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Fiji’s Tourism Development Plan

2007-2016

Things to Do .................................................................................................. 54
Contents Presenting Fiji’s Culture – An Icon Attraction........................................... 54
Attractions ...................................................................................................... 55
Small Local Cruise Ships ............................................................................... 56
Summary..................................................................... 3 International Cruise Ships............................................................................. 56
Introduction ................................................................. 5 Day Cruising ................................................................................................... 57
Tourism Development Plan ............................................................................5 Water Sports and Resort Activities .............................................................. 57
Previous Tourism Planning .............................................................................5 Yachts.............................................................................................................. 58
Developing this Plan ........................................................................................5 Surfing ............................................................................................................. 60
A Collaborative Process...................................................................................6 Diving.............................................................................................................. 61
Planning in the Context of Recovery .............................................................6 Weddings & Honeymoons............................................................................ 61
Recovering 2007 ...............................................................................................7 MICE............................................................................................................... 62
Recovery as Basis for Planning .......................................................................7 Backpackers and Independent Travellers.................................................... 62
Vision and Principles .................................................. 8 Ecotourism ..................................................................................................... 64
Current Situation ..............................................................................................8 Shopping ......................................................................................................... 65
Vision.................................................................................................................8 Sports............................................................................................................... 66
Principles ...........................................................................................................8 Business Tourism - Suva ............................................................................... 66
The Planks of Prosperity .................................................................................8 Domestic Tourism ......................................................................................... 67
Timeshare........................................................................................................ 67
Fiji’s Tourism Snapshot .............................................. 9
The Landscape and Environment ..................................................................9 Presenting Fiji........................................................... 68
Provisional Data ...............................................................................................9 Creating a Fiji Character................................................................................ 68
Tourism Activity...............................................................................................9 Fiji Character in Experience ......................................................................... 68
Summary............................................................................................................9 Fiji Character in Design................................................................................. 69
Why visit Fiji?................................................................................................. 10 Fiji Character in Site Planning ...................................................................... 70
Bookings......................................................................................................... 10 Fiji Character in Built Form.......................................................................... 70
2006 Down on 2005...................................................................................... 10 Fiji Character in Landscaping ....................................................................... 71
Fiji’s Tourism Product .................................................................................. 13 Fiji Character in Interior Design .................................................................. 71
Population and Workforce ........................................................................... 14 Integrating Artwork ....................................................................................... 72
The Fiji Economy.......................................................................................... 15 Fiji Character in Retail................................................................................... 73
Contributions to Government Revenues from Tourism .......................... 17 Fiji Character in Food and Beverage ........................................................... 73
The Tourism Sector Multiplier..................................................................... 18 Development and Design Guidelines.......................................................... 74
Tourism Satellite Accounts........................................................................... 18 Presenting Fiji................................................................................................. 75
Growth and Investment Prospects.............................................................. 18 Exceeding Expectations................................................................................ 75
National Planning Context ........................................................................... 18 Regional Prosperity .................................................. 78
Towards a Billion Dollar Industry ............................................................... 20 Tourism Throughout Fiji .............................................................................. 78
Competitive Position ................................................. 21 Regional Tourism Planning........................................................................... 78
International Competition ............................................................................ 21 Overall Strategies for Regional Prosperity .................................................. 79
Share of Voice................................................................................................ 23 Rotuma............................................................................................................ 79
Global and Regional Forecasts .................................................................... 23 Yasawas........................................................................................................... 80
Key Challenges............................................................................................... 24 Mamanucas ..................................................................................................... 82
Regional Competitiveness............................................................................. 24 Nadi Corridor ................................................................................................. 83
Price Competitiveness................................................................................... 25 Coral Coast ..................................................................................................... 85
Fiji’s Tourism – Charting the Future.......................... 26 Beqa/Pacific Harbour ................................................................................... 85
Suva ................................................................................................................. 86
Tourism – The Opportunity Awaits............................................................ 26
Tailevu............................................................................................................. 87
Balancing Supply and Demand .................................................................... 27
Suncoast .......................................................................................................... 88
Growth Scenarios and Targets..................................................................... 27
Highlands........................................................................................................ 89
Managed Growth – Scenario........................................................................ 27
Vanua Levu..................................................................................................... 90
Low Growth Scenario................................................................................... 30
Taveuni............................................................................................................ 92
Aggressive Growth Scenario ........................................................................ 31
Kadavu ............................................................................................................ 93
Growth… or Stagnation? ............................................................................. 32
Lomaiviti ......................................................................................................... 95
Strategic Direction – Managed Growth...................................................... 32
Lau Islands...................................................................................................... 96
Threshold Approach ..................................................................................... 34
Providing Transportation Linkages ........................... 35 Establishing Brand Fiji.............................................. 98
Branding.......................................................................................................... 98
Island Context................................................................................................ 35
Post Crisis Recovery ...................................................................................... 98
Into Fiji By Air............................................................................................... 35
Marketing ........................................................................................................ 98
Into Fiji By Sea............................................................................................... 44
Sharing the Cost of Marketing...................................................................... 99
Within Fiji By Air .......................................................................................... 44
eFiji - Online Distribution ..........................................................................100
Within Fiji By Sea .......................................................................................... 48
Getting Heard – Share of Voice.................................................................100
Within Fiji By Sea .......................................................................................... 48
Within Fiji By Land ....................................................................................... 48 Facilitating Tourism Growth.................................... 102
Incentives and Investment..........................................................................102
Target Markets.......................................................... 49 Proposed Incentives ....................................................................................103
Proposed Targets........................................................................................... 49
Impact of Incentives on Government Revenues .....................................105
Australia.......................................................................................................... 49
Management of Incentives and Concessions............................................105
New Zealand.................................................................................................. 50
Streamlined Approvals ................................................................................106
United States and Canada ............................................................................. 51
Restricted Activities .....................................................................................107
United Kingdom............................................................................................ 51
Currency Control .........................................................................................107
Japan................................................................................................................ 52
South Korea ................................................................................................... 52 Vanua – Community Benefit................................... 108
Europe ............................................................................................................ 52 Community Benefits from Tourism ..........................................................108
Pacific Islands ................................................................................................ 52 Community Based Tourism........................................................................109
New Markets.................................................................................................. 52 The Role of Tourism Resource Owners ...................................................110
Target Markets Key Strategies...................................................................... 53 Maximising Local Community Benefits ....................................................110
Employment .................................................................................................110
The Fijian Tourism Product – Success in Diversity .. 54 The Fiji Farm................................................................................................111
New Tourism Product .................................................................................. 54
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Native Land and Trust Board .................................................................... 112 Appendix One – Consultation ................................ 152
Facilitating and Promoting Community Tourism.................................... 113 A Collaborative Approach ..........................................................................152
Gender Equity.............................................................................................. 113
Sustainable Development....................................... 114
Sustainability as a Priority ........................................................................... 114
Tourism and the Environment .................................................................. 114
Environmental Regulation.......................................................................... 115
Sustainable Development Guidelines........................................................ 115
Tourism Certification and Accreditation .................................................. 117
Sustainable Cultures..................................................................................... 118
Protected Areas............................................................................................ 118
Marine Conservation ................................................................................... 120
Waste Management ..................................................................................... 121
Land Management ....................................................................................... 121
Climate Change............................................................................................ 121
Limitations of Tourism ............................................................................... 121
Ecotourism ................................................................................................... 122
Role of NGOs.............................................................................................. 123
People Power ......................................................... 124
The People.................................................................................................... 124
Understand the Challenge........................................................................... 125
A Coordinated Approach ........................................................................... 125
Abbreviations Used
Invest in Education ..................................................................................... 125 ADB Asian Development Bank
Tourism Training Targets........................................................................... 126
Accessible Training and Education ........................................................... 127
AFL Airports Fiji Limited
Accessible Training and Education ........................................................... 127 BoS Bureau of Statistics
The Building Blocks ................................................ 128 CAAFI Civil Aviation Authority of Fiji
Infrastructure................................................................................................ 128 FIHTA Fiji Island Hotel and Tourism Association
Infrastructure Priorities............................................................................... 128
A Coordinated Approach ........................................................................... 129 FIMSA Fiji Islands Maritime Safety Authority
Communications.......................................................................................... 129 FIRCA Fiji Islands Revenue and Customs
Developer Contributions ............................................................................ 129
Public Private Partnerships......................................................................... 130
Authority
Integrated Resorts........................................................................................ 130 FIT Fiji Institute of Technology
Informed Decisions ................................................. 131 FTIB Fiji Trade and Investment Bureau
Tourism Monitoring.................................................................................... 131 FVB Fiji Islands Visitors Bureau
Knowledge Network Overview ................................................................. 132
Tourism Satellite Accounts......................................................................... 132 GDP Gross Domestic Product
Tourism Knowledge Sharing...................................................................... 133 HAA Hotel Aid Act
Development Knowledge........................................................................... 133
Resource Owners......................................................................................... 133
HTT Hotel Turnover Tax
Community Awareness ............................................................................... 133 MoT Ministry of Tourism
Managing Risk ........................................................ 134 NLTB Native Land Trust Board
Risk................................................................................................................ 134 NSC National Security Council
Be Prepared .................................................................................................. 136
Communication is Key................................................................................ 137 PATA Pacific Asia Travel Association
Facilitating Tourism Growth - Legislation ............... 138 SLIP Short Life Investment Program
Tourism Legislation..................................................................................... 138 SOFTA Society of Fiji Travel Agents
Team Fiji – Making it Happen................................. 141 SPTO south-pacific.tourism (was South Pacific
Creating Team Fiji ....................................................................................... 141
Institutional Arrangements......................................................................... 141 Tourism Organisation)
Action Plan 2007-2009................................................................................ 141 STDC Sustainable Tourism Development
Principle ........................................................................................................ 141 Consortium
Role of Government ................................................................................... 143
Ministry of Tourism (MoT) ........................................................................ 144 TAG Tourism Action Group
Tourism Development Unit ....................................................................... 146 TPAF Training and Productivity Authority of Fiji
Fiji Islands Visitors Bureau (FVB)............................................................. 147
Ministry of Finance and National Planning.............................................. 147
UNEP United Nations Environment Program
Ministry of Commerce and Industry ......................................................... 148 UNWTO United National World Tourism
Ministry of Transport .................................................................................. 148 Organisation
Ministry of Fijian Affairs............................................................................. 148
Ministry of Environment............................................................................ 149 VAT Value Added Tax
Ministry of Local Government .................................................................. 149 VFR Visiting friends and relatives
Ministry of Health........................................................................................ 149 WTTC World Travel and Tourism Council
Ministry of Home Affairs ........................................................................... 149
Public Works Department (PWD) ............................................................ 149
Fiji Electricity Authority (FEA) ................................................................. 150
Telecommunications/ Communications in Fiji ....................................... 150 Note cover photo is © Fiji Islands Visitors Bureau
International Bodies .................................................................................... 150 © 2007 Sustainable Tourism Development Consortium.
Industry Bodies ............................................................................................ 150
Educational and Research Institutions...................................................... 151 Version Notes: 2.0 For submission to Steering Committee.
Non Government Organisations (NGOs) ............................................... 151

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Fiji’s Tourism Development Plan
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Fiji’s Tourism Development Plan
2007-2016

Summary
The Fiji Tourism Development Plan 2007-2016 provides a framework for
the sustainable growth of tourism in Fiji.
The Fiji Tourism Development Plan 2007 – 2016 assumes 2007 and 2008
will be a recovery phase from the events of 2006 and a managed growth phase
for the remaining period. © Fiji Islands Visitors Bureau

Tourism Development Plan The key to planning for Fiji’s ongoing sustainable
This Tourism Development Plan was instigated by the tourism development is to ensure that there is balance
Government and prepared by the Sustainable Tourism between these four planks of prosperity: social; cultural;
Development Consortium. The Fiji Tourism environmental; and economic.
Development Plan 1998-2005 was reviewed to develop Competitive Position
this Plan. The Plan is supported by a rolling Action Plan The medium to long term global, Asia Pacific and Fiji tourism
and a series of Regional Strategies. outlook is positive, but not without internal and external
Current Situation challenges. Fiji has remained ahead of world tourism growth rates
Fiji’s tourism has recovered from the decline in 2000 to for the past 15 years and can continue to do so in the future. Even
reach total visitation of 550,000 in 2005, with 545,000 as a small fish in a big ocean, Fiji has the opportunity to ride the
in 2006. Fiji has remained ahead of world tourism wave of global and regional tourism growth.
growth rates for the past 15 years and has the There are fundamental challenges to the competitive
fundamentals (post recovery) to continue its track position of Fiji, providing a perceived safe destination,
record of exceeding global tourism growth rates. being price competitive and remaining attractive for
In 2006, there were 347 properties with 9,070 rooms. investors. It is of serious concern that 2006 visitor
(including 233 cabins on local ships). Fiji has a great arrivals were less than 2005. As most key source
diversity of tourism products with accommodation markets are growing at about 5% this means Fiji went
ranging from small bure style village run resorts to large backwards.
integrated resorts with international chain hotels, with Managed Growth
local cruise ships, dive operators and sea kayaks; horse The desired outcome is to plan for the achievement of a growth
riding parasailing and wild river rafting. Much of Fiji’s scenario for 2016 of 1.1 million visitor arrivals and tourism
tourism has a strong cultural aspect as well as presenting infrastructure including 16,000 rooms.
the spectacular natural landscape. Following the coup in late 2006 and the subsequent
In 2005 Fiji had a population of 847,000 with about collapse of visitor arrivals, the Plan has two phases: a
21,460 working in tourism. The industry is 12.5% of recovery period in 2007-2008 in arrivals will recover to
GDP, with $729 million earnings in 2005, having an at least 550,000 annually; and then a growth phase from
estimated tax revenue to government of $140 million. 2008 onwards.
Vision and Principles Under the managed growth scenario, in 2016 there will
The overall vision is to grow tourism for Fiji’s benefit, be 1.1 million visitor arrivals. The total gross tourism
and in summary, that in 2020 Fiji’s tourism will: exceed revenue (not including the international air travel
expectations, be an aspirational destination, have a comparative component) will be $1.485 billion and the annual
advantage, be seen as a benefit, embrace social and cultural government tax receipts will be $280 million (in 2016).
traditions and practices, have reduced its ecological footprint, There will be 21,460 new tourism jobs.
support poverty alleviation, reduce urban migration, assist The Managed Growth Scenario requires just that,
regional prosperity, provide its own infrastructure, supports its management. It will not happen without a coordinated
communities, support service and supply enterprises and effort by the government and industry and at least some
make a substantial contribution to national economic growth. cooperation by the wider community. It requires:
In summary, the principles for Fiji’s tourism • a major and ongoing Brand Fiji marketing
development area are based on the concepts of: Brand campaign;
Fiji, Sustainable Development, Guiding Future Growth, • major growth in key source markets and at least two
Balanced Supply, Diversity, Regional Prosperity, Team Fiji, new markets;
Farm Fiji, Encourage Initiative, Social Equity, Creating the • attractive investment incentives;
Future and Safe and Secure.
• proactive approvals process;

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• supporting infrastructure; Establishing Brand Fiji


• constant supply of trained staff; Creating Brand Fiji to ensure Fiji is a prime aspirational
• a team approach by industry, government and destination from our key source markets is essential to
community; increasing market share. A major ongoing marketing
• additional capacity on existing airline routes and and branding campaign is proposed, with expenditure
new routes established; by FVB of over $20 m per year required.
• an overall integrated approach, including Facilitating Tourism Growth
sustainability, risk management, community benefit. Fiji must compete on a world stage for the investment
To avoid any doubt, without these fundamentals, dollar. This will require financial incentives, streamlining
stagnation is considered a real possibility. This would of the approvals processes, and maintenance of
have dire economic and social consequences. currency control. Generous incentives and smooth
approvals processes are essential to achieve the
Providing Transport Linkages
managed growth scenario. Properly managed, these
Growth in air capacity from existing markets and new routes incentives will provide a good return on investment to
(perhaps with new carriers) for emerging markets will drive the economy generally and to government revenue.
tourism growth. Air, land and sea linkages will spread tourism
Vanua – Community Benefit
throughout Fiji for regional prosperity.
Fiji’s traditional society and resource ownership is
New air routes will be required and additional domestic
fundamental to its character and society. Tourism can
infrastructure, particularly upgraded roads and key
and should provide benefits to and become partners
regional airports (e.g Savusavu).
with prosperous communities.
Target Markets
Sustainable Development
The growth of tourism can only be achieved by growing
Fiji’s nature, culture, society and economy can and must
existing core markets (Australia, New Zealand, US,
benefit from tourism. Sustainable development is the
Canada, UK, Japan and Korea) and developing new
foundation for tourism growth.
emerging markets (potentially China, India, South
America and/or the Gulf). Traditional source and People Power
market segments need support with new targets being Human resource development and capacity building is
new segments in existing markets and whole new source the foundation of a strong tourism industry. Quality
markets. service and quality local jobs start with quality education
The Fijian Tourism Product – Success in
and training. Managed growth could see 21,460 new
Diversity
jobs in 2016.
Fiji has a diversity of tourism products and can build on The Building Blocks
this to create a unique set of market niches whilst The desired outcome is to have adequate infrastructure
creating an aspirational destination. There is an to support tourism growth with the least possible cost
opportunity to grow experiences and activities (e.g tours to government. Core infrastructure will continue to be
and attractions) throughout Fiji and especially a major provided by government, although support for larger
cultural icon in Nadi. developments may start to require developer
Presenting Fiji contributions during the life of the Plan.
Fiji can grow as a unique destination, not as a generic Informed Decisions, Risk and Legislation
tropical “resort” but through presenting Fiji and The Plan sets out approached for knowledge
ensuring that aspects of Fiji’s culture, society, landscape management, risk management and the statutory basis
and culture pervade the experience and surroundings of for managing tourism.
visitors. A major focus on development having a Fiji Team Fiji – Making It Happen
Character is proposed. Tourism is delivered by a series of private and public
Regional Prosperity sector enterprises, and involves many activities regulated
The desired outcome is to have appropriate, sustainable by government. Only through proactive collaboration
tourism contributing to the regional social and can tourism growth be efficiently realised.
economic prosperity of Fiji. An overall Action Plan and key institutional
Specific opportunities and challenges include getting arrangements are proposed. A Tourism Development
reasonable growth in the North (Vanua Levu), Unit is proposed to facilitate investment coordinate
maintaining sustainable tourism in Kadavu and Taveuni governments efficient response to developers.
and for the Yasawas determining when is tourism
growth too much?

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Fiji’s Tourism Development Plan
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Introduction
The Fiji Tourism Development Plan 2007-2016 provides a framework for
the sustainable growth of tourism in Fiji.
This document is a Plan for Fiji’s government, industry and community.
The Fiji Tourism Development Plan 2007 – 2016 assumes 2007 and 2008 © Fiji Islands Visitors Bureau

will be a recovery phase from the events of 2006 and a managed growth phase
for the remaining period.

Tourism Development Plan Relationship to Regional Tourism Development


This Tourism development Plan was instigated and Strategies
funded by the Government of the Fiji Islands. The Plan sets out the overall strategies at the national
level for tourism development, further it has specific
The Ministry of Tourism engaged the Sustainable strategies for areas within Fiji. The role of regional
Tourism Development Consortium (STDC), in strategies is to set out the area specific aspects for the
association with the University of the South Pacific region, looking in more detail at the tourism character
(with project management by GRM International) to and strategies to achieve desired tourism outcomes for
develop a revised national Tourism Development Plan. that region.
The project has reviewed the content, relevance and Four regional strategies were prepared during the
implementation of the Fiji Tourism Development Plan development of this Plan, Vanua Levu, Suncoast,
1998-2005 and then collaboratively prepared a Tourism Yasawas and Nadi Corridor. Additional regional
Development Plan 2007-2016 that identifies, considers strategies are proposed to be developed in coming years.
and prioritises the tourism development, management
and marketing strategies for Fiji’s tourism industry. Previous Tourism Planning
The 1998-2005 Plan
The fundamental challenge is balancing tourism demand with The 1998-2005 Tourism Development Plan (the 1998
quality environmentally sustainable tourism experiences. Further, Plan) was developed as a joint exercise of the Fiji
the challenge is to achieve this whilst fostering ongoing growth in a Ministry of Transport and Tourism, Tourism Council of
competitive global tourism market. the South Pacific (now south-pacific.travel) and Deloitte
The project outcomes are: & Touche. The 1998 Plan proposed a Step Change for
• Fiji’s Tourism Development Plan 2007-2016 (The Fiji’s tourism development with a high energy
Plan); coordinated driving of tourism development required.
• Tourism Action Plan 2007-2009 (the Action Plan);
and
Developing this Plan
The development of the Plan was undertaken over
• 4 Regional Tourism Development Strategies. twelve months from May 2006. It involved a number of
Relationship to Tourism Action Plan 2007-2009 key stages and produced a number of reports and
This Plan provides the overall framework for the deliverables as part of the process.
sustainable growth of tourism in Fiji. The Plan provides
Snapshot
the overall strategies whereas the Action Plan sets out An initial snapshot of tourism in Fiji was prepared. This
the institutional arrangements in some detail and was a compilation of available data. Similar compilations
allocates the responsibilities for strategies and relevant had been prepared in previous years by the Ministry of
tasks. Tourism and trends over the recent past were able to be
It is intended that the Action Plan be a three year rolling identified.
implementation strategy, linked to the Government’s
Report Card
budget cycle such that it is reviewed annually and An analysis of the implementation of the previous 1998
prepared for the following three years. Plan was undertaken, the implementation was
summarised and all strategies were tabulated.

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2007-2016

Implementation of the 1998 Plan had commenced, with Determining What’s Important
some important initiatives set in train when the events In the initial stages of consultation an
of 2000 left the tourism industry and implementation of “importance/performance” survey was carried out.
the Plan in some disarray. In essence, there was a “Step Over 90 participants responded from community,
Back” and the Step Change required had only been re- government and industry (see Appendix One).
considered in recent years.
Of particular note were the aspects that were seen as
Strategic Directions very important which included: the need for Fiji’s
An initial planning document was developed, the tourism industry to be environmentally sustainable, the
“Strategic Directions”, this was used to present to the need for additional investment by government in
tourism industry, government and stakeholders as a infrastructure, the need for a coordinated tourism
discussion paper. It formed the basis for ongoing development plan, transport infrastructure to support
consultation and input. development of tourism and marketing for Fiji by the
Fiji Visitors Bureau.
Supporting Papers
The various specialists produced individual reports and Performance was ranked from very poor, poor,
these have been compiled in an unpublished volume of reasonable, good and very good. No aspect rated (on
specialist papers. In many instances, these reports were average) greater than reasonable. Of particular note was
completed early in the process and subsequent one area of very low performance, emergency
investigations, analysis and planning resulted in updates communications and warning systems for tourism
and inconsistencies between the supporting papers and (despite having high importance).
relevant sections of the final Plan.
Setting the Strategic Direction
A Collaborative Process During the National Tourism Forum in September 2006,
Extensive Consultation participants (mostly industry and government attendees)
Tourism is a system that integrates many different were asked to agree/disagree with a variety of the
components, activities, transportation linkages, summarised “strategic directions” for tourism. The
infrastructure, hospitality services and attractions into highest levels of agreement were: “ensuring Fiji’s
the “tourism product”. Recognising this, the tourism product has a Fijian character is vital to
stakeholders of Fiji tourism were invited to be involved achieving the proposed growth in tourism” and
in developing the Fiji Tourism Development Plan. A “vocational training by FIT and TPAF is essential for
document: The Fiji Tourism Development Plan: Strategic tourism growth”.
Directions was produced in August 2006 and widely
distributed, comments were welcomed and the
Planning in the Context of
development of this draft Plan has considered this input. Recovery
A Soft 2006
Consultations with government agencies and statutory The preparation of this tourism plan commenced in
bodies were held to understand their role in Fiji tourism, April 2006. Tourism had had a strong recovery from the
future directions, and relevant information and data (see coup and associated events of 2000, investment was
Appendix One). Workshops and consultation meetings strong with many major projects commencing
with various tourism task forces, organisations construction. Visitor arrivals had achieved 550,000 in
representing the accommodation sector, inbound tour 2005 there was optimism for growth into 2006.
operators, travel agents, cruise operators, aviation,
tourism property developers, educational institutions However latter months of 2005 and all of 2006 saw a
and others were conducted. In addition, tourism softening of arrivals and in fact 2006 had slightly lower
resource owners, representatives of some provincial visitor numbers than 2005. There is no precise or single
councils and some village heads were consulted to reason for this, a number of contributing factors are
understand local needs and expectations for tourism thought to have been the cause, these include:
development. The impending adoption of the Hotel Turnover Tax
Steering the Process with some doubts about the arrangements causing some
A national level Steering Committee, chaired by the wholesalers to reduce promotion or even stop selling
Minister for Tourism, with government, community and for some time in early 2006.
industry members has guided the development of the
Tourism Plan.

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There was feedback from key source markets that Fiji’s Recovery as Basis for Planning
general price competitiveness had been eroded and Given the above events, the tourism planning had been
there was a feeling by key suppliers (wholesalers and on the basis of 2006 without growth over 2005 and then
agents) that Fiji was becoming too expensive. The a reinvigorated growth 2007 onwards. Unfortunately the
“share of voice” in marketing and promotion had been tourism decline is considered likely to take some more
eroded by declining marketing spend in real terms (a time for recovery after the events of 5 December 2006.
constant budget whereas advertising costs have risen
markedly) and strong spending by competitors. The The Tourism Development Plan has been prepared on
competitiveness of Fiji’s product offering was further the assumption that the security situation in Fiji returns
hampered by very competitive product offerings as to normalcy in early 2007 and that there are no further
specials by competitor markets. times of political instability nor security concerns during
the life of the Plan.
There was adverse publicity in key source markets about
the security “situation” in Fiji and growing impasse Further it is assumed that the marketing and promotion
between the Fijian Military and the Government, efforts of TAG and FVB are successful and result in
starting January 2006, this grew before the election in recovering sales to the point that visitor arrivals in 2007
April/May and escalated leading up to and following the are in the range of 475,000 (a slow recovery) to 515,000
Military takeover of government on December 5, 2006. (which would take a fast recovery and some growth
The growing impasse and coup resulted in significant against previous seasonal trends in the latter months of
travel advisories in key source markets (particularly 2007).
Australia, New Zealand and Britain). For 2008 it is assumed that visitor arrivals in the vicinity
In summary, visitor arrivals in early 2006 were lower of 525,000 to 575,000 will be achieved and as such we
than the same period 2005, with some recovery in mid have adopted this as the year from which the adopted
2006 then a significant decline at the end of 2006/early growth scenario would commence.
2007. Whilst the late 2006 decline was as a result of the Recovery and Growth Phases
publicity and travel advisories regarding the coup, there In summary the Plan has been prepared on the basis of
were other tourism fundamentals which contributed to two phases: a recovery period in 2007-2008 in which
a lack of growth prior to the actual coup. visitor numbers will recover to at least 550,000 annual
visitor arrivals; and then a growth phase from 2008
Recovering 2007 onwards. In order to plan for ongoing managed growth,
The aftermath of the coup saw an interim
the Plan’s timeframe (initially 2007-2014) has been
administration appointed and commitments by the Fiji
extended 2007-2016.
Military to move towards a democratically elected
government in a three to five year timeframe. Travel Thresholds and Scenarios
advisories were reduced although still highlighted a Tourism planning based on forecasts and scenarios is
security concern by the end of January 2007. At that inherently unreliable and factors external to the tourism
time the key requirement for reducing the level of travel product and marketing of a destination can play havoc
advisories (e.g. Australia’s and New Zealand’s) appeared with such predictions (events such as a coup, security
to be the reduction of armed military checkpoints. issue in a competitor destination or competitiveness of
emerging destinations etc.).
It is important to note that during the period of the
coup and its aftermath the tourism industry continued This Tourism Development Plan does identify a growth
to offer its usual services and airline flights continued. scenario but also sets out key aspects as thresholds, so
Tourists were interviewed and quoted by the as the events of 2007-2016 unfold, aspects such as a
international media as having great holidays and not balance of room stock and airline linkages, training
really noticing the political situation. places and employees etcetera can be evaluated on the
basis of thresholds.
Almost immediately the coup took place the industry re-
established the Tourism Action Group (TAG). The
group had a focus of diplomacy regarding reducing the
travel advisories, developing attractive, severely
discounted product offerings and a targeted tactical
marketing campaign. Early in 2007 the Interim
Government pledged to support the TAG process with
a specific grant additional to the normal FVB funding.

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2007-2016

Vision and Principles


The overall vision is to grow tourism for Fiji’s benefit.

© Fiji Islands Visitors Bureau

Current Situation Principles


Fiji’s tourism has recovered from the decline in 2000 to The following principles are proposed for the
reach total visitation of 550,000 in 2005, with 545,000 development of tourism in Fiji.
in 2006. • Brand Fiji – Be Fijian in character, place and
Fiji has remained ahead of world tourism growth rates experience.
for the past 15 years and has the fundamentals (post • Sustainable Development – Encouragement and
recovery) to continue its track record of exceeding where necessary regulation.
global tourism growth rates. • Guiding Future Growth – Encourage the good,
The medium to long term global, Asia Pacific and Fiji prevent the bad.
tourism outlook is positive. • Balanced Supply – Access, attractions,
accommodation, activities and people: national
Even as a small fish in a big ocean, Fiji has the opportunity to and regional scale.
ride the wave of global and regional tourism growth.
• Diversity – Encourage a diversity of products,
Vision tours, activities, attractions.
The vision for Fiji’s tourism is that in 2020, tourism will: • Regional Prosperity – Spreading the benefits.
• Exceed expectations of all visitors in service, places • Team Fiji – Growth through collaboration.
and product.
• Farm Fiji – Retain the export dollars, use Fijian
• Be the key aspirational destination for the South made and grown.
Pacific tourism experience.
• Encourage Initiative – Security through diversity.
• Have strong destination comparative advantage
based on natural resources, tradition and • Social Equity – Widespread and fair distribution
cultural diversity. of benefits.
• Be seen as a benefit by all people of Fiji, creating • Creating the Future – Facilitate growth for Fiji’s
prosperity for business, community and Benefit.
government.
• Safe and Secure – Destination for our visitors.
• Be an industry that embraces social and cultural
traditions and practices of all peoples of Fiji. The Planks of Prosperity
• Support conservation and have reduced its Fiji can deliver a very genuine, friendly and
ecological footprint. undemanding level of hospitality. That’s a commodity
• Support poverty alleviation. reduce urban migration becoming increasingly scarce in the populated cities of
and assist regional prosperity. the Fiji’s key source markets.
• Provide its own infrastructure, supports its
communities. The key to planning for Fiji’s ongoing sustainable
tourism development is to ensure that there is balance
• Support many Fijian service and supply enterprises; between these four planks of prosperity:
and
• Social;
• Make a substantial contribution to national
economic growth and be driving Fiji toward • Cultural;
Developed Nation Status. • Environmental; and
• Economic.

8
Fiji’s Tourism Development Plan
2007-2016

Fiji’s Tourism Snapshot


Fiji tourism recovered from a decline in 2000 to reach total visitation of
550,000 in 2005. However 2006 showed a drop to 545,000 with a
significant decline late in the year. In mid 2006, there were just over 9000
hotel rooms. In 2005, there were 21,400 tourism related jobs in Fiji, tourism
was 12.5% of GDP and had a economic output (generated through multiplier) © Fiji Islands Visitors Bureau

of $1,278 million and a value added economic contribution (from tourism


expenditure on accommodation, food, beverage, entertainment, activities and
local transport) of $588 million.

The Landscape and Environment • Average spend (on accommodation, local travel,
Fiji consists of approximately 332 volcanic and coral entertainments, food, beverage, tours, shopping and
formation islands, of which 110 are inhabited. In 2000, activities) FJ $1,350 in 2005.
25% of 18,330km2 total land area consisted of arable • In 2005:
land, permanent cropland and permanent pastures. In - $237 m spent on accommodation;
2003, the rural population density was 24 people per - $150 m on food;
km2 of total land area. 48% of the total population were
- $63 m on shopping; and
of urban population in 2002, a 9% increase from 1990.
Showing the ongoing urban migration trend. - $29 m on activities.
• Total tourist expenditure FJ $729 million in 2005.
Provisional Data • Current total airline capacity 1,086,384 inbound
Some of the data provided below is provisional only. seats.
Key data collectors, including the Bureau of Statistics • 347 accommodation properties in 2006 (preliminary
Fiji Islands Revenue and Customs Authority and figures up to June).
Ministry of Tourism have provided the best data and • 9,070 rooms in 2006 (as at June).
analysis available, however in some instances data is not
• 21,768 beds in 2006 (as at June)
fully reconciled, accurate or weighted. Having said that,
the figures indicated are considered sufficiently robust • 7.95 million bed nights available in 2006.
for the purposes of the development of the Plan. • 4,185,464 bed nights used in 2005 (7.74 million
available in 2005):
Tourism Activity - 1,355,464 Australia (32% visitors);
Approximately 545,000 visitors came to Fiji in 2006, - 742,940 NZ (18% of visitors);
down on 550,000 in 2005. In 2005, around 35% of
- 560,735 US (14% of visitors);
visitors were in the 20-29 year old group, followed by
the 30-39 year old group (21%) and 40-49 year old - 442,172 UK (11% of visitors).
group (14%). In 2005, 51% of visitors were male. • 7,738,000 bed nights available in 2005.
• 64% estimated occupancy in 2005.
Overall stay in 2005 was 8.5 nights, with first time
visitors at 7.9 nights, whereas repeat visitors stayed 9.7 • July, August, September are the peak season.
nights on average. June to October has been the • In 2005:
traditional peak season for visitor arrivals since 2002 - 74% of visitors came to Fiji for rest and
(see Figure 1). This may be strongly influenced by major relaxation, 10% for honeymoon, 5% for
source markets’ winter season and school holidays. wedding and 2% for surfing, diving and to
experience Fijian culture;
Local residents also use hotel accommodation. In 2003
they comprised 165,400 hotel visitors for an average of - 75% of visitors engaged in swimming, 60% in
2.5 nights, being 413, 500 bed nights or about 236, 000 snorkelling, 31% in Kava ceremony, 22% in
room nights, making a daily demand for rooms of 647. viewing a Fijian Meke, 21% in village tours,
other activities such as shopping (15%),
Summary watching fire walking (12%), scuba diving
• Total visitors 545,168 in 2006, slightly lower than (12%) playing golf (11%);
2005 at 549,911. - 40% of visitors used a taxi, 25% went on a
• Average length of stay was 8.5 nights in 2005. (day) cruise, 9% hired cars;

9
Fiji’s Tourism Development Plan
2007-2016

- 14% of visitors described themselves as In 2005, repeat visitors were less likely to book their
backpackers; and accommodation through travel agents or the Internet.
- 63% were likely or very likely to return. They preferred to make their bookings directly, use
booking services in their own country or no bookings at
• In 2006, 78 cruise ships are scheduled.
all. More than half of Fiji’s visitors decide to travel to
• In 2005, there were 518 yachts (69 superyachts). Fiji more than 12 weeks in advance. Thirty-eight percent
• 21,400 jobs in 2006. book accommodation and transport more than twelve
weeks prior to their visit.
Why visit Fiji?
Holiday Accommodation Satisfaction
In the last 5 years, over 75% of visitors (82% in 2005) In 2005, visitors’ level of satisfaction for
stated “Holiday” as the main purpose for visiting Fiji. accommodation in Fiji was relatively high across the
board. The lowest level of satisfaction was in the area of
In 2005, Holiday visitors stated the main reason was for: food quality. 94% of total visitors rated the courtesy of
• Rest and Relaxation (R&R) 74%; staff at the location they stayed the longest as good or
• Honeymoon 10%; very good. Approximately 70% of visitors stated their
• Wedding 5%; experience as much more or more enjoyable than what
• Surfing 2%; they expected.
• SCUBA diving 2%; and In 2005, the Fijian people continued to be the most
• Seeing Fijian Culture 2%. favourable impression of Fiji with 73% of total visitors.
In 2005, of all visitors in Fiji: 63% of total visitors mentioned that they were very
• 63% non-backpackers; likely or likely to return to Fiji within the next 2 years.
• 14% backpackers; Quality of food rated the lowest 80% of visitors
mentioning it as good or very good. Around 90% of
• 5% business;
visitors rated good or very good for cleanliness of
• 3% conference; rooms. 82% of visitors mention value for money of
• 8% VFR; accommodation as good or very good.
• 5% education; and
• 2% other 2006 Down on 2005
Going Backwards, Seriously
Bookings It is of serious concern that 2006 visitor arrivals were
Mainly via Agents, Internet Growing less than 2005. As most key source markets are growing
Approximately 67% of total accommodation bookings at about 5% this means Fiji went backwards in market
were made through travel agents in 2005. Australians share (at 5% growth on 2005) the target for 2006 just to
(73%) depended on travel agents the most, whilst UK be level with source market growth would have been
residents had the highest percentage in using the 577,400 or so. Whilst the security concerns of the
Internet with 22%. Approximately 21% of backpackers growing impasse between the government and military
booked their accommodation through the Internet. were most certainly a factor, particularly for December
2006, price competitiveness, uncertainty over the HTT
implementation and the lower share of voice that
destination level marketing has been achieving were also
contributing factors (and these tourism fundamentals
need to be addressed).

10
Fiji’s Tourism Development Plan
2007-2016

Figure 1: Seasonality of Visitor Arrivals 2005 and 2006

70,000
2005
60,000
50,000 2006
40,000
30,000
20,000
10,000
0

r
ry
ry

ne

r
ch

ly
ril

r
t

er
ay

be

be
be
s
Ju
Ap
ua
a

gu

ob
Ju
ar

m
nu

m
em
br

Au

ct

ve

ce
Ja

Fe

O
pt

No

De
Se
Table 1: Visitors in 2005 and 2006
Visitors Average Visitor Total
Stay Nights Expenditure
(Nights)
Country 2006 2005 2005 2005 2005 FJ $
Australia 197,742 181,099 8.5 1,355,464 $258 m
New Zealand 108,347 95,757 8.3 742,940 $125 m
United States 66,317 74,449 8.1 560,735 $107 m
U.K. 80,586 63,562 8.1 442,172 $67 m
Pacific Islands 26,010 35,955 9.1 272,725 $25 m
Japan 24,369 29,951 5.7 163,964 $48 m
Europe - 27,887 8.9 222,311 $34 m
Canada 15,638 14,029 9.8 (2003) 123,154 $19 m
Rest of Asia 9,443 13,468 12.8 74,672 $37 m
South Korea 10,542 10,697 6.0 (2003) ~ $9 m
Others 6,174 3,058 8.5 (2003) 227327 $5 m
Total/Average 545,168 549,911 8.5 4,185,464 $729 M

11
Fiji’s Tourism Development Plan
2007-2016

Table 2: Accommodation and Regional Tourism in 2005

Proportion Fiji
Visitor Nights
Average Stay

Occupancy
Properties

Arrivals

Rooms
Visitor

2005 *

2005 *

2005
Total number of rooms per category
premium high medium budget

Total Nights % Rooms $250+ $150 - $75 - < $75 Total


% $249 $149
1
Cruise 8 25,796** 3.6 221 0 0 12 233
Beqa/Pacific 16 12,693 4.4 2.5 58** 181 34 28 27 270
Harbour
Coral Coast 40 111,322 5.5 24.8 71 1,385 69 83 160 1,697
Kadavu 11 6,040*** 5.6 1.2 58** 11 26 21 22 80
Yasawa 29 43,812 5.2 8.8 69*** 72 21 36 163 292
Mamanuca 23 88,341 5 17.3 69*** 735 26 11 36 808
Lautoka- Rakiraki 32 25,796** 3.6 2.7 49 93 25 232 178 528
Nadi 63 180,214 3.6 35.3 75 1,773 467 452 658 3,350
Suva 39 26,257 3.7 5.1 55 42 232 430 447 1,151
Levuka 6 6,040*** 5.6 1.2** 58** 0 0 21 54 75
Tailevu/Lomaiviti 10 512 3.9 1.2** 58** 26 24 12 30 92
Labasa 8 7,882* 7 1.5* 28* 7 24 31 41 103
Savusavu 25 7,882* 7 1.5* 28* 79 23 59 30 191
Taveuni 35 8,906 6.2 1.7 28* 74 38 12 70 194
Lau 2 6 6
% of Fiji Room Nights 57% 8% 11% 24%
Total 347 4,699 1,009 1,428 1,934 9,070

1
*, **, or *** show combined data.
12
Fiji’s Tourism Development Plan
2007-2016

Fiji’s Tourism Product There are heritage, historic, botanical and cultural parks
Accommodation
and gardens showing Fiji’s unique ecology, culture and
In 2006, there were approximately 347 accommodation society. Moreover, historic and cultural museums that
properties with a total of 9,070 rooms. These figures display traditional Fijian customs and ways of living are
include 8 local cruise ships that have 233 rooms. There major attractions. Purely natural attractions such as
has been a steady increase in new accommodation, since caves, waterfalls, sand dunes, mountains, to manmade
1999 with 6,447 rooms. Between 2003 and 2005 there temples, churches and mosques, markets, Fijian villages
was an increase of 415 rooms per year. are also significant attractions of Fiji.

The different types of accommodation and room Tour Operators


numbers they account for are as follows: There are approximately 42 tour operators that provide
tours ranging from sight-seeing, shopping, bushwalking,
• The Premium group (FJ$250+, including cruise),
trekking, hiking, rafting, kayaking, horse riding,
4,699 rooms (52%);
skydiving, surfing, diving, et cetera around Fiji.
• The High group (FJ$150-FJ$249), 1,009 rooms Additionally there are around 60 dive operators in Fiji
(11%); that operate in the Mamanucas, Yasawas, Kadavu, Beqa
• The Medium group (FJ$75-$149), 1,428 rooms Lagoon, Vanua Levu and Taveuni.
(16%); and
• The Budget group (<FJ$75, including cruise), 1,934 Golf Courses
(21%) rooms. There are approximately 14 golf courses around Fiji and
4 of these golf courses have 18 holes. Resorts such as
According to the Bureau of Statistics the average room the Fijian, Mocambo, Koro Sun, Naviti and others
occupancy rate and bed occupancy rate was provide their own golf courses where as cities such as
approximately 64% and 55%, respectively, in 2005. The Ba, Labasa, Lautoka, Nadi, Suva and others also provide
key tourism areas of the Nadi area, the Coral Coast, the public golf courses.
Mamanucas and the Yasawas had significantly higher
occupancy than other areas. Meetings, Incentives, Conference and Events
(MICE) Facilities
Tours and Activities There are approximately 10 organisations that provide
Fiji tourism provides various tours and activities all major MICE facilities in Fiji. Most of these facilities are
around the nation for visitors. Nature based activities concentrated in the core tourism area (Denarau, Coral
and tours such as trekking, bird watching, waterfall Coast) and business area (i.e. Suva). There are numerous
tours, cave tours, site seeing tours, or adventurous and other smaller facilities at hotels and resorts.
sporting activities such as diving, surfing, rafting,
canoeing, tennis, golf, sailing, yachting, kite surfing,
wind surfing, cycling, ocean swim, snorkelling, fishing,
jet boat rides, jet ski tours, sky diving, paragliding, hang
gliding, rafting and kayaking are some examples. Other
tours and activities are shopping tours, village tours,
cruise tours, flight tours, island day trips, railway tours,
horse riding, etcetera.
Cruise Ships
There are approximately 17 cruise and charter
companies that provide tours and linkages around Fiji.
The major cruise operators provide services from
Denarau or Lautoka to the Mamanuca islands and/or
the Yasawa islands. Products range from day cruises,
overnight cruises, lunch/dinner cruises, dive cruises, et
cetera. Regular cruises to the outer islands such as
Nananu-I-Ra, Vanua Levu, Taveuni, the Lomaiviti
group and the Lau group are also offered.
Attractions
The Fiji islands has a broad variety of attractions from
natural such as beaches, mountains, jungles to manmade
such as museums and cultural centres. There are
approximately 40 identified attractions around Fiji.

13
Fiji’s Tourism Development Plan
2007-2016

Table 3: Key Conference Facilities Given this, (provided the strategies set out in this Plan
to stimulate demand and facilitate investment) Fiji is
Name Maximum Rooms Break
attendees / out expected to have 16,000 rooms in 430 properties by
style Rooms 2016. This is probably a conservative assumption based
Blue Lagoon Cruises 300 / cocktail 6 6 on the current known approved projects, since some of
Holiday Inn 250 / theatre 2 2 these will not proceed and others (presently unknown)
Outrigger on the 100 / theatre 3 4 may eventuate.
Lagoon
Sheraton Fiji Resort 600 / theatre 2 4
Future accommodation development is concentrated in
the West area – Fiji’s current high tourism region. It is
Sofitel Fiji Resort & 720 / theatre 5 10
Spa
interesting to note that in the next 7 years the proposed
Sonaisali Island 100 / theatre 1 1 number of rooms for the North (Savusavu, Labasa and
Resort Taveuni) is similar to the proposed number of rooms
Shangri-La’s Fijian 1200 / theatre 7 10 for the Mamanucas.
Resort
Tradewinds Hotel 1500 / theatre 6 6 Population and Workforce
Warwick Fiji Resort & 600 / theatre 3 3 The World Travel & Tourism Council reports that on a
Spa global comparative basis, the Fiji tourism sector has a
Westin Resort and 300 / theatre 2 3 strong 17th ranking for the relative contribution to
Spa
national economy, ranks 35 in terms of its growth
forecast and, as a relatively small island destination,
The total number of rooms presently in construction ranks only 119 out of 174 countries in terms of
has been estimated based on an analysis of: international visitor arrivals.
• the Department of Tourism’s Hotel Aid Act The estimate of population as at 31 December 2005 was
(HAA) investment allowance provisional 846,085 comprising 463,432 Fijian, 316,093 of Indian
approvals between 2000 and 2006; descent and 66,560 others. The geographic spread
• Fiji Islands Visitors Bureau (FVB) information; between the two main islands continues to exhibit a
and drift from the north to the south.
• Native Land and Trust Board (NLTB),
Given the decline of the sugar sector and limited
numbers of settled agreements to lease (for
economic initiatives that are able to offset the decline in
which the premium has been paid) with
export industries, there is a slow exodus of people
conservative factors of the number of leases
seeking work in the urban centres, notably Suva.
that will be developed (80%) and the potential
Current annual population growth rate for Fiji is one
yield per property of 80% of available yield
percent, however with urban drift the population of
under planning provisions.
Suva is growing at five percent per anum.
In summary, based on the HAA, FVB and NLTB there
are approximately 6,887 rooms in 83 accommodation
properties considered “live” proposals. This figure does
not include all projects such as those obtaining
approvals by TCP that have not yet applied under the
HAA provisional approvals.

