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Aviation To Drive Domestic Travel Sector

By Ian Neubauer

Increased local aviation capacity will provide a driver for growth in the Australian domestic travel sector, according to Tourism Australia’s Tourism Forecasting Committee (TFC).

“An increase in shorter stay travel in Australia, driven by increased domestic aviation, should support higher real Australian domestic tourism consumption, which the TFC forecast to ride 2.5 per cent to $67 billion in 2008,” said TFC Chairman, Bernard Salt.

But Salt cautioned growth in domestic visitor consumption is projected to ease through to 2017 as the industry comes under increasing pressure from overseas travel destinations. 

Outbound departures are forecast to increase to 6 million this year and hit 9.3 million in 2017 as a result of continued strong price competition from Asian leisure destinations and increased international aviation capacity.

The TFC’s membership draws on the combined expertise of the private and public sectors in the tourism and finance industries. Its members include representatives of auditors KPMG, the Australian Bankers’ Assocation, the Department of Resources, Energy and Tourism, Qantas and Tourism Australia, among others.