or anywhere else in South Africa, it sets the whole industry back five years. The importance of security for our visitors cannot be overemphasised.

The protection of wildlife, particularly our rhinos and elephants, must be more stringently addressed.

South Africa's prohibitive new visa regulations are likely to reduce the number of tourists visiting our country. As the Minister mentioned, South Africa is already a long-haul destination, but now potential visitors have to travel long distances in their own country, or even go to other countries, just to access a visa application centre.

Despite increases in the budget for tourism marketing, the total budget is still very low in global terms to meet the ever-rising cost of providing a good and secure service. This industry needs more financial support from government, more than the allocated R1,9 billion, to continue as one of the major contributors to economic growth and job creation.

In spite of all these challenges, South Africa remains an adventure-filled and rewarding destination, with a striking natural beauty and warm, wonderful people. Let's open that up to the world. The IFP supports the Budget Vote.

THE DEPUTY MINISTER OF TOURISM

Mr J A ESTERHUIZEN

UNREVISED HANSARD

EPC – OLD ASSEMBLY CHAMBER

Wednesday, 16 July 2014 Take: 170

The DEPUTY MINISTER OF TOURISM: Hon Chairperson, hon Minister Hanekom, hon Deputy Ministers who are here present, chairperson, hon members and our guests, tourism is moving South Africa forward. As we celebrate 20 years of freedom and democracy, we use this opportunity for reflection on what we achieved in the tourism sector.

In order to craft a path forward we can learn much from our experience over the last two decades. Not only have we healed as a nation, we have also seen the significant emergence of tourism as a fundamental pillar of the economy, a source of foreign exchange earnings, a job creator, a builder of social cohesion and a sector of hope and opportunity.

Twenty years ago, tourism was the ecotourism playground of the elite. We were mainly known as a safari destination. Then we emerged from our status as an isolated pariah state with only about 3,6 million international arrivals per year and a gross domestic product, GDP, contribution of merely 1,7% direct contribution in 1994. Over the past twenty years, our international arrivals have increased more than three-fold, and the contribution of tourism to GDP is up to 3% in direct terms.

In the 20 years prior to South Africa becoming a democracy, tourism growth was flat. I am pleased today to announce that in the 20 years following our liberation, international arrivals have grown by an average of more than 7% per year.

Today we can proudly acknowledge hosting some of the biggest tourism events - mega events - in the world. All of these aspects have contributed to redefining our country's image and building social cohesion. We have hosted the World Summit on Sustainable Development, the Rugby and Cricket World Cup Tournaments, the Indian Premier League, the most famous and successful 2010 Fifa World Cup … [Applause.] … and the Brazil, Russia, India, China and South Africa, Brics, Summit and many more.

The announcement and eventual hosting of the 2010 Fifa World Cup Tournament helped us to raise the profile of South Africa on the global stage and positively developed tourism further as a competitive industry that creates a better life for all our people.

The R3,6 billion economic boost from the very same event, the brand exposure and the immense positive regard for our destination created worldwide, is well documented. On the ground, this mega event stimulated local economic development and community upliftment.

This event successfully united our nation as brand ambassadors and excellent hosts. It grew the skills base and led to public and private infrastructure investments. What we have learnt from this experience continues to inform our strategy to grow tourism, consistent with our National Tourism Sector Strategy, NTSS, targets for 2020.

These things came about from our new government policy and legislative developments that were designed since 1994. This includes our new Constitution with concurrent powers for tourism development and promotion for all provinces. This assists us with integrating our work and to assist and support the various spheres of government so that all of us to promote destination South Africa various.

Our 2014 Tourism Act that came into practise this June, streamlines our efforts as a modern tourist destination. It also informs our National Tourism Sector Strategy that represents the unified vision of all stakeholders both in the public and private sector. Our New Growth Path, NGP, has also identified tourism as one of the six core economic jobs drivers and subsequently so has the National Development Plan, NDP, which also identifies tourism.

In addition, we have our stand-alone national Department of Tourism and the entity SA Tourism with a combined budget of R1,6 billion - which should be compared to the meagre investment of about R81 million in tourism in 1994.

Over the past two decades, SA Tourism has been transformed from just being a promotion and publicity organisation for the country into a dynamic, global destination marketing organisation with the focus shifting from "pray-and-spray" marketing to a carefully targeted approach informed by the best available market research, which is often complemented by efforts from the department in markets where SA Tourism is not necessarily currently visible.

In 1994, South Africa hosted 12 international association events that met the International Conference and Convention Association, Iccay, ranking criteria, which only attracted about 5 950 convention visitors to the country. Today the SA National Convention Bureau, SANCB, which was established in 2012, focuses on positioning and selling South Africa as a premier convention and business tourism destination and growing the industry's capacity and skills.

During the last 2013-14 financial year, the bureau supported 57 bids which resulted in an estimated 180 conference days involving about 76 000 delegates with an economic impact of about R948 million. For the 2014-15 financial year, we have already secured 150 conventions that will bring an estimated 240 000 delegates to our shores, with an estimated economic impact to the tune of R3,2 billion.

In addition, South Africa in 2013, according to Icca, was ranked 34 internationally and maintained its first position in Africa and the Middle East as a conference and business events destination. [Applause.]

An area of strength is our successful partnerships with stakeholders including the media, trade, technology players and social media outlets that have improved brand awareness and enhanced growth in foreign tourist arrivals. Our Tourism Indaba's highlight this year was the world-class technology zone, TechZone. This showcased the possibilities of high-level global connectivity, which is critical for the modern-day traveller as it supports easy access to information on our country as a destination.

At the heart of this vibrant industry is its human capital. We have shown that we are not just a destination of note with amazing ecotourism, tourism products, landscapes, beaches and wildlife, but we pride ourselves on the warm human experience and rich cultural diversity that makes a visit to South Africa so unforgettable.

With the rapid growth of tourism in this new democratic South Africa, the demand for a skilled and well-trained workforce increased - hopefully the EFF member will learn one or two things here.

In the mid-1990s, tourism was introduced as a subject in the school curriculum and more tertiary institutions introduced the diploma and degree courses in tourism and hospitality management. The formation of a tourism sectoral training organisation also led to the development of the Tourism and Hospitality Education and Training Authority in 2000, which was subsequently restructured to form the current Culture, Art, Tourism, Hospitality and Sport Sector Education and Training Authority, Cathsseta.

