The entrance fee for foreign tourists will rise sharply, a move some fear could discourage visitors.
A popular vacation destination raises tourist taxes PHOTO ARCHIVE
New Zealand will drastically increase the entry fee for foreign tourists, a move some fear could discourage visitors, the BBC reports.
From October 1, the cost of the international visitor conservation and tourism tax will almost triple, from NZ$35 to NZ$100.
The government said this was meant to contribute to economic growth and “to ensure visitors contribute to high quality public services and experiences while visiting New Zealand”.
But Tourism Industry Aotearoa – the country’s independent tourism body – says the higher fee is a barrier for visitors, making “incredibly expensive to visit”.
The country is famous for its Māori culture and its spectacular landscapes, including glaciers, mountains, volcanoes and lakes.
But its location in the South Pacific and associated long-haul airfares have often been a barrier to visitors.
“New Zealand’s tourism recovery is lagging behind the rest of the world and this will further affect our global competitiveness.” said Rebecca Ingram, the association’s executive director.
New Zealand first introduced the tax in 2019 as it grappled with the impact of high visitor numbers on its infrastructure, environment and communities.
During the coronavirus pandemic, the country closed its borders for two and a half years and did not allow foreign visitors to return until August 2022.
The country is struggling to return to pre-pandemic visitor levels, with just under three million international visitors in 2023, about three-quarters of pre-pandemic levels.
Tourism Minister Matt Doocey argued the new tax cost would not be a huge deterrent as NZ$100 would represent less than 3 per cent of the average spend of most tourists in the country.
He said the fee remains competitive compared to countries such as Australia and the UK and that it remains “confident that New Zealand will continue to be considered an attractive visitor destination by many around the world”.
The fee is not payable by visitors from Australia and the Pacific. Most visitors to New Zealand come from Australia, the United States, China and Fiji.
The increased costs will be on top of separate visa fees for some visitors, which will also increase from 1 October.
New Zealand isn’t the only place with tourist taxes.
Indonesia, Spain, France, Austria, Croatia, Costa Rica, Iceland and Italy are other countries that charge tourist taxes.
In most places, the tax is included in the cost of your accommodation, visa or flight ticket.
In April, Venice launched an experiment in which day-trippers were charged a €5 fee to visit the city on peak days in an attempt to combat the effects of over-tourism.