14
Fiji’s Tourism Development Plan
2007-2016

Figure 2: Distribution of Tourism Accommodation - 2006

The number of wage and salary workers in the The Fiji Economy
workforce, as recorded by BoS, numbered 115,000 in The Economy and Society
year 2000. These numbers included those employed in The nation’s population has grown at a steady rate and
the public service as well as the private sector. Those reached approximately 847,000 in 2005. Approximately
deriving their income from self employment are 50% of the total population are of Fijian descent
additional to those on wages and salaries. (Melanesian ethnic group), 45% are Indo-Fijian and 5%
Based on a working age of 20-60, the working age are Europeans, Chinese and other Pacific Islanders. The
population is 186,300 (in 1996, the last census) or 51% Gross Domestic Product (GDP) per capita was FJD
of the then population. A Bureau of Statistics estimate $3533 in 2004, a 5.6% increase from the previous year.
in 1998 found 13,493 jobs in tourism, with 6,693 of Social indicators look positive.
these working in hotels. Based on the then number of Overall Economic Situation
hotel rooms, an employment coefficient of 1.2 has been The economy of Fiji has recovered well since the
adopted. A more recent, 2002 estimate found 120,000 decline in 2000. The economic stabilisation programme
total workforce in Fiji of which 15,000 were in tourism put in place at that time to mitigate the economic
related sectors. Our analysis, based on inputs from the downturn (loosening monetary and fiscal policy) paid
Bureau of Statistics and other sources has identified off.
21,460 jobs in the tourism sector for 2005 (see Table 4).
The loosening of monetary policy and expansion in the
credit base in the economy has stimulated activity to the
extent that Fiji is currently experiencing a consumer led
boom, with household consumption recording an
increase of 13% in the past financial year.

15
Fiji’s Tourism Development Plan
2007-2016

Table 4: Tourism Employment in 2005 The structure of the Fiji economy is changing as the
primary sector is meeting increasing challenges in
Jobs 2005
output. The standout performing sectors in the five year
Hotels 11,440 period (2002/2006) are the construction sector and the
Restaurant/Café 1,728 hospitality sector, recording increases of 50% and 64%
Sea cruise/ transport 636 in output (expressed in constant dollars) in the period.
Air Transport 1,148
The share of the primary sector which contributed 20%
Road Transport 518
of GDP in 2000 had declined to 16% by July 2006. The
Transfers tours 608
hospitality sector (hotels and restaurants) represented
Travel agencies, tour operators 553 6.0% in July 2006 of GDP up from 4.7% in year 2000.
Communications 332 This increase in GDP generated by the hospitality sector
Retail shopping, duty free 1,327 is the result of increased international visitor numbers
Finance, business services 968 after the post-coup downturn in 2000.
Construction 364
In measuring the GDP contribution of tourism to the
Utilities 180 economy, the hospitality sector, as recorded in the
Cultural/recreational staff 1,659 official sectoral data, under shoots the overall
Total 21,460 contribution of tourism through accommodation,
transport, shopping, and business services.
However, the changes in GDP, monitored by the The Tourism Sector
National Planning Office, paint a grim picture for The tourism sector was an immediate victim of the 2000
traditional drivers of the economy. Agriculture, fisheries attempted coup with potential visitors staying away in
and forestry production have stalled and the garment droves. The constitutional crisis was seen nightly for
industry appears in terminal decline – from a high of some months on the TV screens of Fiji’s major markets:
$225 m production in 2004 when the international Australia and New Zealand. The negative publicity had
quota system (Multi Fibre Agreement) was in place to a an immediate impact with bookings down substantially.
recorded $86 m in 2006. Table 5: GDP by Sector at Constant 2002 Prices
Despite the above, there have been recent efforts to Activity Sector Year Proportion Year Increase
stem a consumption boom on mostly imported 2000 total GDP 2006 in
products which is placing a drain on foreign reserves. % (forecast) Forecast
FJ$ m FJ$ m Output
To reduce consumption, Government raised import %
duty on some high value consumer items have been Primary Sector 460.7 20.1 490.9 6.6
increased (cars, whitegoods and electronic goods, Agriculture 341.5 15.7 364.9 6.9
alcohol). With a short term currency problem, the Of which Sugar 131.8 7.5 126.9 -3.1
Fishing 84.6 2.8 85.9 1.5
Reserve Bank has continued to take monetary and fiscal
Forestry 34.6 1.6 39.4 13.9
actions to apply the brakes to consumer spending. The Mining & 40.8 1.6 24.8 -39.2
two stand-out sectors that are currently driving the Quarrying
economy are construction and tourism. Industrial Sector
Manufacturing 400.3 13.9 441.2 10.2
Up to late 2006, investment spending was at high levels Utilities 94.0 3.2 123.8 31.7
in the building and construction sector. Private Building & 124.9 5.6 187.7 50.3
construction activity recorded GDP increases of 41%, construction
34% and 93% respectively in the years 2003, 2004 and Service Sector
Wholesale & 317.1 10.5 361.9 14.1
2005. While private sector construction activity is retail trade
anticipated to tail off there are many hotel and tourist Hotels & 113.5 4.7 185.9 63.8
projects in the pipeline which will keep activity high. restaurants
Transport &
Structure of Fiji’s Economy Communication 366.5 12.4 446.1 21.7
The traditional drivers of the Fiji economy are sugar, Finance,
agriculture, forestry, fishing and the garment industry. insurance, 361.3 16.2 382.5 5.9
business
These drivers have been in decline since the 2000 services
millennium. Table 5 following profiles the GDP Community,
contribution of each of the major sectors within the Fiji social and 457.7 18.3 550.1 21.2
personal services
economy. Note that the table is in terms of constant Total All $2,638 100.0 $3,080 16.8
prices based on 2000 prices. Sectors
Source: National Planning Office, July 2006

16
Fiji’s Tourism Development Plan
2007-2016

A turnaround marketing campaign with targeted Contributions to Government


promotion and pricing discounts to overcome the
negative publicity was successfully mounted. Revenues from Tourism
International visitor arrival numbers, which were in The contribution made to government revenues from
excess of 400,000 in 1999, fell to under 300,000 in the tourism activity is generated from a number of sources.
2000 year. These include:
• Value Added Tax: 12.5%;
In its analysis of GDP by sector in the National
• Hotel Turnover Tax: of 3% on a guests bill;
Accounts, the National Planning Office estimates of the
contribution of the Hotel & Restaurant sector in the • Departure Tax: $20 per departing passenger
2002 year is recorded at 4.2% of GDP at Market Prices ($25 from January and $40 from May 2007).
increasing to 5.6% in the 2005 Year. Hotel revenues • Excise Duty: Rates differ according to the
monitored by the BoS recorded an increase of 49% in category of goods;
total hotel revenues to ($458m) between 2002 and 2005. • Fiscal Duty: Applied on certain categories of
goods manufactured in Fiji;
Using the traditional proxy of the hotel and restaurant
• Payroll or PAYE Tax: Deductions directly from
sector as representative of the tourism sector seriously
salaries and wages of employees (PAYE tax).
undervalues the full impact of tourism activity on the
The tax rate for income between $8,840 and
Fiji economy. The estimate of total value added revenue
$10,000 is 15% and over $10,000 is 25%.
generated by the full tourism cluster (accommodation,
food & beverages, construction, transport, activities, • Company or Corporate Tax: Applied on
shopping etc) is $588 million when the tourism sector business and personal incomes generated
multiplier is applied to tourism revenue retained in the through tourism activity.
country. This represents a contribution by tourism to The tax revenues generated by international tourism
the economy of Fiji of 12.5% of GDP at 2005 market activity have been analysed across all sectors of the
prices. economy contributing to the tourism product;
accommodation, food & beverage, land and sea
The contribution of the tourism cluster to the national transport, shopping, activities, admission charges etc.
economy is considerable and is predicted to become
more important to the economy (as tourism grows and Estimating VAT Paid
other sectors decline). The estimation of net VAT received by government is
problematic, FIRCA report VAT received from
Having recorded increases of 22% and 14% in money company turnover and VAT paid back to companies.
terms between 2003/04 and 2004/05 respectively, the However this includes VAT refunded from VAT paid
hotel and restaurant sector is anticipated to generate on imports. Unfortunately, FIRCA was unable to
further growth after a period of recovery from the coup. provide the VAT paid on imports to enable a
The multiplier impact on retained spending within Fiji calculation of net VAT. Further, the calculation of net
has been calculated by the Reserve Bank at 1.75 (Type I) VAT received from all tourism activity is difficult as it
tracking the direct and indirect spending streams includes import VAT, turnover VAT from a myriad of
through the Fiji economy. This level of multiplier suppliers and service providers which are reported
indicates that tourist spending will generate an within a number of sectors in FIRCA’s records system.
additional $0.75 for Fiji produced products and services The FIHTA survey (see Table 6) provides for an
for every $1 spent by visitors to the country. estimate of net VAT paid by the hotel industry alone of
Economic Contribution Per Tourist $40.5 m and the Tourism Satellite Accounts for 1995
The overall estimate of retained total value added estimated $83 m in VAT revenue (36% of VAT
revenue generated by the full tourism cluster collections).
(accommodation, food & beverages, construction, The estimation of VAT remains problematic, this
transport, activities, shopping etc) is $1069 per tourist estimate is based on 12.5 % of the FJ $416 m collected
(2005 dollars). by FIRCA in 2005. 12.5% has been selected, as tourism
is 12.5% of the GDP.
The estimate in Table 7 is thus considered grossly
conservative. Given the growth of tourism numbers,
increased spend and inflation since 1995 this figure
could easily be substantially more.

17
Fiji’s Tourism Development Plan
2007-2016

Overall Tax Estimates Table 6 : Results of FIHTA Members Tax Survey


The overall tax estimates are based on the best available
Rooms in survey 2,565
information for each aspect. The basis for each estimate
is given as a footnote. Table 7 provides an estimate of Total room nights sold 721,410
the various taxes collected by government for a Total room nights surveyed 936,286
“nominal year”. Actual net VAT paid by survey $4,638,118
FIHTA Tax Survey respondents
A survey of Hotels tax paid was undertaken in Estimated Net VAT Paid 2005 by $40,524,729
collaboration with FIHTA in late 2006. The results are all Hotels
based on returns from 18 properties comprising 2565 Actual corporate tax paid by $4,638,118
rooms (or 28% of Fiji's the room stock). These results survey respondents in 2005
Estimated Corporate Tax Paid $12,916,488
are based on calculating a tax paid per room night then
2005 by all Hotels
multiplying this by room nights in Fiji (based on 65%
Actual Payroll Tax Paid by Survey $4,541,351
occupancy). Further as the survey respondents were Respondents in 2005
biased toward larger properties a factor of 80% has been Estimated Payroll Tax Paid 2005 $12,647,009
applied. Results of tax are based on 2005 annual by all Hotels
accounts and June/July/August 2006 HTT. Average HTT paid per room night $9.11
Estimating Tax Revenue Per Tourist $9.11
Given the estimates for a nominal year in Table 7 and Estimated HTT paid by all hotels $9,050,900
based on 550,000 visitors per year, this equates to a tax (annualised based on actuals paid
revenue per visitor of $255. This has been used as the June, July, August)
basis for estimating government revenues for the Estimated Employers FNFP $9,625,648
contributions paid by all hotels.
development scenarios.
• The 1995 estimates of direct tourism value added
The Tourism Sector Multiplier was FJ $265 (10.5% of GDP), which was calculated
The value added multiplier impact on retained spending to have a total economic impact once direct,
within Fiji has been calculated at 1.75 (Type I) tracking indirect and induced multiplier effects were applied
the direct and indirect spending streams through the Fiji of $2300 in the 1995 year.
economy. This level of multiplier indicates that tourist
spending will generate an additional $0.75 for Fiji Growth and Investment
produced products and services for every $1 spent by
visitors to the country. Prospects
In the period January 2005 to November 2006 FTIB
In the analysis the multiplier (1.75) is applied to the approved 932 investment projects worth an estimated
value added portion of visitor expenditure derived from $1.8 billion (including agriculture, forestry, education,
the coefficients established from the TSA system of tourism, energy, financial services, fishing,
accounts. This measure indicates the flow-on effect into manufacturing, mining, real estate, transport,
the Fiji economy of increased international tourist communication and wholesale and retail). Of this,
arrivals. tourism projects accounted for 40% of projects (373),
64% of the project value ($1.1 billion) and 77% of the
Tourism Satellite Accounts forecast jobs (17,327).
The process of developing up to date Tourism Satellite
Accounts for Fiji has commenced and a report based on National Planning Context
1995 has been prepared. The highlights of this are: The National Export Strategy was published by the
• Total tourist expenditure in 1995 was FJ $979m. Government of Fiji in 2006, which identifies tourism as
• Out of the total tourist expenditure FJ $628 m was one of Fiji’s Key Exports and sets a vision of “The Key
spent by international visitors (thus the foreign Aspirational Destination in the Pacific Rim”. It has many
exchange earnings). strategies broadly consistent with this Plan, these meet
• Domestic tourism expenditure was FJ $218 by four objectives:
households, FJ $67 m by government travellers and • Ensure that Fiji develops a unique product position;
FJ $65 by business travellers. • To increase competitiveness on a level playing field;
• Estimated government VAT revenue from tourism • To support and encourage new transport linkages
was $83 m. for domestic and international markets;
• To ensure as well trained and appropriately
educated workforce to support the tourism industry.

18
Fiji’s Tourism Development Plan
2007-2016

2
Table 7: Estimated Tax Revenue for Nominal Year
3
Hotels Business (Corporate and PAYE)
4
Hotels Corporate Tax $8,653,000
Hotels PAYE Tax $6,186,0005
6
Hotels Other Income Tax $9,555,000
7
Income Tax Refunds -$726,000
8
Hotel Turnover Tax $14,400,000
9
Other Tourism Cluster (Corporate and PAYE)
10
Other Tourism Cluster Corporate Tax $6,000,000
11
International Tourism $10,000,000
12
Non-Hotel Tourism Cluster estimated PAYE tax Paid $8,200,000
VAT
13
Estimated net VAT revenue to government from all tourism related activity $52,000,000
Additional Other Revenue and Non Hotel Tourism Cluster
Departure Tax $22,000,00014
15
Excise Fiscal duty on other Imports $2,000,000
16
Excise and Fiscal Duty on Alcohol $2,200,000
17
Total $140,500,000

2
Nominal year as data sourced from both 2005 and 2006 years (with departure tax based on the May 2007 rate), visitor numbers were
similar, however with the vagaries of inflation and tourism spend between the years, the amalgamation to make the nominal year is an
approximation.
3
Includes the Hotel Sector
4
From FIRCA, actual receipts for 2006, actual figure provided $8,653,140
5
From FIRCA, actual receipts for 2006, actual figure provided $6,185,769
6
From FIRCA based on actual receipts for 2006 (includes dividend and withholding tax), figure provided $9,554,856
7
From FIRCA based on actual refunds paid out for the 2006 year, actual figure provided $725,539. FIRCA reports an outstanding
liability for tax refunds which would affect realised net tax receipts until liability reduced to normal twelve month terms.
8
FIRCA advise $8,390,414 was received June to December 2006, based on a full twelve months this equates to $14.4 m, deemed
reasonable as the seven months includes high and low seasons. The results from the FIHTA survey of $9.11 per room night gives an
estimate for all room nights of $17 m (so $14.4 m is considered conservative).
9
This sector includes other (non-hotel) businesses involved in tourism, restaurants, transport, tour operators, cruises and dive operators,
travel agents, tourism attractions, retail (direct tourism component).
10
STDC estimate, based on corporate tax rate of 31%, the expenditure from the IVS and assuming operating profit of 8% on gross
turnover.
11
STDC estimate, includes Air Pacific, AFL, profit on purchase of duty free goods by transit passengers, corporate tax from cruise
passenger spending, payment for harbour dues and bunkering of cruise ships, profits on yacht charter operations.
12
STDC estimate based on employees, salary and wages based on 2002 Bureau of Statistics data and an assumed average tax rate of
7.5%.
13
The estimation of VAT remains problematic (see discussion in this chapter), this estimate based on 12.5 % of the FJ $416 m collected
by FIRCA in 2005. 12.5% has been selected as tourism is 12.5% of the GDP. NOTE: The FIHTA survey provides an estimate of net
VAT paid by the hotel industry alone of $40.5 m and the Tourism Satellite Accounts for 1995 estimated $83 m in VAT revenue (36% of
VAT collections). As such, this figure is considered conservative.
14
Estimate based on $40 per visitor departure and 550,000 visitors (not does not include departure tax revenue from residents).
15
Estimate of fiscal duty paid at hotel concession rates on building materials, furnishing plus fittings and hotel equipment replacement,
repairs and maintenance supplies etc.
16
The combined fiscal and excise duties levied on imported and domestically produced alcohol assumed at $4 per visitor. This is based
on Bureau of Statistics estimate that 10% of food and beverage spending is on alcohol beverages ($28/person/visit) with a 40% cost of
product to bar price.
17
Rounded (actual total $140,452,703).
19
Fiji’s Tourism Development Plan
2007-2016

The “One Billion” has never been precisely defined


Towards a Billion Dollar Industry (whether it is expenditure or economic effect).
A stated goal by the tourism industry and government Needless to say, on the basis of expenditure it would
was to have tourism be a “Billion Dollar” Industry by have been exceeded at some point in recent years
2007. The various economic analyses available use (adding in the airfare component of expenditure not
different terms and data, the Tourism Satellite Account included in the $729 m estimate for 2005). On the basis
analysis shows a tourist expenditure of FJ $979 m in of an estimate of the economic contribution tourism
1995 (this is the best estimate of tourism expenditure makes to Fiji’s economy the “One Billion” has been
using UNWTO guidelines). The quoted figure of exceeded even on the basis of a conservative multiplier
tourism expenditure of $729 m for 2005 is based on the and only taking into account direct and indirect effects.
International Visitor Survey which does not collect
information on the air ticket component (but reasonably Once the TSA process is complete for a current year it
accurately determines the actual overseas tourist is likely to show that tourism has well exceeded two
expenditure within Fiji). billion dollars of total economic effect (direct, indirect
and induced) and should tourism grow it will reach a
As such on an expenditure basis, if with 318,495 visitors three billion dollar target!
in 1995 having a total expenditure of $979 million, the
billion dollars has long been surpassed (owing to tourist
numbers growth and inflation).
On an economic basis, two factors are relevant, the
value added economic effect of tourism (the value of
the export, less imports necessary to support the export)
the Tourism Satellite Account process has estimated
$265 million for 1995 and current work estimates $588
million for 2005. Whereas the estimates of total
economic effects vary, with the TSA process estimating
$2,229 million for 1995 (including induced effects),
whereas current work shows $1,278 million (but not
including induced effects and based on a conservative
multiplier).

20
Fiji’s Tourism Development Plan
2007-2016

Competitive Position
The medium to long term global, Asia Pacific and Fiji tourism outlook is
positive, but not without internal and external challenges. Fiji has remained
ahead of world tourism growth rates for the past 15 years and can continue to
do so in the future. Even as a small fish in a big ocean, Fiji has the
opportunity to ride the wave of global and regional tourism growth.

© Fiji Islands Visitors Bureau

International Competition Globally, international arrivals were up 7% in 2005,


‘Travelers expect nations to compete for their business’ reports following the strong post SARS rebound in 2004
the US Travel and Tourism Advisory Board, it also (+27%). At 4% increase, Oceania experienced the
notes that disposable income means that vast new same rate of growth to South East Asia and South Asia.
markets are joining the world travel community, that the However the newly emerging South East Asian
number of world class travel destinations is proliferating destinations of Cambodia, (+44%) Vietnam (16.7%)
and that new technology is giving enhanced access to and Laos (20%) continued to experience high double
information, greater mobility and shared cultural digit rates of annual growth. These destinations are
experiences. That is the new environment that providing strong competition for South Pacific
destination Fiji has to compete with for international destinations from the Australia, New Zealand, North
visitor arrivals. America, Europe and Northern Asia source markets for
culturally based tourism experiences as well as for
Global Benchmarking coastal and island resort seekers.
The past 15 years have shown the continued resilience
of international tourism to rebound from a range of Asia Pacific continues to gain an increased share of
globally significant events which have resulted in worldwide international visitor arrivals, as evidenced
negative impacts on the desire and confidence of people from the increases between 2000 (16%) and 2005 (19%).
to travel internationally. During this period, for the first time, the Asia Pacific
destinations replaced the Americas as the world’s
During this period, the UN World Tourism second largest receiving region for international visitor
Organisation advises that international arrivals for all arrivals.
countries grew approximately 76% from 458 million
(1990) to 808 million (2005). Over this time, destination Fiji remains the most popular South Pacific island
Fiji has performed better than the world growth rate destination for total international visitors from all
with international visitors into Fiji effectively doubling markets into the region, followed by French Polynesia,
from 278,996 in 1990 to 550,000 in 2005. New Caledonia, Samoa, Cook Islands, Papua New
Guinea, Vanuatu, Tonga, Solomon Islands, Kiribati,
The World Travel & Tourism Council reports that Fiji Nuie and Tuvalu (see Table 8).
ranks 119 out of 174 countries in terms of international
visitor arrivals, the tourism sector has a strong 17th For the outbound Australian travel market, (4,754,000
ranking for the relative contribution to national in 2005), Fiji has retained its position as the most
economy and Fiji ranks 35 in terms of its growth popular South Pacific destination to visit, however it has
forecast. been losing its rank amongst all outbound destinations
with the emergence of China, Singapore and Thailand
over the past few years. New Zealand, the UK and the
USA remain the top three destinations for all Australian
outbound travellers, with Indonesia (Bali) clawing back
market share.

21
Fiji’s Tourism Development Plan
2007-2016

Table 8: Tourist Arrivals: south-pacific.travel Table 9 outlines the market positions of a more
Member Countries extensive set of competitors, it has been developed
Destination 2005 2006 from examination of websites and promotional material.
Cook Islands 87,681 92,082 It would appear that there has been an increase in
Fiji 549,911 545,168 competition from other ‘South Sea’ destinations such as
French Polynesia 208,067 221,549
the Cook Islands which are positioned as more remote
Kiribati 2,833 and untouched in the same way that the Yasawas are
4,147
less developed than Viti Levu. In addition, Tahiti
New Caledonia 100,651 102,198 (French Polynesia) has adopted a more stylish and
Nuie 2,793 ~ upmarket position within the South Seas competitor
Papua New Guinea 69,251 77,730 Islands. The table below shows three different ‘shades’
Samoa 101,807 115,882 of competitor destination for the Australian and New
Solomon Islands 12,228 11,806 Zealand market. Tahiti, Cook Islands and Fiji are South
Tonga 41,862 39,451 Seas romantic relaxing island destinations; Thailand,
Tuvalu 1,089 1,131 Malaysia, Bali and Viet Nam are exotic tropical Asian
Vanuatu 62,082 68,179 destinations that may be either relaxing or adventurous;
TOTAL 1,222,344 1,279,323 and the Gold Coast, Whitsunday’s and Tropical North
Queensland offer more familiar “developed” relaxing
destinations at a range of prices.
It can be expected that even from its larger base, as the
single most important source market, the Australian Clearly, the number and product quality of competitors
outbound traveller growth rates over the next decade for Fiji is increasing and it is recommended that further
will be greater than the rate of annual growth from the positioning research is conducted. One deficiency is a
New Zealand market. lack of life cycle segmentation. The research conducted
by Stollznow Research (2003) does not distinguish the
Almost 200,000 Australians departed Australia for Fiji in couples lifecycle group by age. This is an important
2005, with 146,310 arriving primarily for holiday issue that needs to be examined in future.
purposes. Fiji’s share of the total outbound Australian
holiday purpose of visit market in 2005 was 6.6%. That The populations of Australia and most western
is, a very large 93.4% of the Australian outbound countries are aging and so the relative attraction and
holiday purpose of visit market goes to destinations appropriate position of Fiji to older couples versus
other than Fiji. younger couples needs research.

Fiji is the preferred South Pacific destination for the Research the position of Fiji in Australia and New Zealand by
important New Zealand outbound market. A total of demographic lifecycle groups including older couples and younger
109,006 New Zealanders travelled outbound to Fiji in couples. This is important to take into account trends towards an
2005. aging population in key markets.

Little research is available on the international As an example of the importance of life cycle
competitive position of Fiji. Research conducted by segmentation, the Australian Overseas Arrivals and
Stollznow Research (Australia, 2003, New Zealand Departures statistics for 2005 have been analysed by age
2006) examined Fiji’s position in these markets against group. This indicates that compared to other
Far North Queensland, Gold Coast, Queensland Islands, competitors, Fiji gets proportionally more children (and
Sydney, Melbourne, Vanuatu and Bali (and for the 2006 therefore families) than other destinations.
New Zealand survey Tahiti and Thailand). This
indicated that Fiji performed well as a relaxing place and
where visitors can meet friendly local people in a sun
and sand destination. Fiji is also seen as a romantic
destination in the Australian market. Fiji is second to
the Gold Coast as an aspirational family destination. Fiji
also performs well as a cultural holiday destination.
However, compared to other locations Fiji does not
perform well on attributes such as ‘shopping’, ‘lots to
see and do’ and ‘nightlife’.

22
Fiji’s Tourism Development Plan
2007-2016

Table 9: Fiji's Competitive Position Share of Voice


Competitor Position One critical aspect of Fiji’s competitive position is the
French Polynesia - Stylish - upmarket image – media “share of voice” Fiji’s destination level
Tahiti romantic – Icon - Bora Bora promotion receives. In New Zealand, in 2003 Fiji had
Cook Islands Romantic – remote escape – 7% share of media (compared to Australia 39%,
sea and sand – exotic culture
Fiji Sea and Sand - exotic culture –
domestic New Zealand 23%, Pacific 4% etc.), whereas
romance – developed despite spending the same dollars, in 2006 Fiji was only
infrastructure 3% and Pacific 12% (source FVB commissioned market
Thailand Sea, sand and rainforest – research).
tropical – exotic culture – cheap
shopping – silk – relaxing In Australia, an example of the competitive resources
(south) or adventurous (north) needing to be applied in the Australian market for
Malaysia Exotic tropical Asian holiday makers seeking similar sun, relaxation,
destinations like Penang with adventure destination attributes as Fiji, the Queensland
high quality beach resorts.
Government has recently announced an A$48 million
Bali Exotic tropical culture – sea and
sand – relaxing - shopping package aimed at bringing more tourists to the state and
Viet Nam Exotic tropical culture – generating industry investment. The strategy includes
adventurous - shopping the development of a brand new $6.5 million domestic
Gold Coast Sun and sand - mass market - marketing campaign to be launched in early 2007. This
man-made attractions will be supplemented with regional destination and
Whitsunday’s Greek isles of Australia - island industry marketing dollars.
resorts and sailing
Tropical North Tropical developed destination As at late 2006, and prior to the TAG process, FVB’s
Queensland and the Great Barrier Reef allocated 2007 budget for marketing in Australia was
$2.3 million.
The following table shows Fiji’s strengths, weaknesses,
opportunities and threats as perceived by the FVB It is vital to recognise that Fiji has significantly lost share of voice
offices in Australia, New Zealand and North America in its major markets over the last five years. This will need to be
(in mid 2006). addressed for Fiji to recover and achieve anything better than
modest growth.
Table 10: FVB Overseas Offices SWOT Analysis
Strengths Weaknesses
Global and Regional Forecasts
Relaxing destination(All) Overbooking in 2005 (NZ) – The 2005 results for worldwide international visitor
Great weather (All) accommodation capacity in arrivals indicate that the actual arrivals for the 10 years
Friendly people (All) peak season from 1995 are roughly on target at this period (to 2006)
Good short haul air services Value for money being eroded
(Aust. and NZ) (NZ) for the UN World Tourism Organization 2020 forecast
Large visitor numbers allows Perception of poor service of 1.6 billion arrivals, representing an average annual
more leverage with wholesalers quality (NZ)
(Aust. And NZ) Lack of nightlife, shopping, and
growth rate of 4.5%.
Unique (mixed race) culture (All) facilities/activities/ built
Unpolluted environment (All) attractions. (All)
The WTTC forecasts an annual global tourism growth
Outspent by competitors in rate of 5.6% p.a. between 2007 and 2016. PATA
marketing (All) commissioned forecasting indicates that at varying rates,
Opportunities Threats
New 4-5 star accommodation Increased media spend esp. by
it can be expected that all key source markets into Fiji
and new offerings outside Coral Pacific Islands (i.e. Tahiti). will grow over the next 3 years at an overall annual
Coast Increases in media costs erodes average growth rate of 5.7%. Subject to unforeseen
Development of 3 star value for Fiji’s media spend (All)
money accommodation Increased low cost air capacity
major international crisis events (described as the ‘new
Improvement of product outside to competitors (Aust. NZ) normal’ for tourism), PATA forecasts (pre coup)
resorts Lower economic growth in NZ expected that all key source markets into Fiji will grow
Promotion of off peak travel or Australia
(esp. Aust and NZ) Loss of air access from
to 685,548 international arrivals by 2008.
Growth of new markets such as USA/Canada/ Japan etc
China, India and potentially
International visitor arrivals to Asia Pacific in 2005
South America. numbered nearly 330 million trips, representing region-
wide year-on-year growth of 7.6% and a new regional
Overall Fiji has performed well in the past as a friendly, record. PATA reports that since 2001, Asia Pacific
cultural, sun and sand destination, primarily for arrivals have grown at an average annual rate of 6%.
Australian and New Zealand travellers. UNWTO expects Asia Pacific to be the world’s fastest
growing tourism region in 2006 with 9% growth in
international arrivals.

23
Fiji’s Tourism Development Plan
2007-2016

Despite the decline in visitor numbers as a result of the • Recognising that a strong, clearly defined
late 2006 coup, there is no current indication of a drop- destination brand promise with quality delivery of
off of demand from any of the top markets for Fiji’s product within Fiji is needed to gain competitive
style of tourism products and no indication that any key advantage.
source market will achieve double digit growth rates.
The challenge for Fiji is to increase its share of the • Identifying emerging new markets and market
outbound growth it receives from its source markets segments which match product offerings and create
given the aggressive competition it faces from brand awareness.
numerous other destinations offering potential visitors
similar attributes. Regional Competitiveness
The one with the least crises thrives…
Based on studies commissioned by PATA, over the next Fiji has in recent years recovered from the decline of the
few years, the primary source markets into Fiji of 2000 collapse in visitor arrivals, only to have the military
Australia and New Zealand are expected to grow at takeover of late 2006 again affect tourist arrival numbers
steady average rates of 5.2% and 6.8% respectively p.a.. (and for a longer term yield per tourist owing to the
A slower growth rate is anticipated out of the USA discounting required to ensure recovery). There is no
market, (3.31%) and, from a smaller base than its doubt the recovery after 2000 is owed to the hard work
neighbour, Canada is expected to grow at a higher 7.8% and collaboration of the various public and private
rate p.a., giving an overall North American growth rate elements of the tourism industry who pulled together to
of 4.0%. The UK (4.5% growth rate) and ‘Óther get the marketing and product offering to ‘re-‘ create a
Europe’ (6% growth rate) markets will remain thriving and growing destination.
important and could grow faster subject to the cost of However it must also be understood that there have
around the world and other promotional airfare been substantial issues in competitor markets over the
structures. last few years which have reduced demand for some
There is a substantial amount of new tourism product competitive destinations. These issues include the 9/11
being developed in a number of Asian destinations and catastrophe, bird flu, SARS, the Bali Bombing and the
this will exert additional competitive pressures in Fiji’s Asian tsunami. These all reduced demand for
target source markets. There may also be new competitor destinations and enhanced demand for Fiji
marketplace opportunities for destination Fiji given that (particularly with the Australian and New Zealand
as a result of the growth spurred by global and regional markets).
integration, almost everyone in developing East Asia Recognise Fiji’s recovery from the 2000 coup was based on strong
will be living in a middle-income country in a few years, industry collaboration, competitive product offerings and to some
thus increasing their propensity for international travel. extent at the expense of crises in other destinations. Further,
A World Bank report identifies that East Asia is recognise that the last year has seen emerging recovery in these
witnessing the largest rural-to-urban shift of population depressed competitors (who are hungry to recover their business).
in history. Two million new urban dwellers are expected Lastly, it is important to recognise that there were
in East Asian cities every month for the next 20 years. If events in 2006 which caused some doubt about the
current growth trends prevail, by 2030 East Asia will be security situation in Fiji in key source markets. Media
as large in terms of the world economy (43%) as it was coverage of the growing impasse between the
in 1820, around the time that it began a long decline in Government and military and ultimately the coup
global importance. during 2006 was a factor in the softening of visitor
As both a competitor, and as an opportunity to open arrivals throughout 2006. This appears to have been a
new markets, Fiji needs to continue to monitor the more major concern in Australian, New Zealand and
growth of the East Asia inbound and outbound tourism Japan, but also is recorded in travel advisories from
sectors. many countries.
A recent survey of 5,000 consumers by PATA/VISA
Key Challenges card, found that travellers are increasingly listening to
Key challenges for Fiji are: travel advisories. When asked what makes you less likely
• Increasing share of the outbound growth it receives to visit a destination, the top response (69%) was
from its key source markets given the aggressive Government warnings. This rated slightly ahead of
competition it faces from numerous other predictable disincentives to travel such as the perceived
destinations either offering potential visitors similar threat of terrorist attacks, 66%, and general safety and
attributes and/or with much larger destination security issues, 62%.
marketing budgets to create demand.
24
Fiji’s Tourism Development Plan
2007-2016

Recognise that the security/political situation in Fiji remains at The price competitiveness of air tickets would appear to
the forefront of media interest and can cause rapid softening of be on par with other destinations, indeed in some cases
demand for Fiji’s tourism product. more than competitive. However accommodation,
transfers and food and beverage aspects would appear
Ensure foreign embassies and media representatives are kept fully
to be losing their price competitiveness.
aware of the reality on-the-ground of Fiji’s tourism product if
events occur which can produce a negative destination image. Recent research in New Zealand showed that Fiji’s food
and beverage is considered expensive to that market.
Price Competitiveness
There is substantial anecdotal evidence that Fiji’s price Recognise the need to remain competitive and work collaboratively
competitiveness has fallen dramatically in recent years. to ensure Fiji remains price competitive.
Again this appears to have been exacerbated by more Develop better knowledge systems of competitors price offerings and
competitive price offerings by competitive markets in competitiveness of Fiji’s products.
Asia and also in the Pacific.
Review the competitiveness of services, local travel, food and
As an example, Tahiti has been offering packages which beverage.
are price competitive with Fiji for air, accommodation
and transfers. Whilst the meals and other out of pocket
expenses would be likely to be higher in Tahiti than Fiji,
this is not a major decision factor for those customers at
the time they purchase tourism packages.

25
Fiji’s Tourism Development Plan
2007-2016

Fiji’s Tourism – Charting the


Future
The desired outcome is to plan for the achievement of a growth scenario for
2016 of 1.1 million visitor arrivals and tourism infrastructure including
16,000 rooms.

© Fiji Islands Visitors Bureau

The coup in late 2006 has resulted in additional impact


Tourism – The Opportunity on visitor numbers. On the one hand the travel
Awaits advisories and media publicity caused a negative
Tourism is a myriad of partnerships between a diverse perception no doubt fuelled by violence and great
range of private sector businesses, the community(ies) community unrest in Tonga and the Solomon’s in
and its government(s). Tourism in Fiji has grown recent years. However, Fiji managed the late 2006 coup
steadily over the past few years, it has recovered from a and establishment of the Interim Government without
significant decline following the 2000 coup with growth any major civil disturbance and certainly with minimal
in visitor numbers and economic contribution and disruption to normal tourism experiences. The
strong investment in new infrastructure. However, a underlying message of the TAG groups “spot the
number of factors caused a slow down in growth with difference” campaign has been that even following a
the first half of 2006 achieving almost identical visitor coup, the friendly Fijian culture makes Fiji a safe place
arrivals to the same period in 2005. The factors cited by to relax. The removal of travel advisories and no civil
the tourism industry include the implementation of the disturbances or internationally publicised human rights
Hotel Turnover Tax, loss of price competitiveness and abuses could reinforce this image.
adverse publicity during early 2005. With the Hotel Without doubt though, the tourism demand for Fiji
Turnover Tax the main issue was the uncertainty of its remains volatile and the coup may soften investment.
management (exacerbated by the short prior
notification). It would appear that many wholesalers There are very important messages for the future of
deliberately did not promote Fiji and/or were awaiting tourism in Fiji:
further price advice from accommodation businesses in • The market is quite volatile, to date Fiji is not a
Fiji. Indeed one major wholesaler appears not to have prime aspirational destination in its major source
listed Fiji for a number of months in early 2006. markets and it must maintain positive market
perceptions of its security to maintain current
The adverse publicity affected key Australian, New numbers, let alone grow.
Zealand and United Kingdom markets who are well
• The current tourism industry is heavily dependent
aware of the previous coup. The reporting of
upon key wholesalers, this relationship makes the
controversy between the Defence Commander and the
overall Fiji tourism industry vulnerable to concerns
government and the 2006 election may have been a
by a relatively small number of external suppliers.
contributing factor to the slowdown in visitor arrivals
from these key source markets.

26
Fiji’s Tourism Development Plan
2007-2016

Balancing Supply and Demand Aggressive Growth Scenario


As tourism grows, Fiji has a challenge to balance the Lastly an aggressive growth rate has been identified.
supply of tourism accommodation with international air Based on a maximum potential occupancy of 85 percent
capacity. Further there is a need to balance domestic for the potential 16,000 rooms, using the same
transport links, mainly domestic aviation with preferred assumptions as the managed growth scenario above, this
development of the outer island areas. Lastly, there is gives an annual 1.35 million visitors for 2016. This
the need to balance growth in room stock and air equates to an annual growth rate of almost twelve
capacity with a growth in attractions and experiences (it percent. This growth rate is considered an aggressive
is considered that there is a relative lack of growth scenario. It is important to note that whilst the
attractions/experiences in Fiji’s tourism product) as well “scenario” 16,000 rooms at 85 percent occupancy has
as investment to develop the future human resource been used to establish the 1.35 million visitors, it would
needs of a growing industry. be likely that more rooms would be developed owing to
the strong growth in the years prior to 2016 and as such
Fundamental to the above is the need to match the rooms would approximately match growth to achieve a
diversity of tourism product to the potential future 65% occupancy. As such, this Scenario is based on
markets. 19,800 rooms. It should be noted that a constant
average annual growth rate of 12 percent would require
Growth Scenarios and Targets highly favourable circumstances in Fiji, with very strong
Potential Futures economic growth in source markets and no major
Three potential scenarios have been developed for the regional or global events (i.e. this is considered possible,
growth of tourism in Fiji: but not probable, and is subject to many factors beyond
Managed Growth Scenario the control of Fiji).
On the basis of the potential room stock increase to
almost 16,000 by 2016 as set out above, a scenario Managed Growth – Scenario
“target” of 16,000 rooms by 2016 is suggested. On the “Make It Happen”
basis of 2.3 occupants per room, 8 nights average length Under the managed growth scenario, after an annual
of stay and 65 percent accommodation (hotel) growth of nine percent from 2008, in 2016 there will be
occupancy, this equates to 1.1 million visitors per year. 1.1 million visitor arrivals and an average length of stay
This growth is considered a Managed Growth Scenario. of 8 nights. The total gross tourism revenue (not
including the international air travel component) will be
This happens to equate to an almost nine percent $1.485 billion and the annual government tax receipts
growth from 2008-2016 inclusive, a figure forecast by will be $280 million (in 2016). There will be 21,460 new
the UNWTO for international arrivals into the Asia tourism jobs.
Pacific region in 2006 and twice the UNWTO 2020
forecast rate of global tourism growth. It also exceeds Managed Growth Scenario - Key Aspects
the WTTC forecasts an annual growth global rate of Visitors in 2016 1,100,000
5.6% p.a. between 2007 and 2016, noting that Asia Growth 2008-2016 9%
Pacific is expected to grow at a faster rate than the total Hotel Rooms (65% occupancy) 16,900
world. Based on studies commissioned by PATA, up to Average Length of Stay 8 nights
2008, Fiji’s primary source markets of Australia and Average persons per room 2.3
New Zealand are expected to grow at steady rates of Direct Tourism Employment 43,980 (FTE)
5.2% and 6.8% respectively. New Jobs 22,500 (FTE)
Visitor Spend $1.485 bn
Low Growth Scenario Tourism Value Added $1.176 bn
Two additional scenarios for 2016 have been developed, Gross Economic Contribution $2.599 bn
the first is modest growth, with a growth rate Government Tax Receipts (2016) $280 m
approximating the growth over the last twenty years. Increased Government Tax $567 m
Thus a “target” for the scenario would be 750,000 Receipts (2006-2016)18
visitors for 2016. This equates to an annual growth rate Additional accommodation 7800 rooms
of about four percent.

18
Includes a net reduction of tax receipts in 2007 of FJ $12
million (owing to predicted decline in visitor numbers
compared to 2005 and 2006).
27
Fiji’s Tourism Development Plan
2007-2016

Table 11: Visitor Scenarios and Room Growth


50,000 1,400,000
Total Number of Rooms

45,000 Historical
1,200,000
40,000 Recovery forecast assumes 475,000 arrivals in 2007
and 550,000 in 2008
Low Growth Scenario "Watch it Happen"
35,000 1,000,000
750,000 arrivals in 2016
Managed Growth Scenario "Make It Happen"
30,000 1,100,000 arrivals in 2016
Aggressive Growth Scenario "Dreaming" 800,000
Rooms

1,350,000 arrivals in 2016


25,000

600,000
20,000

15,000 400,000

10,000
200,000
5,000

0 0
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
Table 12: Visitors Numbers, Rooms, Jobs and Economics of Scenarios
2006 2016 2016 2016
Low Managed Aggressive
Growth Growth Growth
Total Visitor Arrivals 550,000 750,000 1,100,000 1,350,000
Growth rate from 2008-2016 4% 9% 12%
Average Length of Stay in Nights (persons per room) 8.5 8 (2.3) 8 (2.3) 8 (2.3)
Hotel Rooms 9,070 11,800 16,900 20,600
Rooms Constructed 2007-2016 2,700 7,800 11,500
Direct Tourism Employment (FTE)19 21,400 28,350 43,980 55,74020
Additional Employment 2007-2016 6,900 22,500 34,300
21
Gross Economic Output (using Multiplier) $1,300 m $1,770 m $2,600 m $3,190 m
Gross Tourism Revenue ($ 2005) $743 m $1,012 m $1,485 m $1,822 m
Retained Economic Contribution $588 m $815 m $1,195 m $1,467 m

Annual Contribution to Government Revenues22 $140 m $191 m $280 m $344 m


Total Increase in Government Revenues 2006-2016 $219 m $567 m $799 m

19
Note that this is the tourism employment from the tourism cluster serving overseas visitors and does not include tourism
cluster staff serving domestic visitors.
20
Based on 1995 TSA and 2003 BoS employment surveys. Includes estimation of additional construction jobs.
21
Includes direct and indirect economic contribution from overseas visitors (international not domestic tourism), but not
induced effects.
22
From overseas visitors, does not include domestic tourism.
28
Fiji’s Tourism Development Plan
2007-2016

A potential target apportionment of origin visitors to In summary, the managed growth scenario will see
make up the 1.1 million visitor arrivals is shown in Tourism growth to increase its major contribution to
Table 13, this scenario requires almost doubling of the economy and significant employer. Government
visitor arrivals from the key source markets of Australia, revenues from tourism could be expected to outstrip the
New Zealand, the UK and Europe, with strong growth cost of supporting tourism and result in the ability to
in other existing markets and the creation of at least one provide other government services and community
major new emerging market (e.g. China, India or South benefits (including the areas of Fiji that see little
America). tourism).
Rationale and Likelihood Key Strategies
This scenario is only possible with strong and aggressive The Managed Growth Scenario requires just that,
management of tourism growth. This will require management. It will not happen without a coordinated
aggressive marketing and promotion, with strong effort by the government and industry and at least some
branding and tactical campaigns. Further, attracting cooperation by the wider community.
private investment in tourism room stock, supporting
To achieve the scenario:
infrastructure and attractions will require proactive
facilitation, incentives and investment by government. Attractive investment incentives will be needed.
Provided the strategies set out below are implemented Supporting infrastructure will be required (probably through both
as a proactive strategy and there is good coordination
public and private investment).
between investors, the tourism industry and government
this scenario is considered achievable. There will need to be a constant supply of trained staff to work in
the growing tourism industry and existing employees will need up-
This scenario is considered reasonable in the context of
skilling.
economic and political stability in source markets and
overall tourism trends (barring any major catastrophic There will need to be a proactive approvals and investment
event which effects global or regional tourism). The facilitation process.
focus on particular targets for each source market will There will need to be a major increase in continually improving,
need to be monitored closely. The diversity of markets and rejuvenating the marketing and management of Brand Fiji.
means that, should economic or other conditions in a All major existing markets will need to almost double in new
particular market change, the targets between source routes established to service the new markets required to achieve
markets may need to change also. the scenario. Constant monitoring and evaluation or marketing
It must be said that this strategy is unlikely to be effectiveness will be required.
achieved in the event of any further political instability There will be appropriate recognition that the tourism resources of
or security issues in Fiji. Further, strong government Fiji belong to the common heritage of the Fijians and the Fijian
support at a policy and financial level including the communities in whose territories where they are situated have
marketing and investment incentives is a precursor to particular rights and obligations to them.
achieving this scenario.
There will need to be additional air capacity on existing routes and
Outcomes for Fiji new routes established for the emerging markets.
The benefit for Fiji will be an additional 21,460 jobs and
increased government revenue in the order of $280 Many other strategies to proactively manage tourism are required
million per year (by 2016). A total increase in (including sustainability, risk management, etc.).
government revenue of $567 million over the years up
to 2016 could be expected. This is a total increase of
$348 m above the low growth scenario. The tourism
industry will continue to be a major contributor to Fiji’s
economy.

29
Fiji’s Tourism Development Plan
2007-2016

Table 13: 2016 Visitor Arrivals by Origin Markets for Scenarios


Visitor Arrivals by Origin Market Low Managed Aggressive
Australia 255,000 330,000 337,500
New Zealand 127,500 165,000 175,500
United States 105,000 154,000 162,000
United Kingdom 90,000 110,000 135,000
Pacific Islands 37,500 44,000 47,250
Japan 37,500 55,000 81,000
Europe 37,500 44,000 54,000
Canada 22,500 44,000 54,000
Rest of Asia 15,000 11,000 13,500
South Korea 15,000 44,000 54,000
Emerging Market 1 0 66,000 108,000
Emerging Market 2 0 22,000 67,500
Emerging Market 3 0 0 40,500
Others 7,500 11,000 13,500
Total 750,000 1,100,000 1,350,000
A potential target apportionment of origin visitors to
make up the 750,000 visitor arrivals is shown in Table
Low Growth Scenario 13, this scenario requires modest ongoing growth from
“Watch it Happen” existing source markets. It is important to note that as
Under the low growth scenario, after an annual growth outbound tourism from some of the major source
of four percent from 2006, in 2016 there would be markets are predicted to grow at more than four percent,
750,000 visitor arrivals and an average length of stay of this scenario will see Fiji losing market share.
8 nights. The value added economic contribution would
be $802 million and the government tax receipts will be Rationale and Likelihood
$191 m. There will be 7,800 new tourism jobs. This scenario is possible with the ongoing level of
management of tourism. However attracting private
Low Growth Scenario - Key Aspects investment in tourism room stock will become difficult
Visitors in 2016 750,000 as occupancy levels won’t support new investment.
Growth 2008-2016 4%
Hotel Rooms (65% occupancy) 11,800
This scenario is likely unless there is a proactive and
Average Length of Stay 8 nights
coordinated management of tourism growth in Fiji.
Average persons per room 2.3 Outcomes for Fiji
Direct Tourism Employment 28,350 (FTE) The benefit for Fiji will be an additional 7,800 jobs and
New Jobs 6,900 (FTE) increased government revenue in the order of $51
Visitor Spend $1.012 bn million per year (by 2016, compared to 2005). This is a
Tourism Value Added $802 m total of $248 m less than the managed growth scenario.
Gross Economic Contribution $1.772 bn The tourism industry will still be a contributor to Fiji’s
Government Tax Receipts (2016) $191 m economy, but with minimal new hotel rooms the
Increased Government Tax $219 m construction sector is likely to face a slump with
Receipts (2006-2016)23 underutilisation of current established capacity (this will
Additional accommodation 2700 rooms have economic and employment ramifications in this
sector).
The growth of tourism will be less than the outbound
growth from key source markets and Fiji will be losing
market share, hence it is likely that its competitiveness
will suffer as economies of scale decline.