The apparent skills gap in the sector, as highlighted in the global competitiveness project study, led to a partnership with the then Tourism, Hospitality and Sport Education and Training Authority, Theta, which is now Cathsseta, and the Tourism Business Council to host a conference on tourism skills development in 2006 and 2007. The conference led to a National Tourism Skills Audit - which then goes to explain why we have our guest trainee chefs here. [Applause.]

Some of the notable initiatives that flowed from this human resources development strategy include the annual National Tourism Careers Expo, NTCE, which exposed more than 60 000 learners to tourism training and career options since 2008. More recently a tourism and hospitality curriculum evaluation process, in partnership with Umalusi and Cathsseta, towards improving the programmes offered at school level is underway.

The Eastern Cape will host its last leg of the three years in October and the department, together with its partners, should review the programme to enhance provincial participation and impact. So surely we are building a base for South Africans in order to help them get into the mainstream tourism sector.

Other interventions include the social-responsibility initiatives such as the Tourism Ambassador Programme, where youth is trained in the hospitality field. They will emerge with a qualification from the SA Qualifications Authority, Saqa, in either accommodation or food and beverage services; and our sommelier training for young people in the wine advisory certificate level 1.

One identified gap was also in food safety in the hospitality industry, which is a scientific discipline aimed at handling, preparing and storing food in ways that prevent food-borne diseases. A food safety programme has subsequently been developed - a successful legacy of the 2010 Fifa World Cup.

This was after consultation with the hospitality industry where we entered into a partnership with the Federated Hospitality Association of SA, Fedhasa, to introduce the new occupation of food safety assurers in hospitality. We have 100 young people already being trained, who are Further Education and Training, FET, graduates, recruited, inducted and placed in our facilities.

Two of them are here as our guests today. [Applause.] Welcome, Mr Siphephelo Dlamini and Ms Mpilenhle Shabangu.

The programme helps with the compliance levels of establishments and we already have positive feedback from hosts such as Tsogo Sun. Should full roll-out be achieved, 5 000 FET graduates will benefit in this program by 2020, and we will have trained and educated over 75 000 food handlers in the industry on food safety practices. This will make South Africa the global capital of food-safe destinations. [Applause.]

We need more private sector partnerships to achieve these goals as agreed in our National Tourism Sector Strategy and to translate skills development programmes into accredited training, thereby providing growth opportunities for each employee and/or trainee. We need greater integration of all role players to enhance our efforts to create jobs, entrepreneurs and boost our economy.

Our National Youth Chefs Training Programme has had a number of success stories and achievements in its short history of really changing people's lives. Two outstanding heroes of this programme are Mr Tlali Masakala and Ms Diana Mazengera. They are part of us here today and part of the team as one can see. We welcome them here today.

They come from very difficult and poor circumstances and are committed to the course and focused on their training. Chef Tlali Masakala is a previously unemployed youth from Qwaqwa in the Free State.

He won the Nestlé Professional Golden Chef's Hat competition in 2013. [Applause.] The prize for this competition was an all-expenses-paid working trip to Singapore to gain work experience under Chef Alan Orreal of Resorts World Sentosa.

As a result of attending this programme, Chef Diana Mazengera is the proud owner of a successful guest house. Diana runs a very successful business at an 80% occupancy rate and is now employing 10 full-time employees. [Applause.]

These are just a few of our achievements over the past two decades. We have risen to our challenges and embraced our opportunities.

There will be more opportunities for small, medium and micro enterprises, SMMEs, as part of our transformation programme, through the strategic reform initiatives, SRIs, and soon-to-be-finalised incentive programme, as the Minister has indicated.

To create opportunities for the development of women is foremost on our agenda. Our partnership with the Tourism Business Council SA, TBCSA, this year will see us hosting an inaugural conference that will help craft a strategy of moving South Africa forward through the development and growth of women in this sector. We have positioned this sector as a catalyst that can and is able to create multiplier effects.

Lastly, the National Development Plan has also identified universal access in tourism as an important initiative to enhance South Africa's competitiveness, in line with our strategy of being a top-20 tourist destination by 2020. Our Tourism Grading Council, which is continually under review, has integrated these aspects in its criteria to encourage this compliance. Thank you very much. [Applause.] [Time expired.]

MR G R KRUMBORG

The DEPUTY MINISTER OF TOURISM

UNREVISED HANSARD

EPC – OLD ASSEMBLY CHAMBER

Wednesday, 16 July 2014 Take: 171

Mr G R KRUMBOCK: Madam Chair, our country spent R43 billion to fast-track infrastructure for the 2010 Fédération Internationale de Football Association, Fifa, World Cup, to decisively rebrand our country as a safe, value-for-money and multifaceted tourism experience.

The DA supported this project as it expanded opportunity in many ways and fostered reconciliation. We succeeded. In 2010, we reaped the World Cup dividend and enjoyed a 15% growth in international tourist arrivals, more than double the global average. In 2011 and 2012, we again outstripped average global increases.

Yet, Minister, the good story ended there. By 2013, tourist arrivals had increased by just 4,7%, compared to the global average of 5%.

The prognosis is bleaker going forward. SA Tourism estimates that the increase in tourist arrivals over the next three years will be just 3,9%, 4,5% and 4,4% respectively. Why? What has gone wrong?

Firstly, tourism remains critically underfunded. This year, our direct long-haul competitor, Australia, will be spending over R2 billion on marketing their country, despite budget austerity. This year, we will be spending about three-quarters of Australia's budget, an improvement from five years ago where we spent only half.

However, while SA Tourism, which spends close to half of the total tourism budget, received a significant 9,3% real increase in funding this year, the average nominal increase between 2011 and 2016 to 2017 is projected at only 7,5%. In real terms, after inflation is deducted, that's only around 1,5% a year, which is never going to be enough.

Hence, the Portfolio Committee on Tourism noted in our Budget Vote report, and I quote:

The committee observed that the department was not allocated sufficient budget given their broad mandate. The budget for SA Tourism was also not adequate.

Minister, if you drill down to the provincial level, the gap widens even further. Compare my home province of KwaZulu-Natal to South Australia. KwaZulu-Natal is spending R286 million on tourism this year. South Australia is spending R506 million, with arguably much less to offer.

If you take total tourism spending across all spheres and include the private sector, it turns out that we invest only a fraction of what Brazil and Australia invest in tourism as a percentage of our growth domestic product, GDP - perhaps just a third of theirs. That must change.

