Fiji - Travel and Tourism Fiji - Travel and Tourism
This is a best prospect industry sector for this country. Includes a market overview and trade data.
Overview
Tourism remains Fiji’s fastest growing industry and is the largest foreign exchange earner. Industry earnings increased by 4.5 percent in 2018, totaling FJD$ 2.01 billion (USD $900 million) exceeding the combined revenues of the country’s top five merchandise exports (fish, water, sugar, gold and garments). The industry provides direct employment to an estimated 40,000 people and to 116,500 indirectly. In 2018, visitor arrivals grew by 3.3 percent to 870,309. The largest growth of visitors was seen in the new markets where national airline Fiji Airways opened new routes. Australia and New Zealand accounted for 65 percent of total visitors to Fiji, with earnings to the economy totaling FJD $1,318.8 million (USD$ 608.8 million) in 2018. The U.S. is Fiji’s third largest source market, accounting for 10 percent of total visitors, and contributed an estimated FJD $183.5 million (USD $86.8 million) to the Fiji economy.
The Fiji government is interested in increasing visitors in the Meeting, Incentives, Conventions, and Exhibitions (MICE) sector, following the successful hosting of the Asian Development Bank (ADB) meeting in May 2019. The government also announced that the Fiji National Provident Fund (FNPF), the country’s pension fund, and owner of the Sheraton properties on Denarau Island, the Intercontinental Fiji Golf Resort & Spa, and Fiji Marriott Resort Momi Bay, expect to commence on the building of a convention center, with a capacity to host 4,500 people. The FNPF also has the country’s exclusive casino license, which was issued in 2017, but is not yet being utilized.
Fiji is also dependent on imported produce to meet the tourism sector’s demand of fresh fruit and vegetables, meat, seafood, and dairy products. Recent studies show that the sector imported 52 percent of its fresh produce needs in 2017, with an estimated 74 percent attributed to imports of meats, seafood, and dairy products. At the 2018-2019 annual national budget, the government removed import duties on fruit and vegetables to increase the affordability of healthy food options. However, the overall tourism taxes for tourism and other applicable entertainment activities remain high, with a 10 percent environment and climate (ECAL) tax and a 6 percent service turnover tax (STT).
Table 3: Fiji Tourism Data
|
|
2015 |
2016 |
2017 |
2018 |
|
Total Visitor Arrivals |
754,835 |
792,320 |
842,884 |
870,309 |
|
Average length of stay (days) |
11.3 |
11.2 |
11.2 |
11.2 |
|
Tourism Earnings ($Millions) |
FJD $1683.4 (USD $777.1) |
FJD $1823.4 (USD $841.7) |
FJD $1924.3 (USD $888.4) |
FJD $2010.3 (USD $928.1 ) |
|
Exchange Rates |
USD 1 = FJD 2.16615 | |||
Leading Sub-Sectors
The hotel and hospitality industry requires a large variety of products, such as the following:
• Food – dairy products, fruit, vegetables, beverages, condiments;
• Building materials;
• Furnishings (drapes, carpet, linens);
• Kitchen equipment;
• Furniture and appliances;
• Sporting equipment;
• Toiletries; and
• Wireless technology and IT related to hotel and guest services.
Web Resources
Fiji Islands Hotel & Tourism Association
Ministry of Industry, Trade and Tourism
South Pacific Tourism Organization
Tourism Fiji