23
Includes a net loss of tax receipts in 2007 of $12 million
(owing to predicted decline in visitor numbers compared to
2005 2006)
30
Fiji’s Tourism Development Plan
2007-2016

In summary, the low growth scenario will see tourism A potential target apportionment of origin visitors to
continue to be a contributor to the economy and one of make up the 750,000 visitor arrivals is shown in Table 5
the larger employers. Government revenues from and Figure 3, this scenario requires major, rapid ongoing
tourism will remain modest and the cost of supporting growth from all existing source markets and the creation
tourism infrastructure may be an impediment to of two or three major markets with the same number of
government’s ability to provide other government visitors as presently experienced from New Zealand and
services and community benefits to areas of Fiji that see the USA. It is important to note that as outbound
little tourism. tourism from some of the major source markets is
predicted to grow more modest rates that needed for
Key Strategies
this scenario, Fiji would have to substantially increase its
This scenario is potentially achievable within the present
markets share in almost all markets.
management regime for tourism in terms of marketing
and infrastructure. It is not a do nothing scenario, to do Rationale and Likelihood
nothing and remove current levels of management, This scenario is only possible with extremely aggressive
marketing and promotion would likely cause a management of tourism growth, both attracting private
significant decline. It is more of a “steady as she goes” investment in tourism room stock, supporting
scenario, keeping current levels of support and infrastructure, attractions and proactive management
management in place. However in addition there are and significant investment by government. Even if the
numerous issues which should be addressed to make strategies set out below are implemented as a proactive
tourism more sustainable and contribute to the local strategy and there is good coordination between
community etc. investors, the tourism industry and government this
strategy is barely achievable.
Aggressive Growth Scenario
“Dreaming” This strategy is considered possible in the context of
Under the aggressive growth scenario, after an annual economic and political stability in source markets and
growth of twelve percent from 2008, in 2016 there overall tourism trends (barring any major catastrophic
would be 1,350,000 visitor arrivals and an average length event which effects global or regional tourism).
of stay of 8 nights. The total economic contribution will However, any depression of the outbound tourism
be $1,443 million and the government tax receipts will market from the major source markets will severely
be $344 m. There will be 31,200 new tourism jobs. affect the potential for this scenario to be achieved.

Aggressive Growth Scenario - Key Aspects Given that this scenario requires growth at a level well
Visitors in 2016 1,350,000
beyond the potential growth in almost all key source
Growth 2008-2016 12% markets and three new markets, thus growing market
Hotel Rooms (65% occupancy) 20,600 share is all key source markets at this rate in the early
Average Length of Stay 8 nights part of the 2007-2016 period is only likely to be
Average persons per room 2.3 achieved by significant discounting of product packages.
Direct Tourism Employment 55,740 (FTE) This could result in lower yields in the accommodation
New Jobs 34,300 (FTE) sector and hence ongoing investment in room stock
Visitor Spend $1.823 bn during the period could become less attractive.
Tourism Value Added $1.443 bn It must be said that this strategy will not be achieved
Gross Economic Contribution $3.190 bn unless there is complete stability and no security issues
Government Tax Receipts (2016) $344 m through the planning period.
Increased Government Tax $799 m
Receipts (2006-2016)
24 On balance, the high growth scenario is considered
Additional accommodation 11,500 rooms unlikely as it requires major growth and investment,
strong confidence in the market in Fiji’s security, growth
from source markets well beyond their underlying
growth rate (hence major increases in market share will
be required) and lastly, well performing new markets
will be required.

24
Includes a net loss of tax receipts in 2007 of $12 million
( owing to predicted decline in visitor numbers compared to
2005 2006
31
Fiji’s Tourism Development Plan
2007-2016

Outcomes for Fiji There will need to be additional air capacity on existing routes and
The benefit for Fiji will be an additional 31,200 jobs and new routes established for the emerging markets.
increased government revenue in the order of $205
Many other strategies to proactively manage tourism will be
million per year (by 2016). A total increase in
required (including sustainability, risk management, urban and
government revenue of $799 million over the years up
regional planning, linkages with other sectors of the economy etc.).
to 2016 could be expected. This is a total of $580 m
more than the low growth scenario. The tourism Table 12 shows the detailed break up of predicted tax
industry would be the major contributor to Fiji’s revenues for each scenario. Conservative coefficients
economy. have been used and as such these should be considered
realistic to, if anything, an underestimate.
In summary the aggressive growth scenario could see
tourism grow to be the major contributor to the Growth… or Stagnation?
economy and major employer. Government revenues The regional tourism body south-pacific.travel (was
from tourism could be expected to outstrip the cost of SPTO) reviewed the growth scenarios in early 2007 and
supporting tourism and result in the ability to provide stated:
other government services and community benefits
(including to areas of Fiji that see little tourism). “Given:
• The events of late 2006;
A detailed analysis of the need for infrastructure and
other investment by government to achieve this • FVB’s loss of share of voice through to 2006 due to loss of
scenario has not been undertaken. However it is real funding and increasing competition; and
reasonable to assume that significant international debt • The drastic cut in FVB’s 2007 budget;
would need to be incurred by government to support the “Aggressive” growth scenario would now seem almost
the growth in infrastructure needed. impossible and might be better removed from the plan altogether.
We would suggest that instead a third scenario of “Stagnation” be
Further, the levels of construction to support this added below the “Low Growth” scenario as this is a far more
growth may require significant temporary importing of likely outcome based on current FVB funding.” (Tony Everitt,
specialist skilled labour during construction. CEO south-pacific.travel)
Key Strategies It is vital to recognise that the fundamentals of a safe a
The Aggressive Growth Scenario requires just that, secure destination, competitive tourism product
aggressive management. It will not happen without a offerings, marketing (by FVB, industry and airlines),
major coordinated effort by government and industry investment incentives, facilitated and streamlines
and at least some cooperation by the wider community. approval process, and training are vital to achieve any
To achieve the scenario: growth in visitors and investment,
Extremely competitive investment incentives will be needed. To avoid any doubt, without these fundamentals,
stagnation is considered a real possibility. This would
Industry coordination of price vs. numbers vs. yield will be required have dire economic and social consequences.
to avoid discounting resulting in lower yield resulting in reduced
investment in room stock. Strategic Direction – Managed
Supporting infrastructure will be required (probably through both Growth
public and private investment). Government would need to The Target - 1.1 Million Visitors by 2016
proactively provide infrastructure ahead of actual development in It is proposed that the strategic direction adopted for
areas to promote the rate of investment. the growth of Tourism in Fiji be the Managed Growth
Scenario.
There will need to be a constant supply of trained staff to work in
the growing tourism industry and existing employees will need up- This Tourism Development Plan has been prepared on
skilling. the basis of the Managed Growth Scenario being
adopted by Industry, Government and the Community
There will need to be a proactive approvals and investment
as the target for tourism.
facilitation process.
However the Managed Growth Scenario requires major
There will need to be a major increase in marketing and the
ongoing investment and management to be achieved.
investment in Brand Fiji. All major existing markets will need to
almost double and new routes established to service the new
markets required to achieve the scenario.

32
Fiji’s Tourism Development Plan
2007-2016

Table 14: Managed Growth Scenario – Key Annual Milestones (2005 Dollars)
Year Visitors Rooms Annual Gross Value Government Increase in Jobs27
@ 65 % Visitor Economic Added Tax Tax
Occupancy25 Spend Output26 Economic Revenue Revenue
Contribution Over 2006
FJ $ m FJ $ m FJ $ m FJ $ m FJ $ m
2006 545,168 9070 $736 $1,288 $583 $139 21,460
2007 500,000 9070 $675 $1,182 $535 $128 -$12 21,460
2008 550,000 9070 $743 $1,300 $588 $140 $1 21,460
2009 599,779 9,593 $810 $1,417 $641 $153 $14 23,840
2010 654,064 10,389 $883 $1,546 $699 $167 $28 26,300
2011 713,262 11,257 $963 $1,685 $762 $182 $43 28,880
2012 777,817 12,203 $1,050 $1,838 $831 $198 $59 30,349
2013 848,216 13,235 $1,145 $2,004 $907 $216 $77 31,570
2014 924,986 14,361 $1,249 $2,186 $989 $236 $97 37,640
2015 1,008,704 15,588 $1,362 $2,384 $1,078 $257 $118 40,690
2016 1,100,000 16,927 $1,485 $2,599 $1,176 $280 $141 43,980
Total $567

Table 15: Key Thresholds (2005 Dollars)


Visitors Rooms Annual Gross Value Government Jobs30
@ 65 % Visitor Economic Added Tax
Occupancy28 Spend Output29 Economic Revenue
Contribution
FJ $ m FJ $ m FJ $ m FJ $ m
500,000 8,130 $675 $1,182 $535 $128 19,231
550,000 8,863 $743 $1,300 $588 $140 21,460
600,000 9,596 $810 $1,418 $641 $153 23,077
650,000 10,329 $878 $1,536 $695 $166 25,000
700,000 11,063 $945 $1,654 $748 $179 26,923
750,000 11,796 $1,013 $1,772 $802 $191 28,350
800,000 12,529 $1,080 $1,890 $855 $204 32,000
900,000 13,995 $1,215 $2,127 $962 $230 36,000
1,000,000 15,461 $1,350 $2,363 $1,069 $255 40,000
1,100,000 16,927 $1,485 $2,599 $1,176 $281 43,980
1,200,000 18,393 $1,620 $2,836 $1,283 $306 50,000
1,300,000 19,859 $1,755 $3,072 $1,390 $332 54,167
1,400,000 21,325 $1,890 $3,308 $1,497 $357 58,333
1,500,000 22,791 $2,025 $3,545 $1,604 $383 62,500

25
Using 8 nights average length of stay, 2.3 persons per room, 365 day year. Assumes domestic demand equates to 800
rooms (last survey daily demand of 657 rooms in 2003). NOTE: at 65% occupancy, no rooms “needed” until visitor
numbers exceed 600,000 (unless average length of stay increases or persons per room decreases).
26
Based on multiplier and includes indirect, but not induced effects.
27
Based on an approximation of 0.039018 staff per annual visitor, includes all tourism cluster but not indirect employment.
28
Using 8 nights average length of stay, 2.3 persons per room, 365 day year. Assumes domestic demand equates to 800
rooms (last survey 657 in 2003).
29
Based on multiplier and includes indirect, but not induced effects.
30
Figures in italics are inferred from the detailed employment estimates developed for each scenario, includes all tourism
cluster but not indirect employment.
33
Fiji’s Tourism Development Plan
2007-2016

Key Milestones Threshold Approach


Given the late 2006 decline in visitor arrivals and the Checking the Progress
efforts of TAG it is not possible to predict with any For a wide variety of potential reasons (including
accuracy the actual level of visitor arrivals in 2007 or external factors) actual visitor numbers may not achieve
2008 to form a basis for the managed growth. However the actual annual levels as proposed for the managed
a series of milestones have been established. growth scenarios and as such a set of thresholds are
Table 14 sets out the key milestones for the managed presented in Table 15. It is important to note that these
growth scenario. thresholds are set out in 2005 dollars and if referred to
in future years would need to be adjusted. Further, the
Making it Happen rooms required is quite sensitive to the average length
Adopt the Managed Growth Scenario as the target for Fiji’s of stay and the number of persons per room, in the
tourism development, with a target of 1.1 million visitors staying above figures these are based on averages across all
at least 8 nights on average by 2016. markets.
Review progress against the key milestones annually and report Use the thresholds to evaluate the target balance of room stock,
against in terms of visitor arrivals, hotel room occupancy and visitor arrivals and training place needs.
constructed, air route capacities, training graduates in the previous
year. Update the thresholds each three years should fundamental
assumptions in these thresholds (such as average length of stay)
At least every three years revise the target scenario based on change markedly.
progress, the first review should be in late 2008 to determine the
“starting point” in terms of recovery from the late 2006 coup and
reset growth targets for the years leading to 2016.

34
Fiji’s Tourism Development Plan
2007-2016

Providing Transportation
Linkages
Growth in air capacity from existing markets and new routes (perhaps with
new carriers) for emerging markets will drive tourism growth. Air, land and sea
linkages will spread tourism throughout Fiji for regional prosperity.
© EcoSustainAbility

The wheels of technological advancement in aviation, as


Island Context in other industries, have continued to turn. Fiji is again
As an island nation, remote in the worlds largest ocean, well located to take advantage of the even longer range
transportation linkages are critical. of current aircraft designs. Its Pacific crossroads status
could well be revived for services linking distant points
Into Fiji By Air in Asia to South America (and to a lesser extent North
There are approximately 1.086 million seats available on flights America).
from various countries to Fiji. The major carriers are Air
Pacific, Air New Zealand, Pacific Blue, Korean Air and The Role of the National Carrier
Qantas (by code share with Air Pacific). There are two Air Pacific, majority owned by Fiji’s government, has
International Airports, Nadi and Nausori. steadily grown with the growth of tourism into Fiji over
the last thirty years. Originally a local carrier the
Air linkages for Fiji are shown in Figure 3 and Table 16. company adopted the name Air Pacific and has been
Historical Context flying internationally since the 1970’s.
Fiji has benefited historically from being at an air Some smaller Pacific Island states have national carriers
transport crossroad in the South Pacific – a vast region with marginal profitability and in reality need strong
with varying levels of infrastructure development which government support to ensure an air linkage for the
continue to pose real challenges in providing air country. Not so Fiji, Air Pacific, whilst it has its own
transport services for locals and visitors alike. The need challenges, is a profitable airline with strong prospects
for trans-Pacific aviation to have strategic waypoints for for growth.
aircraft with limited range, meant Fiji became a South
Pacific Island hub. It also served a similar function for It has in past years increased its fleet of aircraft and has
inter-Island shipping services. plans for feet expansion and replacement of older
aircraft in the medium term.
Initially, most of the aviation services were provided by
foreign based carriers. Fiji’s tourism industry grew on Air Pacific’s potential as a viable thriving airline was
the back of this aviation. Over time, Fiji was able to recognised by Qantas in 1998 when they increased their
enter the aviation market and have its designated carrier equity to 46%.
fly on routes negotiated bilaterally according to the 1945 A fundamental strategy should be the encouragement and support
Chicago Convention that defined the freedoms of the for the national carrier, Air Pacific.
air. Winning useable air traffic rights was not an easy
process as incumbent legacy carriers wished to retain However it is suggested that if a route that is required to grow
their routes and yield as little traffic to emerging Fiji as tourism cannot be developed by Air Pacific, then other carriers
possible (see Figure 3). should be offered the opportunity. Encourage code shares to involve
Air Pacific in such an instance.
In time, improved aircraft technology enabled Pacific
Rim based airlines in metropolitan states to fly non-stop Core Aviation Principle
across the Pacific Ocean (e.g. Sydney to Los Angeles). Fiji has two interests, firstly its national interest (and
The threat to island nations of marginalization that this financial) in ensuring the ongoing viability and growth
imposed gave impetus for them developing their own of its national carrier, Air Pacific and secondly its
airlines to ensure that air services continued to bring in national interest in growing tourism arrivals from
the tourists who contribute so much to the island traditional and new markets to reap the economic
economies - Fiji included. benefit.

International Context The core principle for Fiji’s international aviation is to ensure long
Fiji remains a developing nation with an important term viability for the national carrier whilst also allowing access by
tourism sector heavily dependent on air services to other carriers to collectively grow tourism arrivals in existing and
bring visitors to and carry them within the islands of the new markets.
destination.
35
Fiji’s Tourism Development Plan
2007-2016

Table 16: Airline Seats Into Fiji31

Location Flights/ Seats/ Seats/ Carriers


Week Week Year
Australia
Sydney 16 4,604 239,408 Air Pacific, Pacific Blue
Brisbane 12 2,225 115,700 Air Pacific, Pacific Blue
Melbourne 4 988 51,376 Air Pacific
New Zealand
Auckland 25 4,590 238,680 Air Pacific, Air New Zealand
Christchurch 4 576 29,952 Air Pacific, Air New Zealand
Wellington 2 304 15,808 Air New Zealand
United States (Los Angeles)
United States (Los Angeles) 8 2,962 154,024 Air Pacific, Air New Zealand
Canada
Vancouver, via Honolulu or 3 438 22,776 Air Pacific
Christmas Island
South Korea
Incheon 3 774 40,248 Korean Air
Japan
Narita 3 741 38,532 Air Pacific
Pacific Islands
Tonga (Tongatapu) 5 350 18,200 Air Pacific
Western Samoa (Apia) 3 480 24,960 Air Pacific
Cook Islands (Rarotonga) 1 136 7,072 Air New Zealand
Solomon Islands (Honiara) 3 412 21,424 Air Pacific
Wallis and Futuna (Wallis) 2 292 15,184 Air Calin
New Caledonia (Noumea) 2 292 15,184 Air Calin
Solomon’s (Honiara and Apia) 3 412 21,424 Air Pacific
Vanuatu (Vila) 3 328 17,056 Air Pacific, Air Vanuatu
Kiribati (Tarawa) 2 120 6,240 Air Pacific
Christmas Island 1 118 6,136 Air Pacific
Tuvalu (Funafati) 4 164 8,528 Air Fiji, Air Pacific
Total 105 20,892 1,086,384

NOTE: The above is an amalgamation of a census of air traffic movement (from ATS) in May 2006 and later information provided by airlines (Air Pacific and
Air New Zealand). Aircraft capacity is actual where known or inferred from aircraft type where not specifically known. Some of the estimates are based on
extending the census to an annual figure, this does not take into account seasonal variations with extra or reduced flights, nor changes of aircraft type. The
figures for Port Vila (Vanuatu) and Honiara (Solomon Islands) include a round trip flight, Nadi/Vila/Honiara/Nadi. Total does not add as Christmas Island is
shown twice (as destination and as stopover for Canada and Hawaii).

31
Air Niugini commenced twice weekly flights between Port Moresby and Nadi via Honiara in March 2007, this provides
connections to Hong Kong and Singapore. These flights and the connections are not included in the analysis in the Chapter.
36
Fiji’s Tourism Development Plan
2007-2016

Figure 3: Fiji’s Aviation Links (seats per week)

Market Access The current policy of negotiating air access through bilateral Air
Fiji’s aviation policy sets out that Fiji will continue to Services agreements is appropriate, whilst this approach remains
determine traffic rights internationally through bilateral supported by the aviation policies of existing and future source
air service agreements, not via plurilateral agreements as markets.
countries like NZ have entered. That still requires a
International Air Liberalisation – Open Skies
series of bilateral agreements to mesh sufficiently to
For Fiji’s tourism industry to capitalize on its strategic
enable a range of services between several countries.
location with respect to long-haul aviation, it must have
However, Fiji looks for balanced, fair, and equitable government support. Tourism policy is interrelated with
agreements that are in the best interests of the nation. aviation policy. Work carried out by UNWTO illustrates
Fiji will encourage designated carriers from other that throughout the world, there is a vital reliance of
contracting states to fly specified routes before the tourism on free flowing transport systems: the need for
Fijian carrier takes up its options (e.g. Korean Airlines). full and fair access to distribution networks, the
importance of adequate infrastructure and systematic
It also leaves the door open for other foreign carriers
elimination of barriers to efficient operations.
designated in bilaterals to implement similar services on
agreed routes before any Fijian designated carrier Government aviation policy provides the framework for
reciprocates. Airline designation is on the basis of time negotiating air service agreements internationally. That
honoured criteria – substantial ownership, effective same policy can afford protection for a national asset
control, and principal place of business guidelines. That such as Air Pacific, and/or it can be used to attract
means the designated airline for a contracting state must foreign airlines to boost tourist arrivals in Fiji. The key
be substantially owned by shareholders in that state and for Fiji is to strike the balance in protecting its national
effectively controlled by management located in that carrier and allowing competition and the establishment
state and that state is the principal place of business for of new routes.
that airline.

37
Fiji’s Tourism Development Plan
2007-2016

More liberal civil aviation policies have greatly assisted Pacific Island Air Service Agreement
growth in other countries. Using data from more than A number of Pacific island states would like to see joint
190 destinations, a study on ‘The Economic Impact of negotiation of air service agreements through an
Air Service Liberalisation’(PATA, Boeing et al, 2006) initiative known as the Pacific Island Air Service
found that liberalised air service agreements generate Agreement (PIASA). Much as now happens in the
multiple economic benefits, including more jobs, more European Union, air service agreements concluded by
travel and tourism and more opportunities for any one EU country automatically apply to the others.
consumers and carriers. For example, the reports shows Fiji’s Aviation Policy does not support PIASA as there
that liberalising just 320 of the world’s 2,000 restrictive are no studies or empirical data which support the
air routes would generate economic value comparable to proposal. It would greatly assist some other Pacific
the Brazilian economy – by creating 24.1 million full- island countries but not necessarily Fiji.
time jobs and US$490 billion in additional global wealth.
The net result for Fiji from its current aviation policy is
Liberalisation is said to lead to new and better services a degree of certainty in the supply of airline seats to
which increases traffic growth which boosts economic serve the tourism industry on which it is so reliant
growth which creates more jobs. New routes open up economically.
and these can have dramatic consequences in terms of
Given the potential impacts on current aviation services
the growth in passenger flows, especially if the new
and carrier who supports Fiji and the intangible benefits
routes tap into rapidly expanding markets such as India
to Fiji of a PIASA it would not appear to be in Fiji’s
and China. Another feature of more liberal aviation
interests. Given the regional aviation hub provided by
policies is that the benefits are widely distributed – so
Nadi (and to a lesser extent Nausori), a PIASA without
widely in fact that not many persons or organizations
Fiji’s involvement would not be likely to be successful.
perceive that it is very much in their interests to support
moves towards liberalization of air service agreements. Should moves toward a PIASA strengthen, Fiji should consider
Traditional ways of viewing relationships tend to blind in detail the potential cost/benefit.
stakeholders to alternatives that have potential.
Airfare Policy
However, the impact on the current services for Fiji and On the grounds of safeguarding against predatory
its national carrier, with the unique position of being a pricing, Fiji’s Aviation Policy supports control over
remote island nation in a big ocean needs to be tariffs. A process of filing tariffs and special fare
considered. The net effect of more liberalised air access initiatives for approval by the Fiji Government prior to
could be to reduce viability on core air routes and hence public release is a strong inhibitor of airline innovation.
it could result in an adverse impact on the nation. Approval is not usually a quick process. It would also
likely mean that the Government’s interests in its own
On balance, whilst an open skies policy has benefited carrier may be perceived to affect the consideration.
some nations, there is a strong national interest to
ensure certainty in air access and this can only be done Fare setting stifles competition. If deemed absolutely
with a thriving national carrier. If a fully open skies necessary for some good reason, then it needs to apply
policy were to be adopted this could be threatened. equitably to all carriers and all of them would have to
comply with the processes of filing fares for approval.
Aviation Liberalization should be supported at Fiji’s pace – Fiji That process should not be long drawn-out because if
is not ready for a full Open Skies approach. so it will inhibit carriers from responding quickly to
Fiji needs to place priority on the national economy which includes changing market conditions. A few days is all that it
promoting, not protecting its national carrier. should take if government has been liaising with the
carriers concerned and is in receipt of vital statistics.
Foreign carriers should be encouraged to exercise 3rd and 4th
That said, predatory pricing is seen as harmful and
traffic rights even before the Air Pacific is ready or willing to fly
destabilizing within the industry and should not be
the sector.
permitted.
Charter Services
Fiji’s aviation policy encourages charters for tourism,
sporting and other travel. The carriage of freight can
subsidise charters, particularly when they are used in a
program of initial flights to develop an emerging
tourism market.

38
Fiji’s Tourism Development Plan
2007-2016

The use of charters of Fiji or non Fiji registered aircraft to develop The following sections set out potential strategies to
new tourism markets should be supported and as such Fiji’s facilitate this long-haul travel out of existing and new in-
aviation policy should provide for encouragement of charters to bound markets. These strategies should be considered
develop new tourism markets and further, should allow for import and implemented as appropriate throughout the life of
and export freight to be carried on such flights. the Plan.
Growth of Air Capacity Investigate strategies to grow airline seat capacity from existing in-
The following table shows the potential demand by the bound markets, develop efficient routes/linkages from remote
2016 growth scenario of 1.1 million visitor arrivals, per markets for access to Fiji and establish cost competitive links with
target market. Note: The number of flights per market new markets.
is notional and will determined by the number of air
It is important to note that the aviation sector changes
carriers, actual frequency and size of aircraft. Further,
rapidly and the aviation situation is expected to change
markets such as Europe and United Kingdom are
during the life of the plan, constant review to ensure Fiji
carried on a variety of routes (and usually through
optimises opportunities will be required.
source markets such as Australia, Korea and the US).
Review air seat capacity and potential new linkages at least every
Fundamental to the growth in accordance with the
two years and consider strategies for new routes to match potential
managed growth scenario is the need to grow emerging
demand.
markets in the later part of the period 2008-2016. Thus
new markets will potentially need new air routes into Northern Asian Routes
Fiji. Japan-Fiji is flown by Air Pacific (FJ) but not currently
by a Japanese carrier. It can safely be presumed that a
Table 17: Potential Air Services Demand
Japanese carrier can exercise the Japanese 3rd and 4th
Total Pax Seats/Week 767s/ freedom rights under the Japan-Fiji ASA on this route if
Week it wished.
Australia 330,000 6,346 34
New Zealand 165,000 3,173 17
The Tokyo (NRT) waypoint is one of the shortest
available to connect Fiji into Europe, say London
United States 154,000 2,962 16
(LHR). Fiji might encourage code-share with a Japanese
United Kingdom 110,000 2,115 11 carrier for NRT-NAN if the Japanese carrier feeds
Pacific Islands 44,000 846 5 traffic out of UK or other EU origin/destination on a
Japan 55,000 1,058 6 code-share basis. Clearly the Fiji-Japan Air Service
Europe 44,000 846 5 Agreement (ASA) and the UK-Fiji ASA would need to
Canada 44,000 846 5 reflect such an arrangement. Having the Fijian carrier
Rest of Asia 11,000 212 1 penetrate the European market using the FJ designator,
South Korea 44,000 846 5 even on a code-share basis, cannot help but improve the
Emerging 66,000 1,269 7 links with Fiji. In the northern winter, there should be
Market 1 prospects of enticing Japanese and European tourists
Emerging 22,000 423 2 via Japan to include Fiji in their itineraries.
Market 2 There is potential to link to Europe via the current Japan route,
Others 11,000 212 1 this would require third country code sharing and possibly revised
Total 1,100,000 ASA’s with Japan and European destinations serviced by the
NOTE: Seats per week are based on the annual passengers spread code share partner.
over 52 weeks. The flights per week is based on a notional 767
carrying 265 passengers with a seat factor of 70%. Korea-Fiji is flown by Korean Air (KE) and provides
New Linkages Into Fiji by Air
the second shortest pathway to Europe from Fiji via
Aircraft like the Boeing 787 Dreamliner (B787) can fly Seoul (ICN). The Fijian carrier does not, as yet,
in excess of 8,500 nautical miles non-stop, bringing Fiji reciprocate. As in the case for Japan, there is potential
within a range of places as far distant as Sao Paulo in that a code-share could achieve the objective of
Brazil. Routes abound between Asia to the West Coast attracting European travellers with multi-destination
of North America across the Pacific. However, for enticement that includes Fiji especially in the northern
deeper penetration into the USA (without a stop at the winter.
heavily congested west coast), there is an opportunity
for a way point like Fiji. Using Fiji as an intermediate
point, flights out of Australia, Singapore and New
Zealand could reach the third largest city in the USA,
Chicago non-stop from Nadi.

39
Fiji’s Tourism Development Plan
2007-2016

There is the added attraction of feeding traffic out of Figure 4: Potential Long Haul Routes Across the
China (Beijing) via Seoul and maybe a code-share Air Pacific
Pacific - Korean might be an alternative way to exercise
the Fiji-China bilateral to build numbers to the level
more direct services could be entertained. Korean
Airlines have not to date promoted this concept. Also,
the Hainan Airlines (China) proposed charters from
Beijing and/or Shanghai to Fiji might be a better way to
develop the Chinese market as the arrangement would
not be dependent upon Fifth or Sixth Freedoms.
There is potential to link to Europe and mainland China via the
current Korea route, this would require code sharing and possibly
revised Air Service Agreements with Korea and other countries
serviced by the code share partner(s).
Star and One-World Alliances
An important aspect for future outbound tourism from The role of airline alliances in setting ticket pricing and
China to Fiji is that Fiji has been accorded Approved creating routes for long haul travellers to Fiji,
Destination Status (ADS) by the Chinese authorities particularly from Europe is vital.
(although final requirements have yet to be met). This is
essential before tourist visits can take place. The current backpacker market, which is often on a
round the world ticket constructed through these
There is potential for new direct link(s) with China, the potential alliances (rather than on one airline) relies on these
demand for Fiji’s tourism product needs to be assessed. ticketing offers allowing Fiji as a stop.
The Hong Kong – Fiji air service agreement would Recognise the importance of the global airline alliances to long haul
permit direct flights by the Fijian designated carrier linkages from Europe. Ensure global ticketing options and
assuming the usual exchange of 3rd and 4th freedom alliance rules are reviewed regularly and work with relevant local
traffic rights. alliance partners (Air Pacific and Air New Zealand) to
There is apparently interest being shown by Cathay maximise the benefits of these alliances.
Pacific, to fly to and beyond Fiji. That would require the Air New Zealand is a member of Star Alliance and
relevant Air Service Agreement’s between Hong Kong provides linkages Auckland – Hong Kong – London
and whatever beyond points Cathay Pacific seeks, if and London – Los Angeles – Auckland with some
those aspirations are to be realized. This could be flights Los Angeles – Nadi- Auckland. With appropriate
desirable if it included a South American link. fare systems on the airline and with Star Alliance partner
There is potential for a direct link with Hong Kong, possibly by a airlines, it should be possible to boost long-haul tourists
new carrier to Fiji (with the potential for Air Pacific to code from Europe to Fiji incorporating NZ en route. Note
share). that Air New Zealand also offer flights to Rarotonga
and this could be offered with Fiji in a Pacific package.
Air NZ is clearly preparing to service more destinations
via Hong Kong as it ceased its Singapore services in
2006. How this might be an opportunity for Fiji is
unclear.
The vital role Star Alliance and consequently Air New Zealand
play in ensuring Fiji is an allowed stop over for the round the
world market out of Europe (mainly backpackers) should be
recognised and supported however possible.

40
Fiji’s Tourism Development Plan
2007-2016

There maybe scope for another Star Alliance carrier, North American Market Penetration
Singapore Airlines could be allowed entry to Fiji with There is need to increase the penetration of the North
beyond rights to USA, preferably excluding Los Angeles American markets beyond the two existing gateways of
which is served by Air Pacific but open to any other Los Angeles (LAX) and Vancouver (YVR) that are now
point with a preference for direct service to the USA’s served by Air Pacific. Air Pacific code-shares with
third largest city, Chicago. Singapore Airlines has long American Airlines on the Los Angeles service and
sought, unsuccessfully, beyond rights from Australia to American Airlines is a member of the One-World
the USA. They may see Singapore – Nadi – Chicago as a alliance. However, there do not appear to be big
useful foot in the door. Better still from Singapore numbers of passengers being fed by American Airlines
Airlines perspective would be to continue one of their into the South Pacific to Fiji. This is an area for
services out of Sydney via Nadi to Chicago. investigation and further promotional effort.
There is the potential for a Singapore Airlines link into Fiji. Any Recognise the importance of the North American market to
such arrangement needs the Air Service Agreements with USA growth of tourism in Fiji and provide airlines with strong
and Singapore to permit these flights (also Australia if an marketing support to ensure the routes build to viability and
Australian point is used) and these should be explored vigorously. ultimately prosper.
The One-World Alliance includes Qantas. Air Pacific is The Singapore Hub
Qantas’s code-share partner for Pacific Island services The sector Nadi-Singapore-Nadi is not serviced at
for Australia and NZ. In a similar fashion to the above, present. Singapore offers very liberal “Open Skies” air
the One-World Alliance can put together attractive service agreements. Singapore Airlines is in the Star
round-the world connections that can include Fiji. Alliance group, whereas Air Pacific (is by default
Active promotion of the feed traffic from beyond the through code share with Qantas) associated with the
Australian or USA gateway is needed to harvest these One-World Alliance. That relationship could make
potential tourists. The One-World relationship, through code-share difficult between Air Pacific and Singapore
code-share with Qantas (without Air Pacific being a Airlines. Singapore Airlines would most likely want
member airline) has served Fiji well and could be beyond rights, before it would come on the route. The
worked harder. No change in the ASA with Australia beyond rights to USA, other than Los Angeles, for the
would seem necessary. Unlike the round-the-world Singapore carrier could be attractive. Air Pacific as yet,
service introduced in October 2006 by Air New Zealand, has not chosen to exercise 3rd and 4th freedom rights
the One-World Alliance requires other carriers to link Fiji-Singapore.
their services. Another possibility is the route Nadi-Cairns-Singapore.
The vital role the One World Alliance and consequently Air Whilst many see Cairns as competition for Fiji, in the
Pacific’s code share partner Qantas play in ensuring Fiji is an long-haul market, a “two for the price of one” approach
allowed stop over for the round the world market out of Europe might be worth promoting. Cairns recently lost its direct
(mainly backpackers) should be recognised and supported however connection to Singapore. Air Pacific’s aircraft would
possible. This is particularly important as a number of airlines in have the capability of non-stop Nadi-Singapore-Nadi.
the Alliance are needed to create an integrated round the world Fiji has beyond rights to two points in its ASA with
ticket for long haul backpackers. Australia but its designated carrier, Air Pacific, has not
taken up those rights as yet. It might see value in
Figure 5: Fiji - Europe
NO DIRECT SERVICE CURRENTLY BETWEEN FIJI AND HONG KONG extending over Brisbane to Singapore in due course.
LONDON
Figure 6: Middle East, South America and Fiji

LOS ANGELES

SEOUL
TOKYO
HONG KONG
GUAM

NADI

AUCKLAND

41
Fiji’s Tourism Development Plan
2007-2016

Air New Zealand dropped out of the NZ-Singapore Emirates has one service which does not extend beyond
market in October 2006 as a consequence of its the Australian East Coast. It provides a second daily
revamped long-haul strategy using Hong Kong for service to Melbourne (via Singapore), where it
flights to London and commencing flights to Shanghai terminates. Consequently, it has a turnaround ground
in November 2006. They intend to focus on four time of 19 hours in Melbourne where the aircraft is idle.
markets – UK, USA, Japan and North Asia. That may Potentially, this service could carry on to Nadi.
mean New Zealand would not be concerned if Air
Emirate Airlines would be fiercely competitive and to
Pacific uplifted passengers in Singapore and took them
encourage them to enter the Fiji market would need
via Fiji to NZ.
careful consideration. The national benefit from the
If Air Pacific does not exercise rights between Fiji and additional tourists Emirate Airlines could generate,
Singapore, and Singapore Airlines does not develop the rather than simple dilution of Air Pacific’s 3rd and 4th
link, then the question of encouraging another airline freedom share, this would need to be assessed. Emirate
such as Emirates to fly Dubai-Singapore-Nadi could be Airlines has built a sizeable share (10%) of the Trans-
considered. For that service to happen, one could Tasman market in a short time and ranks third behind
expect Emirates to require beyond rights from Fiji. Qantas and Air New Zealand in that market. There is
Maybe a direct link to a South American destination an opportunity for them to create a middle east, Pacific,
becomes a possibility should Emirates want to develop South American round the world route not presently
a round-the-world service. available (see Figure 6).
What would a connection, either direct or indirect, with Singapore Airlines also has idle capacity overnight in
Singapore achieve that would be of benefit to Fiji? Sydney.
Singapore is an acknowledged major hub airport. A link
These options could allow a southern hemisphere round
with Singapore would open up many potential sources
the world route, not presently offered (see Figure 7).
of tourists that, when concatenated at Singapore, might
yield sufficient custom to warrant introducing flights. Figure 7: Southern Hemisphere Round the World
Route
One of the significant feeder links through Singapore
could be flights from India with just one transfer at the
Singapore hub. The Indian market can be expected to
grow with the expansion of the Indian economy.
Recognise the potential opportunity with links to Europe, India
and Asia that Singapore provides and investigate mechanisms for
developing a direct link Singapore Nadi.
Additional beyond rights could be granted the carrier on any route
to points in South America. Singapore would have to obtain the
rights for the point or points in whatever South American country
it wished to serve over Nadi.
Overnight out of Eastern Australia
The route opens up substantial business/trade
Sydney Airport is under night curfew. That means opportunities with the convenient access the service
airlines flying eastbound into Australia and Sydney in provides via Singapore onto their vast network around
particular, either have to stop on the ground overnight Europe, Middle East, Africa, and Asia. Ethnic Fijian
or get in and out before Sydney Airport’s curfew cuts in. Indians would be provided with a wide range of flexible
That makes continuation of eastbound services to NZ options through Singapore onto various ancestral points
very attractive as they can cross the Tasman Sea and in India and Pakistan. Fijian Muslims could connect
return as Sydney airport reopens for traffic in the through Singapore onto Jeddah flights for religious
morning, making money in the process rather than pilgrimages.
simply paying parking charges at Sydney Airport. Recognise the potential opportunity with links to Europe, India
Emirate Airlines does just that. An alternative or and Asia that Singapore provides and investigate mechanisms for
addition could be a return trip to Fiji if Fiji entered into developing an indirect link from Singapore via an Australian port
and sought amendment of the requisite air service using Aircraft idle time caused by the Sydney Airport curfew.
agreements. It would mean further competition from a
top class carrier for Fiji’s national carrier. Consider the competition aspects within the Australia-Fiji market
and the consequent implications for the national carrier versus the
benefit of a greater link into Asia.

42
Fiji’s Tourism Development Plan
2007-2016

Capacity out of Australia Intra-island east-west connections in the South Pacific


Constantly growing air capacity out of Australia (and New are thin routes and served infrequently. They are poorly
Zealand) is fundamental to achieving the desired managed growth coordinated to provide surety of travel for tourists who
scenario. wish to combine time in several island states on the one
round trip.
Low-cost Carriers out of Australia and New
Zealand Air Niugini recently commenced twice weekly flights
Low-cost no-frills carriers have developed services in between Port Moresby and Nadi via Honiara.
the Australia-New Zealand market that have extended
to several Pacific Island States including Fiji. Some of Air Pacific is developing a regional capacity with Pacific
these carriers are “carriers within carriers” (CWC) such Sun who will initially operate services to Tonga, Tuvalu
as Freedom Air introduced by Air New Zealand, Jetstar and Port Vila and other points such as Wallis & Futuna,
introduced by Qantas, and the independent carriers and Rotuma in the future. Pacific Sun’s intended use of
under the Virgin umbrella, such as Virgin Pacific and ATR42 aircraft on Regional routes flying has less freight
Pacific Blue. capacity than available with B737 variants.

These carriers are good at developing services out of Whilst not a critical strategy for growth of tourism into Fiji, east
secondary airports. They cater for the budget traveller west connections to nearby Pacific neighbours would augment the
and appear to increase potential market size by Pacific tourism product and most likely have a net benefit to Fiji’s
encouraging a “flying holiday” for those who would tourism.
otherwise not afford it. Fiji should seek cooperatively with other airlines the construction of
attractive air fares which include Fiji as a stopover destination for
Air New Zealand’s Freedom Air operated to Fiji briefly
(including from the smaller ports of Palmerston and round-the world travellers.
Dunedin) but suspended services in 2006. Virgin Blue Assist the expansion in fly-cruise markets for cruises wholly
has been seemingly successful in its entry to Fiji, with its within the Fiji Island group, by providing landing pontoons
Brisbane and Sydney routes thriving, it withdrew a and/or jetties at key positions. The management of cruise ship
Melbourne route after low yields. companies is interested in visiting more destinations to offer variety
In Australia, potential additional links that may be of experience for their passengers.
attractive to a low cost carrier would be Newcastle and Airport Facilities and Border Control
Canberra. On a limited basis, there have been Fiji needs to be up with the best in the world for speed
international flights between Canberra and the Pacific and efficiency in processing inbound visitors. Key
Islands. Canberra is gearing to become a fully performance criteria should include objectives to have
operational international airport. It can be very cold in cleared all arrivals through Immigration and Customs
Canberra and a winter escape to Fiji is an exotic within 60 minutes or less of the aircraft opening its
international alternative to Queensland. doors. Queues of any length and time delay are
indicative of lack of processing capacity. For Fiji, this
Low cost carriers, particularly out of Australia and New Zealand
means late hours of work for civil servants who must
have the potential to grow the market and serve additional ports
process arrivals that pass through outside normal office
from these destinations. Whilst considering the competitive impacts
hours.
on Air Pacific, they should be encouraged and supported.
Fiji can benchmark itself against the performance
Intra-Pacific Islands
The time when Fiji was the only hub airport for other achieved by airports in rival destinations. It should be a
neighbouring Pacific Islands is long gone. Each one of feature that can be used in promotional marketing in a
these countries aspired to reach the goal of having their way that still reassures travellers that the necessary
own direct services to source markets for tourists. For security systems are effective and that Fiji is not an easy
instance, Samoa, Tonga and Cook Islands all have trans- door to slip through en route to other places
Pacific jet-capable airports and Samoa and Cook Islands Nadi airport is presently incapable of handling two wide
enjoy links to North America as well as Australia and body aircraft at once. It is likely that with the growth in
New Zealand. air capacity needed to support the Managed Growth
Scenario, significant upgrades in capacity will be
Solomon Islands at Honiara is not well served with
international connections, but it is a long way from Nadi required. Owing to various scheduling constraints Air
and easier to use Brisbane for a number of long-haul Pacific alone may have five wide body aircraft on the
international connections. ground at once from 2011. This congestion is owing to
the available slots and curfew applicable on some
sectors.