Narrow the focus a bit further and two more reasons for our country losing ground emerge. Compare my home city, Msunduzi, Pietermaritzburg, to Adelaide in South Australia, which were both founded in the 1830s. Adelaide is clean and gleaming, and relentlessly drives tourism.

Msunduzi is one of the filthiest cities in the country. The city has been driven into the ground faster than Arjen Robben in an opposing team's penalty area, thanks to cadre deployment, corruption and collapsed service delivery.

An HON MEMBER: That's shocking!

Mr G R KRUMBOCK: Somehow, the comrades running the council can find R18 million to pave a road with red bricks and sponsor the local private-sector football team to the tune of R36 million, but can find only R1,5 million a year to market the city. [Interjections.]

That's the second reason.

No matter how scientific, professional and astute SA Tourism is – and they are - tourism is at the mercy of dysfunctional local government.

Mr D D D VAN ROOYEN: Chairperson, is it in order for a member to point a finger at another member in the House? [Interjections.]

Mr G R KRUMBOCK: May I continue with my speech? [Interjections.] Sorry?

The TEMPORARY CHAIRPERSON (Ms T C Memela): Did you?

Mr G R KRUMBOCK: No, I'm talking like this. I'm not pointing at anyone.

Mr D D D VAN ROOYEN: No, not the speaker but another hon member on that side. [Laughter.]

Mr G R KRUMBOCK: Chairperson, I hope there's no time that is going to be deducted. There's no time for this frivolous interjection. May I continue please.

The TEMPORARY CHAIRPERSON (Ms T C Memela): Yes you can, but can you tell your hon member to stop pointing fingers? May I address him. Please hon member, could you stop doing that. [Interjections.] No, no, no! Keep it to yourself and don't point it around. Continue, hon member.

Mr G R KRUMBOCK: All right - with no time deducted? That's the second reason, Minister. No matter how scientific, professional or astute SA Tourism is – and they are - tourism is at the mercy of dysfunctional local government. It's the same with the Department of Arts and Culture, which shares with other spheres of government many tourist attractions such as monuments, memorial parks, fine architecture and iconic attractions.

As long as these assets are allowed to deteriorate and locations become streets of filth, SA Tourism is going to be kept on the back foot.

This brings us to the third reason why we have fallen behind average global increases in tourist arrivals – brand damage. Crippling and fatally violent strikes, rampant and unchecked corruption and irresponsible, populist ranting all scare off potential visitors and slowly but inevitably damage our brand.

In 2010, our South Africa brand positivity was 43% according to SA Tourism. It is now 38%, but includes Japan at an incredible 9% and Australia at 28%, both due to bad news emanating from our country.

We live in an age of instantaneous communication – Facebook, tweets, and TripAdvisor. We need to understand that when we fail to live up to Nelson Mandela's ideals, the world notices and tourism as well as job creation suffers.

Drill down to the local level and the fourth reason emerges – a squandering of what little resources we have by local government. Contrast the Howick Falls resort to the Mpophomeni Tourism Gateway, both in my constituency. The Howick Falls resort is cared for by a privately-funded voluntary association, the Friends of the Falls, that keeps track of all tourists from 156 countries and escorts the monthly 18 000 visitors around the attractions.

Minister, you may not notice Howie, our local monster who reputedly lives at the bottom of the falls, but you will notice the shoddy service at the municipality-leased restaurant at this prime tourist site. It used to be popular and successful, but since the lease was awarded to a councillor comrade, service levels have collapsed faster than the Brazilian defence in the World Cup semifinal against Germany. No rent has been paid for seven years because contracts for pals are apparently more important than protecting our brand.

Now compare that to the Mpophomeni Tourism Gateway, which cost taxpayers R5 million, and still lies empty and in disrepair for two years. The project was so badly handled that the money ran out long before the resort was completed, but only after expensive consultants were paid.

After two years of requests, we still have no road signs on the N3 directing tourists to either the falls or the Nelson Mandela Capture site. Let's spend the little money we have wisely.

Minister, I recognise that there are factors here that you alone cannot fix. However, you can set a goal to increase tourism's share of the Budget to at least 0,5% of GDP, and you can set up an interministerial task force, including the Department of Co-operative Governance and Traditional Affairs, Cogta, and the Department of Arts and Culture, to rehabilitate our most iconic tourist attractions. Let's fast-track tourism growth, delivery and opportunity. Action this day is required. I thank you. [Applause.]

Ms P E ADAMS

Mr G R KRUMBOCK

UNREVISED HANSARD

EPC – OLD ASSEMBLY CHAMBER

Wednesday, 16 July 2014 Take: 171

Afrikaans:

Me P E ADAMS: Agb Voorsitter, agb Minister Hanekom, agb Adjunkminister Xasa, agb lede, kamerade, dames en here, die Wêreld Toerisme Organisasie lys toerisme as die derde grootste industrie om tot lande se bruto nasionale produk, BNP, by te dra.

Vanaf die geboorte van ons demokrasie in 1994, het beleidmakers besef dat toerisme 'n groot rol in die opkomende ekonomie van Suid-Afrika kan speel om die toerisme potensiaal na die res van die wêreld en die voorheen-benadeelde groepe in Suid-Afrika te ontsluit. Toerisme moet 'n kritieke rol in die rekonstruksie en ontwikkeling van ons samelewing, en die aanspreek van historiese ongelykhede, speel.

Die New Growth Path [Nuwe Groeipad] noem toerisme as een van die ses ekonomiese sektore wat 'n belangrike rol in die ekonomie van Suid-Afrika kan speel. In 2009, het President Zuma die weldeurdagte besluit geneem dat Toerisme 'n volle, alleenstaande nasionale departement moet wees, omdat hy die deurslaggewende rol wat toerisme kan speel om die ekonomie se groei te stimuleer en die potensiaal om werksgeleenthede te skep verstaan het, en dat dit die uitdagings van werkloosheid, armoede en ongelykhede kan oppeneer. Die alleenstaande departement moes ook op die nalatenskap van die 2010 Fifa Sokker Wêreldbeker toernooi in Suid-Afrika voortbou.

Ter stawing van die bydrae van die geweldige groei van die toerismesektor tot werkskepping, is die feit dat in 2012, een uit elke 12 werksgeleenthede in dié sektor geskep is; en dié syfer het gegroei tot een uit elke tien werksgeleenthede in 2013. Dit is 'n goeie storie om te vertel! [Applous.]

