Tourism report on Argentina underlines the massive growth potential
Argentina’s Travel & Tourism sector ranks fifth out of nine industry sectors, according a new study by the World Travel & Tourism Council (WTTC), showing the need for further recognition and support of the sector’s economic and social development potential.
The WTTC Benchmarking Report 2017 compares Travel & Tourism to eight other sectors, which are considered to have similar breadth and global presence, across 27 countries and six regions.
In 2016, Travel & Tourism, with the direct, indirect, and induced impact accounted for, generated USD$53 billion to Argentina’s GDP, making the sector impact larger than that of the automotive manufacturing, banking, chemicals manufacturing, and mining sector, and lagging behind on financial services, construction, agriculture and retail.
In terms of employment, the Travel & Tourism sector supported a total of 1.6 million jobs in 2016, ranking in the middle spot behind chemicals manufacturing, construction, agriculture and retail, but ahead of banking, financial services, automotive manufacturing and mining.
Argentina’s Travel & Tourism GDP is expected to grow at an annual average of 2.5% over the next decade, which is slower than the total economy, which is forecast to grow by 2.6% per annum and significantly lower than the global average growth of Travel & Tourism at 3.9%. The Travel & Tourism sector’s growth prediction is only higher than that of mining (1.1%), agriculture (1.8%) and construction (1.9%).
David Scowsill, President & CEO, WTTC, said: “Argentina is a beautiful tourist destination and while not at the bottom of the list, the sector is not where we would want to see it ranked in this benchmarking study. As a country with so much variety in its tourist product there is a huge potential for the country to grow, but current growth projections are relatively low.”
Scowsill continued: “I strongly believe in the potential of Argentina’s Travel & Tourism sector and commend the Argentine government’s increased focus on taxation, visas and aviation growth. Bringing the WTTC Global Summit to Buenos Aires next year April is a great show of commitment from the Argentine government to grow our sector. Our Summit will bring together over 750 leading public and private sector individuals to the capital to show case its best tourism assets.”
“With the right policies in place that stimulate investment into tourism infrastructure and marketing of the country, Argentina will stimulate massive growth in business and leisure travel”, Scowsill concluded.
About the Benchmarking Report
The following sectors have been analysed in comparison to Travel & Tourism. They were selected as having similar a breadth and global presence as Travel & Tourism.
- Agriculture: includes agriculture, forestry, and fishing
- Automotive manufacturing: includes motor vehicles and parts & accessories
- Banking: includes all banking activities and related services
- Chemicals manufacturing: includes drugs & medicines, manufacture of basic pharmaceutical products and pharmaceutical preparations, plastics, rubber, paint, polishes, ink, perfumes, cosmetics, soap, cleaning materials, fertilizer, pesticides, other chemicals
- Construction: includes those primarily engaged in the construction of buildings (both residential and non-residential), engineering projects or speciality trade contractors. Construction work done may include new work, additions, alterations, or maintenance and repairs.
- Financial services: includes all financial related activities including banking, investment services and insurance
- Mining: includes the extraction of oil, natural gas, coal, metals, and related services
- Retail (without wholesale): includes all retail trade (i.e. Retail trade, except of motor vehicles & retail codes to motor vehicles and motorcycles)
Countries researched in the study: Argentina, Australia, Brazil, Canada, China, France, Germany, India, Indonesia, Italy, Jamaica, Japan, Kenya, Malaysia, Mexico, Peru, Russia, Saudi Arabia, Singapore, South Africa, South Korea, Spain, Thailand, Turkey, United Arab Emirates, United Kingdom, and United States of America