43
Fiji’s Tourism Development Plan
2007-2016

Substantial upgrading of capacity of Nadi airport will be required Impacts of Changing Size of Aircraft
to facilitate growth in air capacity to met the managed growth For international travellers, every change of aircraft,
scenario. especially involving downsizing (gauge change) acts as a
disincentive to travellers especially if it involves
Into Fiji By Sea excessive idle time waiting between flights. Indirect
Short Stay Cruise Ships routing likewise inhibits. When travellers close in on a
International cruise ships provide a link for short stay destination after long-haul flights, they are keen to
cruise ship passengers, strategies for this market and conclude the journey and to become established at their
hence transport link are elsewhere in this Plan. chosen destination – not detour via multiple way-points
Regional Shipping as other passengers are serviced at intermediate
Regional shipping to neighbouring ports can provide locations.
some very modest tranport links for the very intrepid Facilitation Ideals
traveller. It is assumed that visitors using this method For the best connectivity between international and
are minimal. domestic air flights the following facilitation factors
However, regional shipping, particularly from Australia should be goals for performance.
and New Zealand, provides a vital lifeline for supplies • Keep wait times to under two hours for international inbound
of many materials for construction and operation of connection onto domestic flights;
tourism in Fiji. • Apply domestic schedules such that passengers arrive at
gateway hub airport no more than 3 hrs before departure on
Ensure port facilities, customs clearance and maritime laws international flights;
provide for adequate capacity for importing vital materials for
tourism operation and development. • Allow domestic schedules that are the primary connectors
to/from international flights flexibility when connecting with
Yachts inbound international flights;
Being the main hub in the Pacific, Fiji is visited by most • Have sufficient capacity to move groups without splitting
yachts sailing across the Pacific from the Americas to party; and
the west and also by yachts on seasonal or longer visits • Have sufficient capacity to assemble/disperse passengers
from Australia and New Zealand. from/to domestic airports within timeframes stated in (a) and
With just over 500 yachts visiting in 2005, they account (b) above.
for about 1000-2000 annual visitors to Fiji. A reasonably Difficulties in Applying the Ideals
small number. Strategies to manage yacht tourism are It is not easy to apply these connections in the manner
within the Product Diversity chapter. set out above. If domestic flights cannot operate at
night into final destination domestic airports or from
Within Fiji By Air those same airports to connect with international
Domestic Aviation
departures at night, the integration with international
Fiji’s burgeoning tourist industry, built initially around
flights is compromised.
the Nadi airport facility, cannot advance comfortably
without attention being given to the linkage between With domestic flights serving tourist arrivals and
that principal gateway airport and the domestic airports domestic passengers, any schedule delays to
(Figure 7). Well conceived intentions to spread tourism accommodate late arriving international flights, impacts
growth to other areas in Fiji as part of regional adversely on domestic passengers.
development policies, especially the North, requires
The aircraft types that can be used on many domestic
commensurate improvements in the aviation
routes are small because of the airports they use.
infrastructure within the domestic aviation system.
Therefore, if the size of party arriving is more than the
The Fiji Government sets maximum prices for domestic seat capacity of the aircraft they have to use for the
flights but Airline companies can charge lower than that. domestic connection, parties will inevitably be split
between flights.
There are a number of deregulated routes (trunk routes):
Nadi – Suva, Suva – Labasa, Labasa – Nadi (for these Daylight Hours
routes it is entirely upon the airline and the market Fiji has two airports that have night landing facilities,
forces to determine prices). There are eight subsidized the major international airport at Nadi (NAN) and the
routes which are essentially uneconomical routes, to secondary regional international airport at Nausori
Rotuma, Lakeba, Vanua Balavu, Cicia, Gau, Koro, Ono (NSI). The lack of night operational capability at any
I Lau, Moala with one service per week (subsidized), other domestic airport places severe limitations on
supplementary flights are allowed when there is demand. access to the locations served by those airports, and on
the costs of operations for the domestic level carriers.
44
Fiji’s Tourism Development Plan
2007-2016

There is a limitation to daylight operations for flights Volume of business and choice of aircraft type and
from domestic airports because they have to be at a schedule frequency are closely inter-linked. Too few
given altitude before “last light” is declared even when passengers tend to be reflected in infrequent schedules
they are connecting to either Nausori or Nadi for a of aircraft of sufficient size to overcome the baggage
night landing. It means lower productivity in aircraft use, issues. Use of smaller aircraft that can operate out of
and schedules that are not ideal for connection to limited facility domestic airports, tends to split travel
outbound international flights that depart in the late parties and their baggage and may mean a large
evening on trans-Pacific flights. In effect, flights out of proportion of travellers must be serviced outside the
places like Taveuni, Labasa and Savusavu, and other desirable timeframes for connection with international
outer islands need to be airborne by around 3:30pm in flights.
winter months.
The Twin Otter and the Britton Norman Islander
Many inbound international flights, because of wider aircraft are the main domestic aircraft types currently
network factors, arrive in Fiji in the hours of darkness, servicing the small airstrips. The much faster
or too late in the afternoon for any domestic connecting Bandierante aircraft needs longer runways and can only
flights to uplift passengers travelling to other islands in serve the larger domestic strips and then often must be
the Fiji group. That imposes an overnight stay in the weight restricted (less seats sold). Even the smaller
vicinity of the international airport through which aircraft can be weight restricted because they need to
visitors arrive. The lack of domestic night flying can carry sufficient fuel out and back as there is no regular
take two days out of a visitor’s one week holiday. For refuelling facility at many airstrips.
many visitors, that is too much “dead time”.
The bigger the aircraft used domestically, the higher the
Effect of Weather standard of airport facilities required, and if frequency is
Furthermore, maintaining timetabled schedules is an issue, there has to be sustained demand to warrant
difficult when aircraft are operating out of marginal use of these larger planes. Strength of runway and apron
airports, and are subject to changeable weather parking become progressively more important as larger
conditions. This means visitors are wise not to leave aircraft are used.
their connections to the last scheduled flight. The
Lack of frequency is a major inhibitor of travel. It is as
uncertainty of access is a major inhibitor for distributing
true for aviation as it is for metropolitan bus services.
tourism to many potential destinations away from Viti
Destinations served by few flights per day or per week,
Levu in the Fiji group, even to the second biggest island,
miss out on tourists and business travellers. Seldom do
Vanua Levu.
tourists relish being location-bounded with no escape
CAAFI Concerns for many days before they can depart. Business
There are safety issues that CAAFI note related to travellers look for connections that allow them to
terrain conditions, vegetation (trees) and buildings and conduct one or two days of business and then move on
limited parking apron areas that restrict operations to the next destination to repeat the process.
which means only one aircraft can be parked on the
Certainty of Travel – Firm Bookings
ground at a particular airstrip at any one time.
Flight bookings should be confirmable and paid for
Aircraft Positioning virtually instantaneously. This demands adoption of
Neither Air Fiji or Pacific Sun, position aircraft electronic booking systems and credit card transactions
deliberately overnight at outer island destinations in that can be used by agents and individuals via Internet
order to commence daily operations with flights into sessions. Delays in obtaining confirmation are a primary
Nadi or Nausori. Those airstrips do not have hanger inhibitor of travel to destinations that cannot provide
facilities. The service base for these aircraft is at one or quickly, certainty of travel.
other of the main airports and maintenance is scheduled
It has to be possible for clients to access booking
for overnight when flying ceases for the day.
systems and to integrate their travel using different
Choice of Aircraft – Frequency of Service carriers, either personally, or via an agent, or directly
Previous studies by the Ambidji Group on airport with the carriers concerned. That means that small
facilities in Fiji concur that the design aircraft for the domestic carriers have to adopt booking systems that
next tier down from the B737 should be DASH-8 are electronically integrated with the major carriers that
capable which will also allow use of the ATR42. The they feed traffic to and from.
deployment of these aircraft to a point or points in the
North will help alleviate the problems of baggage and
size of party. However, night operations at airports in
the North are critical for best utilization of these aircraft
to meet tourism demands.
45
Fiji’s Tourism Development Plan
2007-2016

The domestic schedules adjustment to match demand Recognise the value of the recently introduced ATR 42 flights by
and supply, should not, in the first instance, be those Pacific Sun to Labasa to grow tourism in the north of Vanua
flights closely involved in feed traffic for the Levu. Recognise that the present tourism hub and potential for
international carriers. A “bumped” tourist goes home immediate tourism growth in Vanua Levu is Savusavu and that
and recounts their discomforts to friends and colleagues it is vital that an efficient air link with increasing capacity is
leaving little scope for their Fiji hosts to counter that provided:
poor publicity. On the other hand, domestic clientele
are close at hand and can be contacted to smooth hurt • In the short term upgrade the runway and apron to
feelings. accommodate three Twin Otter/ Y12 planes at once. Not
vital but an upgraded terminal would be desirable.
Competition and Commercial Relationships
The question has been raised as to whether Fiji needs or • If investigations show Savusavu can be upgraded to DASH-
should have two vigorously competing domestic 8 standard, the aim should be to achieve this by 2010.
carriers? The debate is fuelled by the on-going problems • In the event that Savusavu cannot be upgraded to DASH-8
in 2006 of delays experienced by many travellers flying standard, develop a longer term approach with the domestic
with Air Fiji in particular. This has been exacerbated by airlines for increasing capacity of an efficient air link either
the delays Air Fiji have had in introducing larger aircraft. increasing flights with Twin Otter or similar to Savusavu or
Air Pacific has recently launched a subsidiary “Pacific using Labasa and a ground link.
Sun”, in order to integrate their international and NOTE: Relying on road transport from Labasa to Savusavu,
domestic operations bases. There is ongoing legal action after a domestic flight Nadi-Labasa will significantly stifle growth
brought by Air Fiji but the two airlines have been in Savusavu.
operating since early 2007.
If it is possible to upgrade Savusavu airport for daytime operations
For the two domestic carriers to compete head-to-head, up to DASH-8, either AFL should do the upgrade or it should
and be financially viable, they need to bring to the be offered as a public private partnership.
competitive skies sufficient capital backing, business
acumen, operational agility and deployment of The strip at Matei needs the removal of coconut trees
appropriate aircraft. They have to be “smart” operators, that are too close to the alignment of the runway. Also,
employ dedicated and skilled staff, and engender the aircraft parking apron needs to be moved further
confidence in their clientele. away from the runway and needs enlarging to
accommodate at least two Twin Otter aircraft on the
Key Strategies for Domestic Aviation ground at the same time.
The proposed strategic direction for domestic aviation links to
support tourism and regional prosperity are: In the medium term upgrade Matei to be safer for Twin Otter day
• Ideally DASH-8 standard airports and efficient and light operations and further, consider an upgrade if possible, to
regular (at least daily) services of DASH-8 equivalent make Matei night operations capable for Twin Otter.
aircraft between Nadi and Nausori, Labasa and In the medium term, undertake an engineering study to review the
Savusavu. (Note: services between Nausori and Labasa capacity to make Matei airport DASH-8 capable for daylight
and Savusavu are likely to remain Twin Otter/Y12) operations.
• Efficient and regular at least daily services of Twin
Otter/Y12 equivalent aircraft between Nadi (and Kadavu runway needs some minor upgrading for safety,
Nausori), Matei (Taveuni) and Kadavu. involving a larger apron and it is understood that the
terminal needs to be relocated.
• Increasing services to other Twin Otter/Y12 capable
airstrips through Fiji. Additional transport should be facilitated for outer
A thorough review of performance of domestic air services should island destinations.
be undertaken, including benchmarking against international In the long term, progressively construct other small Twin Otter
performance standards for safety and reliability, booking systems, capable domestic airports that will facilitate air access for
handling of schedule changes, fit out of planes, luggage and freight
appropriate sustainable tourism in the outer islands.
handling. Minimum standards should be mandated.
An effective gateway to the North needs to be established. A
comprehensive airport engineering study should be undertaken as a
high priority, reviewing the potential for Savusavu to be extended
to suit DASH-8 for day operations and the practicality of
making Labasa night capable for DASH-8.
Figure 8: Domestic Air Routes (One way seats per week)

46
Fiji’s Tourism Development Plan
2007-2016

47
Fiji’s Tourism Development Plan
2007-2016

A few intrepid tourists use these vessels for transport


Within Fiji By Sea between islands, probably the most used is the link to
In some cases there are alternative modes of transport Levuka, although some tourists do use ships from
that could assist spread tourists. Fast catamaran vessels Ellington Wharf to Vanua Levu and also to Taveuni.
could be one way to augment air services for the North
and it is a recommendation of this report that such The key role in this shipping is the transport of freight.
services be investigated. The North is being given much Recognise that critical role inter-island shipping play in achieving
emphasis in the overall tourism plan. Accordingly, there regional prosperity and support it as required..
is a need to look at all forms of transport connections.
Within Fiji By Land
Fast Ferry Services
Fiji is well served by a network of roads, however, the
The recent introduction of a fast catamaran ferry service
condition of many of the coastal and inland unpaved
between Lautoka and Savusavu appear to open up a
roads – especially after heavy rain – detracts from
good linkage which should be supported and
opportunities to further spread the net benefits of
encouraged. It is likely to meet some of the need for
visitor access and expenditure. Almost all roads
access to the marine activity developments that are
currently regularly used for tourism and most roads into
planned for that area. It would be complimentary to the
potential new tourism regions could benefit from some
improved aviation services, and should take precedence
level of upgrading.
over the improvements to the lengthening of the airport
at Savusavu. Many tour operators provide land transfer and tours.
The fleet of such transfer vehicles needs upgrading and
The fast ferry services from Denarau to the Mamanucas
will need rapid expansion as tourism numbers grow.
and Yasawas is the lifeline for these thriving tourism
destinations. Recognise that Fiji needs a new and expanding land transport
fleet and implement duty concessions to enable import of new
Support the recent introduction of fast catamaran link Lautoka-
tourism vehicles (coaches etc.).
Savusavu. Support the crucial role of the Mamanucas and
Yasawas Passenger ferries and encourage the establishment of Identify ongoing priorities for road upgrades and maintenance to
other ferry services to provide such links (e.g. around and/or to provide adequate transport linkages. Immediate priorities are:
Kadavu). • Nadi town bypass (Coral Coast to Denarau).
Implement duty concessions to enable import of new tourism vessels • Progressive repair and upgrading of Queens Road Nadi
which provide ferry services to encourage regional prosperity. to Pacific Harbour.
• Additional sealing of the road around Taveuni.
Coastal and Island Freight and Passenger
• Completion of the Kings Road upgrading and sealing,
Vessels
As a nation comprising over 300 islands, Fiji had a connecting Rakiraki and Suva.
network of coastal and inter island shipping with both • Labasa to Savusavu road upgrade.
freight and passenger functions.

48
Fiji’s Tourism Development Plan
2007-2016

Target Markets
The growth of tourism can only be achieved by growing existing core markets
(Australia, New Zealand, US, Canada, UK, Japan and Korea) and
developing new emerging markets (potentially China, India, South America
and/or the Gulf).

© Fiji Islands Visitors Bure

Some 10 years ago, (1995) it was 4.4%, so after a period


Proposed Targets of decline, it has increased share in the past decade.
Meeting the Managed Growth Scenario Nevertheless, over 93% of Australians travelling
The following figure sets out a potential model for the outbound for holiday travel purposes do not visit Fiji
growth of visitor numbers in each key source market and that market provides both a marketing challenge,
(Figure 9). It is considered that for the Managed and many marketing opportunities for destination Fiji.
Growth Scenario significant growth in at least two
emerging markets will be required. Fiji rated as number 15 of single country destinations
for outbound business purpose travel for the outbound
Knowledge of Markets Australian market in 2003, moving up to 13th ranking
The development of these strategic directions has been for the most recent data for the 9 months to the end of
based on anecdotal evidence and limited rigorous testing Sept 2005. This indicates there remains a substantial
of actual market intelligence. For some markets, amount of competition in this segment. Holiday
summary results of FVB’s market research have been purpose travel by Australians into Fiji is in the order of
considered. 10 times the size of the business purpose segment for
Fundamental to the major marketing and product development to Fiji.
meet market demands is market intelligence. Proactive and The Australian market recovered steadily after the 2000
coordinated strategic collation of market knowledge (research and coup. The number of Australian visitors to Fiji
intelligence) for all major targeted markets is required. increased from 77,000 in 2000 to 181,000 in 2005.
Therefore, Australia remains as Fiji’s largest single
Australia market. PATA forecast Australia’s outbound tourism
As a single country destination, Fiji has been losing its market (to all destinations) will grow at 5.2 percent per
ranking over the past three years for outbound Australia year in the medium term.
travel, with the emergence of Thailand, Singapore and
China joining New Zealand, the UK and the USA as the Visitors from Queensland are increasing rapidly with a
most popular single country destination. Indonesia’s 35% growth in 2003 from 2002. The couples and family
(Bali) ranking has also been weakening. groups continue to be the core markets with an increase
in young singles living at home, young mid-life singles
In 2005, the Australian Bureau of Statistics records not living at home, and older working married people
indicated that 196,909 of the total Australian outbound visiting during low seasons (February-May, August,
travel market 4,754,000 departed for Fiji for all travel November). Australians undertake the most activities
purposes, with Fiji ranking 7th behind New Zealand, per visit (4.36 activities/person).
USA, UK, Indonesia (Bali), China and Singapore. For
the dominant holiday purposes, 146,310 Australians The managed growth scenario requires the Australian
departed for Fiji in 2005, representing 6.6 percent market to grow from 181,000 in 2008 to 330,000 in
market share. 20 years ago, Fiji’s Australian holiday 2016, not quite a doubling. This would mean that
travellers market share was 7.8%. growth from Australia must be at higher rates than the
expected growth of outbound holiday travel. As such
greater market share will be required.

49
Fiji’s Tourism Development Plan
2007-2016

south-pacific.travel state: “Fiji has performed well out of the New Zealand produced a record 1,871,801 outbound
Australian market post 2000 due to issues in South Asia travellers in 2005, with Australia receiving
(SARS, terrorism, political instability, tsunami). However, South approximately one-half of that figure (941,151). A total
East Asian destinations have responded by investing enormously of 109,006 New Zealanders travelled outbound to Fiji in
in infrastructure and marketing. Australians increasingly have 2005, confirming Fiji’s position as the number one
choices for tropical resort holidays and Fiji will need to be on top South Pacific destination for New Zealanders for all
of its game to make market share inroads against such purposes (holiday, visiting friends and relatives, business
competition.” and education).
To achieve the growth from Australia will require significant For outbound NZ travellers, the primary South Pacific
destination branding and associated call to action tactical destination competition comes from the Cook Islands
marketing. The target markets for this branding must match (42,519 in 2005) and Samoa (25,895). More New
Fiji’s product offering. Further geographical focus of share of voice Zealanders travelled to Fiji in 2005 than any single Asia
in marketing should focus on the core markets serviced by direct destination, with China (50,406) receiving about half the
flights, or ticketed connections. Fiji arrivals number followed by Thailand (25,899), India
(20,869), Hong Kong (19,214) and Japan (18,652).
New Zealand
New Zealand is Fiji’s second largest source market with New Zealand travel to the USA was strong at 90,803 in
approximately 95,700 visitors in 2005. The leisure 2005 with considerably less volume into Canada.
market (80%) continues to be the core segment (15,791.) The UK (86,377) remains the primary
followed by the romance market (weddings and destination for New Zealand travellers into Europe
honeymoon, 12%). In 2004, the New Zealand market (144,713, which includes the NZ arrivals into the UK).
recorded the highest growth in visitor nights (34% In 2005, less than half the New Zealand residents who
increase) compared to the U.S (20% increase) and travelled overseas did so principally for holiday
Australia (15% increase). The majority of New Zealand purposes. (804,575) This is approximately 43% of total
visitors continue to come from Auckland with the outbound travellers of which there were 1,868,074. In
largest growth generating region being Waikato, Bay of 2005, 105,150 (13%) of New Zealand travellers were in
Plenty. the age bracket 0-14 years. As such, the family market
out of New Zealand is strong.

Figure 9: 2016 Visitor Arrivals by Origin Markets for Scenarios


400,000

350,000

300,000

250,000 2005
Visitor Arrivals

2014 Low Growth


2014 Managed Growth
200,000 2014 Aggressive Growth

150,000

100,000

50,000

0
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3
d

pe
lia

da

s
a
ia
s

er
an

pa
te

nd

re
do

ng

ng

ng
As
ra

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na
ta

th
Ko
al

Ja
la
ng

gi

gi

gi
st

Eu
S

Ca

O
of
Ze

Is
Au

er

er

er
Ki

h
d

st

Em

Em

Em
ic

ut
ite
w

Re
cif

So
Ne

ite
Un

Pa
Un

50
Fiji’s Tourism Development Plan
2007-2016

Between 1995 and 2005 the number of New Zealand We have adopted a major target for Canada of 44,000
holiday travellers has grown by 84% while those for 2016 a three fold increase on 2005 numbers. This is
travelling to Fiji have grown by 92%. The fastest on the basis that without growth in this market the
growing age segment of all holiday travellers is 0-14 (presently unprofitable) air route may be lost.
years (121%) followed by 45-59 years (93%).
To grow the Canadian market, a major marketing campaign is
Fiji grew faster than the total holiday market in all age required and the suggestion is to focus on western Canada (British
categories between 1995 and 2005. Columbia and Alberta) area and to a limited extent Washington
State in the US.
South-pacific.travel state: “New Zealanders have less choice
than Australians and perhaps that is why the New Zealand Current Canadian visitors are often relatively free and independent
market is holding up better after the events of late 2006. However, travellers, not normally buying the package short holiday that
most economists forecast significant downside risk to the NZD characterises the Australian and New Zealand markets. Effort
over the medium term. We shouldn’t forget that twice in the last needs to be put into understanding and matching Fiji’s product
15 years the NZD has almost halved in value against the USD with the potential Canadian market (which appears to be more
and a third big fall is not out of the question. Such a depreciation focussed on free and independent travel).
of the NZD would make Fiji holidays very expensive in this
For the US a target of 154,000 for 2016 is proposed,
market. The plan notes that affordability had already become an
which is double that received now. This again is owing
issue for New Zealanders even in 2006. PATA forecasts 6.8%
to the need to bring on numbers to shore up a presently
growth pa in the New Zealand outbound market but this forecast
unprofitable air route.
must have a big downside risk.”
The marketing dollar spent per tourist arrival is already
The suggested target for New Zealand of 165,000 in
the highest of any market to attract US visitors, this is
2016 is also an almost doubling of 2005 numbers,
unlikely to change. However, Fiji would suffer
requiring Fiji to increase its share of New Zealand’s
strategically if it lost the US direct air link. It would lose
outbound holiday travel.
a European connection as well.
To achieve the growth from New Zealand will require significant
To create the desired growth from the US market, a major
destination branding and associated call to action tactical
branding campaign is required. It is suggested this should focus on
marketing. The target markets for this branding must match
the west coast as the initial target. This market is less focussed on
Fiji’s product offering. Further, geographical focus of share of voice
the Caribbean, which becomes a strong competitor to Fiji in the
in marketing should focus on the core markets serviced by direct
East of the US. This will require a substantial investment as any
flights, or ticketed connections.
branding will require a costly effort to gain share of voice in an
United States and Canada expensive media environment.
The United States of America (US) has potential to be a Having said that, it is felt that the US (and Canadian)
much greater source market contributor to Fiji’s tourism markets are not limited, and with the appropriate
industry. In 2006, the US population passed a product offerings and aggressive Brand Fiji campaigns,
demographic milestone of 300 million and at current the numbers can be achieved and potentially even
growth rates is headed for 400 million by 2043. It is a further growth of market share is possible beyond 2016.
huge, wealthy market that continues to grow.
Approximately 74,000 visitors arrived from the U.S and
United Kingdom
The United Kingdom (UK) is the fourth largest source
13,200 visitors arrived from Canada to Fiji in 2005. 40
market in terms of visitor arrivals (63,500 in 2005). 44%
percent of U.S visitors were from California and 50
of the backpackers in Fiji are from the UK.
percent of Canadian visitors were from British
Columbia. Visitor arrivals from North America are Despite the slow economic growth that resulted in less
increasing slowly. Around 13 percent and 3 percent of UK residents travelling overseas, the total visitor arrivals
backpackers in Fiji are from the U.S and Canada to Fiji continues to grow.
respectively.
It must be recognised that many of the backpackers
Note: USA and Canada are two distinct markets, but from the UK, who are key visitors of the Yasawas in
they are combined here owing to the poor viability of particular, buy round the world tickets where the price
the Canada air route and the potential that there may be of the ticket is a major determinant. Fiji is not known to
some consolidation during the period up to 2016. be an aspirational destination in the purchase decision,
Aggressive marketing and targeted product offerings but rather, a welcome addition.
may assist to avoid this.

51
Fiji’s Tourism Development Plan
2007-2016

A constant monitoring of the major airline alliances ticket rules The strategic importance of the route with the
and linkages is required to ensure Fiji remains a viable option for European connections through Seoul cannot be
round the world tickets for Star Alliance and One World (and overstated and until there is a stronger link through
any other international air alliance member serving Fiji). Hong Kong or another Asian port, this route is vital to
long haul European access to Fiji.
There needs to be a major branding campaign for the UK,
targeting both the potential Fiji specific long haul traveller and the Europe
potential round the world ticket backpacker (recognising these two Five percent of total visitor arrivals are from Europe
markets could require widely different techniques to establish (27,900 in 2005). Most of the visitors are from German
Brand Fiji). speaking markets and Scandinavian countries. 11% and
6% of backpackers in Fiji are from Scandinavian
Japan countries and Germany respectively.
There were approximately 30,000 visitors from Japan in
2005. Japanese are the highest daily spenders by The target for 2016 is 44,000, less than a doubling of
nationality, particularly on handicrafts and souvenirs, growth.
but have the shortest length of stay (5.7nights in 2005).
The cost of marketing into Germany is very high, and it
70% of Japanese visitors are in their 20s to 40s and 48%
is a destination where the marketing dollars spend by
are honeymooners. Main attractions for Japanese are
other national tourism marketing offices in Germany is
scenery, marine sports and hotel/resorts.
one of the highest of any nation. Hence, there is a lot of
This is another air route which needs support or it may competition amongst well resourced destinations for a
be lost. Again from a small base the target is almost share of the outbound long-haul German travel market.
doubling numbers to 55,000. Given the Japanese
Given the diversity of the European market, it is suggested that
spending power has reduced owing to the weak Yen,
there should be a review and a focus on some key markets. There
some effort needs to be undertaken to establish
needs to be greater market research to choose target markets and
competitive product offering to the Japanese market. It
match this with Fiji product.
could be that the best growth is on promoting and
branding Fiji for some key niche markets (weddings, Pacific Islands
honeymoons, and perhaps “tropical golf”). However The Pacific islands tourism is targeted to grow from
further market assessment needs to be undertaken to 36,000 in 2005 to 44,000 by 2016. This is modest
determine this. growth and is considered to be the organic demand for
To achieve the target growth for Japan, a major effort is required Fiji from these origin markets. As a stronger economy
in Japan to establish Brand Fiji, potentially after some additional among it neighbours, there is no intention or need to
market research, this branding may be targeted to specific niche rely on tourism from these neighbours for the overall
markets (e.g. wedding, honeymoon, sporting etc.). economic growth in Fiji.
While the market is small, it is important to a number of
South Korea suppliers within Fiji. It is recommended that within the Pacific
In 2005, approximately 10,700 visitors arrived from
Islands, destination marketing strategies should be targeted at the
South Korea. This market slowly regained its travel
following niche market segments: Sporting Events, Cultural,
confidence in 2004 and direct flights provided by
Small Meetings and Visiting Friends & Relatives.
Korean Air to Nadi were the strong supporter for
regaining visitor numbers from Korea. Fiji is considered New Markets
as a top honeymoon destination, compared to the The target of 1.1 million by 2016 does not appear to be
Maldives and Guam. More Koreans are spending their possible without significant growth in new markets. The
income on education and golf abroad, and Fiji has the potential markets are most likely China, India and South
potential to be the desired destination in this context. America (and to a lesser extent the Gulf may be an
This is another destination with a very unprofitable air opportunity).
route. The target is for an almost four fold increase in The target is for one new market to achieve 66,000
this market to bring the numbers to 44,000. visitor arrivals in 2016 and another 22,000.
The likelihood of success in this will rely on a major review of Growth from the China, India South American and or Gulf
market demand out of South Korea and matching this to Fiji’s markets relies on creating the air links, ensuring that Fiji offers
product offering. Once this research is completed, a targeted tourism products which match that markets demand and will
campaign to the potential markets is required. require major branding and tactical marketing to create Brand
Fiji.

52
Fiji’s Tourism Development Plan
2007-2016

There will need to be strong, coordinated collaboration between South America


airlines, FVB and major tourism products to develop these The outbound South American market into
markets. New alliances with wholesalers and out bound operators Australia/New Zealand/South Pacific is low, but with
in these origin markets will be required. increased air links, could expand from its relatively low
base.
In summary, these new markets will not happen without major
focus and coordinated effort. More than 12 million South Americans travel outbound
each year with Argentina, Brazil and Chile providing
China
over half of that figure. The potential for growth of a
The UNWTO forecasts that China will become the
South American market needs to be further researched.
world fourth-largest source of outbound tourists by
Indeed whether the Portuguese speaking Brazil could
2020 with more than 100 million departures each year.
support an air route on its own or the Spanish speaking
China’s outbound travel growth has been outstanding
Chile and Argentina could is not known.
increasing 50-fold in 20 years. The first group of
Approved Destination Status (ADS) destinations were Again an air link is required and the ability to create a
approved in 1997 and included Thailand, Singapore, destination awareness of Fiji and provide products which are
Malaysia, Philippines and the Hong Kong and Macao desired is essential to growth from this market. Research in the
Special Administrative Regions. In that year 5.32 million potential markets will be required.
trips were made. The number became 16.6 million in
It is likely new Air Service Agreements will need to be negotiated
2002, 20.22 million in 2003 despite the SARS epidemic,
to provide for the air routes.
28.85 million in 2004 and 31 million in 2005.
Gulf Region
It is expected that 2006 will still see 34 million overseas
It is noted that PATA forecasts there is substantial
trips (10% increase). China has now replaced Japan as
growth in the potential for many destinations to
Asia’s number one outbound travel market.
capitalise on the outbound travel growth from the Gulf
Creating a demand for Fiji from China will be a region, particularly the high per capita GDP countries
challenge. China has a domestic tropical destination in of Dubai, UAE and Saudi Arabia.
Hainan, and many Chinese with disposable income will
By the end of 2007, the new Dubai World Central
have already holidayed in Hainan. Their focus for
Airport and its six runways at Jebel Ali will be the
overseas holiday experiences can be stereotyped to be
world’s largest passenger and cargo hub, capable of
icons (e.g. Eiffel Tower and the Sydney Opera House,
handling 120 million passengers a year. It will be 10
shopping and major attraction experiences). The
times larger than the existing Dubai International
demand for a sun and sand holiday is not strong.
Airport. Malaysia is experiencing 35% growth rates
Continue to seek Approved Destination Status with China. from the Middle East and PATA has now opened an
An air link with Hong Kong or indeed a mainland China port is office in the Gulf region .
essential. It will be a chicken and egg situation with airlines However, at this stage, it appears Fiji is not in the
unwilling to establish the route without an existing demand. competitive destination set for consideration by Gulf
There will also need to be major efforts to create tourism products region outbound travellers seeking the attributes found
which meet Chinese demands. This will need to include cuisine and within a destination such as Fiji.
shopping products which match demand. Further there will be a There is potential to develop some growth in visitor numbers from
need to provide services in Chinese and a major effort to ensure Gulf states, particularly of some form of flight connection is
language is not a barrier to visitor satisfaction will be required. achieved (e.g. via a south east Asian hub).
India Target Markets Key Strategies
The Indian market is again one where the major focus The key strategies for growing target source markets are:
for outbound travel is not necessarily the sun and sand • Use aggressive branding and ongoing tactical marketing to
tropical island. India has the Andaman Islands and double visitor numbers out of Australia, New Zealand,
nearby Indian Ocean Maldives and Seychelles. It is US/Canada and the UK.
noted that Qantas have been prepared to offer • Identify and undertake brand development and tactical
competitive airfares between Fiji and India. marketing to key niche markets in Japan and Korea.
Again an air link is required and the ability to create a • Undertake further market research and where there is
destination awareness of Fiji and provide products which are potential and air links can be established, and aggressive
desired is essential to growth in this market. branding for growth of markets in China, India, South
India may provide more short to medium term future market America and the Middle East (Gulf states).
opportunity than China, leveraging off historical relationships.

53
Fiji’s Tourism Development Plan
2007-2016

The Fijian Tourism Product –


Success in Diversity
Fiji has a diversity of tourism products and can build on this to create a unique set of
market niches whilst creating an aspirational destination. There is an opportunity to
grow experiences and activities throughout Fiji and especially a major cultural icon in
Nadi.

© Fiji Islands Visitors Bureau

New Tourism Product Things to Do


Tourism product development involves the creation, For the overall level of tourism activity, there are
improvement to market standards and promotion in considered to be significant opportunities for additional
appropriate markets of new types of tourism. Fiji day and half day activities “things to do”.
currently offers mainly a resort style sun, sand and sea
Whilst in remote areas resorts tend to offer additional
product. This product is popular in many countries and
experiences in the local area, in the major tourism
relatively easy to develop and service. Many of the
accommodation areas, generally other businesses (day
activities and attractions related to sun and sand
tour etc.) offer the experiences.
holidays are cheap or free to acquire – beaches, fine
weather, clear water and reefs. Typically additional It is considered that there are opportunities to further
activities that add to this basic beach holidays include develop this product type (tours, activities and
diving, snorkelling, sailing, water activities, beach attractions) with present levels of visitor numbers. This
activities and tours or day cruises of the surrounding has the advantage of adding interest in the destination,
areas. Additionally, the sun and sand offering may be potentially with enough quality experiences in an area
up-market (beachfront luxurious bures or five star this encourages increased length of stay. Further, it
European resorts) or basic (backpacker lodges with cold provides a broader base for local economic benefits
showers). Other types of product developed in Fiji more (local communities hosting activities and/or local
recently include live aboard cruise ships, flashpacker businesses running authentic and unique tours etc.).
lodges, ultra luxury houses (e.g. Myola Plantation
There is an opportunity to grow experiences and activities
Resort), second homes, expatriate retirement villas and
throughout Fiji and especially a major cultural icon in Nadi.
timeshare apartments.
There has been some activity based product Presenting Fiji’s Culture – An Icon
development in Fiji including weddings, MICE, dive, Attraction
sports and cultural event tourism. Activity based The Fijian culture is friendly, fun and has interesting
products are more targeted and are examples of niche stories, messages, heritage and history. Further, the
markets. Other niche products are smaller in potential imagery is iconic and exciting.
market size and include a wide variety of experiences
such as traditional cooking, bird-watching, mountain There is a major opportunity to develop a Fijian cultural
biking, school excursions and so forth. Product theme park as an anchor attraction in Nadi. This cannot
development may also involve development of new be done in a tacky, rustic “museum” type way but must
attractions for people staying in existing resorts. In Fiji be a major architectural icon (using traditional design
these attractions include the built attractions such as the elements to create a Fiji character) and experience.
Coral Coast Railway and the Garden of Sleeping Giant; Examples of similar products are Tjapukai for
and natural and cultural sites such as the Sigatoka Sand Aboriginal culture in Cairns, Australia, the Tjiboau
Dunes and the Tavuni Hill Fort. In overview, there is a Cultural Centre in Noumea and the new Ngong Ping 360
need to develop the experience at each destination in Buddha experience in Hong Kong.
Fiji to complement the respective development of
accommodation.
There is a need to increase the product development activity in Fiji.
Given the small size and level of knowledge of many tourism
operators the government and the larger industry participants have
an important role to play.
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Fiji’s Tourism Development Plan
2007-2016

It is likely that this would be most successfully Identify land close to the Nadi airport and alienate it for such a
developed in a public/private partnership potential with use (suggest 10 ha be considered a minimum, with 15-20 ideal).
at least some of the capital from international aid (as a
Identify potential international aid or debt financing which may be
grant or low interest financing). Such developments are
suitable.
often not able to be self funding (they can cover
operational costs but recouping capital expense is Once the scoping and feasibility is completed undertake a tender
tough). However the benefit to a destination of such an process to attempt to find a private sector partner in the
icon product presenting Fijian culture would development.
significantly add to the product offering.
Attractions
Nadi is considered the best location as it is the hub and The Fiji islands offer endless attractions to experience
many visitors end up ‘killing time’ waiting for transfers and numerous activities to do. There are many identified
in and out of Nadi international airport. The ideal manmade and natural attractions including national
location would be close to or even adjacent to the heritage parks, eco-parks, gardens, cultural centres and
airport. temples. There are different types of activities ranging
The concept proposed is to have a large multifunction from nature based such as trekking, snorkelling, diving,
attraction. The focus to be on the cultures of Fiji, their surfing, canoeing, abseiling and cultural activities such as
unique history and present day expression. It is village tours, watching Fijian meke, kava ceremonies,
suggested that there would be: watching fire-walking, etc. There are also facilities
available to engage in sports such as golf and tennis.
• static displays of artefacts and cultural material;
• interactive displays (potentially multimedia); The previous tourism development plan proposed
strategies to link existing cultural, historical and natural
• a theatre showing presentations (these may take the
attractions to nearby tourism areas. This was to
form of traditional short documentaries movies
encourage tourists to engage in the Fiji experience.
and/or interactive “show’s” with props and actors
Development of a Fiji icon was suggested to attract
using innovative presentation techniques (such as
visitors into the country even if they were staying for a
holographs and lasers) to present cultures in an
couple of days. This icon was suggested to be located
exciting way,
near the tourism concentration areas.
• outdoor demonstration areas physical structures
such as a model Fijian village, a Hindu temple; Review previous proposals for attractions and develop sites which
• street theatre within the centre, including meke’s present Fiji’s environment and culture. Attempt to develop sites in
traditional story telling etc.; and an integrated way which provides suitable routes or itineraries for
• hands-on activity with audience participation in day tours from key accommodation areas.
traditional mat weaving, kava ceremony, tapa Western Region Attractions
printing, pottery etc. The previous tourism development plan recommended
that the Sabeto to Nausori road be improved for tourist
It is suggested that the centre would be open 18 hours
access into the Nausori highlands / Vaturu dam area.
or so a day and provide facilities for visitors who are
This is currently an ongoing process and once it is
arriving on early morning or late evening flights to visit
completed, a more accessible Fiji experience tour from
the centre prior to taking transport links (domestic
Nadi to Vaturu, Nausori and Sigatoka valleys will be
flights or coaches etc.) to/from their destination. The
possible. Since its recommendations, ecotourism
centre would provide meals (breakfast, lunch, dinner)
projects funded by the Ministry of Tourism have taken
and rest facilities for such use (e.g. showers, a lounge
place in the Nausori highland villages. The previous
and baggage storage).
Plan aligned with community based tourism
The centre should be designed to provide a key one development and proposes the continuation of road
hour experience, a three hour experience (e.g. a half day improvement for regional prosperity.
visit) and an integrated experience (e.g. a dinner/show
Encourage the further development of attractions and day tour
evening).
products into the western region from the key accommodation areas
Retail should be developed in a way which ensures of the Coral Coast.
authentic products are sold that have been sourced
The Coral Coast
direct from local communities/individuals (e.g. no
The previous tourism development plan encouraged
imported souvenirs).
attractions such as the Nahehe caves and Busa Park to
Undertake a scoping study and feasibility assessment for a major be developed. The implementation of the strategies
Fijian cultural attraction in Nadi. were taken place and, seven village based tourism
projects in the Coral Coast area are being developed.
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Fiji’s Tourism Development Plan
2007-2016

Encourage the further development of attractions and day tour Ovalau


products near the Coral Coast. The old capital Levuka on Ovalau promotes ‘the way
Fiji used to be’ with its colonial buildings and heritage
Suva
sites. Following the previous tourism development plan
The 1998 Plan commented that Suva needed a ‘draw
the submission to enlist Levuka on the World Heritage
card’ and mentioned the Grand Pacific Hotel as an
List has been made by the National World Heritage
attraction. The re-construction of Grand Pacific Hotel,
Committee under the Ministry of Fijian Affairs. In the
is once more proposed
event that the colonial town of Levuka is listed, Ovalau
Suva has a unique brand proposition as the national will have significant attraction for visitors interested in
capital. It is home to a number of institutions which are this heritage.
of interest to visitors, as well as local residents.
Encourage the development of the presentation of Levuka’s
(historical buildings and parks, museums, open public
cultural heritage and integrate this in Ovalau tourism products.
spaces, contemporary politics, urban social,
environmental and cultural issues, major sporting, Small Local Cruise Ships
cultural, business and government events etc.). In 2006, there were 8 Fiji based cruise ships that
The challenge is to develop the Suva brand within the provided approximately 233 rooms (cabins). Ninety five
context of Brand Fiji and ensure strategies are in place percent of these rooms are in the premium category.
so that the visitor experience matches their expectations. Most of the cruise operators with accommodation offer
For example, the provision of interpretive visitor 2-3 night cruises around the Mamanucas and Yasawas.
signage at key sites in the city, self guided city walking There are also 5-7 night cruises offered operating
trails, up-to-date promotional materials, appropriate around Nananu-I-Ra, Savusavu, Koro and Levuka.
opening hours during which visitors may enter certain The two Yasawas operators, Blue Lagoon Cruises and
buildings or locations is required. There would also be a Captain Cook Cruises have become well established icon
need for constant attention to clean public toilets and tourism products for Fiji.
clean up/reduce littering, particularly of the main streets
in the CDB, the parks and the waterfront. There are significant opportunities for cruising beyond
the Yasawa/Mamanuca area. To date no cruise operator
Develop in integrated presentation of Suva’s key attractions which has run other than sporadic trips to other areas Fiji (the
can be used to support developing Suva as an interesting Tui Tai being the only exception with cruises from
destination. Savusavu).
Mamanuca and Yasawa Islands Provide ongoing support for existing small cruise ship operators.
This region continues to be a significant day and Provide mechanisms which support the establishment of other
overnight cruise product that provides attraction and small cruise ship operations which visit other areas of Fiji.
activities for those not staying overnight at one of the
many island resorts. International Cruise Ships
Savusavu The International Council of Cruise Lines reports that
Waisali Forest Park is now completed and acts as an in 2005, 11.5 million people worldwide took cruise
attraction for Vanua Levu. In addition, the Nukubolu vacations, a 6% increase over the previous year.
Forest and Archaeological Park is being improved by Passenger embarkations at US Ports dominated, with
the relevant owner communities. 8.6 million. US residents constitute 79% (9.1 million in
2005) of the total global cruise passenger market
Support the development and management of attractions such as
Waisali and Nukubolu near Savusavu. Since 2003, there has been a significant increase in the
number of international cruise ships visiting the ports of
Taveuni Fiji. In 2003, with 30 cruise ships visiting, the total
Bouma National Heritage Park is a major attraction for foreign earnings from cruise vessels was an estimated
Taveuni and is being developed and maintained by the FJ$11m. In 2006, there were 78 cruise ships arrivals
communities. Vuna Archaeological Park has also expected. The most visited port over the last 3 years
developed into an attraction that draws tourists. continued to be Suva with 23 calls expected in 2006.
Support the development and management of attractions such as The Yasawa islands are becoming a popular destination
Bouma and Vuna near Savusavu. for international cruise ships with 22 calls expected in
2006 (up from 6 in 2005).

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Fiji’s Tourism Development Plan
2007-2016

There is further potential to develop Suva and Yasawa There is considered to be the opportunity for further
islands (Yasawa-i-Rara) as a major cruise ship stop over development of day cruise products in Fiji. The
in their Pacific voyages. To date there has not been a development of additional day experiences adds a point
coordinated campaign to encourage cruise ships to Fiji of difference for a destination (e.g. great resort and the
or to maximise the services offered to ships and their trip to xx island/reef etc.). Such day cruise destinations
guests. can also provide local economic benefits to
communities that otherwise see no revenue from
With the Lau group midway between Tonga and Suva, it
tourism (e.g. South Sea Cruises day cruise yacht Sea spray
is likely that some cruise ships would be interested in a
visits a local village which presents a meke and accepts
short stop point in the Lau. An anchorage, sheltered
sevusevu).
from prevailing south easterly winds and with a suitable
place for passengers to go ashore would be required. No The key opportunities are in the Mamanucas with
onsite facilities would be required and a local village can demand for day cruises likely to grow as
provide hospitality (although they do not need to accommodations grow in the Nadi Corridor.
provide any resources such as food/water etc. as the
Points of disembarkation become a key aspect and day
ships are self sufficient. This could have local economic
cruises originating from Momi and Natadola would be
benefits without adverse social and cultural impacts
opportunities once these sites develop. As such offshore
(owing to the short duration of disruption in a small
islands and reefs near these areas (the southern
community from a cruise ship visit). The benefit could
Mamanucas) could be in demand in coming years.
be gained by an island destination which is otherwise
remote from tourism transport linkages and unlikely to There are further opportunities for day cruises in areas
receive any economic benefit from tourism. where accommodation is concentrated, in particular
there may be opportunities from the Coral Coast
Develop a coordinated approach to increase the number of calls
(although there are limited cruise destination that are
and passenger arrivals. Then, work with shipping agents to
not on the coast itself) and near Savusavu.
optimise revenue from passenger expenditure and strengthen inter-
sectoral linkages (e.g. supply of goods and services locally). NOTE: Whilst many resorts offer diving and
snorkelling trips, with many successful day cruises in
Encourage regional cruise tourism through suitable infrastructure
other world wide destinations the opportunities are
(e.g. accurate hydrographic survey of preferred anchorage locations,
often close island/bay/reef destinations which provide a
moorings and landing pontoons). Develop the site in Yasawa-i-ra
swimming, beach, village, etc. opportunities where
and consider an additional site in the Lau for development and
snorkelling and/or fishing may be offered and diving is
promotion.
an optional extra.
Ensure safety and security of passengers, and support locals by
Encourage the development of further day cruises and ensure
providing a fair compensation for access to and the usage of
planning takes into account the need for some sites (islands, reefs,
resources on the islands.
bays etc.) near major accommodation centres to be “allocated” for
Day Cruising such use.
Inter-island cruising is considered as one of the most
popular products in Fiji. There are approximately 23
Water Sports and Resort
cruise operators providing services around the Fiji Activities
islands. Daily services from Denarau to the Mamanuca Resorts traditionally offer a range of motorised and
and Yasawa islands are offered on a regular basis. These non-motorised activities for the entertainment of guests.
cruises range from day trips to the islands to overnight This should be encouraged and whilst noisy motorised
cruises around the islands. There are also adventure activities such as jet skis are not appropriate in some
cruise ship operators that visit the outer islands of Fiji. areas, generally all coastal/island resorts should offer a
This can encourage small ecotourism and community range of water based (vessel) activities.
based tourism into the outer islands. The current coastal trading provisions require a coastal
Many resorts offer local snorkelling, diving and fishing trading licence for all vessels even including a small glass
tours to their guests. bottom boat. At present FIMSA does not issue such a
licence unless there is at least 50 percent local
ownership of the boat. This means many resorts (which
are not locally owned) are operating water sports
activities without a coastal trading licence and those
with a high degree of due diligence are not able to
conduct water sports.

57
Fiji’s Tourism Development Plan
2007-2016

Amend coastal trading licence provisions to ensure water sports Encourage the development of a yachting guide to Fiji including
vessels are exempt from the need for a coastal trading licence and anchorages etc.
can be operated by resorts.
Through the Tikina Councils undertake a survey of villages in
Whilst individual resorts should be able to operate their outer islands (that are near suitable yacht anchorage) and identify
own vessels as per above, it is also highly desirable to those that wish to host yachts and what additional services they
encourage local businesses and communities to develop would like to provide (e.g. mekes, lovos guided snorkelling etc.).
local water sports businesses. In many areas of Fiji, this
Promote those villages that wish to host yacht visits and provide
would enable one water sports business to serve a
services to them.
number of smaller resorts for whom the water sports
activity would not be commercially viable. Private Cruising Yachts
There is at present an issue where the yachts may be
Encourage local businesses to develop water sports activities.
brought into Fiji for up to twelve months, but the crew
Whilst the Hotel Aid Act provides incentives to support only receive a short term 3 month visa. Further, on
the development of tourism accommodation, there is many occasions owners and crew depart Fiji to return
not similar support for the establishment of supporting home using air flights, as Fiji’s marina offers one of the
water sports activities. few such secure anchorages a yacht may be left whilst
the owner and/or crew returns home to visit family,
Provide an investment incentive for the purchase of vessels and
attend to business affairs etc.
equipment to start or expand locally owned water sports businesses.
Continue to welcome yachts to Fiji. Consider providing a special
It is important to note that these incentives are only for
non-work yacht crew visa which allows a (multiple entry) twelve
corporate taxes, the government still realises the
month stay, available upon arrival and only whilst the yacht
ongoing cash flow taxes of VAT, payroll tax and the
remains in Fiji.
various duties etc. paid by the business from the day it
starts operations. Currently, yachts need to formally enter Fiji at a port of
entry, Savusavu, Suva or Lautoka. Yachts may not stop
Yachts or go ashore prior to reaching the port of entry (they
In 2005 there were approximately 518 yachts that visited may take shelter in an anchorage owing to weather or
the ports of Fiji. With an increase in Fiji marinas and a effects repairs but must not go ashore). There have been
growth in yachts cruising world wide and the Pacific, instances where yachts do make stops and go ashore,
there is ongoing potential for an increase in the yachting this has been reported in the Lau (given these islands
market. are enroute between Tonga and Suva/Savusavu).
There is an opportunity to attract more yachts and to Many other Pacific island nations recognise the desire
extend their stay. As more marinas are developed for yachts to visit and have local economic benefit to
providing cyclone secure anchorage, more yachts are islands in out areas distant from ports of entry and
likely to stay over the cyclone season (where otherwise departure. For example, Vanuatu allows yachts having
vessels are moved to higher latitudes for the summer cleared the country in Louganville to visit the Torres
months, often owing to insurers requirements). There is and Banks groups enroute to the Solomon’s. This
an opportunity to further develop a yacht repair and results in a thriving trade for the Torres and Banks local
service industry. communities who are without any other form of hard
Whilst protecting the sensitive coastal environment, encourage currency economy. Further, yachts have to return to a
further marina development and yacht repair facilities and services. port of entry prior to leaving territorial waters and then
must leave forthwith.
The income from such yachts usually exceeds $2,500
USD per month, often much more. Yachts mainly This can be a considerable inconvenience to visiting
spend in ports and occasionally at resort visits. There is yachts to Fiji and results in some key areas missing out
an opportunity to encourage visits to villages in islands on the benefits of yacht visits.
that wish to host yachts. This imitative will encourage Review the required procedures for yachts entering and leaving Fiji
yachts to pay for services, products and experiences, to ensure equitable regional benefits. Specifically consider
thus contributing to the local economy of isolated areas establishing a yacht entry/clearance station during the peak season
where other types of tourism may not be prevalent. In (June to November) at Denarau or Musket Cove.
many cases yachts do not go off the usual path owing to
relatively poor charting and only a now out of date
cruising guide depicting the all important reef passages
and anchorages.