In sy staatsrede van 17 Junie 2014, het President Zuma erkenning aan die positiewe groei van die industrie gegee deur die feit te noem dat internasionale toerisme tot 'n rekord getal van 9,6 miljoen in 2013 gegroei het. Hy het gesê, en ek haal aan:

English:

We have set a target to increase the number of foreign visitor arrivals to more than 15 million annually by 2017, increasing the contribution of tourism to the country's revenue to more than R125 billion.

Afrikaans:

Die agb President het vervolgens gese dat-

English:

People love our country, and continue to visit South Africa.

Afrikaans:

Hy het hiermee die ondersteuning en onderneming van die ANC-geleide regering gegee-

English:

… to grow this industry given its potential for job creation.

Afrikaans:

Reeds vanaf die ontstaan van demokrasie in ons land, heers daar politieke stabiliteit en is ons 'n mede-ondertekenaar van verskeie Verenigde Nasies konvensies. Die menslikheid en unieke persoonlikheid van ons eerste demokraties verkose President – wat as 'n universele simbool van vryheid en versoening en 'n ikoon wat as die triomf van die menslike psige, gesien word – het Suid-Afrika wêreldwyd 'n goeie reputasie gegee, en het 'n aansienlike rol gespeel om toerisme in Suid-Afrika 'n uitvoerproduk te maak vir buitelanders, om ons toerisme ervaring te kom geniet.

English:

Visitor exports are compared to exports of all goods and services.

Afrikaans:

'n Jaarlikse groeikoers van 7,4% vanaf 2012 tot 2013 van internasionale toerisme is geboekstaaf baie hoër as die internasionale gemiddelde van 4,5% gedurende dieselfde tydperk. Dit is inderdaad 'n goeie storie om te vertel. Die daarstelling van 'n streekskantoor van die SA Toerisme in Lagos in 2013, is ter ondersteuning van hierdie formidabele groei.

English:

Programme 3 of the Department of Tourism focuses on international tourism, where an amount of R51,9 million was allocated with the purpose of providing response plans for priority markets throughout the world. This programme also provides strategic political and policy direction for the development of South Africa's tourism potential throughout various regions in the world.

The four subprogrammes are aimed at enhancing South Africa's tourism potential, specifically in the Americas and the Caribbean, Europe, Africa and the Middle East. It ensures that our missions abroad are capacitated to provide accurate and updated tourism information to prospective tourists to South Africa.

Visitor information centres at important gateways such as international airports and border posts, are established for better service delivery.

The involvement of South Africa in the Brazil, Russia, India, China, South Africa, Brics, collaboration, makes her a more accessible and affordable destination for visitors from these markets.

Hon Minister, it is estimated that about 80 million Chinese tourists annually undertake international travel. If SA Tourism, an entity of your department, can capture just 1% of that market, it will lead to 800 000 arrivals from China, which is far more than the estimated 193 000 arrivals targeted for 2014. The local spending of these tourists can make a magnificent contribution towards South Africa's GDP.

Afrikaans:

Beter ko-ördinering van toerisme, binne die konteks van die Afrika Unie, kan die groei van toerisme in die kontinent stimuleer, en kan slegs voordelig wees vir ons eie toerisme agenda. In April 2013, het President Zuma beklemtoon dat-

English:

Regional Africa remains a pillar of our tourism economy.

Afrikaans:

Hy het verder gegaan deur te sê dat:

English:

African economies are amongst the best performing in the world.

Afrikaans:

Afrika moet as 'n nutsarea gesien word om meer toeriste te lok, aangesien Afrika lande binne 'n vier-uur-vlug van en na Suid-Afrika is.

Suid-Afrika beskik immers oor die nodige hulpbronne soos wêreldbekende, goed-bestuurde nasionale parke, diensgedrewe toersime-industrieë en uitstaande verblyf-fasiliteite, en daar is die bewese potensiaal om doelwitte te oortref.

Deur die sosiale media en Internet, het die wêreld inderdaad kleiner geword. Die sogenaamde "global village" [wêreldgemeenskap]is deesdae inderdaad 'n "village" [gemeenskap]. Daar is 'n defnitiewe toename in toeriste wat aanlyn reisreëlings tref. Suid-Afrika is inlyn met die ontwikkeling van die Internet en kommunikasie tegnologie.

Deur sosiale media kan die nodige inligting aan potensiële kliente gegee word, maar die hoë koste verbonde aan toegang tot breëband in Suid-Afrika bly 'n uitdaging, en die ministerie moet 'n rol speel om te verseker dat sodanige koste verder verminder word ten einde hierdie hulpbron beter te benut.

English:

Globally there is a growing interest in ecotourism and responsible tourism. South Africa's progressive and advanced policies in the management of natural resources and protected areas give us our competitive edge against competing destinations. However, we need to urgently look at costs such as carbon tax, aviation costs and the pricing of oil which contribute to higher costs of travel.

Afrikaans:

Laastens wil ek ook 'n pleidooi aan die Minister lewer, om dringend te kyk na die koste van toerisme in Suid-Afrika en hoe om ons mense toeriste in ons land te maak. Ek weet dat plaaslike toerisme lê u na aan die hart. Die ANC ondersteun Begrotingspos 35. Ek dank u. [Applous.]

Ms D CARTER

Ms P E ADAMS

UNREVISED HANSARD

EPC – OLD ASSEMBLY CHAMBER

Wednesday, 16 July 2014 Take: 172

Ms D CARTER: Chair, Cope accepts that the National Development Plan, NDP, is correct in recognising that tourism is indeed one of the main drivers of the country's economy and a strong creator of employment.

The department has come a long way and has achieved a lot over the last couple of years; and if I may, I just want to say to our guests, coming from the industry, being a chef and doing hotel management myself, I also know that it is not a job but a lifestyle.

AN HON MEMBER: Thank the ANC. [Laughter.]

Ms D CARTER: The NDP calls for unique features to be developed in respect of our tourism to attract visitors. The department should seek the involvement of the nation to determine how to make a visit to South Africa and Southern Africa truly unique in the full sense of the word. This is something government cannot do by itself.

Hon Minister, at the time when armed conflict is raging in many parts of the world and spilling over borders, the department is failing to sell one of the greatest achievements of our nation, the political settlement and the great legacy that the late former President Nelson Mandela that has left us.

