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Date : 21/02/2006
Source: Department of Environmental Affairs and Tourism
Title: van Schalkwyk: Anniversary of Tourism Grading Council and World Tourist Guide


  Speech by Marthinus Van Schalkwyk, Minister of Environmental Affairs And Tourism, on World Tourist Guide Day at the 5th anniversary of the Tourism Grading Council of South Africa, in Cape Town

GRADING, 2010, AND SKILLS: TOURISM MEETING THE CHALLENGE OF ASGISA

Introduction

There has never been a time in the history of South Africa, when tourism has been more central to the plans, expectations, and programmes of Government. Although, we have seen excellent growth over a number of years, and seen tourism overtake resources like gold in terms of foreign exchange earnings, there has always been a lingering perception - especially within our industry - that government somehow under-values the potential and contribution of the sector. In the past three weeks these doubts have been permanently shredded.

The President and the Deputy President have placed tourism front and centre in the economic growth plan of Government. ASGISA, the Accelerated Shared Growth Initiative of South Africa, identifies only two sectors of the economy for immediate priority interventions - and tourism is one of these two (Business Process Outsourcing is the other).

This is at the same time a sincere compliment, a grave responsibility, and an unmatched opportunity. It is time to step up and prove what we have said for years - that tourism is the new gold, that our sector is the key to growth and jobs, and that as a sector we have the will, the skill and the drive to meet the challenge that has been issued to us.

TGCSA 5th Anniversary & Importance of Grading

There are so many reasons therefore, why it is appropriate to celebrate the 5th anniversary of our Tourism Grading Council. I am pleased to announce that, since 2001 the Grading Council has officially graded 70% of all available accommodation rooms in South Africa. On World Tourism Day in 2004, I challenged the Grading Council to do more to grade backpackers and youth hostels, as well as game reserves and lodges * at that time only 8% and 16% respectively were part of the star system. Today 20% of backpackers and youth hostels, and a third of all game reserves and lodges have been graded * a substantial improvement. The Council has also graded more than 130 meetings, exhibitions, and special events venues - a world-first for South Africa.

It is testimony to these achievements that the Grading Council was invited by the World Tourism Organisation - twice last year alone - to present our Star Grading System as a model case-study in promoting destinations.

The reason that these achievements are such cause for celebration is the key importance that quality assurance and standards play in our industry. It is absolutely no use to sort out problems of airlift, marketing, skills development and product diversity if the quality of our tourism experience is lacking. Word of mouth is the single most persuasive marketing tool - and news of bad experiences spreads like wildfire.

In 2005, we launched the grading scheme for restaurants, which thus far has not been as rapidly adopted as we would have liked by the industry. The Grading Council will be holding countrywide workshops on restaurant grading in March, and I would like to urge all restaurateurs to get involved in this process so that we can meet our target of 40% of restaurants graded by the time the World Cup begins in 2010. I am also pleased to confirm that the Grading Council will, later this year, be launching a grading system for tourist transport services and a star scheme for the golfing sector.

At a workshop last week with our national Departments, it was clear that, despite much enthusiasm for the Cabinet decision to procure government accommodation only from graded establishments, there is room for improvement. Our Department and the Grading Council will therefore be undertaking roadshows with provincial governments before the end of March to accelerate this process.

Gearing up for 2010 - Infrastructure, Grading etc

It is no secret that the 2010 Soccer World Cup offers our tourism industry a great opportunity - both as a single event, and as a milestone in boosting our global competitiveness. This is why our Department, in partnership with SA Tourism, has been working for the better part of a year now on the 2010 Tourism Organising Plan - a massively comprehensive and holistic analysis of needs, opportunities and threats.

Without going into too much detail - as this will be released when the plan itself is launched - one of the most important challenges we face is the gap between the projected demand for accommodation in host cities, and the projected number of rooms that will be available.

Our preliminary estimate is that, without major public and private interventions, we may be between 160 000 and 180 000 beds short of the likely demand. This is not to say that we should suddenly make massive investments in building new accommodation - although some may be necessary - but rather this challenge will require innovative plans for opening new kinds of accommodation, better access and transport into match locations, and expanding the radius of accommodation used in these areas. It will also mean - of course - the grading and quality assurance of this accommodation. By 2010, we aim to have graded 95% of all accommodation and 60% of all conference venues in the country. R7,5 million for Skills Development - Minister Issues 6-Month-Challenge

One of the keys - both to gearing up for 2010 and to meeting the challenges of ASGISA - is to address the problem of skills and capacity-building in tourism. As today is also International Tourist Guide Day, this is an even more appropriate opportunity to address the issue.

Universities, technikons and other institutions of higher learning have, for some time now, complained that the tourism industry has not properly identified the skills that are most critically lacking in the sector. At the same time the industry has complained that the graduates being produced are not appropriately skilled. This communication impasse cannot be allowed to continue - we cannot afford to continue to speak past one another.

I am therefore issuing a challenge - to both the institutions and the industry: we have 6 months to get our house in order. I am allocating R7,5 million to a partnership between our Department, the Tourism Hospitality and Education Training Authority (THETA), the National Business Initiative, and the Tourism Business Council of South Africa (TBCSA) - to build a consensus Skills Plan, to revise the existing curricula, and to streamline the process of accreditation and certification. In June, when our Department presents its Budget Vote in Parliament, it is my intention to report to the House and to the nation, on our progress as Government and as the private sector in this regard.

Conclusion

Marketing, transportation, product development, information management, transformation, safety, and skills development - these are the key issues identified in ASGISA as the priorities for tourism growth. Addressing these issues will be our core business over the next six months and beyond, as we rise to meet the expectations that now run as high as the potential of our sector.

I would like to ask you now to join me in saluting the good work of Alan Romburgh, Dr Salifou Siddo, and the Tourism Grading Council Team as we celebrate with them 5 years of achievement, and a future of even greater service.

Enquiries: Riaan Aucamp
Cell: 083 778 9923
Issued by: Department of Environmental Affairs and Tourism
21 February 2006
   

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