58
Fiji’s Tourism Development Plan
2007-2016

Further, consider a process where by yachts may be allowed to visit • The Yasawas: Close to Nadi and potentially
select anchorages in Lau (where local communities wish to welcome yachts can remain based in the Yasawas (with
yachts) whilst enroute from Tonga without having to first clear into client using seaplane or the daily ferry service),
Fiji in Suva or Savusavu (e.g. the yachts obtains a permit by thus avoiding the often uncomfortable sail into
email or fax whilst in Tonga, the permit allows up to one week the wind from the Yasawas to
stay prior to clearance into Suva or Savusavu). Lautoka/Vuda/Denarau. The Mamanucas are
In the past FVB has supported yacht rallies to Kadavu. probably not a great skippered destination in
Further, there are yacht races from New Zealand, an their own right, however could form part of a
organised annual cruise to Vanuatu, and numerous shorter itinerary and/or be tied in with Waya
regattas (Musket Cove and Presidents Cup). The two and the southern Yasawas.
major annual round the world rallies usually visit • North Vanua Levu coast: This area has
Savusavu and/or Musket Cove. potential owing to the sheltered waters, many
Without spending money on government sponsorship, support such reefs and islands with good anchorage.
organised yachting events. One area of support may be to allow Currently the transport linkage does not
unusual clearance into or out of Fiji at isolated sites (e.g. Kadavu). support this area, but once the Labasa airport is
upgraded and there is a stronger air link, this
Skippered Charter Yachts area would be highly “prospective”.
The cruising grounds of Fiji provide a great opportunity
for the development of a major crewed charter yacht • The Lomaviti Group: This area has many very
industry (as opposed to hirer drive “bareboats”). The good reef and island locations, routes in this
many islands and numerous anchorages provide an ideal area would involve some relatively exposed
opportunity to grow Fiji to be the premier such passages and consequently would only be
destination in the Pacific. More than one Caribbean feasible for larger yachts with weather less of a
Island has its major tourism economic contribution factor for guest comfort.
from such crewed charter yacht industry.
• The Lau Group: This area could become the
Skippered charter yachts presently need to obtain a jewel in the Pacific for remote area skippered
coastal trading licence and this requires the import of charter yachts. The transport linkage is
the boat with ownership by a resident or local relatively poor and weekly flights create
ownership of at least 50%. This is prohibitive to restrictions on flexible itineraries. However
encouraging the growth of this industry. viable tourism products could be developed
Amend coastal trading licence provisions to ensure yachts can around the current linkages and/or using
obtain a coastal trading licence for the purposes of operating a charter flights. Larger yachts can make the
skippered charter yacht business (to agreed locations) for a period passage from and to Savusavu (or Taveuni) to
of up to five years. One the business has been operating for five overcome this linkage restriction.
years, require duty equivalent to importing the yacht to be paid, • There are other locations which could be used
with payments spread over the following five year. by a few yachts, such as Kadavu. This would
Skippered charter yachts can develop set routes (whilst provide an ideal location for yachts that could
allowing some flexibility for weather and different focus visit the many ideal anchorages currently
of guests). Certainly any particular skippered charter without a resort, thus providing income to local
yacht business can identify a set of anchorages and sites villages without the land use commitment of a
it will mostly visit and develop arrangements with local resort.
communities and villages to provide services and It should be noted that the potential skippered charter
support. yacht industry in Fiji would serve a clientele not
The approval for a skippered yacht charter can be otherwise served in Fiji. It is about small group,
conditional upon arrangements with local villages and sailing/boating, reasonable levels of privacy and security.
communities for commonly used anchorages. This industry is not competition to other forms of small
luxury cruise ships presently in Fiji, nor to existing
If tour operator licensing is implemented (proposed as part of a island or mainland accommodation.
new Tourism Act), establish a process and conditions to ensure
skippered charter yachts have agreements with local communities The opportunities for additional skippered charter yachts are
visited and that there is a net benefit to the local communities predominantly the Yasawas, Lomaiviti, Vanua Levu and Lau.
visited.
The areas which provide the best opportunities for
potential skippered charter yachts are:
59
Fiji’s Tourism Development Plan
2007-2016

Whilst the Hotel Aid Act provides incentives to support There is an opportunity to provide for the commercial
the development of tourism accommodation, there is charter of Superyachts that visit Fiji. This brings an
not similar support for the establishment of skippered additional level of tourism and expenditure which is
charter yacht industry. Whilst the above sets out a presently essentially excluded in Fiji. The suggested
framework to encourage owners of foreign registered approach is to allow their temporary entry for up to six
yachts to operate in Fiji, it is also desirable to encourage months for commercial use, give them some form of
Fiji businesses to enter this market. coastal trading licence specific to the visit and allow
them to go to set locations.
Provide an investment incentive for the purchase of vessels and
equipment to start or expand locally owned skippered yacht The concept would be to work with the Tikina councils
charter operations. in an area to identify set locations (anchorages) which
wanted to host Superyachts. The services offered (such
It is important to note that these incentives are only for
as mekes etc. can be identified). As such a permit to a
corporate taxes, the government still realises the
Superyacht to undertake such charter business in Fiji
ongoing cash flow taxes of VAT, payroll tax and the
would be, for example, to operate ex Denarau to a
various duties etc. paid by the business from the day it
certain nine anchorages within the Yasawas and
starts operations.
Mamanucas (who have indicated they are willing to
Superyachts accept Superyachts anchoring and may be interested in
Increasingly superyachts are visiting or are based in the providing services to local yachts).
Pacific. The superyacht industry has been steadily
Develop a mechanism whereby Superyachts can visit Fiji and
emerging from modest start in the Mediterranean and
undertake commercial charters for a set period (say up to one
Caribbean. Superyachts can have a major contribution
sailing season, six months) to specified locations.
to local economies.
Superyachts are traditionally private vessels run by a Surfing
professional crew for the owner and their guests. Either Whilst the act of surfing in Fiji pre-dates contact with
sail or motor cruiser style vessels, they represent multi Europeans, commercialised surf tourism is a relatively
million dollar assets. However, even the wealthy can see new phenomena. A tourism industry servicing the needs
the benefit in a commercial return on such a major of travelling surfers emerged in the late 1970s. In the
investment which requires often millions of dollars a 21st century hundreds of surf tourism travel agencies
year to run. As such many are semi-commercial and and thousands of tour operators provide services to an
where they can legally, they run short but exclusive ultra industry that is estimated to generate hundreds of
luxury charters. At present yachts need to be imported millions of dollars annually.
and have local ownership (for the coastal trading Fiji is relatively surf-rich and is well known by surfers.
licence) for undertaking such commercial work. The island of Tavarua and its acknowledged world class
Note: the term Superyacht is really undefined, it refers breaks Cloudbreak and Restaurants are household names
to larger more luxurious yachts often over 100 feet in in the global surfing fraternity and become the focus of
length (30 metres), with a professional crew and taking this fraternity for the staging of the Association of
relatively small number of guests is a relatively high Surfing Professionals World Championship Tour event,
degree of luxury. the “Globe WCT Fiji” in May each year. The 2005 IVS
states that 2% of visitors stated that surfing was their
Superyachts which wish to become based in Fiji should be treated main purpose of visiting Fiji. The vast majority of the
as per the Skippered Charter yachts strategies above. surf tourism market are concentrated in the Mamanucas,
However, Superyachts often wish to visit Fiji for a few Nagigia Island off Kadavu and Frigates Passage off
months, not based in Fiji but rather on their way to Pacific Harbour. Live aboard yacht charters also run in
other destinations. As an example, many will spend one the summer season to the Lau group.
Fiji summer cyclone system in the Pacific north of the
equator, then come to Fiji for a winter or non cyclone
season, then move to New Zealand or Australia for the
southern hemisphere summer.
It should be noted that Superyachts that do provide
commercial charters do it for a clientele not otherwise
served in Fiji. It is about exclusivity, high levels of
privacy and security. This industry is not competition to
other forms of small luxury cruise ships presently in Fiji,
nor to existing island or mainland accommodation.

60
Fiji’s Tourism Development Plan
2007-2016

The experience of many surf tourism destinations Any moves to develop artificial reefs for surf breaks should be
around the world suggest that left to develop in the subject to rigorous environmental impact assessment, including
absence of management, high quality surf breaks tend to hydrological modelling of the effects on current and wave patterns
become over populated with high-density low-cost low- on nearby natural reefs.
return surf tourism operations which can bring negative
environmental, socio-cultural and economic impacts to Diving
host communities and their environments as well as The dive market is Fiji’s longest established market and
leading to a deterioration of the surfing experience for is a major niche market in Fiji’s marketing activities. In
visitors and locals. Balancing recreational carrying 2004, 10% of the total number of visitors engaged in
capacity with the provision of reasonable returns to diving as non-organised activities, despite only 1%
resource owners is the single greatest challenge of stating dive as the main purpose of visit to Fiji. Divers
contemporary surf tourism management. continue to favour Vanua Levu, Taveuni and Kadavu as
diving destinations. Increased efforts are made to
Implement mechanisms which encourage local resource owners to promote Ovalau and the Mamanucas as diving
manage capacity. This may involve calculating recreational destinations.
carrying capacity for particular breaks and a locally run
safety/management patrol controlling numbers/access on a daily The dive industry is well established in Fiji and as such
basis. could be expected to grow as the demand for diving
grows as accommodation and visitor arrivals grow.
Based on input from tourism developers and local Fijian surfers However, there are a number of constraints on diving
there is a need to establish a transparent process of qoliqoli and these could be addressed to ensure the dive industry
payments. is more efficient and remains competitive.
Realistic marketing of Fiji’s surf resources. This will allow It is important to note that Fiji is well regarded as a dive
opportunities for surfers to plan for other activities when the surf destination, but is considered expensive when compared
conditions are less favourable. to the Caribbean, Central America and Asia. This
The establishment of a centralised information source for visiting expense is in both the cost of dive and the supporting
surfers would widen the appeal of breaks outside of the exclusive accommodation.
surf resorts. The same as water sports, a coastal trading licence is
Airlines should be encouraged to provide an additional excess required for dive operators and this requires more than
baggage allowance for surfers (as other airlines do for surf fifty percent local ownership.
destinations). Whilst the Hotel Aid Act provides incentives to support
There is a need to inventory Fiji’s surf resources and segment them the development of tourism accommodation, there is
by the type of surfer. Suitable developments may then be planned not similar support for Dive Operators.
and appropriate markets targeted. Open up new opportunities for Provide an investment incentive for the purchase of vessels and
the beginner market, which represents the bulk of the current equipment to start or expand dive operators.
world surf population, by setting up surf schools and promoting
Fiji as a surf safe destination. It is important to note that these incentives are only for
corporate taxes, the government still realises the
Windy conditions around the coastal areas of Fiji are ongoing cash flow taxes of VAT, payroll tax and the
attracting kite surfing. Sites are currently being used by various duties etc. paid by the business from the day it
kite surfers in Suva, Pacific Harbour, Namotu, Leleuvia, starts operations.
Nananu-i-Ra and Kadavu.
Recognise the global emergence of kite surfing and that Fiji, with Weddings & Honeymoons
its trade winds and reef protected waters could provide many places The American magazine, Modern Bride recently rated
where kite surfing is ideal. Fiji as one of the top five aspirational honeymoon
destinations.
Many stakeholders identified the potential of artificial
surfing reefs along the Coral Coast. Some surf resort
developers may be interested in building artificial reefs
as surfing/diving attractions. Given the many locations
which could be further developed for surfing in Fiji,
artificial reefs would not appear crucial to growth of this
segment.

61
Fiji’s Tourism Development Plan
2007-2016

Honeymoon and Weddings are respectively the 2nd and Fiji is one of the few countries that recognises the
3rd purpose for visiting Fiji. Despite the slow growth in importance of this segment (i.e. high yield, longer stays)
the wedding market (1% increase) and a decrease in the and thus, attempts are made to raise industry awareness
honeymoon market (by 4%) in 2004, Fiji still remains and quality assurance for the market. The backpacker
strong as an aspirational destination for potential market is an acknowledged segment on its own in the
honeymooners. In recent years, the weddings and Fiji Visitors Bureau marketing plan. The IVS conducts
honeymoon market moved out to the non-traditional separate data analysis on backpackers from other types
areas such as Cakaudrove (26%), Rewa (16%), Ba (14%), of tourists, and the tourism industry formed the Fiji
Serua (13%), Lomaiviti (12%) and Nadroga (11%). This Islands Backpackers Association (FIBA). Additionally
market is lucrative as the Honeymoon market has the recent research has been carried out by the Tourism
second highest average expenditure. Research Unit & National Centre for Australian Studies,
Monash University to understand the profile, travel
The wedding and honeymoon market is important for Fiji.
characteristics and economic impacts of backpackers/
Ensure that Brand Fiji branding and marketing strategies independent travellers. The following statistical
strongly promotes Fiji as a wedding and/or honeymoon destination. information is referenced from the University’s research.

MICE Economic Impact


Meetings Incentives Conventions and According to the analysis done by Monash University,
Expositions (MICE) the economic value of backpackers and independent
Since 1999, the MICE market continues to grow and travellers is approximately FJ$77.8 million. Backpackers
reached 8% of total visitor arrivals to Fiji in 2004. There and independent travellers spend on average $105 per
are around 10 major MICE facilities available in Fiji. day and each traveller on average is worth $1310. The
Most of these facilities are within tourism report also mentions that the average expenditure rate
accommodations in the west of Viti Levu, and can varies between regions with the Yasawas having the
provide up to 35 different styles of rooms / centres. highest yield. Research revealed that this was due to the
There are also future MICE facilities proposed in the Yasawas accommodation and transport being more
Momi Bay and Natadola developments. expensive than Nadi and the Coral Coast.

Whilst Fiji is not likely to become a premier MICE destination, With the average backpacker reporting to have spent
the MICE market enables a style of tourism market which should FJ$14 per day on tours, shopping and entertainment,
be encouraged to the capacity of existing facilities. there is clearly a need to expand each individual product
to cater for this market.
Marketing spend on MICE by FVB should target otherwise low
season periods for holiday travel. Understanding the Backpacker Market
The backpacker/independent traveller market for Fiji is
The need for a major convention centre is considered identified as a lucrative segment with increasing
doubtful. At present, a major convention of 2000 or numbers from the U.K, Scandinavian countries, U.S,
more delegates would require block booking of much of Germany as well as Australia. It is interesting to note
the available accommodation in the Nadi area. This is that more than half (approximately 60% in 2005) of the
owing to the present focus on leisure travel, hotels backpackers in Fiji were on ‘round the world’ tickets
would find it difficult to maintain wholesaler support with Air Pacific/One World Alliance or Air New
for selling as a holiday destination if they regularly block Zealand/Star Alliance. Fiji is favoured as a stop over
out dates for conventions. However, once a critical destination to or from Australia, New Zealand and the
mass of over 5,000 rooms at 4 or 5 star level is reached U.S.
in the Nadi Corridor, then this should be reviewed.
To ensure the longevity of the backpacker market, there is a
Backpackers and Independent fundamental need to ensure the airline alliances used for round the
world ticketing allow Fiji stopovers.
Travellers
Backpackers and/or independent travellers have been
recognised as a significant market in world tourism. The
movement of backpackers and independent travellers is
a new phenomenon in travel culture.

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Over the years it was identified that the proportion of Providing information for backpackers is highly
backpackers out of total visitors to Fiji has been important as approximately 17% of the backpackers felt
declining in the past 4 years (from 19% in 2002 to 12% that there was a lack of information on transport and
in 2005). This may be due to the fact that Fiji’s islands. This indicates the interest of backpackers
backpacker market is heavily dependent on the number wanting to travel to other islands.
of backpackers in Australia, New Zealand and the U.S.
The research reports that approximately 46% of
Specifically in Australia, the backpacker market has been
backpackers and independent travellers were in the age
stagnant since 2000. Nevertheless, due to the significant
between 20 and 25. Additionally, 36% of the market
influence the segment has on the tourism industry,
completed their university degrees followed by 25%
research and marketing promotions are still strongly
being high school graduates. Moreover, 42% were
made internationally. Fiji needs to promote itself as an
students with 33% being professionals and 41%
attractive stop-over destination for backpackers on
travelled with friends from home. These demographics
‘round the world’ tickets.
provide an understanding to the different travel
In order to understand backpacker and independent characteristics the market prefers. It is also interesting to
travellers in Fiji, the characteristics of backpackers in note that 46% of the interviewed travellers defined
Australia and New Zealand need to be understood. themselves as a backpacker and 24% as an independent
More than 20% of backpackers in Fiji were on working traveller. Moreover, as backpackers and independent
holiday maker visas and approximately 14% were on travellers are understood to have higher education on
student visas for Australia and New Zealand. The average they have a higher desire to learn the local
additional backpackers to and from Australia and New culture, experience different environments, socialising,
Zealand passing through Fiji has not been estimated. etc. The previous tourism development plan stated that
The Monash University study reports its limitations by backpackers are more environmentally sensitive
mentioning the possible over estimation of the travellers. There is no research yet known that support
percentages as the research was conducted during this assumption. Backpackers and independent travellers
Australian and New Zealand universities’ semester have higher tendency to travel outside the mass tourism
breaks. routes which involve nature-based and cultural activities.
When these types of travellers are exposed to the non-
Understand the scope and scale of the Australian and New
traditional tourism attractions they should be informed
Zealand backpackers market to maximise the opportunities for
on environmental and cultural sensitivities.
the Fiji backpacker industry.
Provide environmental education for travellers with information
Travel Characteristics
guides at tour desks, accommodation and tour operators for pre
Due to the significant influence the Australian and New
and post travel.
Zealand backpacker market has on Fiji’s backpacker
industry it is not surprising to note that approximately Backpackers have a higher tendency to travel freely
44% of the market is dominated by U.K visitors. without pre-arranged travel activities for flexibility than
Backpackers’ average stay in Fiji is approximately 12 other types of tourists. This allows backpackers to move
days out of their average trip away from home, which is away from the usual mass tourism destinations and
163 days. Approximately one-third of their travel days routes to experience the more remote areas of Fiji. This
away from home are spent in Australia. Even though particular market also seems to be engaged in activities
the scale of the tourism economy between Australia and more so than any other markets. With the driven need
Fiji is very different, Fiji has potential to prolong the to explore Fiji and step outside the mass tourism route,
average length of stay. Fiji is comprised of many islands the provision of different activities is vital.
that provide vast variety of different characters that can
Marketing and Promotion
be marketed with strategic strategies. Tourism for
Approximately 93% of the backpackers stated that it
backpackers is concentrated in the Nadi area, Yasawas,
was their first visit to Fiji and 41% reported that they
the Coral Coast and possibly Pacific Harbour. This may
were unsure if they would return to Fiji. This may be
be due to backpackers being budget travellers and the
due to the fact that Fiji being far away from the
transportation linkages between the main island and the
European market. As noted previously, majority of the
outer islands being expensive.
market is from the U.K and Scandinavian countries.
There is a need to encourage backpackers to travel to the outer This does not mean that the future number of arrivals
islands on the North and East of Viti Levu by providing by backpackers may decrease.
accurate information on cheaper transportation linkages such as
boat transfers. This can be a unique experience for backpackers.

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The most important information source for backpackers Ecotourism


pre-arrival and during visit was ‘word of mouth’. The In 2003, there were approximately 170 eco-tour/nature-
backpacker and independent market is heavily reliant on based tour products in Fiji. The majority of these tours
what their friends and other backpackers recommend. were available in Ba province (62 tours), followed by
Therefore it is crucial that the Fiji tourism industry Nadroga (24 tours), Tailevu (13 tours), Rewa (11 tours)
provide experiences that exceed expectations. As Fiji and Kadavu (11 tours). The more popular ecotourism
may be once in a life time visit for a lot of backpackers venues in Fiji are identified as the Colo-i-Suva Forest
and independent travellers due to distance and work Park, Sigatoka Sand dunes, Bouma National Heritage
constraints, the country needs to make sure that Park, Koroyanitu National Heritage Park and Tavuni
backpackers go back to their home country or the next Hill Fort. The Ministry of Tourism is currently
country and recommend Fiji. supporting the ecotourism program to promote and
Internet sites on Fiji were also a significant information encourage community based tourism and local
source for this market pre-arrival. The information involvement.
available on ‘BulaFiji.com’ is quite restricted to the The opportunity for ecotourism in Fiji for both stand alone
higher-end accommodation. Information on accommodation products and ecotourism day tours from other
backpacker-friendly activities in Fiji is perceived as accommodation is significant.
limited.
In Fiji, the term ecotourism seems to be thought of as
The tourism operators catering for the backpackers need to have a smaller villager owned backpacker style developments
more co-ordinated approach to marketing on the Internet. It is and there is less emphasis on nature focus and the
suggested that FVB develop a backpacker/independent traveller, cultural and environmental education components. This
(e.g with a tag line Fiji Me, My way) section to their website and has resulted in Fiji creating products positioned as
include lots of local transport information and links. Collaborate ecotourism which do not necessarily meet the global
with the Backpackers Association on relevant content, include expectations for this market. As such the main
direct email and phone contacts. opportunity for Fiji is to reconsider what it develops
Through the Fiji Visitors Bureau and the Ministry of and brands as ecotourism to capture this growing
Tourism, backpacker tourism stakeholders meet on an market.
annual basis to raise concerns and come up with According to the Quebec Declaration on Ecotourism
resolutions. This is ideal to keep the industry’s finger on (the global conference held in 2002), ecotourism:
the pulse of what is happening within the market and "embraces the principles of sustainable tourism... and the following
sharing a voice in how to make the Fiji product better. principles which distinguish it from the wider concept of
The study also showed that backpackers felt Fiji was sustainable tourism:
expensive compared to other destinations. This relates • Contributes actively to the conservation of natural and
to value for money and the level of quality backpackers cultural heritage,
are receiving from the tourism industry. Specific issues • Includes local and indigenous communities in its planning,
need to be identified by the backpacker industry and development and operation, contributing to their well-being,
tackled as a team to raise standards across the • Interprets the natural and cultural heritage of the destination
backpacker industry. Nevertheless, most backpackers to visitor,
were highly impressed with the friendliness of the local • Lends itself better to independent travellers, as well as to
staff and Fijians in general and found Fiji’s unique organized tours for small size groups".
culture and history interesting. This is a good point to
remember as offering a product that is highly Fijian, one Ecotourism Australia defines ecotourism as: "Ecotourism
which differentiates Fiji from other backpacker is ecologically sustainable tourism with a primary focus on
destination will be the driving force for Fiji to be a experiencing natural areas that fosters environmental and cultural
popular backpacker destination. understanding, appreciation and conservation".
Both the above definitions have a wide currency by the
tourism industry and natural and heritage resource
managers with an interest in ecotourism. It also helps to
define a market for which there is growing demand.
Oftentimes a tourist is does not identify themselves as
an “ecotourist”, but increasingly tourists seek out
destinations, products and activities which are
ecotourism by the above definitions.

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Fiji’s Tourism Development Plan
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The real opportunity for Fiji is to further develop • Recognise the potential growth in the ecotourism sector and
tourism product which actively present Fiji’s culture and encourage new tourism products to be established in this sector.
natural areas, tourism with a natural area focus. In
many instances this can be achieved through minor The recognition of ecotourism products in Fiji should
modification of the existing tourism product, existing be restricted to ecotourism as it is defined globally.
tourism accommodation which is sustainable and The key opportunities to develop ecotourism products are:
located in a relatively natural area (coast, island,
mountains etc.) with a nearby village has all the essential • To further develop nature based attractions and ecotourism
attributes to create a world best practice ecotourism tours to visit these (such as the Sigatoka Sand Dunes, sites
product by adding proactive presentation of nature and in the western highlands and potentially Abaca near
culture (presentation which includes an entertaining, yet Lautoka).
education component). An existing tour can add • To promote Taveuni as a major ecotourism destination and
support for local conservation, nature and cultural work with the existing industry to develop the overall
interpretation etc. to create ecotourism. ecotourism products (include elements of ecotourism in the
It is important to recognise that the above definitions accommodation product and link in the unique natural
and comments on tourism product above are not attractions including Bouma).
necessarily “badges” that potential tourists put on their • To develop ecotourism products in the highlands and create a
preferred tourism product, however tourism products
mountain ecotourism products with sites as attractions and
which meet the elements of ecotourism are highly
some accommodation.
successful and demand is growing significantly. This
growth is from markets and market segments which are • Any development in remote islands could be ideal to focus on
Fiji’s target markets (particularly Australia, New Zealand, ecotourism as this could be unique selling point for area, in
US and UK). particular Lau, and to a lesser extent Lomaviti and Kadavu.
Ecotourism is not necessarily a prime focus for a tourist, Shopping
rather it can be part of the experience, e.g. staying at a Shopping is one of the world’s most significant tourist
normal resort/ hotel yet choosing ecotourism tours and activities. International destinations such as Hong Kong
experiences (over 90% of visitors to Cairns go on one and Singapore focus on shopping as one of the major
or more ecotourism product tours to the nearby Great attractions on offer in their tourism marketing and
Barrier Reef or world heritage listed rainforest). As such branding. Fiji has fallen a long way behind these leading
it is important to recognise that ecotourism is not just a shopping destinations in what is a highly competitive
whole segment of potential visitors to Fiji, but also a marketplace. Nevertheless, Fiji has the ability to
preferred product type for tours and activities. maximise the benefits from its current shopping status
Ecotourism is not necessarily small and/or rustic and expand its potential opportunities.
products. One of Australia’s largest resort chains, There is little data available to help understand the
Voyages Hotels focuses on ecotourism, it sells to the current spending patterns of visitors in Fiji. According
whole segment of the tourism market, yet its unique to the IVS 2004, on average, visitors spent only 13% of
selling points are the essentials of ecotourism (as well as their total expenditure on shopping. In other tropical
great facilities, service, places etc.). Many of the most destinations such as Hawaii shopping is such a lucrative
successful tour operators in Australia are ecotourism part of the tourism industry that data is produced which
and their unique selling points in their marketing focus details shopping expenditure by tourism segment.
on the elements of ecotourism (e.g. Skyrail, the
rainforest cableway, Down Under Tours in the desert Fiji needs to conduct a more comprehensive analysis on the
and Cairns, Quicksilver Connections and Fantasea, reef spending patterns of visitors by market as the type of products and
tour operators). services each market purchase can differ.
Specific strategies to grow ecotourism in Fiji are:
• To add cultural and natural presentation to existing Fiji
ecotourism products so that they meet market expectations.
• To add ecotourism elements to existing accommodation and
tour products and promote them as ecotourism experiences
(without in any way detracting for the present competitive
position).

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Fiji’s Tourism Development Plan
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The 1998 Plan recognised the deteriorating status of Sports


visitors’ shopping experiences and suggested several There has been an increase in sporting events that
options for Fiji to undertake. One of the support sports tourism in Fiji. Promotion of Fiji as the
recommendations was to create a handicraft quality destination in the region that supports sporting events
trademark or labels that identify the craftsperson of the will encourage the sports tourism industry.
product. This was implemented by the Department of
Culture and Heritage which resulted in the Label of There is a mismatch of sports facilities in the east and
Authenticity strategy. The purpose of the strategy is to accommodation in the west.
protect and elevate the value of indigenous Fijian and Recognise the potential opportunity sport tourism events can have
Rotuman artists and to provide quality assurance for to local areas and in particular promote sports event in Suva that
consumers. will support the level of local accommodation.
Another recommendation was to re-introduce
downtown duty free shopping. Fiji was proactive in Business Tourism - Suva
promoting duty free shopping some 40 years ago and Suva city, the capital of the Fiji Islands is the political
had some effective results. However, deregulation, centre for the nation. It also is a commercial and
failure of competitive pricing, and a lack of emerging educational centre not just for Fiji but also for the South
shopping centres lead to Fiji falling behind other Pacific Islands. Furthermore, it has the main port for
international shopping destinations. Fiji and hosted of the 2003 South Pacific Games. Suva
has become a multiethnic and multicultural city over the
Introduce a VAT tourist refund scheme for visitors. years with indigenous Fijians (Melanesian ethnic), Indo-
Increase product diversity as the current products on offer are Fijians, Polynesians, Chinese, Koreans and Europeans
limited to handicraft and small souvenirs. residing in the city.
To attract and maximise the benefits of shopping tourism, Fiji In the international travel industry, destinations are
needs to keep its traditional cultural character of Fijian products. involved in the concept of business tourism one way or
Additionally, support commodity products that are made locally another. Suva is no exception. Due to its significance as
with local materials. a hub in the South Pacific, the city has been generating
steady business tourism over the years. In 2005, the IVS
Previous research has identified that visitors to Fiji reported that 6% of the total number of visitors came to
experience low levels of satisfaction in terms of Fiji for the purpose of Business. Not all of these visitors
shopping experiences. This situation has been would have visited Suva but it is reasonable to consider
influenced by various factors, not least of which is a the city as more of a business tourism destination than
perception of low quality customer service. This is a other Fijian cities.
crucial point to note as a negative shopping experience
can influence the overall travel experience and level of Internationally, business travel or independent
satisfaction with Fiji as a tourism destination. corporate travel also embraces the MICE (Meetings,
Incentives, Conferences and Exhibitions) market. In
Reduce the aggressive sales approach by some shopkeepers through this context Suva has facilities such as Raffles
high quality retail service training and education. Tradewinds, Holiday Inn and JJ’s on the Park to cater
Additionally, the opening hours of retail shops makes it for such needs.
difficult for visitors to enjoy their shopping experience. Suva has many opportunities to maximise and grow its
For example, a cruise ship that docks on a Sunday in current business tourism status. Little data is available to
Suva cannot engage in any shopping or dining activities understand the current scale and position of business
as most of the shops are closed. tourism in Suva. Therefore, firstly the profile of
Extend the opening hours of shops in tourism concentrated areas business travellers in Fiji needs to be identified to
such as Nadi, Sigatoka and Suva. capitalise its potential.
Retailers should know tour operators, cruise ships and flight The International Visitor Survey should include movement,
schedules and operate accordingly for a positive visitor experience. activities, length of stay, type of business, etc. of business travellers
in the questionnaire. Conduct separate analysis of this segment.
Relevant government authorities, retail associations and
the tourism industry need to work together to provide
good shopping experiences for visitors.

66
Fiji’s Tourism Development Plan
2007-2016

Destination Suva, an industry driven organisation Domestic tourism is relatively small at this point. It
promoting Suva as a tourism destination, works closely distributes money around Fiji’s economy, rather than
with the Ministry of Tourism and Suva City Council. bring money in as Foreign exchange earner (which
The organisation is also represented through the Cruise international tourism does). It crates demands for
Operators Committee encouraging Suva as an imports, but also assists with creating demand for local
international stop-over cruise destination. With the products and services and helps regional/rural areas.
Ministry of Tourism, Destination Suva has produced Overall the growth of domestic tourism is a net benefit,
Suva attraction brochures for the cruise visitors. This however it does not deserve priority given the
information can also be used for business travellers who substantially greater economic benefit from
are staying an extra day or two to explore the city. international tourism
Ministry of Tourism continue its relationship with Destination Other than to recognise domestic tourism as an important
Suva and Suva cruise stakeholders to promote the various component of the overall tourism industry, there are no specific
attractions. strategies for the development and/or promotion of domestic
tourism proposed.
As business travellers are understood as a short-stay
high yield market it is crucial for Fiji to develop daily Timeshare
and weekend activities to prolong their stays. Suva Whilst the tourism product itself usually remains
offers modern and historical buildings such as the apartment style accommodation, timeshare is a product
Government House, Suva Museum, Parliament which can be uniquely identified in Fiji. As at early 2007
Complex, Centenary Church, etc. There are also Albert there were 184 timeshare units in four timeshare resorts
Park, Ratu Sukuna Park and Botanical Gardens for in Fiji: Fiji Palms Beach Club (14 Units, shared by weeks
nature-based activities. The Handicraft centre and Suva since 1983), Malolo Lailai Lagoon Resort (20 Units,
market are also attractions that provide authentic Fiji weeks, since 1991), Naigani Island Resort (12 Units,
experiences. weeks, since 1999), TrendWest (138 Units, shared by
Day trips outside Suva to Mosquito Island, Arts Village points, since 2000 with additional units proposed for
in Pacific Harbour, Colo-i-Suva and extended weekend 2007).
trips to Tailevu or the Lomaiviti group are ideal for The concept of Timeshare is that once construction is
business travellers. completed, each unit is divided into fifty-one parts being
Recognise the importance of business tourism, particularly to the a period of a week each, with one week set aside for
Suva tourism industry. Create and produce various daily activities maintenance. A week usually commences in the late
for the business travel market. The products and services should be afternoon on a Saturday and finishes in the morning of
promoted in the business market accommodations in Suva. the following Saturday allowing time for the unit to be
serviced. The purchaser buying a week in the property
Domestic Tourism secures full rights of ownership including the rights to
The Bureau of Statistics, estimated that domestic the exclusive use of the resorts facilities. There are
tourism creates a daily demand 657 rooms in 2003. It is various types of timeshare schemes, time based
likely that will grow to the order of 800 room daily (common membership of whole property), right to use
demand with the life of this Plan. (lease for a period from an overall owner), points (rights
to use a number of resorts within club, often penalty for
The focus of this Plan is on international tourism and
creating a benefit from tourism to the nation. Domestic other resorts and/or peak periods), co-share (essentially
fractional ownership), unit trust. The various models
tourism has relatively low demand and it has little role in
have a variety of arrangements for management,
either stimulating economic activity or spreading the
maintenance and other operating costs sharing.
economic benefit of international tourism through
regional prosperity (e.g. if there was a high local demand The Fiji Timeshare Association was formed in May
for tourism in remote areas). 1996.
There are however areas where Domestic tourism is a
vital part of the tourism industry. Most hotels in Suva
have a high proportion of Fiji residents staying (mostly
for business, but occasionally also for city visit). Further
many hotels in places such as Rakiraki, Lautoka and
Labasa primarily focus on domestic tourism.

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Fiji’s Tourism Development Plan
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Presenting Fiji
Fiji can grow as a unique destination, not as a generic tropical “resort” but through
presenting Fiji and ensuring that aspects of Fiji’s culture, society, landscape and
culture pervade the experience and surroundings of visitors.

© Architects Pacific

Creating a Fiji Character Fiji Character in Experience


Fiji’s tourism product is well regarded for its unique
“Fijianess”
Fijian experiences. As a sun, sand and sea destination,
Fiji’s present tourism product offering of tourism
Fiji is the typical Pacific Island destination. The
accommodation and attractions provides for a wide
experiences offered are often typical of the aspirational
variety of experiences and surroundings (landscape and
island holiday. Beaches, grassy expanses shaded by
built form). It is vital to continue to encourage diversity.
coconut palms, boat cruises - water sports, snorkelling -
Yet within this desire for diversity it is also highly
diving, forested islands and coastlines, low rise - low
desirable to encourage a “Fijianess” in the emerging
density coastal/island resorts, horse riding along
character of Fiji’s tourism product.
beaches, outdoor dining, landscaped resort grounds
The overall aim is to ensure that whilst a diversity of products will with swimming pools and activities such as golf, tennis
be developed, Fiji as a tourism destination emerges with a unique and volley ball are all aspects which are fundamental to
character, a “Fijianess”. the Fiji tourism experience and must be part of the
This Fiji character will ensure the destination retains a product mix to meet the market’s expectations.
unique product profile, this serves well for Fiji’s However, the above attributes are provided by a myriad
competitiveness into the future. of tropical tourism destinations worldwide, they are not
The creation of a Fijian Character is not just having a unique to Fiji. They are essential elements which must
tanoa (kava bowl) nearby or having thatched bures, it be delivered well, yet they do not provide a point of
should be embodied in Fiji’s tourism product and brand difference which Fiji can capitalise on.
to capture, encapsulate and nurture aspects of Fiji in Fiji has a number of aspects which help to create the Fiji
master planning, building form, interior design, artwork, character in the experience visitors have. The old
landscape design, hospitality, food and beverage, marketing tag line “miles of isles, isles of smiles”
activities, retail, presentation and interpretation. captures the smiling, friendly character of the
The opportunity is to celebrate Fiji in a wide variety of indigenous Fijian. This is reinforced by a friendly
ways, using a mix of experiences, places and structures. community in villages and towns and among the
It is the mix and emphasis of the variety that can be tourism industry with a high standard of “friendliness”
embodied in the various individual tourism products by staff at all levels. While this friendly image may have
that will create a diversity, yet as a whole reinforce the been ‘bruised’ in recent times due to political instability,
Fiji Character and brand for the destination. nevertheless, the underlying strength and depth of the
genuine ‘friendly character’ does enable the important
It must be emphasized that this Fiji character is not juts image rebuilding.
indigenous Fiji, but should celebrate Fiji’s multi ethnic
society.

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Fiji’s Tourism Development Plan
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From a historic standpoint, Fiji’s version of tropical


architecture is still seen to be the ideal architectural
approach with emphasis placed on the buildings’
relationship with nature - one of the key motivators for
tourists to visit Fiji is to experience an alive, but foreign,
culture, with age old traditional values.
In order to enhance a Fijian character, it is desirable to implement
a holistic design approach which responds to both nature and
culture.
Response to Nature
The design/layout should respond to the site conditions and be
© Fiji Islands Visitors Bureau related to the ‘place’, hence the building form should vary from
There are a number of activities, uniquely Fijian which place to place without resorting to significant tree removal or earth
can be presented to guests to provide a unique Fiji moving.
experience: meke (traditional dance), formal yaqona A closer look at local building forms shows subtle
(kava) ceremony, lovo (traditional in ground oven differences between the various styles of traditional
banquet), fire walking, handicraft making (e.g. weaving), buildings which can be further enhanced to create a
the nightly “grog” session (informal kava drinking often unique style for an individual resort.
accompanied by guitar singing) and the guitar and
Response to Community
singing band welcoming and fare welling guests (e.g. Isa
An inclusive, rather than exclusive approach should be followed.
Lei, the farewell song).
Agreement reached between government, stakeholders,
There are also opportunities for highlighting Fiji’s
landowning units and the local community should be
diverse cultural heritage through incorporating multi-
part of the design processes from the embryonic up to
cultural celebrations into the annual resort schedule (for
the consolidated stages of the master planning process.
example Diwali, Eid, Chinese New Year, the Moon
Cake Festival etc.) Holistic Approach
Design should be driven by catering for the well-being of the
Within the context of the product offered, every tourism product
landowners, investor, local community and natural ecological
should have aspects of it which embody Fijian experiences.
systems.
Another unique and important characteristic of Fiji is
The norm for designing against/despite nature has long
that Fiji’s society comprises other cultural groups,
gone since it only facilitates problems and often a poor
particularly those with Indian and Chinese heritage. This
tourism product. The design approach should embody
further differentiates the Fiji experience compared to
sustainable design principles and be holistic in meeting
competitor Pacific destinations. Fiji is a multi-cultural,
objectives. Providing services that do not add to
multi-ethnic destination that is truly representative of
pollution of the sea water/reefs, nor the natural
the “cross-roads of the Pacific”. This creates a unique
vegetation, the air we breathe and the land itself.
diversity that is most strongly expressed through the
local cuisine, which is a blend of traditional Pacific styles
(earth oven cooking, root vegetable/seafood etc.), Indo-
Fijian delicacies and Chinese-Fijian specialities.
Within the context of the product offered, every tourism product
should have aspects of it which embody the diversity of Fiji’s
cultures.

Fiji Character in Design


Fiji Character can be reflected in design by submitting
to the landscape and reflecting the indigenous
architectural forms and traditional culture of the islands,
often incorporating the use of traditional materials
(thatch, masi cloth, bamboo paneling, logs and bush
poles, carved timber panels etc). © Architects Pacific

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Fiji’s Tourism Development Plan
2007-2016

Expression of the roof form and structure would also


provide a reference to traditional building styles. Beyond
this it also help with the natural tempering of the
internal climate. Hot air can be allowed to rise in to the
roof void and vent at high level.
Commercial demands often require a high density of
guest room accommodation, however the large concrete
building block often does not make best use of the
environment is which it sits.
Development requiring high density accommodation
should pay particular attention to the articulation of
© Architects Pacific
these blocks. For example the blocks could be staggered
Fiji Character in Site Planning in both plan and section, naturally breaking up the long
Within the Landscape Context
ridge line and accommodating level changes in the site –
The fundamental approach to site planning should be to adopt the or trees and rock formations.
site landforms (topography, drainage and coastal elements) and Circulation corridors may be separate from the building
vegetation as features which comprise the landscape not to be and link closely to the natural landscape forms. This
dominated by the buildings and infrastructure but to form the base would help break down the scale of the building block,
from which the design (and ultimately the visitors experience) is but also provide the guest with a tropical landscape
based. experience when accessing their room.
The approach does not only submit to the landscape While Fiji is a tropical region and humidity levels can
but reflect the indigenous architectural forms and become unpleasant at night, for the most part of the
traditional culture of the islands, often incorporating the year the cooling sea breezes and lower humidity levels
use of traditional materials (thatch, masi cloth, bamboo are very pleasant. Air conditioning will inevitably be a
paneling, logs and bush poles, carved timber panels etc). requirement by many guest, but built spaces should be
designed such they do not rely on air conditioning and
Fiji Character in Built Form can be opened up to the external environment.
An organic approach which recognizes the requirements
to create the proposed tourism product and Breaking down the ‘mass’ building block will help air
simultaneously has reverence with nature creates a flow and enable more openings to be included in the
unique building form. The built form can also reflect a external walls. It will also facilitate a closer relationship
combination of traditional and contemporary building with the Fijian landscape.
techniques providing diversity and the vitality needed
for a unique tourism experience.

The built form of new tourism structures should embody a Fiji


character, through roof form, horizontal and vertical separation,
natural ventilation, low “mass” buildings, low rise and external
building materials/surfaces.
While the bure roof form is a strong symbol of
traditional Fijian architecture, it is understood that this
form is not necessarily applicable to modern
construction methodology in Fiji. However, the organic
quality of the bure roof does give a special character to
resort buildings. Natural roof finishes could be
encouraged over exposed profiled metal sheets. The
intrinsic requirements of thatch would give the roof
forms a subtle reference to the traditional bure. The use
of timber shingles would also give an organic quality,
not alien from the environment.
© Architects Pacific

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Fiji Character in Landscaping Fiji Character in Interior Design


The landscape design first and foremost should accentuate a An extension to the built form and architectural design, the
tropical setting and should enhance the architectural, artwork and interior design component of a building or dwelling can be
interior design composition. presented as the repository of ethnic values that involves the display,
enhancement and dissemination of cultural and traditional Fijian
The use of an abundance of natural flora together with
heritage image.
the deliberate placing of elements such as stone
arrangements, landscape lighting, pools and water Attention to detail, coupled with ergonomic
features serves to enhance the experience of visitors. considerations and functionality are key components of
interior design. The clever use of materials with the
Visitor’s Experience
careful inter-play of light and shade and encouraging
It is no longer adequate just to provide room, board and
natural elements to be part of the interior brings life
a beach - however beautiful.
into an otherwise possibly staid concept. Being a key
The landscape design should capture the essence of Fijian character component for a good design, it is suggested to include
and create an environment that arrests a visitor’s attention. the following proposed attributes:
The landscape design should consider the visitor’s Embody Fiji’s Culture
experience and be integrated with the variety of Best practice is the improvisation of Fijian traditional building
activities offered. A quality holiday environment enjoys methodology but in a contemporary, innovative way as the basis of
high market demand. interior design.
Conservation of Nature There are endless opportunities for bringing in cultural
A thorough tree and topographical survey of the site identity to accompany a contemporary directive drawing
together with an understanding of all the relevant organic admonition. Symbols of native economy are an
historical information is always a catalyst for the best obvious choice, where fish traps, woven basketry can be
design solution. employed in the display of lighting / lamps, artwork or
Preservation of significant landscape features and their natural wall partitioning systems either literally or through
enhancement for better appreciation and integration is an essential material / textural interpretation. Indigenous artwork is
factor for a responsive design. also an invaluable resource and can be employed in
innumerable detailing, ornamentation and adornment to
Energy Conservation modern themes – adding carved, painted or textural
Landscape features can contribute significantly to the relief to furniture, doors, posts, beams, walls and
protection of built property and there is a need for flooring.
respect of nature’s impact on the area. Trees and shrubs
can be used for shading from direct sunlight as well as Reference to traditional architecture – the use of organic,
directing hazardous wind away from a building whilst it textural linings, expression of posts + beams, an
can also be diligently used in conjunction with the apparent example; look at how ‘magimagi’ bindings at
building composition to improve cross ventilation by once conceal and celebrate junctions.
the careful placing of these elements to generate the Internal spaces should be a living testimony of a
pressure differences required. modern approach to the changes in the culture while
still observant and aware of Fiji’s heritage. It needs to be
a source of awe, appreciation, pride & inspiration to
guests and owners alike.
The other cultures of Fiji can be represented in interior
design through the integration of ethnic soft furnishings
(the use of sari fabric for colourful cushions for
example), artwork and cultural artifacts.
It is important to recognise that Fiji’s culture includes other
cultures, particularly the Indian heritage and this can be presented
in a way which brings out the diversity of Fiji, a unique aspect
when compared to near pacific tourism competitor destinations.

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A place to relax where one finds peace, harmony and


being separated from the outside world, the space
should enhance the regeneration of one’s life. Where
possible articulation of a high ceiling can be a major
factor in expressing openness of space, and hence the
calmness of a refuge.

Integrating Artwork
The artwork of Fiji’s tourism properties should embody Fiji’s
cultural and natural heritage.
Artwork may be referred to as the signature of any hotel
or resort operation, hence it should be bold and have
© Architects Pacific
strong traditional and cultural connotations.
Embody Fiji’s Nature Fiji character in artwork need not be restricted to local
In addition to depicting the culture of Fiji, there is a great Fijian artifacts and handicrafts, it can embody the local
opportunity to embody nature, and Fiji with its coral reef and natural landscape and biodiversity. Artwork can also be
volcanic island landscape in the midst of the Pacific has a wide extended to include textile design, ranging from the
variety of natural aspects which can be presented as part of the composition of fabrics, soft furnishings through to staff
interior design. uniforms. These can also be used to represent Fiji’s
cultural diversity. Young fashion designers in Fiji have
Already many resorts celebrate nature with turtles,
led the way in this area through innovative designs such
whales, dolphins, sharks, coral, seashells, native palms
as salwar kameez and saris made from traditional
being presented in many ways from tile mosaics, timber
indigenous Fijian fabrics and textiles designs – a tangible
carvings, and live presentations (aquariums and indoor
and material means of representing Fiji’s multi-
plants etc.).
culturalism if applied to the design of staff uniforms.
Bringing the Outside In
There can to be a strong link to the outside landscaping, a Artwork which represents the rich history and multi-
continuation when translating the architectural experience in the culturalism of Fiji that blends with the rest of the design
interior. composition will always achieve good results. It can be a
major component to creating the Fijian character and
Transparency and continuous functional flow blurs the reinforcing the uniqueness of “Brand Fiji”.
line between ‘inside’ and ‘outside’ – natural lighting,
breezes and open spaces are big factors which can It is important that a Fijian Character upholds the
create the tropical, island, character. Fiji has the unique authenticity and values.
extraordinary opportunity in the tropics to landscape Historical Reference
our interiors almost as well as the exteriors. Can be used to accentuate historical background and be
a symbol of hope and prosperity for future generations.
Timeless Integration
The materials used should be durable and add long-term A source of inspiration, even envy, of this generation is
value to the project. The inter-relationship of the possibly to emulate the achievements of our ancestors.
different components of a single or collaboration of
spaces should merge to form a harmonious entity
presenting a Fiji character, the product of perceptive
and careful design.
The use of Fijian natural and organic materials plays an
important role.
The rawness of timber, stone, sand, woven matting
when juxtaposed with more progressive materials like
glass and metal can have the intelligible effect of
harmony and balance in a space.
Refuge
Fiji’s tourism is selling leisure and often the concepts of solitude
and relaxation,(a refuge) are vital to the relaxed, Fijian, “Bula”
culture. © Architects Pacific

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Not all handicrafts offered need to be exact replicas of


traditional items, nor should all commodities sold to
tourists embody traditional aspects. There is however,
the opportunity with both to present Fiji’s multi-cultural
and natural heritage in the retail products offered. There
is also opportunity to promote contemporary, multi-
cultural art as part of the tourism product, for example,
through local art galleries and art shows (the RoC
market as an example). At the moment, these are not
readily available to tourists.