What do we have to present to the world in respect of consensus decision-making and the crafting of our Constitution that so powerfully supports the advancement of human rights? There is no coherent presentation of our consensus decision-making; no academy for conflict resolution; no demonstration of the exercise of political power that shows that the Mandela approach of reconciliation continues to apply.

People with big names, who might never have come to South Africa, came in droves because of the late former President Nelson Mandela. Though the iconic leader is no longer with us, his presence is everywhere and we should use his legacy to attract visitors to our country, and help them understand his unique approach to politics which has so bedazzled the world.

The department should develop a more strategic plan for political tourism. The NDP places an obligation on the department to broaden its strategies to take even greater advantage of our country's great and varied natural beauty, our national and other parks, nine world heritage sites and our sports facilities that should be used more effectively.

Hon Minister, what direct role exists for rural communities, and particularly those who were previously disadvantaged, in the area of tourism? Government promises development in rural areas but continues to seriously neglect them when it comes to devising strategies. Hon Minister, the department must work hard to offer rural community opportunities to benefit those rural communities.

If we look at transport, it is obstructing. If we take a look at the R74 in KwaZulu-Natal and the route off the N2, we have all the beautiful beaches on the Eastern Cape shoreline that can be Blue Flag beaches. We need to work on those so that we can uplift the communities.

If we go to northern KwaZulu-Natal, all the informal trade of baskets and fruit, etc, has all gone because of crime.

Our local municipalities in all three spheres of government have got to be involved. Local municipalities are letting us down badly. Crime is also one of the challenges that faces tourism in this country.

Unfortunately, the Department of Home Affairs also appears to be working to the disadvantage of tourism. Government must get its act together to remove unwarranted obstacles to tourism and essential job creation. I thank you. [Time expired.]

Ms S T XEGO-SOVITA

Ms D CARTER

UNREVISED HANSARD

EPC – OLD ASSEMBLY CHAMBER

Wednesday, 16 July 2014 Take: 172

Ms S T XEGO-SOVITA: Hon Chair, hon Minister, hon Deputy Minister, hon members, guests and fellow South Africans ...

IsiXhosa:

... molweni. [good afternoon.]

English:

In his state of the nation address, our President, His Excellency Jacob Zuma, pronounced on a radical shift by the ANC-led government to address the challenges of poverty, unemployment and inequality. This radical shift was the direction taken by the fourth Parliament during which Tourism was divorced from Environmental Affairs and made the National Department of Tourism.

This is the commitment of the ANC-led government to make South Africa a better country than it was before 1994.

The ANC-led government has identified great potential in tourism, that of being the fastest economic driver with specific deliverables such as employment, direct and indirect; skills development; and support to small, medium and micro enterprises, SMMEs, and Extended Public Works Programmes, EPWP. Hon Chair, the reflection of a slight drop in statistics in our domestic tourism needs our immediate attention as government and private sector.

We must draw lessons from the good practices of countries like China and the USA. China did well in increasing accessibility to key tourism destinations and attractions and developing policies that are favourable to domestic tourism. That has resulted in a 10% increase in the growth of their gross domestic product, GDP.

We appreciate the interventions such as the R100 million in the 2014-15 Budget that is ring-fenced for domestic tourism in order to address any challenges that may still be there in such a way as to sustain development in our tourism industry.

Hon Minister, South Africa is a rich country with key tourism destinations. It is rich in the sense that it has natural resources such as mountains, the sea, indigenous forests and attractive tourism infrastructure such as museums, heritage sites, botanical gardens, national parks, cultural villages, historical buildings and places of accommodation.

IsiXhosa:

Ilizwe lethu lityebile, liteketeke, lihle liyintombazana, libubutyebi kuthi.

English:

The questions that we still need to answer are about accessibility and we have to check whether all South Africans are aware of the tourism facilities and places where they are, irrespective of colour, age and class. Is it easy to travel to these areas and are the entry fees to these destinations affordable, even to the low-class group?

Is it affordable to travel and is there signage from point of departures to the destination? Are all these places in the database of SA Tourism? Are we ensuring that South Africans understand that tourism is fun and something to enjoy at leisure; that it provides careers to explore; businesses to realise; pleasure to enjoy and also opportunities to seize?

There are more success stories that one can tell and it is important for us to build on these successes, such as the success of prioritising domestic tourism by allocating 27,9% of the department's total budget. SA Tourism, our only entity tasked with the responsibility of marketing tourism, is allocated the biggest slice of the pie which is 94,7% of the total budget.

There are campaigns such as Nothing's More Fun than a Sho't Left, which encourages all South Africans to discover their own country through taking short trips around the country.

IsiXhosa:

Bantakwethu, elokwenyani lelithi ukuhamba kukubona, sitsho isiXhosa. Masikholelwe yintetha ethi sithetha esikwaziyo singqine esikubonileyo.

English:

Seeing is believing.

IsiXhosa:

Masikhenkethe ilizwe lethu. Sithetha ngokhenketho ekufuneka uqale wazi iindawo ezitsala umdla apha kutshane nawe, wandule ukugqithela kumaphondo olithoba eli lizwe. Masilibuke ilizwe lethu, sikwazi okuqulathwe lilo kwezokhenketho.

English:

To all South Africans out there, I am saying you must relax, you are in good hands and your future looks bright. Hon Minister, travelling is a must, be it by rail, road, air or sea. All modes of transport are important to promote tourism. Hon Chair, as I stand here, the ANC welcomes this budget presented by the Minister with its intended purposes.

It is nonetheless necessary to remind ourselves that tourism is not one man's or woman's journey. The services of other spheres of government departments, strategic partners such as private sectors, tourism stakeholders, institutions of higher learning and business are also needed to promote tourism. Tourism needs everybody.

Lastly, the legislative authority, through its Portfolio Committee on Tourism, would like to continue meeting with the Department of Tourism and its entity for purposes of our oversight function. It is a noticeable strength that the department has obtained an unqualified audit during the 2013-14 financial year. Halala, ANC-led government, halala! [Applause.]

However, in regard to resource allocation, although it can never be enough until enough is enough, The ANC welcomes the budget. We are no longer alone as the ANC in telling the good stories. The people of South Africa have joined us. They are the ones who are telling the good story now. The people of South Africa have given us the mandate. They are the majority. So, good people, give us a chance and the space to lead the people of South Africa in the right direction.

