'Shot in the arm': Chinese tour groups coming back to Australia

Australia’s coastal tourist hotspots are gearing up, as China reinstates Australia with Approved Destination Status, just as tourism in WA starts to decline.

Michael Johnson, CEO of Accommodation Australia, hailed the return of guided groups from China as a welcomed relief for hotel operators across the country. For more than three years, they have navigated the absence of significant visitors from one of the historically most valuable inbound markets.

“It is no exaggeration to say this is the most significant announcement for Australia’s accommodation industry of the past 12 months,” Mr Johnson said.

“In 2020, Australia’s hotel industry was forced to adapt to the loss of large numbers of visitors from China and they pivoted very well, but today’s announcement will see the return of this key market and in many ways, signals the end of the worst of the pandemic.”

During Accommodation Australia’s recent board meeting in Canberra, the restoration of group tourism from China emerged as a crucial topic discussed with Federal Minister for Trade and Tourism Don Farrell, spotlighting its pivotal importance for accommodation providers.

The reinstatement of Approved Destination Status coincides with Tourism Australia’s robust marketing efforts in China, which Mr Johnson said will position Australia’s tourism industry for a swift resurgence.

“Today’s announcement will result in an immediate and significant increase in business activity right across Australia, and at just the right moment.”

“In the weeks ahead, we expect to see a wave of new bookings and forward business activity, helping support many thousands of jobs in each state and territory.”

“At a time when aviation routes are continuing to recover and people are feeling safe to travel further abroad, this is the shot in the arm that Australia’s accommodation industry needed.”

It comes just as Tourism Council WA’s latest business survey revealed the industry experienced a 17 per cent decrease in net business activity in the June quarter, the first downturn since the re-opening of Western Australia’s border post-COVID.

The survey showed the stream of visitors to the regions from Perth had started to dry up, and Tourism Council WA CEO Evan Hall said international visitors were only at 60 per cent of pre-pandemic levels.

The Mail took a look through the availability at some of Busselton’s most popular accommodation. Most have been heavily booked for the first half of August, but a weekend getaway for two would prove no challenge at the moment.

Things get a little tighter if that couple wants to bring their two kids along, with many rooms of that size booked out on weekends well in advance.

The next public holiday, the King’s Birthday on September 25, has almost all of Busselton’s accommodation, aside from some Airbnb’s and guesthouses, booked out more than a month away.

Along with China allowing tourists back to our shores, a cooling of diplomatic tensions has seen them drop an 84.5 per cent tariff on Australia Barley imports, which Prime Minister Anthony Albanese said blocked exports worth more than $900 million.

“This is a decision that is good for Australia, but it’s also good for China, because they get access to the best barley in the world,” Mr Albanese said in parliament.