Fiji Character in Food and


© Architects Pacific
Beverage
Landscape/ Natural Reference Fiji’s tourism character is already and can be further enhanced by
Fiji character in artwork need not be restricted to local offering Fijian food styles and products food and beverage.
Fijian artifacts and handicrafts, it can embody the local
Lovo, Kokoda and Tropical Fruit…
natural landscape and biodiversity.
Fiji’s cuisine is unique to Fiji, in few other pacific
Branding destinations do the local inhabitants consider a hot
This could be used effectively having traditional Indian curry a staple food!
connotations with the clever combination of modern
Food presentation also sets apart this character from
products and ideas. Typically a Fijian style of branding,
others in the region.
signage systems, etc. that blends with the rest of the
design composition always achieves good results can be
a major component to creating the Fijian character.

Fiji Character in Retail


Contemporary Art & Handicrafts
Fiji’s tourism character can be further enhanced with a greater
diversity of locally made artifacts and commodity based handicrafts
in traditional and contemporary styles.
The use of Fijian art and handicrafts in retail should be
encouraged. Handicraft skills could be developed
further in the search for new ideas in giftware as this is
another key potential contributor to Fiji creating a
unique character.
It has been noted that there has not been any significant
change in the type and quality of handicrafts on sale to
visitors in recent years. This has adversely affected Fiji’s
reputation as a place to buy valued memorabilia. It also
represents lost opportunities for local handicraft and art
producers.
There are two important aspects in this regard,
authenticity and commodity value. The authenticity of a
product increases its value as a artifact. This is
particularly important in the creation of replica artifacts
(e.g the tanoa, or war clubs). Whereas there are also
commodities which are based on original artifacts in
terms of materials, design or motif (tapa cloth handbag).
© Architects Pacific

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With the range of excellent tropical product, combined


with the unique multi-cultureless of Fiji, there exists the
opportunity to create a contemporary fusion “Fijian
cuisine”, that represents the best that Fiji has to offer,
presented in a unique way, pleasing to the tourist palate.
Use can also be made of the unique nutritional qualities
of indigenous agricultural products through the
development of a Fijian “spa cuisine”, thus tapping into
the lucrative health or spa tourist market.
Fiji has its unique drink Kava (yaqona), often drunk
timidly with some distaste by tourists and rarely seen as
a replacement for cool tropical beverages. Apart from
© Fiji Islands Visitors Bureau kava, there are no signature Fiji drinks (e.g. a specific
Fiji’s traditional cuisine perhaps is best embodied by the cocktail, local wine or even world famous coffee).
lovo or ground oven cooking of root vegetables and However with the local mass produced and boutique
meat (pig, fish etc.). There are also signature dishes such beers and the distillery producing some spirits there is
as the kokoda (raw fish in lime and coconut juice) which an opportunity to further develop “Fijian” drinks to add
are put to great effect. Kokoda is offered in a variety of to the unique character. The development of more
forms from one resort serving “shot glasses” as access to fresh tropical fruit and vegetable juices is also
appetisers and another serving it in intricately carved an opportunity to enhance the profile of food and
coconut shell, complete with chillies and a salad garnish. beverage offerings in Fiji.
Whilst the traditional root vegetables of dalo and “Fiji WaterTM”, with its international success, has helped
cassava are not considered exotic by many tourists some create international awareness of the country and create
“traditional” food derivatives such as breadfruit chips a perception of the pristine environment.
bring out a Pacific flavour to the humble potato chip.
The Fiji food product can also be further enhanced
Tropical fruit and “tropical” presentation (the use of through the development of “value added” products
baskets, carved timber bowls and the banana leaf style such as locally made jams and jellies, chilli sauces and
presentation) all add to the Fiji ambience in presentation. specially packaged local products such as coffee, spices,
The Indian curry brought about by the heritage of a sugar etc. Not only does this highlight Fiji products, it
significant proportion of Fiji’s population has been creates small business opportunities at the community
widely adopted. It is successfully used in a wide variety level.
of dishes, some of the best of which combine the Fundamentally, issues of food safety, hygiene and
seafood/ tropical aspects with Indian curry. presentation must be emphasised to ensure a well
Although there are unique elements to Fiji’s traditional prepared meal to the enjoyment of the visitor.
cuisine, the base products (seafood, root vegetables, Development and Design
coconut milk etc.) are ubiquitous to all tourist
destinations in the South Pacific. Even the “signature” Guidelines
lovo of Fiji is mirrored in other countries’ hangi, umukai Planning Legislation – Resort Form and Density
etc., as is kokoda, which is seen in the various iki mata, The Town Planning Act 1978 and the subordinate General
poison cru dishes etc. of other Pacific nations. Provisions 1980 provide the ongoing legal basis for the
planning and control of development. The Provisions
Fiji’s multi-cultural society however, introduces a unique provide for three levels of maximum density for hotels
aspect to the cuisine of Fiji. The Indian curry brought and private hotels:
about by the heritage of a significant proportion of Fiji’s • Type A is for cottage or bure styles of low density
population has been widely adopted. It is successfully – 12 bedroom units per hectare (up to 25/ha if
used in a wide variety of dishes, some of the best of scenic outlook), single storey construction,
which combine the seafood/ tropical aspects with minimum site area 2.0ha
Indian curry. Chinese-Fijian food is also a unique
element of cuisine in Fiji. • Type B is for Resorts and Private Hotels in rural
areas – 37 bedroom units per hectare (up to 75/ha
if scenic outlook), maximum 3 – storey construction,
minimum site area 1.2ha.

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• Type C is for Urban and Private Hotels outside the Building Controls
CBD areas – 100 bedroom units per hectare(up to The National Building Code was established and
175/ha if scenic outlook). Maximum 3 storey enacted during the life of the 1998-2005 Plan and
construction, minimum site area 0.4ha. appears to be providing for necessary building standards
when applied.
Where sites have a scenic outlook over water or open
space, density may be increased to the higher limits There are some issues of existing tourism resorts,
indicated above. In all other areas (residential, civic, particularly some of the older island resorts and remote
commercial and rural), hotel developments are classified backpackers/ecotourism properties where the National
as “Conditional Use” with development subject to Building Code has not been enforced (or did not exist at
specific requirements of the Act. the time). Whilst traditional design and rustic
approaches to buildings create atmosphere and
The Town Planning Act and its subordinate legislation should be character, it is important to ensure that critical safety
reviewed and the following provisions considered for adoption. aspects are still addressed.
The maximum density for smaller island resorts (Type A) should A process of “regularization” to ensure that older resorts move
be reviewed such that any density above 5 units per hectare show towards compliance with critical safety aspects of the Building
that there has been adequate provision on site for the area required Code should be adopted over a five year period.
for onsite wastewater treatment and any land disposal of solid
waste. Presenting Fiji
For all Type A development the maximum building height of one Billboards and Roadside Litter
storey should be strictly enforced. However building forms that use There have been sporadic attempts to remove unsightly
multiple floor levels and flowing roof lines should be considered Billboards and undertake roadside litter cleanups. Whilst
provided at any one point there is only one storey. thematic roadside signage can have a role, presently the
tourism amenity of major highways is affected.
The provisions of the Act which allow for special cases to be made
for increasing density should be removed. Other than in city areas It is suggested that a vigorous anti-billboard policy be enforced and
these density provisions should be strictly enforced. that further anti-litter community education be implemented
(reinforced with substantial fines for littering).
The Regional Prosperity sections outline the rationale
for limits on overall resort size for certain regions. In Exceeding Expectations
remote areas larger resorts increase a drain on local Tourists, as consumers, have a great deal of choice
resources and have the potential to increase social and when it comes to their decision for a destination. At the
ecological impacts. In particular larger resorts in remote same time that the market is becoming more
areas, near smaller villages can create employment competitive, consumers are becoming more discerning,
which attracts additional people to settle in villages and with higher expectations of quality service provision.
can create social upheaval. There is a fine line between Tourists not only expect good service and care, they are
creating local prosperity with employment (which is demanding it. Failure to meet these expectations can
highly desirable) and causing undesirable social impacts. have a detrimental impact on the industry as a whole.
The overall maximum size of resorts should be set for specific As Fiji’s tourism industry matures and grows,
areas and regions: consumers’ expectations will also continue to grow.
The industry must address the challenge of not only
• Island resorts (those without road access) should be able to meeting tourists’ expectations, but exceeding them.
show that there is adequate accommodation for staff either on-
Although tourists’ needs and expectations are different,
site or in nearby villages for at least two staff per bure/room.
there are generic strategies that can address exceeding
• In the Yasawas, Kadavu, Lomaiviti and Lau the maximum expectations on a broader level.
size of any resort should be 25 bures/rooms. In these areas
rooms should be detached bure style.
Any consideration of special dispensation of the above should be
strictly on the basis of a rigorous assessment of the social, cultural
and ecological impact. A precautionary approach should be taken
and perhaps staged approval offered, with re-assessment of social,
cultural and ecological impacts after the establishment and
operation of an initial modest stage prior to approval for resort size.
In essence, any approval for increased density should not just have
an acceptable negative impact but should be required to
demonstrate benefits.
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Fiji’s Tourism Development Plan
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Improve food quality and service through enhanced training


opportunities.
Meeting Price Expectations
There are often concerns about pricing of tourism
products, by its nature tourism creates expectations of
high standards of product, services and hospitality. Yet
whilst Fiji has captured the luxury, high end market well
with some exclusive resorts, many visitors buy Fiji on
fiercely cost competitive packages usually involving air
travel, transfers and accommodation. These visitors are
often somewhat price sensitive to pricing of food and
beverage and ancillary services.
Some resorts do offer meal packages and indeed one
thriving Coral Coast property is offered as “all
inclusive”. These can help to reduce problems of not
meeting expectations as the food prices are known in
advance.
There are many aspects which can assist Fiji bring down
© Fiji Islands Visitors Bureau
the costs of services, the prime one being to increase the
The Bula Spirit use of local produce and reduce reliance on imports for
In the late 1990’s a program of “Bula Host” was basic food stuffs etc. However, fundamentally the costs
proposed, somewhat modelled on similar programs of providing a high standard of service and quality
from Canada, Australia and New Zealand. Bula Pride products in a remote small island nation in the midst of
was established by the Ministry of Tourism and was an the Pacific Ocean will always have a price premium over
early success, however in 2005/6 it was contracted out some other destinations.
and up to early 2007 there had been little activity. A
Fiji needs to constantly evaluate it price competitiveness
decision had to be made as to whether to reinvigorate
and as an industry ensure value for money is offered
the program with Ministry of Tourism resources. In
and unrealistic expectations are not created in marketing.
early 2007 the Tourism Action Group commenced a
cooperative program with the Training and Productivity Whilst no market survey was undertaken as part of the
Authority of Fiji (“sharing the Bula Spirit”). development of the Plan, anecdotal evidence from the
tourism industry within Fiji, wholesalers from Australia
Continue to support a national level customer care programme
and New Zealand that were interviewed and other
such as the Ministry of Tourism’s “Bula Pride” or the Tourism
tourism stakeholders indicated that Fiji’s price
Action Group/TPAF “Sharing the Bula Spirit” and offer it as
competitiveness for both the air/accommodation
pre-service and in-service training.
package and transfers, tours, food, beverage and other
Hospitality Standards hospitality services had significantly reduced in the
There is a wide variety of standards of service for previous three years. The situation from 2007 will be
hospitality within Fiji’s tourism industry. There are swayed by the discounting offered during the recovery
world class properties where the standard of service phase.
meets best practice. Yet the standard of service even at
Engage in regular market research to ensure that Fiji’s costs are
many premium properties often fails to meet
price competitive as compared to major competitive markets.
expectations. At some budget properties standards of
service (even though the visitors expectations are Hotel Star Rating System
reduced) do no meet basic expectations. The Fiji Islands Hotel and Tourism Association has
recently introduced a voluntary star rating system for
No tourism destination has completely excellent
hotels. Star rating systems for resorts are often
hospitality across its entire tourism product. Fiji’s
problematic as the ambience, high service standards
tourism has grown in recent years and as such it could
often create the product more than room fit out or fixed
not be said that the standard of service has restricted
amenities (e.g. providing an iron in the room, when
growth. As such the situation is not at all bleak (there
normal resort dress is a swimsuit and sulu etc.). FIHTA
isn’t a major problem to be fixed). However, there are
have adopted an Australian system and whilst it was
opportunities to increase customer service standards
only beginning to be implemented in late 2006 it
and the demand for skilled staff will only increase as
appeared to be providing a sound basis for rating Fiji’s
growth continues.
accommodation product.
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FIHTA should continue the star rating program and encourage Ensure that Hotel licensing standards are met and monitored.
its members to be rated. Implement a program of regularisation, moving unlicensed
properties to full compliance by 2010.
FVB and MoT should consider strategies to encourage
accommodation properties to be star rated. Tourism Excellence Awards
Fiji’s tourism industry has an annual excellence awards
Hotel Licensing
scheme administer by a trust. Awards have a role in
The government’s hotel licensing provides a minimal
rewarding excellence and providing role models for best
statutory standard for the operation of tourism
practice.
accommodation. Administration of Hotel Licensing is
by the Attorney General’s department. The proposed The Fiji tourism excellence awards should be encouraged and
Tourism Act will increase the licensing to other tourism supported.
businesses.
The licensing system creates a minimum regulatory
regime which acts as a safety net to ensure minimum
standards are met. However there are a number of
smaller tourism accommodation properties who operate
without being licensed and as such there need to be a
program to ensure these meet statutory requirements.

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Regional Prosperity
The desired outcome is to have appropriate, sustainable tourism contributing to the
regional social and economic prosperity of Fiji.

© Fiji Islands Visitors Bureau

Tourism Throughout Fiji The implementation of the regional strategies for Vanua
Tourism has essentially grown in the western area of Fiji, Levu/Taveuni, Suncoast, Yasawas and Nadi Corridor should be
focused on access through Nadi International Airport integral to the implementation of the Tourism Development Plan.
with the main room stock in the Nadi, Denarau, Coral The following sections set out overall strategies for each
Coast and Mamanuca Islands areas. However, many region or precinct of Fiji. It is important to note that the
other areas of Fiji have thriving tourism activity and precinct or region has been determined on the basis of
fulfil niches for tourism products, with some particularly the tourism context (tourism product, linkages etc.) in a
successful areas becoming destinations for their manner which ensures that the precincts are discernibly
segment/source market (e.g. Kadavu for United States different in a tourism sense. It is noted that in some
divers). cases this transgresses regional, provincial and Tikina
Given Fiji’s existing diversity of tourism products, characters and boundaries.
experiences in the various regions, establish a planning framework The following sections set out overall guidance for the
which recognises the diversity and sets out strategies to develop the tourism development of each region. The following
appropriate tourism for each area on a social, ecological and should be adopted until detailed regional strategies have
economic basis. been prepared for the area.
Recognise the diversity of Fiji, but maintain the overall The chapters relating to Vanua Levu/Taveuni, Suncoast
presentation of Fiji as one destination, whilst some Tourism (northern Viti Levu), Yasawa Islands and Nadi Corridor
Areas may present to particular segments or source markets as are summaries of their more detailed regional Strategies.
specific sub-destinations.
Further Regional Strategy Plans
Proposed Room Stock Growth The project to prepare the Tourism Development Plan
The following table sets out the currently planned 2007-2016 included the preparation of four regional
accommodation projects (Table 15). 85 new properties strategy plans, Yasawas, Nadi Corridor, Suncoast and
and about 7000 rooms are proposed. The vast majority Vanua Levu/Taveuni.
of this growth is in the Nadi Corridor with hotels
proposed or being built at Denarau, Momi Bay and There are three further regional strategies which are
Natadola (25 properties, over 3000 rooms). Other considered a priority:
growth areas are the Mamanucas, the Yasawas and • The Lau Group to plan for sustainable
Nananu-i-Ra. development which supports but does not
overwhelm local communities before development
Regional Tourism Planning occurs with no planning, blossoms and the
Detailed regional planning for tourism provides an cumulative impact causes social, cultural and
opportunity to look at tourism opportunities in terms of ecological concerns.
a scale of the tourism product, local linkages, ecology,
landscape and community which allows for locally • The Highlands, to develop integrated tour
appropriate outcomes. By having a national framework opportunities linking managed cultural and natural
for tourism development (such as this Tourism sites, with the additional potential for some
Development Plan) the regional strategies can be accommodation.
developed within the scope of the tourism destination
and the national economic, societal, cultural and • Kadavu, to develop a plan focussing on maximising
ecological context. community benefits from tourism and facilitating
appropriate tourism growth.
The development of this Tourism Plan also saw the
development of four regional strategies: Vanua Prepare regional strategy plans for the Highlands, Lau and
Levu/Taveuni, Suncoast (northern Viti Levu), Yasawa Kadavu by end 2008.
Islands and Nadi Corridor.
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Overall Strategies for Regional Planning approvals for development should consider the preferred
tourism character for the region and any capacity limits. Any
Prosperity relaxation of the capacities should be only after strict, detailed
The challenge for regional prosperity based on tourism assessment of the net benefit to the local community and economy
in Fiji is to create benefits from tourism without and no significant impacts upon the local culture or ecology.
overwhelming local culture, society and ecology. It
becomes a fine balance to provide prosperity to regions Regional development should be supported through the cost
yet allow their self determination for the limits of subsidisation from developed areas for essential infrastructure such
acceptable social, cultural and ecological change. For as telecommunications and airports/sea ports.
some community members unfettered community Regional development should be encouraged through the use of
access to the beaches, rivers, coral reefs etc. is of special incentives, including for local community owned
primacy whereas for others community development developments and tourism products (e.g tours, natural and cultural
through employment and the increasing local cash attractions, local bus, ferry or water taxi services etc.
economy that this can create is vital. Regional prosperity
can have the major benefit of reducing migration to Training programs should be delivered near regional developments
urban areas, whereas rapid or large scale growth of during their construction to maximise potential for employment.
tourism can overwhelm local communities. Table 18: Proposed Additional Tourism
An island with a village of 200, which has a 100 room Accommodation by Tourism Area32
resort built on it will of course create income for the Current With Proposals
mataqali and those employed, but only a small Properties Rooms Properties Rooms

proportion of the 200 odd staff likely to be employed at Cruise 8 233 8 233
the resort may come from the local village (at least Beqa / Pacific 16 270 21 861
initially until locals skills develop). As such there could Harbour
easily be an additional 100 workers living in the local Coral Coast 38 1,682 46 2,034
area, plus their families where this is provided for. Kadavu 11 80 13 208
Whether this is in staff housing, or in the local village Yasawa 29 292 44 682
has different types of effects, yet fundamentally the Mamanuca 23 808 31 1,409
island’s population of 200 has grown to at least 500 (200
Lautoka / Rakiraki 32 528 36 1,108
in existing village, 200 guests, at least 100 non local
Natadola to Vuda 65 3,365 90 6,653
village staff). Whereas, a smaller development of say 25
room, creates 50 jobs and it could be expected that the Suva 39 1151 40 1,271
vast majority of these will be able to be local villagers, Lomaiviti 10 122 12 279
out of a village of 200 this would result in nearly full Tailevu 6 45 7 90
employment of those wishing to work (i.e. other than Naitasiri 0 0 1 61
children, the elderly, etc.), with about one worker per Vanua Levu 33 294 40 791
family. A total population of 300 or so on the island Taveuni 35 194 40 298
would not overwhelm it nearly so much and have less Lau 2 6 3 26
potentially negative effects from increasing the islands Total 347 9,070 432 16,004
total population.
With limited capital available to local land owners, most
tourism development is likely to be driven by an Rotuma
investor (often but not always from overseas) with Rotuma Island is
limited involvement financially by the land owners. approximately 300km
The fundamental goal for regional prosperity is to grow tourism northwest from Viti Levu.
that supports the prosperity of the local area, not that social There is limited tourism
structures and culture of the local area need change to support with one tourism
tourism. accommodation property
available (5 rooms).
The following overall strategies support regional
prosperity, these are summarised here and further
developed in relevant sections of this Plan (e.g
incentives etc.):
32
The table has been compiled from a variety of sources
including NLTB, Hotel Aid Act data (MoT) with some
augmentation of information based on interviews with
industry and development stakeholders.
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Fiji’s Tourism Development Plan
2007-2016

Tourism statistics for Rotuma are currently not available. The proposed 682 rooms will cater for 35,903 visitors at
There is a domestic airport that is serviced once a week 75% occupancy (at 5.2 nights stay), whereas the Yasawa
from Suva with a maximum of 6 passengers per flight. Flyer’s capacity will now cater for over 90,000
There is also a wharf that receives ferries once a month passengers annually (say 50,000 after deducting locals
from Suva with a maximum of 160 passengers per trip and staff travel). Consequently the existing and
proposed rooms are well served by the current transport
Rotuma - Desired Character and Strategies
linkage. The backpacker market catered for by most
Rotuma: Isolated Seclusion
properties appear to accept the need for an overnight
There is not really any proposal for a tourism focus or stay in Nadi to link in with arriving and/or departing
growth in tourism at Rotuma. There is potential, flights. The exclusive luxury market (Turtle and Yasawa
although with only weekly flights it requires a Resorts) provide charter flights which allow less time
particularly special interest “intrepid” traveller. There consuming connections with international flights.
may be some potential for attracting cruise chip visits
The Yasawas has many smaller low-key backpacker style
and cruising yachts, and there is modest opportunity for
resorts usually with individual bures (often with share
economic benefit from these.
bathroom facilities). There are also two larger exclusive
Yasawas luxury resorts. In recent times the more up market
smaller resorts ranging from high quality backpacker
The Yasawa islands group accommodation through to small quality resorts have
is situated 40km north been developed.
west of Viti Levu and
The tourism character incorporates clear blue waters
consists of approximately
with white sandy beaches and extensive fringing reefs
20 islands stretched out
and reef lagoons. The rugged islands provide a
over 90km.
backdrop to this spectacular imagery. The rain shadow
effect of Viti Levu from the prevailing moist south
easterlies provides low rainfall and many sunny days.
NOTE: This is only a summary of the planning for the
region, please refer to the more detailed Yasawas Guests tend to be entertained with resort activities,
Regional Tourism Strategy. village visits (for Mekes and lovos), sunbathing,
swimming, snorkelling, diving, trekking with some
In 2006, there were approximately 292 rooms in 29
northern guests visiting Sawa-i-lau cave.
properties. The Yasawa group had the highest
proportion of rooms in the budget group with 56% (163 The Yasawas is characterised by the many villages, with
rooms). Backpackers favour visiting the Yasawas with all the larger islands having a number of villages.
74% of this group staying at least one night. In 2005,
The Yasawas also have regular small luxury cruise ship
according to the Bureau of Statistics, the Yasawa islands
visits (Blue Lagoon and Captain Cook), visits by large
remained as one of the more visited destinations with
cruise ships to Yasawa-i-rara, are a focus for yacht
43,812 visitor arrivals. Additionally, 8.6% of Fiji’s total
cruising and have the potential to cater for a significant
visitor nights and an average of 5.2 nights were spent in
crewed charter yacht industry. These aspects are
the Yasawas. Based on currently known and planned
discussed in the Product Diversity section of this Plan,
projects, by 2016, the Yasawa group may provide 682
but need to be taken into account in planning for the
rooms in 44 properties with the highest percentage from
area.
the budget group with 52%.
Actual charter yachts, once cruises are established will
The main transport linkage is the Awesome Adventures
probably use a mix of common and exclusive
“Yasawa Flyer” with daily return trips (maximum 250
anchorages. In the common sites, particularly where
passengers) stopping over at many accommodation
there is coral in the anchorage or near by, consider
properties from Kuata through Nanuya from Denarau.
providing moorings. The aim of the above planning
Other linkages are by seaplane flights to Turtle (Nanuya
process can be to develop a “permit” for crewed charter
Lailai), Tavewa, Nacula and Yageta. Yasawa Island
yachts which allows them to use a series of sites (with
Lodge has its own airstrip. There is also a proposal of
flexibility for weather and short/longer trips) where the
daily ferry services by one of the Nanuya island resorts.
local resource owners have agreed to the use if the
locations for certain activities. Further the yachts can
know which villages wish to provide what sort of
additional activities on a fee for service basis.
Yasawas – Desired Character
Yasawas: Islands of the Sun
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Fiji’s Tourism Development Plan
2007-2016

The desired tourism character for the Yasawas is to There is no urgent need for any landing strips to facilitate tourism
keep the islands’ “unspoilt wilderness” character with in the Yasawas. However should real proposals emerge they should
close links to local communities and with a strong be supported if they can be used for emergency evacuation for
emphasis on Fiji character (for design, activities etc.). community and/or tourists and can be used for general tourism
The main tourism styles of small resorts, local cruise transport.
ships, international cruise ships are appropriate with the
There are many issues regarding the sustainable management of
development of a skippered charter yacht industry also
the existing tourism industry and future growth. Consider the
appropriate.
outcomes of the recent environmental impact assessment and
Yasawas – Strategies develop suitable strategies. Encourage best practice sustainability
The key strategy is to ensure that the competitive position of the in all operations, so that the tourism benefits are sustained through
Yasawas is not eroded by too much or inappropriate development. to future generations.
Maintain tourism accommodation at low density (12 units per Encourage the development of marine protected areas and
hectare) and smaller resorts (maximum 25 rooms or 50 beds). discourage over fishing of reef shellfish and reef fin fish in key areas
Aim for one bay/beach and one village/resort. Maximum roof to feed tourists.
height 5m and keep nestled among vegetated coastline. Avoid
Resource and implement a program of installing sewage treatment
eyesore, dominant scenic alterations.
to all resorts.
The development of any major resorts of more than 25
All new properties must be water self-sufficient (not taking from a
rooms would change the character and potentially have
community used resource) and provide ecologically sustainable
adverse social and ecological impacts. Specific detailed
waste water and solid waste disposal solutions.
assessment should be undertaken to evaluate any such
proposal. This should specifically evaluate the potential Encourage Telecom Fiji to establish better telecommunications
social effects on the nearby villages with increased network throughout the Yasawas.
employment and the potential for the local community
Implement a program to up-skill management and upgrade
to be overwhelmed with others settling to work in the
facilities and service levels to “regularise” all existing non-licensed
resort.
resorts.
Given that there are existing approvals for resort
Undertake awareness training and also some specific targeted
developments that are substantially larger than 25 rooms,
training programs in catering, hospitality, marine safety and other
an overall audit of the existing approvals need to be
aspects of tourism operations.
urgently undertaken. There may be a need for a slow
down on additional leases for tourism, although a Encourage the reduction of deliberate fires and encourage
moratorium would not be desirable as it is not equitable reforestation of the islands.
to now say to mataqali who have yet to achieve a benefit
Encourage the development of a yachting guide to the Yasawas
from tourism that they will miss out. However any new including anchorages etc.
development must only be for preferred tourism
(generally less than 25 rooms and only approved after a Develop a crewed charter yacht strategy, with Tikinas identifying
comprehensive environmental impact assessment has suitable anchorages (from the resource owners perspective) and
been undertaken which addresses the cumulative experienced charter yacht operators providing advise on desirable
impacts on the ecology, culture, society and tourism anchorages and potential itineraries (from a sailing and tourism
character of the proposal and all nearby resorts (where product perspective). Develop potential services for villages near
existing or approved and not yet constructed). such anchorages such as a lovo, meke, village visit, island trekking
shell market, or guided snorkelling etc. to provide to charter yachts.
The development of any major resorts of more than 25 rooms
Also consider a strategy for occasional visits by superyachts.
would change the character and potentially have adverse social and
ecological impacts. Specific detailed assessment should be Provide for modest growth in international cruise ship visits to
undertaken to evaluate any such proposal. This should specifically Yasawa-i-rara. Undertake consultation and a snapshot social
evaluate the potential social effects on the nearby villages with impact assessment in the community during a cruise ship visit.
increased employment and the potential for the local community to Reconsider strategy once it is confirmed that the visits are a net
be overwhelms with others settling to work in the resort. benefit to the community. If this is the case, FVB should work
A gradual increase of ferry capacity should be facilitated once with the various shipping agents to contacts the major cruise ship
required and/or a second ferry operator is considered appropriate. lines and promote the Yasawas for their itineraries. Consider
having one of FVB’s US based officer attend the next expo in
Florida to promote Fiji and the Yasawas as a destination.
The Yasawas Task Force should work with FVB to ensure the
initial eFiji program includes the Yasawas backpacker operations.
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Fiji’s Tourism Development Plan
2007-2016

Yasawas Task Force to encourage a mentoring program. A diversity of small coral cay islands and larger
continental islands with fringing reef and small lagoon
Encourage more locally owned tourism ventures to provide direct
systems characterise the area. Resorts provide the
local benefits.
traditional tropical resort activities and experiences
Review the roles of the Nacula Tikina Tourism Association, including sunbathing, swimming, snorkelling, diving,
Yasawas Tourism Association and the Yasawas Tourism Task beach volleyball, golf, tennis, motorised and non-
Force with a view to developing one forum for coordination between motorised water sports. Some resorts, mainly Namotu
the tourism industry, resource owners and the local communities. and Tavarua, focus on surfing. Few resorts offer village
visits, and cultural experiences are generally offered by
Mamanucas staff putting on Mekes as part of a themed
The Mamanuca island dining/entertainment evening.
group consists of around
20 small islands spread The character of resorts varies markedly. Each has some
across to the west of Viti type of niche market, from the party Beachcomber to
Levu. In 2006, there were the couples Tokoriki and Matamanoa, the
approximately 808 rooms “yachting”/residential Musket Cove, the budget Bounty
in 23 properties. to more upmarket Castaway, the surfing “Mecca” of
Tavarua to the petite Wadigi.
This area has the highest proportion of premium rooms
with 91% (735 rooms) of total rooms in this category. There are also a variety of day trip cruises for mainland
based tourists offered (from Denarau, Vuda and
In 2005, the Mamanuca islands were the second most Sonaisali).
visited destination within Fiji with 88,341 visitor arrivals.
17% of total visitor nights and an average of 5 nights The Mamanucas have only a few villages throughout the
were spent in the Mamanucas. islands, the main ones on Malolo, Mana and Yanuya.

Pacific Sun services a maximum of 70 return flights to The Mamanucas have two important roles and the
Mana Island weekly and 56 return flights to Malololailai ongoing desired character must take this into account.
island carrying 15 passengers per flight. There are also The first is of course the island resort and growth of
regular ferry services by South Sea Cruises offering up new resorts in suitable locations is appropriate.
to 49 return trips with 3 vessels to the Mamanucas per However the role of the Mamanucas in providing day
week carrying a maximum of 598 passengers per trip. trip destinations for cruises from the mainland will only
Beachcomber cruises service Beachcomber Island and become more important as accommodation grows in
the Malolo Cat services Malolo island resorts. Charter the Nadi Corridor (with growth in Denarau, Momi Bay,
planes also service Vomo, Tokoriki, Matamanoa, Vuda and Vulani as well as Nadi itself) the demand for
Castaway, Mana, Waidigi, Malololailai and Treasure on a day cruises will increase.
daily basis from Nadi. The variety of efficient transport It will be important to segregate reef and island
linkages mean transport linkages are not a constraint to destinations for use for day cruises as this demand
existing or growing tourism. increases. In particular locations such as Modriki the
Musket Cove Resort also has a marina that can cays of Nukuimana and Nukuwasia and some of the
accommodate up to 65ft vessels and a lagoon anchorage reefs may become important day cruise destinations.
capable of providing safe anchorage for over 100 yachts. Without a resort at present Navadra presents an
With the known proposed projects as at late 2006, opportunity for some type of day access/facility/resort
accommodation in the Mamanuca group may grow to to cater for larger number of day guests. Existing islands
provide 1,409 rooms in 31 properties. It is likely 88% of which cater for day guest such as South Sea Island and
these rooms will be in the premium group. to a lesser extent Bounty or Beachcomber (owing to
their proximity to Nadi) may start to focus on this
The Mamanucas provide the characteristic Pacific island market as demand grows.
resort which for many is the aspirational holiday
experience. From the early resorts at Malolo and Mamanucas – Desired Character
Mamanucas: Islands for Fun
Castaway to the recently opened Likuliku resort, the
islands support a diversity of mid to upmarket There was an early strategy of ‘one island – one resort’.
experiences. In Malolo this clearly has not been implemented and
indeed the size provides reasonable opportunities for a
higher density.

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Fiji’s Tourism Development Plan
2007-2016

The desired tourism character for the Mamanucas is to In 2005, there were approximately 180,214 visitor
provide island resorts within the scale of their local arrivals with average visitor nights of 3.6, which was
landscape and for existing and potential growth in day 32% of total visitor nights spent in Fiji. It is interesting
cruises. to note that visitors to Denarau stayed an average of 6.5
nights.
Mamanucas – Strategies
Maintain a lower site density (25 rooms/ha), generally low rise (8 Nadi international airport is the major linkage that
metre height limit) and mostly screened behind coastal vegetation. services 87 return direct flights from approximately 22
Generally resorts up to 250 rooms are appropriate (depending on international destinations a week The airport also serves
site, many of the islands can only support much smaller properties). 288 return domestic flights a week. Port Denarau
provides 5 jetties and can accommodate up to 100
For the remaining smaller islands adopt the one island/one resort
yachts at one time in its marina. Vuda Point marina can
concept. Develop a day cruises strategy and ensure at least some
have up to 125 smaller yachts at one time. Queens Road
day cruise destinations are kept available for future growth of this
is a major linkage connecting Nadi to Lautoka, Sigatoka,
aspect.
the Coral Coast, Pacific Harbour and Suva. It is
Review the adequacy of sewage treatment on existing resorts and approximately 182km from Nadi to Suva.
encourage upgrading to at least secondary treatment with land
The concentration of tourism development is expected
irrigation of treated effluent (tertiary level treatment is best
to continue to focus in the west of Viti Levu as at late
practice).
2006, there were proposals for projects totalling an
All new properties must be water self-sufficient (not taking from a addition of 3,288 rooms in 25 properties. By 2016, the
community used resource) and provide ecologically sustainable Nadi Corridor is expected to provide 6,653 rooms in 90
waste water and solid waste disposal solutions. properties. 48% of these rooms are expected to be in
Where there are villages whose prime economic input is tourism the premium group, followed by the budget group with
employment, encourage industry support for environmental 23%, medium group with 15% and high group with
protection works (particularly sewage treatment). 14%.

Encourage the initiatives of the Mamanuca Environment Society The corridor has a wide variety of tourism experiences
(a sub-committee of FIHTA). and accommodation. The integrated resorts of Denarau,
Momi and Natadola (along with additional proposals at
Consider a network of marine protected areas. Vulani and Naidiri) ensure that the area will be a major
MoT to conduct an annual workshop with Mamanuca tourism proportion of Fiji’s room stock. In addition, there are
operators (resorts, divers, tours etc.), coordinate this with the also a number of backpacker properties in the Nadi
Mamanucas branch of the FIHTA, but invite all tourism Corridor area that attracts budget travellers.
businesses. With the airport providing almost all international
flights for Fiji and Denarau providing a major access
Nadi Corridor point for ferries to the Mamanucas and Yasawas, this
The Nadi Corridor, as a planning area is a major hub.
tourism planning area The Nadi Corridor area has a number of attractions
includes Vuda Point, such as the Garden of the Sleeping Giant, Abaca trails,
Nadi town, Wailoaloa, Vuda Lookout, Momi Gun Battery Historic Park and
Nadi Airport, Martintar, others. Resorts tend to provide the guest with on-site
Denarau island, Korovutu, activities including golf, tennis and even paint ball.
Momi Bay to Natadola.
Despite the fact that the Nadi Corridor is a major
NOTE: This is only a summary of the planning for the tourism hub, there is a lack of tourism attractions that
region, please refer to the more detailed Nadi Corridor provide Fijian experiences for tourists in this area. The
Regional Tourism Strategy. previous plan suggested a visitor centre that presents
In 2006 Nadi had the highest number of Fijian history and culture. The opportunity remains and
accommodation properties of all regions in Fiji. Within is proposed as the “Bula Centre”.
65 accommodation properties there are 3,365 rooms,
which is 37% of the total number of rooms in Fiji. Most
rooms are in the premium category (53%), followed by
the high group (14%), budget group (20%) and medium
group (13%).

83
Fiji’s Tourism Development Plan
2007-2016

Furthermore, to spread tourism benefits into the outer Develop a Nadi Town bypass allowing traffic to flow from south
regions a greater support in developing the Nausori of Nadi to Denarau without major congestion (owing to the
Highlands as natural and cultural spots for day trips is present impact on Coral Coast day tours).
required. The Ministry of Tourism’s ecotourism projects
Consider the cumulative impact of further coastal development
are underway in the villages for community involvement.
which affects mangroves other littoral habitats and coastal
However, the ADB funded Sabeto and Nausori roads
processes, particularly in the Nadi Bay/ Nadi River area.
that will facilitate access into the Highlands are still
Consider identifying some coastal precincts not for development (e.g.
incomplete.
the Nadi River mouth between Denarau and Sonaisali Islands).
A secondary role for the planning area is as a transit
Work with international cruise ship agents to identify the potential
dormitory for overnight stays upon arrival or prior to
demand for Lautoka as a port and what facilities may be required.
departure to/from other destinations in Fiji.
Consider upgrading the port facilities if the demand is there and it
There is a greater emphasis on off-resort day tours for is financially viable.
resorts in the Nadi area.
Within the planning framework and town plans etc. there is no
Nadi Corridor - Desired Character suggested maximum resort size, however it is suggested that low
Nadi: Access gateway, Resort hub rise (mainly single storey, two storey maximum and low density 25
room per ha, and no more than six rooms under any roof) should
Nadi will continue to be major gateway for Fiji and as
be adopted as limits to encourage a Fijian, tropical character.
such, its role as both a staging point for visitor arrivals
and departures linking with other regions and as a In the Natadola area, it is proposed that some planning and
destination in its own right needs to be recognised. development controls be established for the corridor along the access
road to prevent inappropriate linear development (e.g. develop a
The desired tourism character for the Nadi Corridor is
local advisory town planning scheme).
as thriving tropical holiday resort destination with a
unique Fiji character. In the Naidiri Bay to Momi coastal area (apart from the
Natadola development tourism development on the coast should be
The desired character of the Nadi Corridor is to provide
restricted to low-scale, infrastructure (water and sewage) self-
the hub of tourism products and services as Fiji’s
sufficient, bure/villa developments only. The rural corridor along
gateway and provide a destination particularly with the
here has the potential to play a major role in agricultural
integrated resorts at Denarau, Momi, Natadola,
production, the Fiji Farm.
potentially Vulani and the emerging smaller resort
precinct of Wailoaloa beach. In the Nadi Bay area, it is important to protect the majority of
remaining mangroves. The ongoing development of smaller resorts
The development of additional attraction are an
and hotels along the coast in the Wailoaloa area is appropriate. A
important facet of the desired character, from the major
coastal plan which identifies beaches/land for future public open
cultural centre proposed (the “Bula Centre”) to the
space would be desirable as otherwise tourism development may
adjoining Nausori highlands attractions.
restrict access to the coast for community leisure (which will become
Nadi Corridor - Strategies more important as Nadi’s population grows owing to the growth of
The diversity and level of proposed development in the Natadola to tourism).
Vuda area result in it being proposed for a detailed regional
strategy. The Vuda Point area has ongoing potential for tourism
development. The established First Landing resort has plans for
Develop a detailed plan for staged tourism growth and identify key expansion and the area north to Saweni may have additional
infrastructure constraints and requirements. In particular consider potential.
the water supply and sewage aspects as they relate to existing and
proposed tourism development. Saweni Bay has the potential to provide a major public
recreational facility for Lautoka and Nadi communities and
Consider more proactive staging of the development of integrated development should be restricted for a future public park along the
resorts and certainly complete the development of Denarau, Momi foreshore. In the long term develop and upgrade facilities for picnics
and Natadola before any further commence. The emerging etc.
proposal for Vulani should be considered in the light of the
infrastructure resource commitments necessary to support the Undertake a scoping study and feasibility assessment for a major
existing three proposals. Fijian cultural attraction in Nadi. Identify land close to the Nadi
airport and alienate it for such a use (suggest 10 ha be considered
Consider a streetscape approach for Nadi Town, creating a vehicle a minimum, with 15-20 ideal). Identify potential international
free pedestrian mall along Queens Road at least between Andrews aid or debt financing which may be suitable. Once the scoping and
Road and Market Road. Encourage outdoor eateries and a feasibility is completed undertake a tender process to attempt to
shopping focus. find a private sector partner in the development.

84
Fiji’s Tourism Development Plan
2007-2016

It is recommended that program of tidying up villages along An effort to expand the range of tourism products in
roadsides, removing litter and roadside planting etc. be the area is being made with Nahehe Caves and Busa
implemented. Park in the development stage as attractions. This
development will also create a new scenic route for
Ensure the strategies of the regional Plan are considered in the
tourists to experience. For regional prosperity, there are
finalising of the Masterplan for the area.
seven village based tourism projects underway for
MoT to continue the Nadi Corridor Task Force and ensure this accommodation and cultural tours. These projects will
group works with stakeholders for the coordination of the planning also contribute in providing diverse tourism products
for Nadi Corridor. for the Coral Coast.

Coral Coast Environmental damage in the coastal areas is a concern


under pressure from both an increase in hotels and
The Coral Coast is on the resorts and also an increase in the local population of
southern coast of Viti villages. There are examples where the resort owners
Levu including Sigatoka, contribute to waste management and sewerage systems
Korotogo and Korolevu. of nearby communities.
In 2006, there were 1,682
Coral Coast - Desired Character
rooms in 38 properties
Coral Coast: Coastal culture, sun and fun.
with 82% being premium.
The Coral Coast’s desired character is as a tourism
In 2005, the Coral Coast continued to be the second
precinct with small to larger resorts in coastal locations.
most popular destination with 111,322 visitor arrivals.
Other than potentially at Korolevu, large integrated
22% of total visitor nights were spent in the area with
resorts are not considered appropriate at this stage
an average of 5.3 visitor nights. The main linkage is
(although smaller integrated developments with
Queen’s Road linking the Coral Coast to Nadi, Pacific
residential and tourism accommodation components
Harbour and Suva.
may be acceptable in some sites and should be assessed
The Coral Coast plays a significant role as an on a case by case basis).
accommodation node. Due to its established position,
Coral Coast - Strategies
tourism accommodation development in the Coral Consider the cumulative impact of further coastal development
Coast between late 2006 and 2016 is expected to slow which affects mangroves and fringing reefs.
down compared to other destinations. There are
approximately 352 rooms in 8 properties proposed for Within the planning framework and town plans etc. there is no
construction. In 2016, the Coral Coast is expected to suggested maximum resort size, however it is suggested that low
provide 2,034 rooms in 46 properties. 79% of these density/low rise (mainly single story, two storey maximum and 25
rooms will be in the premium group. rooms per ha, and no more than six rooms under any roof) should
be adopted as limits to encourage a Fijian, tropical character.
The Coral Coast is an established tourism destination
that has been catering to tourists for decades. Daily Review the adequacy of sewage treatment on existing resorts and
coaches to the Coral Coast from Nadi stop over at encourage upgrading to at least secondary treatment with land
various resorts. It is a popular stop over destination irrigation. All new properties must be water self-sufficient (not
from Nadi to Suva for backpackers. taking from a community used resource) and provide ecologically
sustainable waste water and solid waste disposal solutions.
The Coral Coast has a range of good quality resorts with
beautiful scenery, diverse tourism attractions and MoT to conduct an annual workshop with Coral Coast tourism
activities. Tourists can relax and participate in resort operators (resorts, divers, tours etc.), coordinate this with the Coral
based activities or visit attractions outside the resorts. Coast branch of the FIHTA, but invite all tourism businesses.
The Sigatoka Sand Dunes, Tavuni Hill Fort and Kula
Bird Park are popular sites. Tourists can also take part in Beqa/Pacific Harbour
village visits, diving, snorkelling, surfing, jungle treks The region includes
and so on. Sigatoka itself has developed as a shopping Navua, Pacific Harbour
destination for tourists and its country town ambience is and Beqa. In 2006, there
compared favourably to the traffic congestion of Nadi’s were 270 rooms in 16
main street. properties (67% premium
group).