There are those, some are amongst us here ...

IsiXhosa:

... into abayenzayo xa sizama ukwenza le nto besiyithethe ebantwini baseMzantsi Afrika, benza ingxolo bonke.

English:

We were all given a chance. We all had our manifestos.

IsiXhosa:

Siyile ebantwini. Esikwenzayo singuKhongolose ngoku yilanto besiyixelele abantu ukuba siza kubenzela yona. Abantu baseMzantsi Afrika baphose ithemba labo kwi-African National Congress kuba yona yiyo ebonakala njengombutho obakhathaleleyo. Ndiyabulela Sihlalo. [Kwaqhwatywa.]

English:

The TEMPORARY CHAIRPERSON (Ms T C MEMELA): May I please plead with the members present here to ensure that their earpieces are not lying on the speakers. That is a why we are having this echo. Thank you.

Mrs E K M MASEHELA

Ms S T XEGO-SOVITA

UNREVISED HANSARD

EPC – OLD ASSEMBLY CHAMBER

Wednesday, 16 July 2014 Take: 173

Mrs E K M MASEHELA: Hon Chairperson, hon Minister, hon Deputy Minister, hon members, ladies and gentlemen, comrades and compatriots, good afternoon, molweni, re a lotšha [good day.]!

The decision of the ANC-led government under the leadership of President Jacob Zuma, to divorce Tourism from Environment, has put Tourism under the right spotlight. That is why, when the National Development Plan, NDP, projected the creation of 11 million new jobs by 2030, it also projected that tourism would be one of the key economic sectors driving the South African economy and therefore be in a position to create 225 000 new jobs by 2020.

Therefore, it will contribute R499 billion to the gross domestic production, GDP, of the country by 2020. Tourism is an important catalyst for rural development and is a job creation driver for small businesses and co-operatives. [Interjections.]

In his state of the nation address, President Jacob Zuma emphasised that unemployment, poverty and inequality are major national challenges in the country.

Rural tourism has been identified as one of the job drivers that can address these challenges most successfully.

It is just disappointing to realise that some hon members seemed to notice today that our tourism is not doing well internationally. As the ANC-led government we saw that long ago. Hence we have introduced or opened offices internationally to radically market South Africa.

If tourism focuses on the historically disadvantaged youth and women, it will address these challenges even more successfully.

Our country is fortunately well placed and will be equal to the task because of the nature of its rich cultural diversity. Rural tourism is based on the experiences and traditional ways of life in local communities. It will, therefore, be sure to attract many tourists because it is not conventional but experience-orientated. It is also found in those sparsely populated areas that have natural environments which match the seasons and local events that seek to preserve their culture, heritage and traditions. That is why the Limpopo Marula Festival will be held at a particular time because it is seasonal.

Having realised the potential of tourism to serve as a catalyst for rural development, the department embarked on introducing tourism incentive programmes for this year. It supports 489 rural enterprises. It also assists 450 businesses with accessing markets. Furthermore, it has placed 34 of these underprivileged businesses in mentorship programmes. Let us commend the department for the work well done. [Applause.]

In fighting the challenges of unemployment, poverty and inequality, we encouraged the department to continue to implement the Social Responsibility Implementation Programme, SRIP, which will create 4 369 fulltime equivalent jobs. However, job creation without skill development and training will not lend itself to sustainable employment. Thus training is a crucial element in this instance.

Currently, some of the department's social responsibility implementation programmes are as follows: The National Youth Chefs Training Programme has enrolled 450 learners who are going to receive certificates; 250 learners who are going to receive diplomas also; and a further 100 of them are in the course for the Advanced Diploma in Professional Cookery. [Applause.]

This was introduced by the ANC-led government; and not the EFF. Please, EFF, do not hijack our visitors. They are here for us.

The Tourism Ambassador programme enrolled 3 860 learners. The Sommelier Training Programme has trained 200 unemployed youth and it is now embarking on its second cycle of recruiting new intakes as we speak. The Tourism Infrastructure Investment Programme of the Western Cape assists with tourism infrastructure. Currently, the travel and tourism industry directly supports 665 500 jobs which translates into 4,6% of total employment in South Africa.

This department is indeed on the right track in moving South Africa forward. In addition, the local government support programme will also be implemented to capacitate and build local municipalities. The Department of Tourism cannot work as an island. If it is to succeed in all its endeavours, it has to form strong relationships with other departments and entities because as the ANC we always say, Working Together, We Can Do More! [Applause.]

By the way, it is in these municipalities where these projects are going to be implemented. Therefore, for the projects to be implemented, municipalities have to acquire land in those rural areas. In this instance, the traditional leaders are key stakeholders, so, let us forge strong relationships with our traditional leaders.

Sesotho:

Ke ra bona maaparankwe, marena a rena.

English:

Join hands with us...

Sesotho:

... le bereke le rena, maaparankwe.

English:

Other departments that we should join hands with are Trade and Industry, which will assist with funding; Rural Development and Land Reform which is going to assist with the acquisition of land ... [Interjections] ... and other entities which are also going to be assisting, such as the National Youth Development Agency, NYDA, the Small Enterprise Development Agency, Seda, etc. There are so many, I cannot count them all.

We would like to call upon all departments and entities to work hand in hand with the Department of Tourism so that we can reach our destiny.

In conclusion, the ANC supports the Budget Vote of Tourism and hopes that the department will boost their efforts as there is always room for improvement. Let us all join hands to move this beautiful country forward. I thank you. [Applause.]

Mr A G WHITFIELD

Mrs E K M MASEHELA

UNREVISED HANSARD

EPC – OLD ASSEMBLY CHAMBER

Wednesday, 16 July 2014 Take: 173

Mr A G WHITFIELD: Chairperson, hon Minister, hon Deputy Minister, the ANC's "Sho't-left" on the political spectrum has not been good for our economy. So I we hope that it is a good, new story for tourism in South Africa.

To the hon member from the EFF, who obviously knew what was coming because he has left the chamber: There aren't enough brooms in a warehouse to sweep up the mess that the EFF leaves behind at the end of every speech. Suffice it to say, he has simply recycled the same template from every single debate and intermittently inserted Tourism into his speech - making absolutely no contribution whatsoever.

We are here to make a positive contribution, and not everything that we say may be accepted by the other side of the House. However, I would like to just touch briefly, Deputy Minster, on a point that you raised in reference to the hospitality industry.