85
Fiji’s Tourism Development Plan
2007-2016

In 2005, there were an estimated 12,693 visitor arrivals For Beqa, the potential for further tourism accommodation
in this area. Approximately 2.5% of total visitor nights development is limited, and any further resort proposal needs to be
were spent in Beqa and Pacific Harbour area, with an carefully considered in terms of impacts on the community,
average of 4.3 visitor nights spent in 2005. Queens Road ecological impacts and the diminishment of the tourism character
is the main linkage with Nadi being 135km and Suva for the existing products.
being 47km from Pacific Harbour. There is also Pacific
To avoid any doubt and further development on Beqa or other
Harbour airport that is not in use but may provide
islands should be low density (12 units per hectare) and smaller
future linkages. Charter boats take visitors out to Beqa
resorts (maximum 25 rooms or 50 beds), less than 12 rooms
and Yanuca Island from Pacific Harbour.
would be best. Aim for one bay/beach and one village per resort.
Pacific Harbour has a long safe and beautiful beach. Maximum roof height 5m and keep nestled among vegetated
The golf course is the only PGA certified championship coastline. Avoid eyesore, dominant scenic alterations.
course in Fiji. There is an airstrip for light aircraft which
MoT to meet with the Pacific Harbour Tourism Association at
is proposed for upgrading and sealing.
least yearly to review tourism development aspects for the area.
Based on current proposals the Beqa and Pacific
Harbour area is likely to provide 861 rooms in 21 Suva
properties by 2016. 74% of the these rooms are in the
Fiji’s national capital, Suva,
premium group followed by budget with 13%, high with
is a large city by South
8% and medium with 5%.
Pacific standards. In 2006
With the recent re-opening of the Arts Village, an it had 1,151 rooms in 39
upbeat backpacker accommodation, and the re-opening properties.
of the Pearl South Pacific resort, the Pacific Harbour
area is being reinvigorated as a vibrant tourism
destination.
Thirty nine percent of the rooms are in the budget
The Arts Village provides a mixture of modern and group, with 37% in the medium, 20% in the high and
traditional attractions for tourists. It has a Cultural 4% in the premium group. In 2005, there were 26,257
Centre which has a re-creation of a traditional Fijian visitor arrivals. 5% of total visitor nights were spent in
village with Fijian staff enacting the traditional lifestyles Suva with an average of 3.7 visitor nights.
of a village. This Centre is surrounded by modern cafes,
One of the major linkages in Suva is Kings Wharf with
restaurants, bars, souvenir shops and a pool to keep
international cruise ships arriving regularly. Kings road
tourists occupied. The area is also becoming a popular
links Suva to Nausori international airport (23km) and
weekend destination for domestic tourists from Suva.
Rakiraki. Walu Bay wharf also connects domestic ferries
From Pacific Harbour tourists can also stay at Beqa to the outer islands such as the Lomaiviti group, Lau
Island which is approximately 30 minutes boat ride group and the North.
from mainland. The island is well known for its
Based on proposals as at late 2006, Fiji’s capital Suva is
firewalking and spectacular diving. Surfing is another
expected to have 1 additional tourism property with 120
popular product for the area with resorts in Pacific
premium rooms between late 2006 and 2016. Additional
Harbour, Beqa and Yanuca islands providing surf trips
growth could be expected as business travel increases.
to Frigates Passage.
Current tourism in Suva is a mixture of business,
The Pacific Harbour tourism product includes
shopping (see ‘business tourism’ and ‘shopping tourism’
firewalking, diving, surfing, cultural centre, backpackers,
section) and backpacking. Attractions such as the Fiji
lifestyle residential community and the upmarket resort.
Museum, Government Handicraft Market, Fresh
Bega has unique island style resorts.
Produce Market, Parliament and Government House
Pacific Harbour/Beqa - Desired Character are frequented by visitors. There is an opportunity to
Pacific Harbour: Adventure in Paradise enhance the visitor experience in Thurston Gardens.
The further development of tourism infrastructure in The city is also becoming a popular destination for
the Pacific Harbour area is appropriate. The desired university students from Australia, the US and Canada
character is to reinforce the village atmosphere of on exchange programs with USP. Furthermore, it is a
Pacific Harbour with its focus on sports and culture. destination for expatriate volunteers and gap year
The desired character for Beqa is low density small students.
resorts which support the local Beqa community.
Pacific Harbour/Beqa - Strategies
Development in and around Pacific Harbour is suitable.
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Suva provides a national and often a Pacific sports focus, The major linkage is Nausori international airport which
with a wide variety of sports hosted. Fiji has pervious receives 4 return international flights per week from
hosted major events such as the South Pacific Games Sydney and Auckland. The airport also services 139
and has won the right to host the world netball return domestic flights a week. Other linkages are the
championship. Natovi Landing wharf which links eastern Viti Levu to
Ovalau and Vanua Levu.
In order to develop Suva as a distinct destination, it is
would be desirable to clean up the waterfront and There are existing local community owned
perhaps the streets of Suva. With Colo-i-Suva, Mosquito accommodation, waterfall, cave and river rafting tours
island and Nukulau island as potential day trip spots in the province that were supported by the Ecotourism
from Suva, the city has some potential to develop Unit of the Ministry of Tourism. There are also cultural
further as a holiday tourism destination. and heritage tours proposed in the region. The coastal
areas of Tailevu are often frequented by domestic
There is potential to develop a city sights/ heritage walk
tourists from Suva (with the permission of villagers) for
through the city.
weekend picnics, swimming and surfing.
Suva - Desired Character
The upgrading of Kings Road and its sealing will allow
Suva: City lights, shopping and ships.
easier access to the area. The local resource owners are
The desired tourism character for Suva is to continue to keen to capitalise on the development of tourism. There
provide mostly for business travellers and additional are potential opportunities with many coastal and inland
hotel accommodation is appropriate (within the context attractions.
of the relevant town planning provisions). It is
Tourism development in Tailevu is considered to be
appropriate to develop some leisure tourism product,
limited compared to other regions. This is due to a lack
particularly day trip tours.
of awareness of the benefits of tourism and the on-
Suva - Strategies going mataqalis in dispute over resources. The Ministry
The redevelopment of the Grand Pacific Hotel was proposed in the of Tourism is considering conducting tourism
1998 Plan and appears to now be committed to commencement. awareness programmes in the region, and possible
There is an opportunity to create a tourism precinct on the Suva resource analysis for tourism purposes by the Ministry
waterfront from the Civic Tower building south. This has a variety of Fijian Affairs.
of landholdings and a coordinated masterplan would be desirable, Tailevu - Desired Character
rather than just developing each property in isolation. Tailevu: Future opportunities, Land of the Rising Sun.
The Port precinct is subject to long term redevelopment plans and The Tailevu area is a quiet coastal community with
consideration should be given to including a cruise ship terminal some pretty beach areas worthy of interest by visitors.
and marina (capable of taking cruising yachts and superyachts up However it is proposed that this area be thought of as in
to at least 50m length). “future reserve” for local, Suva residents’ weekend and
There is an opportunity to develop a streetscaping approach in the day trip use rather than established as an additional
city centre and main access roads which could enhance the city’s tourism destination.
amenity. Tailevu - Strategies
MoT to continue its regular meeting with Destination Suva to The tourism focus for this area should be on providing for Suva
residents on weekends, business travel (small meetings/conferences
review tourism development aspects for Suva.
ex Suva during the week), and more intrepid “off the beaten
Tailevu track” independent travellers.
Any individual tourism development proposal can be considered on
Tailevu comprises the
its merits (i.e. it is not inappropriate to have extensive tourism
coastal area north of Suva.
infrastructure development on the Tailevu coast, just not a priority
There were 6
for tourism development generally).
accommodation
establishments with 45
rooms in 2006.

In 2005, an average of 3.9 visitor nights were spent in


Nausori. As at late 2006, there was one proposal subject
to an NLTB agreement to lease, which involves an
additional 45 rooms in the area. As at early 2007, there
were no other known proposals.
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Suncoast Apart from Nananu-i-Ra Island and the mainland


coastline facing it, the rest of this region is largely
This area includes the untouched in terms of tourism development. The first
north eastern coastal impression of this area is the amount of potential that
areas of Viti Levu starting exists for the development of small-scale cultural
from Lautoka, Ba, tourism products.
Rakiraki and Nananu-i-ra.
The Suncoast is an area rich in cultural and natural
assets that could be developed for tourism. The revival
of cultural aspects such as bure building skills, story
NOTE: This is only a summary of the planning for the
telling, mat weaving, and traditional crafts would ensure
region, please refer to the more detailed Suncoast
that this is kept alive and is passed down to future
Regional Tourism Strategy.
generations. It represents an entirely different
In 2006, there were 528 rooms in 32 rooms in this experience from the Coral Coast, the ability to
tourism area. 44% of these rooms are in the medium experience first hand the traditional Fiji.
group followed by budget with 34%. 5% of total visitor
Suncoast - Desired Character
nights were spent in Lautoka and northeast of Viti Levu
Suncoast: Culture and Coastal Escapes.
and an average of 3.2 visitor nights were spent in
northeast Viti Levu. The desired character for the Sun Coast is tourism
based on the areas spectacular landscapes and nature,
The major linkage is Queens wharf servicing
involving authentic cultural experiences.
international and domestic cruise ships to the outer
islands. Ellington wharf can accommodate up to a 50m Suncoast Strategies
vessel and services to Nananu-i-ra island. There is also Maintain tourism accommodation at medium density (25 units
Vatukoula airport that has a 2549ft long and 156ft wide per hectare) and up to larger resorts (maximum 250 rooms).
runway strip. Kings road connects Rakiraki to Suva Maximum roof height 8m and keep nestled among vegetated
(152km) and Nadi (132km). coastline. Avoid eyesore, dominant scenic alterations.
Based on known proposals, by 2016, the Suncoast area NOTE: The priority for support of an integrated resort in this
may provide 1,108 rooms in 35 properties. Despite the area needs to be weighed against the priority for completion and
fact that there is only an increase of 3 properties from infrastructure support in the Natadola to Vuda area.
2006, the expected number of rooms in 2016 is double Identify potential tourism products such as small ecotourism resorts
that of 2006. and tours visiting a range of natural and cultural attractions.
With the exception of existing tourism development in To encourage more activities that have a mix of cultural and
Nananu-i-ra island off Rakiraki and the proposed natural attractions meaning that tourists come, visit the place, go
development for Yaqara studio city, the Suncoast has and leave only their footprints behind. This is an approach to
limited current tourism development proposals. environmental conservation. This is a vision whereby tourism is
The accessible white sandy beaches and different types serving the community and not vice versa. This is also a gentle
of resorts on Nananu-i-ra island makes it an attractive transition from a very traditional lifestyle to mainstream tourism.
destination for domestic tourists from Suva and It is suggested to adopt a local name of Nananu for the area
backpackers travelling through North of Viti Levu. Kite including Nananu-i-ra, Malaki Island, Rakiraki and Ellington
surfing and diving are major tourism activities on the wharf. It is suggested that this area be the ongoing resort hub for
island. the region (unless and until Yaqara is established).
The Studio City/Yaqara development may eventually The Namari to Viti Levu Bay area has significant potential for
involve a substantial tourism hub, although present coastal development and it is proposed that a team from the local
planning comprises mainly residential community tourism industry, NLTB local resource owners and the Ministry
aspects and reasonably low level tourism focus. It is of Tourism undertake a detailed product review and identify
noted that should the development proceed on the potential small resorts sites.
major scale proposed, this is likely to create a critical
mass of developed infrastructure which could form the
basis of some growth in tourism potential for the region.
The inland of the Suncoast area has village stays for
United States primary school students on a regular basis.
There have been and requests for ecotourism grants for
accommodation along the coastal area submitted to the
Ministry of Tourism.
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Fiji’s Tourism Development Plan
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There is potentially an opportunity for a precinct of up to ten The potential for nature-based and cultural tourism is
smaller resorts on the coast, each with its own bay and outlook. high as Naitasiri has distinctive nature and culture that
The Western side of Viti Levu Bay has road access as do the differs from other provinces. In the context of regional
areas near Namari, however the coast between then is isolated and prosperity, tourism in the highlands can also re-
would need boat access. These resorts could be ideal for local, introduce traditional bure building skills (which is non-
community based tourism development, however they need to be existent in the area due to the modernisation of houses
developed with adequate capital and involve sufficient experience to triggered by frequent flooding) for the local community.
get established. Department of Culture and Heritage provides
programmes for local communities to rebuild traditional
Develop a detailed plan for staged tourism growth and identify key
skills and dances.
infrastructure constraints and requirements. In particular consider
the water supply and sewage aspects as they relate to existing and Furthermore, Naitasiri has Sovi Basin, rare wildlife,
proposed tourism development. vegetation and an abundance of native Fijian trees (e.g.
Vesi, Damanu, Buabua) that can be used as a draw card
The Suncoast has many very good examples of aspects of
to develop low-key tourism. In order to open up the
ecotourism and many resorts have most aspects required to meet
Highlands for tourism, accessible roads are crucial.
environmental certification. Many could work towards
environmental certification. Highlands - Desired Character and Strategies
Highlands: Forests, Mountains and Culture.
Encourage best practice sustainability in all operations, so that the
tourism benefits are sustained through to future generations. The preferred development character and future
opportunities should be established following the
Encourage the development of marine protected areas.
development of a detailed regional strategy.
It is suggested that the Ministry of Tourism and Suncoast Task
The area may have some good day trip opportunities
Force invite the Ministry of Fisheries to assist to identify suggested
and some potential for village based ecotourism. At this
strategies for marine protected areas.
stage the preferred character is for the development of
Establish mentoring and training opportunities provided by both small village owned accommodation
existing local tourism operators in the region. establishments and the development of sites for day
tours from the Nadi and Coral Coast area.
MoT to continue the Nadi Corridor Task Force and ensure this
group works with stakeholders for the coordination of the planning The Highlands could form a major new level of product
for Nadi Corridor. for Fiji with intimate cultural experiences in a forest clad
mountain setting, this could be a major new aspect to
Highlands Fiji’s tourism product and as such could enable further
product differentiation from other Pacific Island
The highlands of Viti
competitor destinations.
Levu are not a major
focus for tourism at Highlands - Strategies
present, but do provide Develop a specific regional strategy. This should be based on a
future opportunities for product review involving tourism industry and community members
high country, rural, village to determine potential tourism products and potential day tour
based tourism. itineraries. Further the regional strategies should involve protected
area and conservation professionals who can determine site
Nature-based tours are provided by tour companies and
management approaches and the potential for protected area
car rental companies permit visitors to self-drive the
declarations of natural sites visited.
region. The present roads are rough and a constraint on
tourism growth at present. Any accommodation development should be low density, and
certainly less than 25 rooms 50 beds, single story and no more
Due to the remoteness of the area and lack of tourism
than 12 rooms per hectare. There is an opportunity to develop
infrastructure, the local community’s interest is in local-
“unique” accommodation, tree houses, tented forest huts etc.
scale village based tourism. There are two 3 year
projects supported by the Ecotourism Unit of the The development of a half day tourism product from Nadi in the
Ministry of Tourism in the Naitasiri area. These projects Nausori Highlands developing both natural sites and cultural
are in Serea for accommodation and Naivucini for attractions (e.g Bukuya should be investigated.
bamboo rafting and Fijian bamboo cooking. There are The development of half and full day tourism products from the
also concepts of creating tree-top accommodation and Coral Coast and/or Nadi involving Naikoro forest conservation
village-hopping tours in the region. area, Waibasa Hot Springs, Kurimala Wai ring ditch, Tatuba
Fijian Archaeological complex, Nahehe Caves and the Bukuya
and Naisori villages should be investigated.
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Fiji’s Tourism Development Plan
2007-2016

The potential to further develop day tourism visits to Navala As at late 2006, there were seven proposals for an
should be considered. additional tourism accommodation properties proposed
for construction with 497 rooms. This is nearly double
The potential to reinvigorate Abaca should be investigated.
the island’s current room stock. Tourism development
A process of tourism awareness training and detailed consultation is concentrated in the Savusavu bay, Natewa bay and
with resource owners should be undertaken to implement these Wainunu bay area. By 2016, Vanua Levu is expected to
strategies and to further develop the tourism planning for the region. provide 791 rooms in 40 properties. 35% of these
rooms will be in the premium group, 28% in medium,
The existing road from Suva through to Tavua via Naivucini,
23% in budget and 14% in high.
Koro-i-O, Monasavu and Nadarivatu may provide an
opportunity for extended tours, crossing Viti Levu, however it Vanua Levu has the potential to be the upcoming
should be noted that this opportunity is likely to be less popular as tourism hotspot for Fiji with: established tourism
the access at either end is a long way from the major concentrations accommodation in and around Savusavu and Labasa; an
of tourism accommodation. increasing number of expatriate holiday homes; various
proposed tourism investments; and diverse natural
For the above potential products, the opportunity at each site needs
attractions. The island has a character that differs from
to be assessed for its potential as a tourism attraction and the
the main island of Viti Levu. There are upmarket resorts
ecological and cultural conservation needs considered. Once each
(i.e. Namale, JM Cousteau), a pearl farm, spectacular
site is considered individually the potential to create tour itineraries
diving off Somosomo Strait, seasonal surfing in Macuata
which use a number of sites to create full, half or multi day tours
on offer.
should be evaluated.
Nukubolu Forest and Archaeological Park and Waisali
Vanua Levu Forest Park are also tourist attractions managed by the
community. On-going ecotourism projects in Waisali
Vanua Levu is the second
Forest Park (which is under the National Trust of Fiji)
largest island in Fiji with
supported by the Ministry of Tourism are good
an area of 5,587sq km. In
examples of spreading regional prosperity. These types
2006, there were 294
of tourism development in Vanua Levu will provide
rooms in 33 properties.
regional community benefits and help diversify the
tourism product.
NOTE: This is only a summary of the planning for the Since the previous Tourism Development Plan’s
region, please refer to the more detailed Vanua suggestion on additional resort accommodation in the
Levu/Taveuni Regional Tourism Strategy. Leisiaceva peninsula and on the Hibiscus Highway,
Twenty nine percent of these rooms are in the premium there has been an increase in the number of resorts and
group, 31% medium, 24% budget and 16% high. In proposals in the area. The previous development plan
also commented on the limited activities for tourists
2005, the total number of visitor arrivals to Vanua Levu
outside resorts.
was 2,882. Only 1.5% of total visitor nights were spent
in Vanua Levu however, this area had the highest
average visitor nights with 7 nights.
Savusavu airport services up to 56 return flights a week
from Nadi, Suva and Taveuni. Labasa airport services
up to 77 return flights a week from Nadi and Suva.
Dame and Rabi airport may provide future linkages but
are not in operation at the moment. Savusavu has two
“marinas” with small wharves and buoy moorings for
yachts. Nabouwalu jetty serves ferries from eastern Viti
Levu. There are also 6 return ferry trips a week from
Suva to Savusavu. Beachcomber Cruises recently
recommenced weekly trips from Lautoka to Savusavu.
There is 73km of sealed road between Savusavu and
Labasa, and the road between Savusavu to Nabouwalu
is approximately 130km.

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Fiji’s Tourism Development Plan
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Vanua Levu- Desired Character There is potential for skippered charter yachts in the
Vanua Levu: Excellent experiences, pioneering development. Vanua Levu area, Savusavu already provides a base for
trips into the Lau and closer along the southern and
The area can best be developed as a destination without
eastern coasts of Vanu Levu. The are also potential
a major integrated resort, but with a network of smaller
opportunities charter routes along the northern coast of
boutique style properties, each with a unique product
Vanua Levu, there are great reefs, isolated islands and
offering and their individual character. Potential for
calm waters throughout the cruising season with Vanua
small scale fishing resorts, and ecotourism-friendly
Levu providing protection for the prevailing south-
properties would augur well with what is currently on
easterlies. With greater air linkages to Labasa this could
offer.
provide a significant growth.
Growth of resorts of higher density in Savusavu town is
Vanua Levu- Strategies
appropriate, however larger resorts of more than 50
The final strategy for the North has not been
rooms outside of the town should be considered on
determined. It would appear that there are a number of
their merits as far as environment, social and cultural
options:
impacts and their effect on the overall tourism amenity
of the local area. • Keep going with current situation, ATR 42 to
Labasa for non-tourism needs and modest growth
To complement the resort/accommodation sector, for northern vanua Levu tourism AND ongoing use
there is an opportunity to further develop nature and of Savusavu for Twin Otter size aircraft.
culture-based attractions and activities outside of the • Upgrade Savusavu for ATR42 and have both
resorts. Ideally if this could be achieved as a series of Labasa and Savusavu have flights (some could be
community based tourism ventures, local economic Nadi-Savusavu-Labasa – Nadi or vice versa).
prosperity could be maximised. • Other combinations of the above with night
Vanua Levu would be best suited for low key, quality operations.
experiences in identified areas including, the Hibiscus An effective gateway to the North needs to be established. A
Coast and Lesiaceva Road in and around the Savusavu comprehensive airport engineering study should be undertaken as a
area. Other areas in Bua and Macuata and up the high priority, reviewing the potential for Savusavu to be extended
Natewa Peninsula would be desirable once appropriate to suit DASH-8 for day operations and the practicality of
infrastructure has been developed (e.g. sealed road making Labasa night capable for DASH-8.
access and electricity reticulation).
Recognise the value of the recently introduced ATR 42 flights by
The development of nature and culture-based Pacific Sun to Labasa to grow tourism in the north of Vanua
attractions and activities outside of the resorts so that Levu. Recognise that the present tourism hub and potential for
the benefits of the tourism dollar are felt at the immediate tourism growth in Vanua Levu is Savusavu and that
grassroots levels would have local economic benefits it is vital that an efficient air link with increasing capacity is
and improve the tourism product. provided:
Further, modest development of properties around 50
• In the short term upgrade the runway and apron to
rooms and 100 beds maximum is considered the most
accommodate three Twin Otter/ Y12 planes at once. Not
appropriate with a density of no more than 25 per
vital but an upgraded terminal would be desirable.
hectare. Aim for one bay/beach and one village per
resort. Maximum roof height 8 m and keep nestled • If investigations show Savusavu can be upgraded to DASH-
among vegetated coastline. Avoid eyesore, dominant 8 standard, the aim should be to achieve this by 2010.
scenic alterations.
• In the event that Savusavu cannot be upgraded to DASH-8
Development in the Savusavu area and along the standard, develop a longer term approach with the domestic
Hibiscus Highway into the southern area of Natewa Bay airlines for increasing capacity of an efficient air link either
is considered preferable. increasing flights with Twin Otter or similar to Savusavu or
using Labasa and a ground link.
NOTE: Relying on road transport from Labasa to Savusavu,
after a domestic flight Nadi-Labasa will significantly stifle growth
in Savusavu.
If it is possible to upgrade Savusavu airport for daytime operations
up to DASH-8, either AFL should do the upgrade or it should
be offered as a public private partnership.

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Fiji’s Tourism Development Plan
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As an immediate priority, there should be one night capable for Taveuni


DASH-8 airport in Vanua Levu as soon as possible.
Taveuni is Fiji’s third
The area can best be developed as a destination without a major
largest island at 42km
integrated resort, but with a network of smaller boutique style
long and 10km wide
properties, each with a unique product offering/character.
situated 9km to the
The area can best be developed as a destination without a major southeast of Vanua Levu.
integrated resort, but with a network of smaller boutique style
properties, each with a unique product offering/character.
Further, modest development of properties around 50 rooms and
100 beds maximum is considered the most appropriate with a NOTE: This is only a summary of the planning for the
density of no more than 25 per hectare. Aim for one bay/beach region, please refer to the more detailed Vanua
and one village per resort. Maximum roof height 8 m and keep Levu/Taveuni Regional Tourism Strategy.
nestled among vegetated coastline. Avoid eyesore, dominant scenic In 2006, there were 194 rooms in 35 properties in
alterations. Taveuni. 38% of the rooms are in the premium group
Development in the Savusavu area and along the Hibiscus followed by the budget group with 36%. In 2005,
Highway is considered preferable. approximately 8,906 visitors arrived in Taveuni. Despite
the fact that only 1.7% of total visitor nights were spent
It is suggested that a Savusavu streetscape plan be prepared and in Taveuni, the average visitor nights was 6.1 in 2005.
implemented maintaining the quaint character of the heritage By 2016, Taveuni is expected to provide 298 rooms in
buildings whilst bringing out a tropical vibrancy. 40 properties with 43% of these rooms in the premium
Further enhance the facilities for yachts in Savusavu and reinforce group and 41% in budget.
the role of Savusavu and a major yacht hub. Matei airport services up to 60 return flights from Nadi,
In the longer term, develop a crewed charter yacht strategy for the Suva and Savusavu a week. The main road on the island
northern coast of Vanua Levu, with Tikinas identifying suitable runs through Matei airport and is approximately 65km
anchorages (from the resource owners perspective) and experienced long. An existing air strip on Laucala Island is used to
charter yacht operators providing advise on desirable anchorages service its resort guests. Domestic ferries from Suva,
and potential itineraries (from a sailing and tourism product Koro and Savusavu operate 6 times a week to Taveuni.
perspective). Develop potential services for villages near such The unique natural and cultural heritage is a major draw
anchorages such as a lovo, meke, village visit, island trekking shell card for tourism in Taveuni. To conserve the lush
market, or guided snorkelling etc. to provide to charter yachts and vegetation and wildlife of the island, the previous
occasional visits by superyachts. tourism plan proposed a low scale environmentally
Development of sailing, diving and other boating along the benign development around Somosomo and Wayevo
northern coast of Macuata and Rabi Island at Motawa Bay is areas. Since then luxury resorts, backpacker
desirable. accommodation and guesthouses have been developed
along the west coastal side of the island.
Identify and declare marine parks in the key coral reef
conservation areas along the southern and northern coasts of vanua Taveuni is a destination for tourists that look for nature-
Levu. based experiences beyond the sun, sand and sea of the
other islands. Bouma Forest Park is community
Encourage best practice sustainability in all operations, so that the managed (funded by NZAID) that is aiming to be on
tourism benefits are sustained through to future generations. the World Heritage List. It offers Waitabu Marine Area
The North has many very good examples of aspects of ecotourism for snorkellers, mountain and coastal walking treks,
and many resorts have most aspects required to meet environmental ecotourism grants funded accommodation, waterfalls
certification. Many could work towards environmental certification. and so on.
All new properties must be water self-sufficient (not taking from a Additionally, Taveuni has magnificent diving spots,
community used resource) and have best practice sewage treatment. beautiful white sandy beaches and panoramic views
around the island. With consistent maintenance, the
Training needs to be provided to ensure locals have the scenic coastal road could be more easily and
competencies to gain employment in resorts as they are developed. comfortably enjoyed by tourists. The island also has
MoT to continue to facilitate the Vanua Levu/Taveuni Task potential to be a destination for ornithologists and bird-
Force as required to implement the regional strategy and continue watching enthusiasts with proper planning and
direct liaison with the Savusavu Tourism Association. management.

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Fiji’s Tourism Development Plan
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The recently formed Taveuni Tourism Association is In the medium term upgrade Matei to be safer for Twin Otter day
very active in collaboratively developing a strategic plan light operations and further, consider an upgrade if possible, to
and joint marketing programs. make Matei night operations capable for Twin Otter.
Taveuni - Desired Character In the medium term, undertake an engineering study to review the
Taveuni: Paradise and Adventure capacity to make Matei airport DASH-8 capable for daylight
operations.
The desired character for Taveuni is for ecotourism
providing soft and vigorous adventure which showcases Consider world heritage listing and national park status of the
its unique nature and culture. forest area and marine park status of entire eastern coast.
Tavenui tourism is for tourists who “would not be seen Investigate the feasibility of developing a cross island walk on
dead” in a casino, a night club or on a jet ski. Taveuni Taveuni, as well managed, international standard 2 or 3 day
tourism is for people who take the time to learn about walk. Huts would provide simple accommodation and a guide
the area before they visit it, for people who want to would accompany small groups.
understand and experience authentic culture, who want
Encourage the development of marine protected areas and
to see, hear, touch and smell undisturbed nature.
discourage overfishing of reef shellfish and reef fin fish in key areas
Taveuni has a tourism product which provides for these to feed tourists.
tourists. There are few places in the Pacific with the
Encourage best practice sustainability in all operations, so that the
high degree of conservation value and intact ecological
tourism benefits are sustained through to future generations.
processes, with the thriving authentic culture, the
spectacular landscape and the low key development that The North has many very good examples of aspects of ecotourism
Taveuni possesses. and many resorts have most aspects required to meet environmental
certification. Many could work towards environmental certification.
The suggestion is for Taveuni to guard this character
vigorously. Evaluate any proposal to ensure the All new properties must be water self-sufficient (not taking from a
fundamental tourism character will meet the above. The community used resource) and have best practice sewage treatment.
tourism products developed should not just be
Training needs to be provided to ensure locals have the
acceptable, they should embody the values of Taveuni.
competencies to gain employment in resorts as they are developed.
Taveuni tourism should involve low density, low key
MoT to continue to facilitate the Vanua Levu/Taveuni Task
developments which involve natural quiet, in lush
Force as required to implement the regional strategy and continue
gardens presenting relaxation with the opportunity for
direct liaison with the Taveuni Tourism Association.
spirited adventure to experience the nature and culture.
Taveuni has been known to be the “Garden Island of Kadavu
Fiji” for its dense and verdant rainforest and exotic flora
Kadavu is situated 100km
and fauna. It is suggested therefore that Taveuni focus
south of Viti Levu and is
on its strengths. More nature based tourism and tours
the fourth largest island in
should be the main focus of this region and all
Fiji. Kadavu has the
stakeholders are encouraged to discourage logging and
Great Astrolabe Reef,
conserve their environment.
very well regarded for
It is also proposed that Taveuni maintain tourism diving.
accommodation at low density and smaller resorts
20 years ago the Lonely Planet listed only one place to
(maximum 25 rooms or 50 beds) with 12 rooms per
stay on Kadavu – at Reece’s Place, Galoa Island. In
hectare. The current character of smaller resorts around
2006 there are a total of 80 rooms in 11 properties in
the coast is suggested to be maintained.
Kadavu. Over the past two decades, the rate of tourism
Ensure new accommodation is nestled among vegetated development on Kadavu has been steady.
coastline. Avoid eyesore, dominant scenic alterations
Thirty three percent of the rooms in Kadavu are in the
and attempt to conceal further development from the
high group followed by 28% in budget, 26% in medium
road.
and 14% in premium. Based on proposals as at 2006, by
Taveuni - Strategies 2016 Kadavu is expected to provide 208 rooms in 13
Maintain tourism accommodation at low density and smaller properties.
resorts (maximum 25 rooms or 50 beds) with 12 rooms per
hectare. Ensure new accommodation is nestled among vegetated
coastline. Avoid eyesore, dominant scenic alterations. Attempt to
conceal further development from the road.

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The main linkage is Vunisea airport which serves 21 Kadavu - Strategies


return flights per week from Nadi and Suva. A Develop a specific regional strategy. This should be based on a
government jetty in Vunisea can accommodate up to a product review involving tourism industry and community members
50m vessel. Visitors can arrive by ferry from Suva, to determine potential tourism products and potential day tour
however ferry services are sporadic and there are almost itineraries. Further the regional strategies should involve protected
no known recent tourists by this link. There are also area and conservation professionals who can determine site
yachts visiting Kadavu. management approaches and the potential for protected area
declarations of natural sites visited.
Vatulele also has an airport that serves its resort guests.
The current growth of tourism in Kadavu is constrained by
Many villages in Kadavu have established a manine
available flights to the island. However, assuming that domestic
protected area, the provincial council advise that all
aviation carriers can meet demand by running more scheduled
villages will have identified their marine protected are by
flights there is potential for growth. Any resort must be completely
end 2007. further the provincial council is considering
self sufficient in terms of its infrastructure and transport linkage to
proposing the Great Astrolabe Reef as a marine park.
Vunisea.
There are three forest parks Tavuki, Nacova and
Kakaseleka. Transport around the coast of the island could be improved, with
the potential for a regular daily fast ferry to meet middle of the day
The terrestrial and marine natural and cultural aspects of
flights and travelling in the sheltered western waters to the northern
Kadavu provide it with the opportunity to benefit from
resorts.
those market segments seeking authentic natural
experiences. Reefs are very accessible and the island’s Maintain tourism accommodation at low density (12 rooms per
rainforests possibly represent an under-rated resource to hectare) and smaller resorts (maximum 25 rooms or 50 beds).
present to visitors. There are numerous villages and a Aim for one bay/beach and one village per resort. Maximum roof
vibrant local community. There is no sense of height 5m and keep nestled among vegetated coastline. Avoid
‘museumisation’ of the cultures of the local village eyesore, dominant scenic alterations.
communities.
The development of any major resorts of more than 25 rooms
The main tourism product in Kadavu is small diving would change the character and potentially have adverse social and
resorts. The main focus of marketing is diving and ecological impacts. Specific detailed assessment should be
almost all visitors to most of the resorts target diving. undertaken to evaluate any such proposal. This should specifically
At this stage the two exceptions would be Naigigia who evaluate the potential social effects on the nearby villages with
target surfing visitors and Papageno who have a mix of increased employment and the potential for the local community to
diving focus visitors with relaxation/health focus (e.g be overwhelms with others settling to work in the resort.
specialist Yoga groups). Whilst the focus is diving most
Encourage more locally owned tourism ventures to provide direct
resorts have relationships with local villages to provide
local benefits.
lovo evenings, village visits, mekes, and guided walks to
waterfalls etc. Encourage the development of marine protected areas and
discourage overfishing of reef shellfish and reef fin fish in key areas
The key opportunities are for diving, ecotourism
to feed tourists.
activities and sport fishing.
Resource and implement a program of installing sewage treatment
There is a Kadavu Tourism Association and in addition
to all resorts. All new properties must be water self-sufficient (not
the provincial council has established a Tourism
adversely effecting a community used resource) and provide
Advisory Committee.
ecologically sustainable waste water and solid waste disposal
Kadavu - Desired Character solutions.
Kadavu: Splendid diving, community and isolation.
A proposal to extend a road along the ridge from Vunisea toward
The desired tourism character for Kadavu is smaller Tiliva may have important social and economic benefits to many
resorts with a focus on diving, snorkelling (and also in villages but could also threaten the unique tourism amenity and
some areas surfing) and other natural and cultural character. Recent construction of the new Jetty at Vunisea has left
aspects of the island. There should be strong linkages to large exposed cuts which may erode during next rain and cause
villages to ensure local benefits (through employment or siltation of the fringing reef. It is vital that should the road be built,
ownership). professional design and best practice environmental techniques are
used to minimise erosion issues and impacts on scenic amenity (the
It is preferred that Kadavu focus on ecotourism to
view of large cuts from the Astrolabe Reef would significantly
present and safeguard the uniqueness and serenity of
detract from the area’s scenic amenity and wilderness feel).
the land and marine environment.

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The airport needs some minor upgrading for safety which involves The old capital of Fiji, Levuka is located on Ovalau. The
a larger apron and ultimately a new terminal building (located colonial buildings and laid back lifestyle of the island is
further back from the runway. an appeal for tourists who seek to learn about the
colonial heritage, mingle with the locals and just relax
Most visitors arrive by plane and then transfer into small boats to
Fijian style. For tourists who want to engage in activities
be taken to their resort. It would be desirable to construct small
there are excellent diving spots off the island, trekking
jetties and/or pontoons for safer and more convenient access to the
in the mountains and village visits.
transfer vessels. This is particularly required for the eastern side of
Vunisea. The Levuka Town planning Scheme, 1999 provides
both a statutory town planning framework and a set of
Learn more about the key attributes and contributions to the
policies and strategies to ensure the character of Levuka
Kadavu ecology of the rainforests. With appropriate access,
is achieved.
interpretation and activities, it has potential to be offer unique
South Sea Island tropical jungle nature experiences. Tourism to the region may grow somewhat with the re-
launch of Leleuvia island attracting backpackers and
Telecommunications is a critical issue for existing tourism
domestic tourists from Suva. The beautiful tiny island is
businesses and future development in Kadavu. There is a need to
ideal for snorkelling, swimming and kite-surfing. The
establish cost effective telephony and internet services, rather than
Lomaiviti group of islands is an ideal island-hopping
the present need to rely on satellite services.
destination for backpackers as well. More intrepid
A process of tourism awareness training and detailed consultation tourists can use local boats to experience the relatively
with resource owners should be undertaken to implement these untouched Moturiki, Caqelai, Koro, Gau, Nairai and
strategies and to further develop the tourism planning for the region. Bataki.
MoT should have an annual workshop with the Kadavu tourism There is some occasional use of the area for inter-island
industry to understand the regional tourism development aspects. cruises by small cruise ships and skippered charter
Once the development of a regional strategy commences, establish a yachts and cruising yachts.
Kadavu Task Force.
Despite its potential to be an appealing tourism
Lomaiviti destination, the Lomaiviti group has limited tourism due
to the weak transport linkages from Viti Levu. At
The Lomaiviti group of present there is no direct airlink from Nadi to Ovalau
islands are located on the and as such, regional growth is limited to those tourists
east coast of Viti Levu. who are dedicated enough to use land transport options
or fly via Suva on two flights.
Having said that there is significant potential in
Lomaviti and if there was a critical mass of tourism
accommodation at Ovalau and nearby islands regular
passenger flights from Nadi could be developed, linking
The Lomaiviti group provides 10 tourism
the region to the international gateway.
accommodations that have 122 rooms. 53% of these
rooms are in the budget group. In 2004, 7,876 visitors Lomaviti - Desired Character
stayed at least one night in the Lomaiviti group and an Lomaviti: Heritage Isles
average of 18.3 nights. By 2016, 12 properties may
The desired tourism character for Lomaviti is to ensure
provide 279 rooms in the Lomaiviti area.
the relatively remote and untouched landscape and
Major linkages include Bureta airport on Ovalau which culture are maintained. Transport linkages are most
services 14 return flights from Suva a week. Koro and likely to constrain resort size, however generally smaller
Gau airports service one return flight each from Suva a resorts would be preferred owing to the potential for
week. Wakaya Island also has an airport that services its adverse social impacts from larger resorts.
resort guests. Domestic ferries to Ovalau from Suva
Lomaviti - Strategies
operate daily. Buresala Landing can accommodate up to
Further enhance the heritage precinct of Levuka though enhanced
a 50m vessel. Koro and Gau jetties can accommodate
streetscaping and signage.
up to 70-80m and 50m vessels, respectively. There are 2
return trips to Koro from Suva a week. The world heritage listing of Levuka has been proposed in the past
and should it warrant such international recognition will both
Tourism in the Lomaiviti group is diverse as the
impose a requirement to protect the built cultural heritage and
products range from high end luxury accommodation,
serve as an added promotional aspect. Continue the program
mid-range homestays and locally managed budget
toward world heritage listing of Levuka. In the meantime develop
accommodation.
heritage conservation and presentation strategies.
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Review the Levuka Town Planning Scheme 1999, consider The tourism status of the Lau group is ideal for tourists
implementing the various policies and strategies included in the who want to explore alternative island experiences.
Plan. Village stays are possible with permission on a number
of islands and tourists can engage in farming, fishing,
Maintain tourism accommodation at low density (12 rooms per
cooking, kava ceremonies, mekes and wood carving
hectare) and smaller resorts (maximum 25 rooms or 50 beds).
with villagers.
Aim for one bay/beach and one village per resort. Maximum roof
height 5m and keep nestled among vegetated coastline. Avoid For regional prosperity, the Lau group have potential to
eyesore, dominant scenic alterations. benefit from cruise ships to superyachts that can
contribute to the local economy. Nevertheless, the
The MoT should meet annually with Lomaviti tourism businesses
introduction of yacht tourism into the region should be
to understand the regional development aspects.
done with sensitivity.
Lau Islands Currently there is an issue with cruising yachts who are
on passage between Tonga and Fiji stopping and
.
anchoring in the Lau. Yachts may seek shelter in times
of adverse weather or when there is an onboard
emergency, but it is otherwise illegal to stop (and go
ashore etc.) until the vessel has cleared into a port of
entry (Savusavu, Suva, Lautoka or Levuka). The local
community is aware of this and has concerns at such
illegal activity.
The current cruising permits an international cruising
The Lau group consists of the northern and southern yacht must obtain to cruise within Fiji waters do not
Lau group and the Moala group. There are usually include the Lau unless a specific invitation and
approximately 57 small islands scattered over 400km cruising permit is issues. Some yachts do get permission
from north to south. The Lau group of islands have to visit Vanua Balavu but few to other areas.
been fairly restricted in terms of tourism development.
In 2006 there were 6 rooms in 2 tourism Lau - Desired Character and Strategies
Lau: The Untouched World.
accommodation properties all in the budget category.
There is currently 1 property proposed to construct 20 It is recommended that the Lau Group be the subject of a detailed
premium rooms in the Lau group. Regional Strategy. There are numerous proposals and many
islands/villages aspire to have the economic benefits of tourism.
There is 1 return flight a week each to Vanua Balavu,
The recent “relaxing” of a total prohibition on tourism
Cicia, Lakeba and Moala from Suva. Ono-i-Lau also has
development could result in a relatively uncontrolled development of
twin otter (12 seats) capable airport that is not in
resorts. Many tourism stakeholders point out the unlicensed and
operation. Vanua Balavu, Lakeba and Cicia have jetties
unregulated development which occurred in the Yasawas in recent
that can accommodate up to 50m vessels. One domestic
years and hope to avoid this in the Lau through good planning.
ferry per month circulates to the Lau group stopping
over at Vanua Balavu, Cicia, Lakeba, Oneata, Moce and Fundamentally, the Lau has great tourism potential and could
Komo from Suva. become a world renown tourism icon as a stunningly beautiful
chain of remote islands that have strictly controlled best practice
The untouched breathtaking Lau islands have great
ecotourism. This will need good planning and a proactive
potential to be an aspirational tourism destination with
community, government and industry approach.
careful planning. Extraordinary vistas, beautiful white
sandy beaches, magnificent lagoons, distinct wildlife and Any tourism accommodation will need adequate air transport
simple village lifestyle are major attractions of the linkage which at present only exists for Vanua Balavu and
islands. Lekeba with airstrips (but only weekly flights) to Cicia and
Moala. As such development is most likely to be proposed nearer
There are a couple of guesthouses on Vanua Balavu and
these airports.
Lakeba that offer simple accommodation and authentic
Fijian hospitality. There are also occasional international Regular ferry services are starting, but these are unlikely to be used
cruise ships that stop over on Fulaga and Kabara, and that much for tourism owing to the long passage (20 hours).
there is a surf charter boat operating from Suva.
The preferred development character and opportunities will be
established following a forthcoming product review.

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There is the opportunity to develop a large network of marine If regional planning identifies interest from Lau communities in
protected areas, if not a large marine park throughout the Lau, hosting visiting yachts, develop a crewed charter yacht strategy, with
and whilst the local resources can support the local community, the island villages identifying suitable anchorages (from the resource
conservation of the unique marine ecology would be best of there owners perspective) and experienced charter yacht operators
was not commercial exploitation of the reef finfish, reef shell fish providing advise on desirable anchorages and potential itineraries
and near shore pelagic fisheries (from a sailing and tourism product perspective). Develop potential
services to be provided by villages near such anchorages such as a
Small private yachts, larger Superyachts and smaller cruise ships
lovo, meke, village visit, island trekking, handicraft market, or
have the potential to visit the areas, contribute financially for
guided snorkelling etc. to provide to charter yachts.
services offered (such as mekes, lovos, handicraft sales, village visits
and guided tours) visiting islands which have previously agreed to At this stage any resort development should be very modest, low
hosting such visits. This could have the potential to spread modest key and involve best practice ecotourism including best practice
economic benefit through the remoter islands away from easy air sewage treatment, sustainable design, and be water self sufficient
access. (e.g use a desalinator). There should be a net benefit to the local
village and indeed the numbers of staff required for the resort
should be considered to ensure that staff (other than management
or specialised technical staff) do not need to be brought onto the
island from elsewhere, as this could cause social change in villages.

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Establishing Brand Fiji


Creating Brand Fiji to ensure Fiji is a prime aspirational destination from our
key source markets is essential to increasing market share.

© Fiji Islands Visitors Bureau

Recognise the importance of the immediate crisis


Branding response of the Tourism Action Group, however
Marketing places is increasingly the domain of recognise that ongoing marketing and the longer term
sophisticated marketing techniques that replicate the establishment of Brand Fiji is vital.
efforts of marketers in the fast moving consumer goods
category. This is because places are increasingly seeking Marketing
to increase the number of visitors they receive to derive Given its available resources, the existing marketing of
additional economic value. In order to increase these the FVB is appropriately managed but under-funded
visitor numbers they will conduct sophisticated and relative to the task required. The key markets of
expensive market research in major markets, create Australia and New Zealand are maturing and require a
persuasive and appealing advertising images and convey longer term strategic brand marketing program. This is
these to the potential visitor (target market). They will critical for longer term growth. This should be based on
use television, radio, newspaper and internet advertising, creation of an emotional and experiential position.
magazine advertorial stories, exposure in movie films, Currently Fiji’s market from Australia and New Zealand
guide books and many other forms of communication, is strongest in the family segment and ‘Fiji Me’ moves
all with the intention of influencing the behaviour of the away from this. This change of focus should be
person receiving the message. confirmed.
Effective destination and tourism product marketing Fiji has a good position in a number of niche markets
requires the best creative and technical marketing including weddings and diving. A number of other
possible. niche markets such as sailing, MICE, and the seniors
could be targeted. Improvements in tourism product
Effective marketing requires good knowledge about the potential
components such as a broader range of food and
traveller and the available product to ensure good matching.
shopping opportunities would be useful. Four new
Post Crisis Recovery potential growth markets, China, India, South America
Tourism Action Group or the Gulf States require investigation and air access
Following the events of late 2006, the Tourism Action will be a critical issue here. Two new growth markets are
Group was reformed and in early 2007 had established a required to achieve the managed growth scenario
twelve month program of specials and aggressive The channels of distribution for tourism are changing
tactical marketing to counter the downturn caused by and increasingly intermediaries such as wholesalers are
the adverse media coverage Fiji received. being bypassed through direct bookings. Fiji needs to
The TAG marketing is essentially an aggressive tactical address this trend by taking a market driven approach.
campaign with a cooperative approach using Fiji should develop internet tools to facilitate direct
government funds, industry co-funding of campaigns bookings while supporting existing wholesalers. There is
and donations to the TAG budget. It has a role in a need to create a product database to allow access to
branding in that it attempts to refocus the market from information about smaller operators, the tools to allow
the negative perceptions of the coup to the positive that online reservation and payment for such operators and
tourism has continued uninterrupted. ”Spot the links to a web portal.
difference” was the focus of an early part of the The position of Fiji is as a relaxing, friendly, sun and
campaign. sand/islands destination. The benefit of a Fiji holiday is that it is
This chapter has been prepared on the basis of the relaxing. However, the difference of Fiji from other destinations in
marketing and positioning of Fiji required in the long terms of position and benefit is weak. This needs to be
term, not just the immediate crisis response after the strengthened by increased product development.
coup.
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Research and confirm the Fiji Me branding works for key target Other Airlines
markets such as the Australian and New Zealand family market. Other airlines could be expected to spend on advertising
Fiji, however much of this is likely to be tactical for
Brand Fiji currently is ‘one dimensional’ and needs to focus more
specific product offerings, and as many of these airline
on customer experiences. ‘Fiji Me’ has begun this process. Fund a
promotions advertise multi-destination specials (e.g. Fiji
‘pulsed’ brand marketing program in key markets at a cost of FJ
$699, Bali $799, Vanuatu etc.) they do little to promote
$8-13 million annually (in addition to the current tactical
Brand Fiji. This promotion is however important
program).
tactical advertising and have the greatest value when
It is recommended that a wider range of images are shot for ‘Fiji these airlines work with FVB for coordinated tactical
me’ and that this range targets additional market segments such as promotion.
families and also other types of experiences. Movement of the Fiji
Hotels, Wholesalers Etc.
position away from the family market should be confirmed.
Individual tourism businesses and wholesalers do
Further develop meeting and incentive facilities for business advertising in their own right. Much of this is specific to
travellers and new niche experiential and life-style product. the property and not Brand Fiji focussed, however
many properties do contribute to tactical campaigns
Improvements in tourism product components such as food and
with FVB. The total spend by tourism accommodation
shopping, new attractions and activities are required to support
properties on individual marketing and promotional
growth in accommodation. Without additional funding, it is not
campaigns is not accurately known but likely to be in
recommended that other offices are opened. With additional
the tens of millions and may well reach $100m
funding and office in Europe replacing two representatives appears
logical as well as representatives in Canada and Hong Kong- Cooperative Tactical/ Destination Level
China. Branding
The overall approach taken by FVB to date has been to
It is recommended that increase funding is allocated in Australia, increase tactical promotion as it gets the buy-in by
New Zealand and the USA targeting the seniors market. tourism businesses and for a given spend gets double
It is recommended that increased funding is allocated in Australia the spending power and hence share of voice.
and New Zealand (and possibly the USA) to targeting the
This approach is to be commended in that it has had
MICE sector. great success in getting industry cooperation. However,
A number of other niche markets are identified in the FVB it does mean general brand promotion is reduced.
marketing plan for 2007. However funding to develop these Branding, destination level marketing which is not tactical is
markets is low.
needed to create Fiji as an aspirational destination. To avoid any
Increase funding to target new growth markets based on doubt, the strategy is for FVB to conduct a major branding
developments in air access. campaign in key target markets, based on an additional, and
ongoing budget. Concurrently, FVB needs to continue with at
Sharing the Cost of Marketing least the present level of cooperative tactical promotion.
Wider Industry Support of FVB Marketing
To date FVB has been very successful in gaining
industry contributions to add spending power to its
marketing. As a lot of marketing is tactical, about a
specific product offering and with a call to action for a
specific contact and package, individual members are
happy to contribute.
FVB attempts to ensure that all its tactical advertising is
on a one for one basis (is it doubles the spend through
contributions).
Air Pacific
Air Pacific is also a major spender for Fiji’s marketing
spending about FJ $28 million in 2006. Air Pacific offers
a direct contribution to FVB of approximately $5
million in total joint marketing. As Air Pacific is a
destination carrier for Fiji, a majority of its marketing
spend is by defacto destination Fiji promotion.