You raised the point that the hospitality industry is a key industry in the tourism sector as a whole. My question to you, Deputy Minister, and perhaps during our committee work the ANC caucus can enlighten us on Mr Gigaba's list of undesirable businesses for corporate visas, including the hospitality industry. We look forward to your feedback on that.

The Minister referred extensively to our abundant natural resources in this country and said that South Africa markets itself. While he may be 100% correct, substantive penetration into the global tourism market cannot be achieved without the requisite funds. So, Minister, the NDP has set ambitious targets for your department, and President Zuma praises tourism job-creating potential. This should be a good story to tell and we hope that it is.

However, this government has failed to commit the necessary resources required in order to achieve these targets. The current tourism budget, measured against the department's performance and future growth potential in order to grow our economy and create jobs, is inadequate.

Tourism has the very real potential to be a significant game-changer in our economy, but only if the appropriate budget provision is made. The number one question that we must ask ourselves over the next five years is: How many jobs did tourism create? Minister, if you are serious about the National Development Plan, NDP, and creating jobs, which we believe that you are, then you need to be shouting from the roof tops: Show me the money!

While the department's focus on domestic tourism is well-intentioned, it should not come at the expense of the international big spenders on the African continent and beyond. In the 2014-15 financial year, the budget for domestic tourism is well over R400 million, compared to the budget for international tourism which is just over R50 million; while Africa and the Middle East will receive a mere R15,5 million.

We welcome the additional ring-fenced budget for Africa and we will closely monitor how this money is spent to ensure that we get value from beyond just the office and staff that we are no doubt going to employ. By 2015, seven of the world's top-ten fastest-growing economies will be in Africa. While we will certainly not be one of those economies, we can still benefit from them if we spend our money properly.

Will we really be positioned to take advantage of the massive tourism potential on offer in Africa, or will we miss out on the opportunities that exist in our very own backyard? More people with more money is good news for tourism and South Africa should be foremost in the minds of people as a destination of first choice for African tourists.

We must make our memorandums of understanding, MOUs, with other African countries sweat. They must become more than just pieces of paper. They must become active in driving tourists into South Africa. We should be working to simplify travel requirements for regional travellers by setting up a regional travel zone, allowing international visitors to get a single visa for travel to certain countries.

We should not be confusing and complicating travel in the way that the current regulations do. We must ensure that our investment in Africa is not locked out at the borders.

We should be spending more money on actually actively marketing South Africa to the rest of Africa; not just setting up offices and employing their staff. Aggressive marketing campaigns in strategic African countries can be productive without... [Interjections.] ... setting up expensive offices. This is the wonder of the technological age.

Minister, we agree that Africa is one of our greatest opportunities for tourism growth. By targeting the African travel market more strategically it will assist us to buffer our tourism sector against global economic downturns as Sub-Saharan economies continue to outperform many of the global economies.

An enhanced focus on Africa, in conjunction with the domestic tourism strategy, will also limit our international currency exposure which in the last financial year incurred R82 million deficits, inviting significant risk towards the department's ability to reach its targets.

In 2011-12, the Brenthurst Foundation published a paper titled Unlocking Africa's Tourism Potential. In this paper, in a reference to Africa's impressive economic growth, the author said, and I quote:

African countries need to align their investment, policy and training to these new trends. In tourism perhaps, more than any other sector, this really is Africa's time.

Minister, all indicators are that Africa is the future of tourism. So let us put our money where our mouth is and put South Africa where it belongs - at the very top of the African tourism agenda. I thank you. [Applause.][Interjections.]

Ms L S MAKHUBELA-MASHELE

UNREVISED HANSARD

EPC – OLD ASSEMBLY CHAMBER

Wednesday, 16 July 2014 Take: 174

MR A G WHITFIELD

Ms L S MAKHUBELA-MASHELE: Hon Chair, hon Minister, Deputy Minister, the director-general, Mr Makhubela and his team, hon members and guests, tourism is a global force for economic and regional development. It is regarded as a modern day engine of growth and is one of the largest industries. It has become a major sector in many economies, hence the need for its sustainability as an industry for economic viability.

With tourism being one of the biggest contributors to our GDP, the participation of small, medium and micro enterprises, SMMEs, must be nurtured in various aspects of the industry.

The sector has a low barrier to entry and this makes it easy for participants to come in. The 2012 G20 Summit of Heads of State recognised tourism as a driver of growth and development, and as a sector that has the potential to spur on global economic recovery.

Mr Taleb Rifai, the secretary-general of the United Nations World Tourism Organisation, UNWTO, wrote an open letter to the heads of state about the importance of tourism in their respective countries and regions of the world.

The open letter calls on all heads of state and governments around the world to acknowledge tourism's key role in delivering more sustained and balanced growth, and urges them to place a high priority on the sector in their national policies in order to maximise its potential.

South Africa acknowledges tourism's key role in delivering more sustained and balanced growth and supports maximising its potential to contribute to rural tourism community beneficiation and transformation at large.

AS we embark on our radical socioeconomic transformation to push back the scourge of poverty, tourism and its potential must speak to the creation of sustainable jobs and give dignity to our people. This department's programme of action must be aligned with the National Development Plan, NDP, and the ANC's manifesto.

The budget of the department has to speak to deliverables and should champion the development and support of SMMEs in the tourism industry. The New Growth Path, NGP, acknowledges tourism as a major job driver. The task is to advocate for an aggressive tourism beneficiation strategy that ensures SMMEs participate and benefit from the growth potential of the industry.

The Tourism Business Council of SA, TBCSA, with its affiliated tourism associations, must be encouraged to facilitate the implementation of youth-employment incentives in tourism.

The department has to work closely with the Cultural Arts Tourism Heritage Sector Skills Training Authority, Cathsseta, and the private sector to ensure the placement of tourism graduates. About 11 000 of those FET graduates await placement on a more permanent basis. A tourism graduate placement programme needs to be developed for the tourism industry so as to avoid creating a long list of tourism graduates that await placement after they have finished the theoretical aspects of their training.

The question is how tourism's economic contribution is measured and how we benefit from it, because tourism does not conform to the usual ways in which other industries are defined. It constitutes a wide variety of sectors that provide diverse products and services to visitors. Its collective activities are service-related, and must deliver a travel experience consisting of transportation, accommodation, dining, retail, entertainment establishments, hospitality and rentals.

Tourism translates into economic benefits for our local communities through employment as people render services to hotels, restaurants and entertainment facilities. We need to move away from the current norm in which people render services only, that is, they sell their labour for a wage from these establishments. We should be owners of the establishments. We must be role-players in the industry, hence developing and supporting our SMMEs is paramount.

The President in his recent state of the nation address made the clarion call to prioritise support to small businesses as well as townships and informal sector businesses, thus ensuring the SMMEs development programme to boost broad-based black economic empowerment, BBBEE. Our SMMEs must own the lodges, the bed-and-breakfast establishments and the transport businesses that provide services to tourists [Applause.]

The department's rural tourism strategy gives us relief as policy makers as it shows that tourism and its potential will reach the grass-roots level where our indigenous South Africans live. The structuring of tourist-support programmes for tourism businesses that will be acquired by communities from land restitution processes will make our rural areas viable. Tourists must be able to experience the rural life of South Africa as our customs and rich heritage make for an unforgettable experience.

The negative reports of South Africa appearing in the international media tarnish the image of South Africa as a safe destination of choice. We call upon both SA Tourism and Brand South Africa to intensify their marketing campaigns so as to give the international audience positive information about South Africa and position our country as a safe tourist destination of choice.

We are a nation at work, united in our diversity and alive with possibilities. Our young democracy has greatly excelled over the last twenty years. Our beautiful country has repositioned itself on the global stage. We are a formidable force to be reckoned with and it is through the government of the ANC, led by President Jacob Zuma, that Brand South Africa reaches destinations we had never before imagined.

I want to share with you an article written recently by a foreign investor who shared his experience of South Africa. He wrote, and I quote:

South Africa is a very unsafe country. I stayed there for three months and did not experience any life-threatening incidents. However, I stayed in Mexico for three days and within those three days I was robbed and mugged twice.

The audience was baffled by the contrasting perspectives of the two countries. When they asked him why he then says that South Africa is an unsafe place when he did not experience it as such, he said:

That is what South Africans say.

[Applause.]

I conclude by saying that patriotism should be our conviction that our country, South Africa, is the best. It is better than all other countries because you and I were born in it. We support the Budget Vote No 35. Thank you. [Applause.]

THE MINISTER OF TOURISM

Ms L S MAKHUBELA-MASHELE

UNREVISED HANSARD

EPC – OLD ASSEMBLY CHAMBER

Wednesday, 16 July 2014 Take: 175

The MINISTER OF TOURISM: Thank you, Chairperson. Well, hon members, that was a good debate with very well prepared speeches. It ended on a very high note. I would like to congratulate all hon members for putting effort into their speeches and making good contributions, good suggestions and good observations.

Unlike the President after the state of the nation address, who can go over night, reflect on everything that everyone has said, and prepare his response, I cannot really do that.

You have made so many suggestions and observations that we would have to take some time to digest all of them and to respond to them over time. However, let me pick just a few because I really do have a few minutes. On the distinction between tourism and international arrivals, I think that is a subject for discussion between us, SA Tourism, the department and other stakeholders in the industry.

We want consistent and reliable statistics so that we all know what we are talking about, so we are giving that attention.

On the grading council, you can only say so much in a speech and that applies to all of you, but the grading council has an enormously important role to play. The integrity of that grading has to be maintained at all costs, otherwise it becomes meaningless. I accept the suggestion that we need to really consider a possible new model, to lower the cost of grading and do ongoing monitoring once the grading has been done. I think we will look at that very carefully.

Thank you for the collective appeal for extra budget, that is great. We appreciate it. However, hon members, I think our immediate big challenge is to use our existing budget better, to use the money that we have better. I can assure you if we use it well and we show good returns on investment, more money will follow. I will get back to that in a moment.

However, we need to have better returns. On the visa appointments, again, we do not have enough time to engage in all of these matters. However, I think it should be said I do not believe that anyone in the Department of Tourism, the Minister of Tourism, the Deputy Minister or anyone of the portfolio committee members, would want to take over the mandate of the Department of Home Affairs.

We are all saying we support the endeavours to combat child trafficking and the security of our country; of course, we do. In the same way, people from the industry might say that what they are doing could have unintended consequences.

I think we should also approach this very carefully and say we should not place demands on the Department of Home Affairs that could prejudice or jeopardise the things that they have to do as part of their mandate.

However, I had many discussions with the industry on this matter because it is a very contentious issue right now. We need to find an effective solution to it. The Minister has indicated that his doors are open for further discussion, and I will be meeting with the Minister for a lengthier meeting next week. We will get the 225 000 jobs by 2020, and more. It is not a strategy that says that to you, it is I, Mr D A Hanekom, who says that to you. We will do it. We can do it.

If we continue with the growth of the sector and expand it, and do some of the job-intensive things that could be done in association with the sector to support it, we can create that number of jobs and many more. We can expand the sector by more than is envisaged, but then we have to do many of the right things, as I have tried to convey in my speech.

The members of Maboneng Township Arts Experience who are here, I believe - you know that these are stories to celebrate. And many members spoke about good stories to tell and, without using this term now as a cliché, there are good stories to tell. Our job is to create many more good stories to tell. So where there is a success story like that of Maboneng, let us build on them.

We will be investing a lot more in skills development and training. I think the kinds of projects ....

The HOUSE CHAIRPERSON (Ms M G Boroto): Minister, you have one minute.

The MINISTER OF TOURISM: Thank you, I was going to respond to the EFF, but it was a predictable drone, so I probably should not bother.

I have been to Howick, and I totally agree that it is in a shocking state. Do not get distracted, hon members, we have work to do. I think it says something to us, Members of Parliament. In your constituency offices, where you see things that are not right, engage with that local authority, because it cannot be right. The state of what is one of our iconic sites, maybe not the most permanent but indeed one of the spectacular sites and one of many that our country has. We cannot let it deteriorate. So it is a collective responsibility.

With regard to road signs, I mentioned in my speech, we will be embarking on a national programme. Of course, we have to do it with the provincial roads departments to ensure that our national road signs or our road signs are revitalised, and that they are made more attractive and that they give good directions to where people need to go. We need to, and we will be rehabilitating our iconic sites. Of course, we need to, someone .... [Interjections.]

Thank you very much, hon members. We will work together. We will have further engagements in the future. [Time expired.] [Applause.]

Debate concluded.

The Committee rose at 16:05.


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