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eFiji - Online Distribution Getting Heard – Share of Voice


Online access generally, and especially through Noting that the FVB had a total 2005 budget in the
broadband, is growing strongly in countries around the region of FJD $13.5 million, a 2005 UNWTO study on
world. The importance of the internet for information 51 countries gives an indication of the NTO and
search regarding travel search is unquestioned. More destination marketing resources harnessed by some of
recently there has been a significant trend towards the more aggressive nations. As examples, the Greece
booking of holidays especially by frequent travellers. NTO had a total budget of USD $151 m, with USD $67
Use of the internet is also higher for repeat visits and m for marketing, Spain, USD $120 m and USD $75 m,
for short haul destinations. Malaysia USD $118 m and USD $91 m, South Africa
USD $70 m and USD$56m .
Currently in Fiji, the Fiji Visitors Bureau operates a
website called Bula Fiji (www.bulafiji.com). This website In 2005, NTO’s spent USD $80 million in the German
provides information on Fiji as a destination, market competing with each other to gain market share ,
accommodation, things to do, and vacation packages USD $54 m in the UK, USD $52 m in the US, USD $26
offered by major wholesalers. Bookings for m in Japan and already USD $16 m in China.
accommodation are able to be made with operators
The choice of marketing instruments used in 2005 were:
contacted through this site. Bulafiji.com is a popular site.
The current functionality of the FVB website is simple Advertising 43%
but effective. Tourism Fairs, Trade Shows & Trade Visits 15%
Information 10%
Fiji has a prime opportunity to develop a major online Support to industry 9%
distribution system (or “portal”). A system can be Press trips & PR 7%
developed which allows access by retail customers via Internet 3%
Bula Fiji (for which the tourism product pays a modest Market Research 2%
commission - about 2%.) The system would also allow a Other 11%
booking system via all Airlines (the tourist initially
accesses the airline’s website then gets directed to the
booking engine and dynamic packaging system) with
relevant commission paid between the airline and FVB Funding
tourism business. This system could also be used by Marketing requires funding and typically destination
wholesalers with the customer initially accessing the marketing funding is inadequate. The recommended
wholesaler’s website, being directed to the booking UNWTO minimum guidelines for marketing spend as a
engine with dynamic packaging. This is still badged as percentage of Gross Earnings is 2.5 to 4%, whereas the
the wholesaler’s sales system, with the wholesaler marketing budget of the FVB is well below the
receiving their usual commission. UNWTO standard requirement. In 2003 FVB total
The major benefit of this portal system is brand budget was 2% of tourism derived foreign exchange,
reinforcement and it allows promotion and sales of even 2004 reducing to 1.7% and 2005 1.5%. As such the ratio
the smallest accommodation or tour product. of Fiji’s destination level marketing funding to foreign
exchange earnings has been declining.
Develop a product database for all tourism product in the Fiji
Islands (FVB). In part this limited budget is related to the problems of
identifying the benefits from tourism marketing due to
Provide a reservation and booking system for smaller operators individual business activity. The fact of the matter is
(FVB). that tourism businesses in Fiji benefit (to different
Link the bulafiji website to the reservation and booking system to extents) from marketing activity overseas by themselves
provide a benefit for smaller operators (FVB). and competitors. It is also generally accepted that the
impact of marketing overseas has a significant leverage
Develop dynamic packaging options for bulafiji website (FVB). effect. In other words the expenditure of $100 on (well
Dot travel is being established as the new destination targeted) promotion leads to greater than $100 in sales.
domain address supported by WTO, PATA etc. The question is who receives this revenue. UNWTO
guidelines on how to get the most out of destination
FVB should register and adopt www.fiji.travel as a subsidiary
marketing budgets propose:
access to BulaFiji.com
• Define priorities & target - making clear choices,
especially of markets and segments to be active on
and the type(s) of promotional activity to be
employed.

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• Know your demand & trends - starting with the analysis It is suggested that growth above the Low Growth
of actual and potential demand & competition. scenario is unlikely to be achieved without a major
• Cooperate - search for the increase of budgets by branding campaign (and concurrent tactical advertising)
means of partnerships (even out of the industry). at the level proposed. As such it is suggested that for the
• Evaluate the return of your investment. purposes of a cost benefit analysis it can be assumed
that if there is no additional annual marketing
The recommended brand funding and distribution to 2016 is expenditure by government (i.e. no branding) at best the
given in the following table. It is vital that at least this is low growth scenario will be achieved. This is a
committed for any hope of growing the markets beyond a low conservative assumption for cost-benefit as it is
growth scenario. Destination branding cannot guarantee that reasonable to assume that even the low growth scenario
people will chose to holiday in Fiji, but it is a certainty that Fiji cannot be achieved without additional destination level
will not become an aspirational tourism destination without it. marketing spend.
To avoid any doubt, the granting of a reduce budget for The Low Growth Scenario sees a total net increase in
FVB in 2007 will need to be reversed to even recover to government revenue 2008-2017 above 2016 tax receipt
2005 visitor levels. figures of $348 million, whilst the Managed Growth
Cost Benefit of Government Expenditure on Scenario sees a net increase of $567 million. The
Marketing proposed additional spend for destination branding is
Government needs to make an ongoing contribution to $97 million 2008 to 2016.
marketing, predominantly to destination development. Given the above, the increase in government revenues
An estimate of tax revenues to government has been (the benefit) after taking into account (the cost of) the
made and is reported on in previous chapters. Based on expenditure of $97 m in branding promotion (above the
achievement of the Managed Growth scenario, with base of $13.5 m annually for general and tactical
Government spending on marketing through FVB marketing and promotion) for the period 2008 to 2016
being a total of FJ$21.5m in 2008 and rising to $26.5 m is estimated to be $251 m.
in 2016 (2007 dollars), the net government revenue will
be approximately FJ $118 m in 2008 rising to $253 m by Further, taking into account the proposed investment
2016. This is a total net return to the Fiji government of incentives considered to be required, the combined
$1.7 billion dollars over the period 2007-2016. cost-benefit is a net benefit to government of $216 m.
NOTE: The above is based on a series of conservative
estimates, which when considered cumulatively result in
the above benefit being very conservative and likely to
be substantially higher.
Table 19: Core Funding for Branding and Destination Marketing
Origin Market 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Australia $2 m $3 m $2 m $2 m $4 m $2 m $2 m $3 m
New Zealand $1 m $2 m $1 m $1 m $2 m $1 m $1 m $2 m
North America $1 m $4 m $2 m $1 m $1 m $4 m $1 m $2 m $3 m $3 m
UK/Europe $1 m $1 m $4 m $1 m $3 m $1 m $1 m $4 m $1 m $2 m
Japan/Korea $3 m $3 m $1 m $4 m $2 m $1 m $1 m
Emerging Markets $1 m $1 m $2 m $3 m $2 m $1 m $5 m $4 m
• China x x
• India x x
• S America x x
Total Brand Spend $8m $8m $10m $11m $12m $12m $13m $13m $13m $13m
FVB Corporate & Tactical $13.5m $13.5m $13.5m $13.5m $13.5m $13.5m $13.5m $13.5m $13.5m $13.5m
Destination Marketing $21.5m $21.5m $23.5m $24.5m $25.5m $25.5m $26.5m $26.5m $26.5m $26.5m
Government Revenue $128m $140m $153m $167m $182m $198m $216m $236m $257m $280m
Net Government $107m $118m $129m $142m $156m $172m $189m $209m $230m $253m
Revenue (return on
Investment)
X= emphasise this area.

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Facilitating Tourism Growth


Fiji must compete on a world stage for the investment dollar. This will require
financial incentives, streamlining of the approvals processes, and maintenance of
currency control. Generous incentives and smooth approvals processes are essential to
achieve the managed growth scenario. Properly managed, these incentives will provide a
good return on investment to the economy generally and to government revenue.
© Fiji Islands Visitors Bureau

There is no reason at all why an incentive programme to


Incentives and Investment stimulate hotel and resort building should not be
One of the prime tools government has to facilitate discretionary. Most countries’ schemes are discretionary
growth of tourism is to provide incentives for investors in order to promote and effect development in new
and installing infrastructure that forms a foundation. areas, diversify the tourism product, be an instrument of
By regional standards Fiji’s package of investment national economic development strategy in stimulating
incentives for the tourism industry is generous. development in designated development regions (such
Investment allowances and/or accelerated depreciation as the northern islands) or be concentrated in
are available to developers of major projects. development precincts to achieve economies of scale in
Exemptions from excise duty, a concessionary rate of the provision of infrastructure, typically the
import VAT is available to approved projects. responsibility of national government to provide.

Hotel and resort projects with a capital value in excess As the tourism sector moves forward it is strongly
of FJ$40m (US$20) are eligible for a 20-year tax holiday recommended that discretionary direction to
and hotel or resort projects with a capital value in the hotel/resort capacity be implemented. Equally it is
range FJ$10 to $40m are eligible for a 10-year tax recommended that a menu of incentives be retained to
holiday, subject only to statutory planning compliance. effect growth in tourism and hence economic
To be eligible hotel projects are required to be of 4- or development.
5-star quality. There are currently no restrictions on size Fiji has yet to reach a critical mass where visitor
or location of the development project, though to volumes and accompanying investment is self sustaining.
comply with capital eligibility criteria the developments This critical mass is probably in the region of 1 million
are inevitably large scale (typically 150+ rooms). visitors a year for a country the size of Fiji. Offering
The implementation of the current incentive incentives to reach that critical mass is a route that has
programme, which was devised to stimulate hotel been taken by many mature tourism destinations during
construction and employment in the aftermath of the their development phase. Within the region, New
November 2000 coup, has been successful in increasing Zealand introduced special incentives for hotel
the number of hotel projects under construction. The development (to diversify capacity into regional areas)
extension of these incentive provisions for a further and Queensland adopted a infrastructure investment
three years to 31 December 2008 has resulted in a incentive strategies in the 1980s to boost quality tourism
significant expansion in the number of projects seeking infrastructure in the north and south of the State. Fiji is
and receiving approval. The incentives have also been at the point where it needs to diversify its tourism
extended to include projects with a private villa, superstructure to meet projected demand from existing
retirement village and private hospital component as and developing markets into the future. Tourism can
part of the resort complex (with conditions). also be a major vehicle for regional economic
development strategies such as breathing impetus back
There is a need for greater balance in the future hotel into the “Look North” development policy.
and resort stock to meet the demand for properties
throughout the quality range from 3-star family resorts
to the more exclusive properties and including smaller
properties (with lower investment levels).

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Proposed Incentives In addition to the above, only those projects demonstrating a Fiji
The package of incentives recommended replacing Character in their development would be eligible for the incentive.
those currently in place make reductions in some areas Further, developments must provide and commit to a “statement of
and extend allowance provisions in other areas. The benefits” which sets out commitment to benefiting the local
overall strategy of this review of incentives is to community, such benefits may include NLTB lease payments and
maintain continuity of incentives while directing landowner equity, local employment, training for locals prior to
investment to the segments that have an evident employment, community infrastructure projects and general
shortfall in capacity. Maintaining the attractiveness of community support.
Fiji as a destination for tourism investment is of The application of the above incentives should be applied to live
principal concern. aboard cruise vessels and skippered charter yachts (which
It is recommended that the term of tax holiday essentially provide accommodation) brought into Fiji and registered
incentives for hotel and resort construction be reduced as Fiji vessels (with a capital value in excess of $1 m), with the
and eligibility for accommodation projects targeting the proviso that the vessel must remain registered in Fiji with a coastal
international market be extended. trading licence for tourism purposes for a period of five years
(otherwise the tax foregone becomes payable), to avoid speculative
The range of incentives and allowances recommended for imports of vessels.
implementation from 1 July 2007 are:
Note: during the development of the Plan the Fiji
Short Life Investment Package Islands Hotel and Tourism Association provided
It is suggested that the granting of incentives numerous representations that the period of the SLIP
(particularly for larger developments which can strain conditions must remain at the 20 and 10 years
community infrastructure) be restricted to tourism respectively in order to attract investment.
development which is appropriate in the region
(preferred) and where government may need to provide Secondly, there was concern about the preferred
infrastructure support that the public/private funding of character and Fiji character aspect.
this infrastructure has been agreed prior to any incentive It is proposed that the administration of the SLIP program by the
being granted. Ministry of Tourism be such that they approve the HAA where
For smaller developments, only those which are the proposal is the preferred character and has adequate Fiji
preferred development in the relevant tourism planning character proposed. Alternatively they may make suggestions to
area should be provided an incentive (any necessary modify the development. If the developer does not accept the
infrastructure contributions should be determined at Ministry of Tourism suggestions, or the Ministry of Tourism
this time as well). considers that the proposed development should be rejected as it is
not preferred tourism for the area, or it does not have adequate
The building of a new hotel, resort or accommodation complex is Fiji character, then a review panel comprising individuals who
eligible for the Short Term Investment Package: qualifying have no interest in the matter comprising Director Tourism, the
accommodation complexes: President of the Fiji Architects Association (or their nominee), the
• not less than FJ$40,000,000 are eligible for a 20-year tax President of the Fiji Islands Hotel and Tourism Association (or
holiday, with the proviso that only those projects which are their nominee) and the relevant Roko Tui (or their nominee) shall
preferred tourism development in the relevant tourism meet to either suggest approval, approval subject to
planning area would qualify and if required, only when changes/conditions or rejection.
infrastructure contributions have been agreed. The final decision would be made by the Minister for Tourism,
• not less than FJ$10,000,000 but less than FJ$40,000,000 however this process, which should only be needed occasionally,
are eligible for a 10 year tax holiday, with the proviso that would ensure innovation or difference is not rejected out of hand.
only those projects which are preferred tourism development in It is important to note that Fiji Character can be achieved by a
the relevant tourism planning area would qualify and if range of techniques, not just through traditional design elements in
required, only when infrastructure contributions have been the architecture, and as such proposals may set out methods of
agreed. achieving a Fiji Character in terms of fit out, artwork and interior
• not less FJ$2,000,000 but less than FJ$10,000,000 are design, landscaping, staff training, guest experiences and activities
eligible for a 7-year tax holiday with the provision that only etc.
those projects which are preferred tourism development in the
relevant tourism planning area would qualify and if required, Standard Investment Allowance
only when infrastructure contributions have been agreed. The current standard investment allowance of 55% is
proposed for a minor increase.
Those projects with an existing provisional approval as of 31
December 2006 would continue to qualify under the previous
Hotel Industry Incentives.
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It is proposed that the Investment Allowance be extended to Environmental capital expenditure within the precincts of the
include refurbishment (including soft furnishings). It is suggested service area installed by a hotel or resort complex would be eligible
that specific criteria be developed for this (i.e. soft furnishing for a depreciation allowance of 125% to be amortised over three
refurbishment may only be included for any property each 5-10 (3) years.
years).
Prior approval must be obtained to qualify.
The Investment Allowance (in addition to ordinary depreciation)
Commercial Operations by Charter Yachts
of 55% of the total capital expenditure (excluding land) is allowed
Fiji is missing out on a lucrative commercial skippered
as a deduction for preferred development available over a 5-year
charter yacht industry owing to its restrictive import and
period from commencement of operations.
coastal trading licence requirements. The development
To qualify for the Investment Allowance the style of the proposed of approved charter yacht operations into remote areas
hotel development would be of preferred character in an acceptable (on the basis of approved itineraries to locations where
location. villagers want visits) can be a way of extending tourism
economic benefit to outlying island with minimal
This allowance is applicable to the building of new hotel or resort
infrastructure requirements.
complexes as well as renovations or refurbishments of existing
hotels. The period of validity of the special import permit required by the
operator will be extended to be valid for a period of five years and
Again to qualify, projects must demonstrate a Fiji Character.
require a limited coastal licence.
Environmental Protection Allowance
Tourism Infrastructure
There is an environmental management need to
For new, but also targeting existing, tourism properties
encourage existing tourism properties to raise their level
the provision of an incentive may assist with private
of environmental protection and performance up to
industry contributions to infrastructure such as roads,
current best practices. Particular issues are sewage
water supplies and sewage systems.
treatment, potable water treatment, reforestation,
erosion control, and other environmental works. Capital expenditure contributions to infrastructure provision for
Additionally, capital expenses for ecoefficiency (such as local or national government network would attract a depreciation
water and energy conservation measures, e.g. solar hot allowance of 125% amortised over a period of 3 years from the
water heaters, smart energy management, variable speed date operations commence.
compressors for air conditioning and refrigeration etc.)
Prior approval must be obtained from the Ministry of Tourism to
could be supported.
qualify.
Any capital expenditure undertaken for environmental protection
Tourism Vehicles and Vessels
at an existing tourism business is eligible for a depreciation There is a need to significantly grow the air, sea and
allowance of 150% of the capital cost of equipment and land transport capabilities if double the present number
installation amortised over three (3) years after installation within of tourists are to be moved around in the next seven
the boundaries of that business. years.
Prior approval must be obtained to qualify. Motor coach and mini bus, limousine and vessels for use by
Environmental Protection and Community tourism businesses should attract a concessionary duty of 10%.
Support
Prior approval must be obtained from the Ministry of Tourism to
There is an opportunity to provide incentives to tourism
qualify.
hotels and resorts to provide support to their local
community. Support could include environmental Meetings, Incentives and Conventions
aspects such as water supply, sewage treatment, sanitary Managers of Fiji’s premier conference facilities raised a
landfill, reforestation and community support for suggestion of offering a VAT relaxation or refund to
aspects such as wharves, roads, power supply. The intended conferences as an incentive to come to Fiji. At
proposed incentive is for specific environmental and present the proposals of this Plan offer incentives for
community benefit capital expenditure. Most of these capital expenditure to increase Fiji’s tourism
costs could be expensed by businesses in some way at infrastructure, with the return to Government being the
any rate (thus reducing profit and hence corporate tax), “cash flow” taxes such as VAT HTT revenue from the
so the margin cost to government in terms of lost tourism activity (such as conferences). The major
revenue is in effect the additional 25%. However even conference facilities have mostly been developed
disregarding this “cost” the benefit is a community through some form of incentive for the capital expense
benefit in terms of services that could otherwise be a of the infrastructure, so offering a VAT reduction could
major capital expense to government. seriously affect government return on the corporate
taxes foregone through the offering of the incentive.

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Consider the cost benefit of offering VAT refund etc. for If the managed growth scenario is achieved, in 2006
conferences taking into account the corporate tax holidays for the dollars, the annual government tax receipts will be $280
establishment of the conference infrastructure. If there is a high m (a total increase in government revenues of $567 m,
benefit ratio, consider offering the VAT relief. 2006-2016), whereas if the low growth scenario is
achieved, the annual tax receipts will be $191 m (a total
Impact of Incentives on increase 2006-2016 of $219 m. As such, if you assume
Government Revenues that the managed growth scenario requires investment
The incentive schemes for construction of hotel and incentives, but that the low growth scenario can be
resort properties have been particularly successful in achieved without them, then the increased government
stimulating investment in hotel properties, particularly revenue is $348 m. Whilst government will still receive
since the year 2000. corporate taxes from hotels and the other tourism
cluster, if these are ignored on the basis that incentives
The period of eligibility of the 20-year tax holiday reduce or negate such corporate tax, the government
provisions has been extended till 31 December 2008. revenue net of a tourism related corporate taxes will be
There are a significant number of rooms (7,200 at last approximately $313 m.
count) in the planning and construction pipeline. Hotel
and resort properties constructed during the eligible Just looking at the cost of tax incentives, on a
period from 2001 and now in operation are exercising conservative basis that by implementing tax incentives
their tax holiday status. government will receive no corporate tax from hotels or
the other tourism cluster, there is a net benefit in the
Hospitality sector profits were non existent in 2002 but period until 2016 of $313 m.
with increased activity financial surpluses were again
being achieved from 2004 on. In the period 2002 to Further, taking into account the proposed marketing
2005 hotel revenues increased by 56% (BoS) but there and branding spend considered to be required, the
has been no commensurate increase in corporate tax combined cost-benefit is a net benefit to government of
revenues as hotels are able to take advantage of their tax $216 m.
holiday or standard allowance status. However, NOTE: The above is based on a series of conservative
government tax revenues have growth with the cash estimates, which when considered cumulatively result in
flow taxation of Hotel Turnover Tax, VAT, payroll tax the above benefit being very conservative and likely to
and various duties. be substantially higher.
The estimated tax for a nominal year (in 2006 dollars) of Increased government revenues through the Hotel
$140.5 m is presented above, of this Hotel Corporate Turnover Tax, VAT, payroll tax and corporate taxes
Tax is $8.7 m or 6% of government revenues. Other generated through additional visitor arrivals will more
tourism corporate tax is $6 m or 4 %. For this nominal than offset the tax foregone through the incentives
year if a total tax revenue of $140.5 m is assumed for offered to ensure that sufficient accommodation is in
550,000 visitors predictions of tax revenue can be made place to meet anticipated future demand.
for future years (in 2006 dollars).
The estimated net increases to Government revenues
For the purposes of a cost benefit analysis it is assumed that will be generated through the proposed incentive
that investment in tourism accommodation will not be programme will not only more than offset the tax
achieved above 11,800 rooms by 2016 (the low growth foregone in offering the incentives but also cover the
scenario) unless incentives as proposed are offered. additional promotional spending required to generate
the increase in visitor volumes.

Management of Incentives and


Concessions
It is considered essential that the approval process be
reviewed to ensure that the Ministry of Tourism is the
start point in the approval process before projects are
submitted to Town and Country Planning for statutory
approvals. Only in this way will approvals for
accommodation capacity be appropriately located and
targeted to existing and future developing international
visitor markets.

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The administration of the approval process under the Hotel Aid Planning Approvals
Act should remain with the Ministry of Tourism rather than Currently there is a dual process with Town and
being transferred to FIRCA. Country Planning having a role in planning approvals,
yet the front line agency being the local government
Streamlined Approvals (City council) or Rural Local Authority (under the
At present there are a series of approvals required for Health Department).
the development of tourism accommodation, tours and
attractions. There is no coordination of the process nor This creates a process whereby developers are dealing
a whole-of-government approach. There are numerous with local health inspectors not professional town
“catch 22” situations (where one approval process may planners for complex planning issues and approval
be awaiting another etc.) which mean there is no certain processes.
path. Whilst there may be an appropriate role for local Health
NOTE: There is no intention to soften the control or regulation of Inspectors for administration of building permits and inspections,
the outcomes for tourism, indeed many strategies proposed involve consider centralising the planning approval process for tourism
additional planning controls and constraints. The intention is to development to the department of Town and Country Planning.
facilitate greater certainty in the process and ensure efficient and Town and Country Planning will need one or preferably two
coordinated processing of approvals. officers dedicated to planning approvals for tourism development. It
Coordination by Tourism Development Unit
is likely this will require additional staff and resources for Town
The overall suggested outcome is to have a Tourism Development and Country Planning.
Unit which facilitates development approval for select, preferred Environmental Approvals
tourism developments. The facilitation will be to coordinate Currently the Ministry of Environment has a role in
government attention and response taking projects from conception developing the Terms of Reference and then evaluating
to regulatory compliance upon commencement of trade. This role of environmental impact assessment reports for tourism
the Unit will not be any additional regulatory function, rather to development.
coordinate government approvals and ensure a timely and
consistent response. Ministry of Environment will need one, preferably two officers
dedicated to environmental assessment for tourism development. It
It is suggested that the unit compile a series of development policies is likely this will require additional staff and resources for the
(such as normal lease conditions for tourism leases, terms of Ministry.
reference for an EIA, etc.).
Approval Process
NLTB Lease Premium The overall approval process remains a mystery to many
At the time of negotiating an NLTB lease, at present a tourism developers even when they are in it! Often they
prospective investor must pay the lease premium fee do not know the actual stage in the process they are at
prior to obtaining approval for the development. This or what the critical path is.
needs a leap of faith of investors, who, should the
development not be approved have no ability to recover It is suggested that a critical path process diagram for tourism
the payment. It is suggested that this be changed to a development approvals be developed and the process described. It is
smaller, non refundable deposit which provide the land suggested that this be undertaken initially by the Tourism
owners to alienate the land for a set period (normally Development Unit.
two years for the developed to obtain approvals and pay Current and ongoing development projects should be mapped as to
the premium or lose the deposit and agreement to lease). where they are in the process and developers advised.
By making the deposit non-refundable, speculative
Timeframes
alienation of land will be reduced (where landowners
Currently approvals take an unknown, irregular time
have signed an agreement to lease, yet see no activity
period for approval with each stage and government
nor the desired economic return for years).
agency having its own timeframe. Other jurisdictions
It is suggested that NLTB take a non-refundable deposit of 20% establish set timeframes for agency response to an initial
of the lease premium at the time of signing an agreement to lease application, ability to require further information and
and that the lease premium become due once approvals have been then time to make a decision and set any conditions
obtained for the (defined) proposed development (e.g. a 20 bure once further information is received.
resort with jetty and swimming pool etc.).

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It is suggested that once the approvals process chart is • A foreign investor engaging in rental and hire cars
established that set timeframes be established for each `or a chartered land transport tour operator
stage of government agency consideration and response. business must have at least $500,000 in fixed assets.
At this stage it should be considered a “guide” however • Any activity involving investments in the cultural
the aim should be to meet the timeframes as though heritage of the Fiji Islands must have at least 51%
they were statutory. At the minimum once a timeframe equity held by Fiji citizen(s).
is exceeded the Tourism Development Unit should
require a reason and a firm commitment to a timeframe In addition:
from the relevant agency which will be passed on to the • A foreign investor providing an inter-island
Tourism Development Unit. shipping and passenger service must have at least
51% equity held by Fiji citizen(s).
Regularisation
Many smaller developments have been developed with In general the reserved activities have served Fiji well
few of the required approvals, this often means they do and with some minor modifications over the years have
not have the required Hotel Licence and must operate established a regime where (combined with incentives)
illegally. foreign investment is targeted to areas for tourism
development needing foreign capital and not those
The exact number of current tourism products needing within the capacity for local investment.
regularisation is unknown and the scale of the project needs to be
determined with an overall audit. Review the reserved and restricted activities related to the tourism
industry to establish the social and economic impact of changes to
It is suggested that the Ministry of Tourism allocate one officer for these requirements. This would address the impact on both foreign
one year to a project to regularise all existing tourism developments. and local investors.
Whilst not reducing compliance standards, as many of these
businesses are owned and operated by resource owners a program Consider the desirability of allowing sightseeing tour businesses to
to provide technical and administrative assistance to ensure all be developed with foreign equity.
necessary permits and licences should be implemented.
Currency Control
All government departments should ensure that all tourism There are issues regarding the outflow of local currency
developments obtain and comply with the required permits and for the import of goods and services, particularly
licences. relating to tourism construction projects financed by
local banks, fund managers an/or investors.
Restricted Activities
The Foreign Investment Act (as amended) sets out a series Concern over the extent of non-resident borrowing on
of reserved activities, those relating to tourism include: the local market to fund private villa developments
“(b) a taxi business; prompted the Reserve Bank to issue a directive during
(c) a bus business; August 2005 effective from 1 January 2006. The main
(e) retail sale via stalls and markets; provision of the directive is the requirement for an
(f) a handicraft business; equity contribution by non-residents from external
(n) home-stay lodging services; sources equivalent to 50% of the total purchase price of
(q) sightseeing tours, travel agent and tourist guide the property.
services; (sic .)” There is obviously a need to protect the currency and further
In addition to the total restriction of the above, in strategies may be required. This issue of the Fijian economy being
relation to tourism the following rules apply: able to fund the required public and private capital investment in
• A foreign investor engaging in a restaurant business infrastructure is a complex one and will be critical to ensure the
other than those operated by foreign owned hotels economy can grow tourism without affecting the currency.
must have at least $200,000 in fixed assets and at
least 50% equity held by Fiji citizen(s) for
investments up to $500,000 in fixed assets.

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Vanua – Community Benefit


Fiji’s traditional society and resource ownership is fundamental to its character and
society. Tourism can and should provide benefits to and become partners with
prosperous communities.

© EcoSustainAbility

Community Benefits from Industry and Community Co-Awareness


There is a recognised need to raise tourism industry
Tourism awareness of the needs and aspirations of resource
Community Wellbeing owners and a commensurate need to raise the awareness
Tourism does not exist in Fiji for the sole benefit of investors and of the aspirations and business imperatives of the
tourists. Fundamentally tourism can and should create community tourism industry.
benefits.
To promote community wellbeing, tourism should: Policy for Community Benefit
• Recognise, support and promote community ownership of In order to achieve community benefit from tourism the key policy
tourism; aspects to consider are:
• Involve the community from the start in all aspects of • Ensuring appropriate engagement and empowerment of local
development; communities.
• Promote community pride and improve the quality of life; • Improve conditions for effective local decision making.
• Ensure environmental sustainability; • Address the specific position of indigenous and traditional
communities with respect to local control.
• Preserve and enhance the unique character and culture of the
local area; Principles for Community Benefit
• Foster cross-cultural learning; The awareness by the local community of the net
• Distribute benefits equitably amongst community members, benefits of well planned and properly managed
and; sustainable tourism and its contribution to Fiji’s growth
• Contribute a percentage of income to enhancing developments in and development is important to community
“ownership” of tourism and harmonious relations with
the community.
tourists. Sustainable tourism can and should be a tool to
Tourism resource owners have a major interest in assist visitors and local communities maintain or
tourism and obtaining benefits for their mataqali enhance their authentic cultures, traditions, heritage and
(landowner) from tourism. distinctiveness.
There is a need to identify and develop strategies to reduce even Tourism development can impact on the social
small scale and occasional social/ cultural impacts from tourism wellbeing of communities in many positive and negative
(e.g. inappropriate behaviour by tourists in a village). Further, ways. Sustainable tourism can contribute to
larger scale social impacts such as displacement of communities strengthening the quality of life in local communities,
from tourism land use or the overrunning of a local population by including their social structures, access to resources,
tourism workers from other areas also needs to be considered. amenities and healthy natural ecosystems. This
Engagement and empowerment of local communities in necessitates planning policies established to avoid any
planning and decision making about the management form of social or environmental degradation or
and future development of sustainable tourism in their exploitation in the name of tourism development.
local area in consultation with other stakeholders is Community tourism should be encouraged and facilitated according
essential within the Fijian cultural context. Giving to the following principles:
people responsibility and control over their own lives is
a fundamental principle of sustainable development. • Tourism should be socially sustainable. Tourism must
provide economic, social, cultural and environmental benefits
for host communities, while having minimal impact on these
sustainability factors.

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• Poverty alleviation must be a primary goal of tourism


development. Community Based Tourism
• Tourism development needs to be community driven and Community based tourism is a fundamental mechanism to achieve
controlled. regional prosperity and poverty alleviation and ensure tourism
benefits the Vanua.
• Tourism should be managed by the host community and the
government in partnership. This aspect of tourism development requires special
• The tourism industry needs to demonstrate respect and consideration given its fundamental (and socio-
recognition of indigenous culture and natural heritage. psychological) importance to Fijian identity and culture.
• Tourism development must be participatory and include a Defining a set of community based tourism strategies
range of stakeholders. may strengthen this Plan’s other strategies proposed for
• Tourism needs to be complimentary to the local and regional development outside Viti Levu, and also into
indigenous economy. those currently existing areas of major tourism activity
such as the Mamanucas, the Yasawas, the First
Community Determination Landing/Denarau/Momi Bay corridor and the Coral
The vanua needs to be receptive to tourism and should lead and Coast. Inland areas however should also be included.
control tourism in their community. This requires the strong
indigenous leadership and entrepreneurial skills to foster change Fundamentally, it is important to integrate tourism
and development on a community-wide basis. development into community development holistically.
If tourism is used as a tool in isolation from other
Community Awareness Training and Education aspects of village/community development it will not be
In order to empower indigenous communities to make decisions a able to maximise the linkages necessary to ensure its
foundation of accurate knowledge and skills must be established. sustainability.
Social Carrying Capacity To be sustainable tourism projects must be linked to
Managing the volume of visitors within an area at a particular wider village needs and be constructed through local
time (e.g. during Sunday church services, family or village events institutions which have the support of the majority of
etc) the community. Without holistic integration there is a
Establish visitor management policies to reduce congestion such as risk that tourism development may be viewed as an end
promoting off-peak season visits, presenting alternative locations to in itself instead of as one vehicle to alleviate poverty and
spread visitor load and impacts, offering alternative activities to assist in attitudinal change, especially with reference to
spread visitors. the environment and conservation. A tourism project
may be utilised as the entry point for social mobilization
By promoting mutual use of facilities and services by within village communities.
locals and visitors, visitor expenditure can assist in
ensuring the viability of community services and The following guidelines are proposed to be adopted as a basis for
facilities. community based tourism in Fiji:

Influence the Behaviour of Tourists Towards • the over-riding principle is the need to use tourism
Local Communities development to create additional income and improve living
Information supplied before and during the visits, standards (e.g. health and hygiene, education, basic
regulating behaviours such as noise and littering, infrastructure) at the village level as part of poverty
provision of litter bins, information signage in different alleviation;
languages if necessary, supporting campaigns to combat
• it should be grounded in the concept of sustainable human
environmental bad practices, sex tourism and the
development with its emphasis on the creation of social capital
exploitation of children and women.
(as outlined by the United Nations Development Program in
Capacity Building 2000);
Institutional arrangements need to be developed to support inter-
community learning. Indigenous communities need the mechanisms • tourism should be approached and conceptualised as ‘the
to network to share lessons learnt and best practice. tourism system’ not the tourism industry, since in fact its
backward and forward linkages make it integral to virtually
every economic sector and its interconnectedness with
Government, the private sector, communities, the social sector
and the bio-physical environment must all be considered if it
is to make a valid contribution to poverty alleviation and
regional development;

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• it should be focus group oriented, especially with regards to Business Skills


poverty alleviation and redistribution of income, gender Successful tourism businesses are based on sound business
relations, and disadvantaged groups. In this context, planning and management. Traditional resource owners should be
reduction of gender discrimination will require an analysis of empowered with the skills to undertake these activities.
gender roles and relations as well as entitlements; Institutional Arrangements
• it should focus on self-help (social mobilisation of local groups, Successful tourism operations must operate within the mainstream
strengthening of village and district planning, decentralisation, tourism network. To be successful, indigenous tourism enterprises
etc.); need to be incorporated into the broader Fiji tourism distribution
networks
• it should assist institutional development because poorly
developed local institutions are unable to provide required Qoliqoli
The aspirations to have the right of ownership and
services to address structural problems of under-development
resource interest in the sea and coastal area lead to the
• since growth in agricultural output and fisheries in Fiji are qoliqoli process. As at early 2007 no legislative solution
seen as the most important contributors to the alleviation of to recognise Qoliqoli or establish statutory rights and
rural poverty, tourism development should be designed obligations for qoliqoli owners had been resolved. The
wherever possible to increase demand for agricultural produce major national controversy over a previous proposal
leading to more farming activities. It will thus provide shows that it is a difficult issue and one which will take
employment opportunities leading to increased income in the some time to resolve.
family and reduction of poverty; It is recognised that there may be a process to recognise and /or
• it should be based on sustainable use of natural and cultural manage Qoliqoli in some way during the life of the Plan.
resources with conservation as a guiding ethic; A following chapter sets out principles from a tourism
• it will thus play a major facilitating role between local groups, industry perspective regarding Qoliqoli. It is also
I/NGOs and government organisations. necessary to recognise that any formalised approach to
Qoliqoli will need to benefit Qoliqoli owners in a fair
The Role of Tourism Resource and equitable way.
Owners Maximising Local Community
Tourism resource owners have a key role in tourism, they are
landlords, business partners, shareholders, neighbours, local Benefits
community members, sometimes employees and interested Maximising Economic Retention
stakeholders in tourism developments. A key goal for ensuring greater community benefit from
tourism in Fiji is to work to maximise the economic
It is important to recognise that tourism resource owners have a retention or minimise the leakage. The cost of exports
cultural and individual interest in the sustainable use of their land (tourism expenditure) less the cost of imports to
and resources and an interest in maximising the benefits to support the tourism (imported building materials,
themselves and their local communities from tourism. outboard motors, diesel fuel, beef steaks etc.) is the
Fundamentally Tourism Resource Owners are also economic retention.
custodians of landscape and culture. There are two key areas where there are prime
Representation opportunities to maximise the retention, firstly in
Traditional tourism resource owners should be represented in employment and secondly in the “Fiji Farm” or
major tourism fora. agricultural products.

The Ministry of Tourism should continue to include tourism Employment


resource owners as key stakeholders and further to facilitate at Recognise local employment as the fundamental mechanism to
least an annual Tourism Resource Owners Forum. ensure local community benefit from tourism. Ensure the
employment arrangement is not exploitative, locals have the
Range of Activities
Involvement of resource owners in tourism should not be restricted opportunity for skills/capacity improvement, promotion and career
to cultural tourism alone. Traditional resource owners should be security.
encouraged to consider and engage in the provision of a range of Employment is addressed in a following chapter.
tourism products and services in partnership with the broader
sector.

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The Fiji Farm The effects of these demands can result in a variety of
Agricultural Products
positive outcomes, including a reduction in “product
In addition to reducing the economic leakage (better termed miles” and other wastes, enrichment of localities and
maximising the economic retention) from tourism activity, the economic links, more attractive, vital and viable rural
creation of agricultural and minor manufacturing industries to areas, a more vibrant and locally distinctive tourism, and
support tourism is a great opportunity for community benefit. greater economic and social well-being for the host
community.
Many of the efforts undertaken to maximise the
economic benefits derived from tourism in Fiji have Table 20 sets out the potential demand for key
concentrated on “traditional” efforts such as increasing agricultural product by the year 2016 should the
the number of tourist arrivals, increasing the average managed Growth scenario be achieved (table based on
length of stay and increasing the overall expenditure of 1.1 million visitors with 8 night average length of stay).
tourists. Another potential way of enhancing the Strategies to produce and provide sufficient, reliable, quality local
economic benefits of tourism and community benefits, foods for hotels (both indigenous and exotic products) include:
as well as addressing broader issues of sustainable
tourism, is to expand the backward economic linkages Institutional Strengthening
by increasing the amount of local agricultural products Create stronger linkages between agricultural producers, the
produced for and used in the tourism industry. Ministry of Agriculture and Fisheries and the product consumers
(hotels, resorts, restaurants etc.) to promote better quality,
Not only does this contribute to positive economic consistency and reliability in the production of high demand
benefits for local communities, but it also contributes to agricultural products.
addressing a more holistic approach to sustainable
tourism through the articulation of tourism, sustainable Distribution Support
agriculture and sustainable cuisine. Provide support and encouragement for establishment of
agricultural products warehousing, wholesaling and distribution
The benefits of increased linkages between tourism and systems.
agriculture go beyond just “what is on the plate” and
include the generation of a range of both direct and Quality of Product
indirect demands for agricultural products and services Develop technical extension programs to encourage the production
related to tourism. of consistent, quality high demand agricultural products.

Table 20: The Fiji Farm – 2014 Demand for Primary Produce

Product Demand Per Per Year Per Week


Visitor Day
¼ lettuce day 2,200,000 43,000
1 tomato day 8,800,000 169,000
½ Papaya 4,400,000 85,000
¼ Pineapple 2,200,000 42,000
1 prawn 17,600,000 169,000
2 eggs 17,600,000 338,000
100 g Steak 880 tonnes 17 tonnes
100 g Fish 880 tonnes 17 tonnes
¼ Chicken 2,200,000 43,000

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Native Land and Trust Board There is a current issue where lease premiums must be
The Native Land and Trust Board (NLTB) paid up front when an agreement to lease is issued and
acknowledges the economic significance of tourism to prior to development and investment approvals have
Fiji’s economy and its impact on the NLTB and been obtained. This is not desirable, and whilst a
landowners. In order to maximise the benefits of significant non-refundable deposit is reasonable in
tourism, the NLTB has formulated strategic plans on exchange for Mataqali alienating land for a set period
how to best utilise native land which is 88% of total with an agreement to lease, the lease premium should
land, for tourism development. Tourism accounted for not be owing until after all approvals have been
approximately 10% of all total lease rental receipts in obtained (but of course prior to any works
2004 and was worth $20.2m in 2003. commencing).

The major roles of the NLTB Tourism Unit are to facilitate NLTB Tourism Policy 2006-2010
tourism development on native lands for the well being of the The following section outlines the current NLTB policy.
Fijian landowners. No specific policy changes are proposed at this stage
however it is noted that a review of NLTB operations is
One of the major objectives of the Unit is to increase underway and the Policy may change. If the policy is
the tourism lease portfolio by at least 5% in the next 2 reviewed, the National Tourism Council and Tourism
years (commercial wealth). In order to achieve this, the resource Owners Forum should be involved.
Tourism Unit proposes that the new lease contract will
depend on the relationship created during negotiations Large scale 3-5 star resort development -
and meetings between the interested parties. There are Maximum term of 99 years and a minimum of 20-100
new benchmarks in place to act as a guideline in the acres apply depending on the availability of the land and
negotiations (Type 20 Manual of the Estates Operations land owners use. A lump sum of premium shall be paid
Manual) for large scale (3-6 star resort) development at the commencement of lease with the annual nominal
and small and medium scale development (honeymoon) rent based on the prevailing market rate
(backpackers/1-2 star resort). for the first 5-10 years (development period). This is
In addition, the Unit will assist in regional tourism subject to an increase of $5,000-$10,000 per annum.
development in line with the National Tourism The other option is to pay the agreed value for the first
Development Plan. All lease processing and 10 years where the value of the land is used as the basis
identification of potential sites will go through a set for calculation of the honeymoon rent. From the
process to have a coordinated approach on packaging operation date of the development, annual rent will be
and marketing native lands. Other policies are to based on a formula (minimum of 3.5%-7.5% of Gross
increase the level of genuine Fijian participation in receipts). This agreed gross receipts must be reviewed
tourism from development, planning and the provision every 10 years. Other standard conditions include
of services; support tourism education and awareness education and training expenses for the land owning
programs for its staff lessees and landowners; encourage unit which is subject to review every 5-10 years. Equity
environmental values, greater appreciation and interest participation in the context of capital payment paid to
in the Fijian environmental heritage; continue to work the lessor. Other benefits/ special conditions include,
in partnership with landowners; government and other improvement and assistance in land owning unit’s water
stakeholders on potential areas from large scale, to small supply, health, village hall and electricity. Lessee should
scale, ecotourism and conservation sites. give first preference to the land owning unit for the
The fundamental role of NLTB as the prime trustee and supply of all food items that are satisfactory quality of
negotiator of benefits from tourism development for land owners is the lessee. A representative of the land owners shall be a
recognised. member of the Board of Directors of the Company.
Additional factors such as directorship, de-reservation,
The proposed Tourism Development Unit should take proactive crop compensation, consideration fee, quarterly time
role in working with NLTB in its administration of leases and work plan, encourage mataqali projects, landowners
negotiations. participation in villa developments, possibility of
payment of insurance cover / premium for land owners
are considered.
Small and Medium Scale Development – Backpackers,
1-2 star resorts -

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Where the landowners themselves are developers by Encourage tour operators who can link community based tourism
leasing their own land, NLTB may consider subsidised initiatives.
terms and conditions to assist the projects. Term of
Further, many smaller tours and community based
lease is from 50 to 99 years and a minimum of 5 to 20
tourism ventures suffer from a lack of awareness by
acres. Premium rate is assessed at 20-50% of the big
tourists. If all tourist know of are those products offered
scale developments to assist indigenous Fijians to
by tour desks at hotels they may miss out on other
actively participate in the tourism industry. If the lease is
smaller community based ventures not supported by the
fully owned by the land owning unit, premium shall be
tour desks.
waived accordingly. Special conditions are considered in
the event that the indigenous Fijians cannot pay the Post arrival visitor orientation can be a worthwhile
premium assessed. A minimum honeymoon rent of mechanism to ensure the support for these smaller
$500-$5,000 per annum for the first 3-4 years of ventures and that once tourists arrive in a destination,
development are applied. Annual rent / gross receipts they know of and can visit the attractions, go on the
assessment is calculated to the agreement in the lease tours and stay in the accommodation. There are two key
terms and conditions. From the 5th year of the lease rent mechanisms to achieve this, one is a post arrival
shall be based at 3%-7.5% of gross receipts. The orientation website with all, the tours attractions,
development period shall be restricted to 3-4 years and accommodation and transfer information for visitors.
an education fund shall be paid every year. Other The second is to establish a series of visitor information
benefits / special conditions are similar to that of the centres in key locations (e.g Suva, Nadi, Sigatoka,
large scale development with changes in the payment Lautoka, Savusavu and Rakiraki.). FVB presently has a
which depends on the scale of the project. visitor information centre in Suva.

Facilitating and Promoting Establish a post-arrival information area on the Bulafiji website.
Community Tourism Investigate the feasibility of establishing visitor information centres
The development of community based tourism projects
often suffer from a lack of a linkage to other products. Gender Equity
As an example a local waterfall is not really a tourism A Key to Community Benefit
Gender equity in tourism is a key to ensuring equitable
product, even of the locals can provide a guide and
community benefit and thus facilitating community
build a walking track. A tour product is needed,
benefits from tourism should involve empowerment of
however the waterfall on its own may not be sufficient
women.
to create a successful tour.
The UNWTO has recently launched an initiative
In a region though, there may be many such potential
attractions and experiences which can be “joined” to supported by the Australian based Sustainable Tourism
make a suitable day tour, or indeed if the product Cooperative Research Centre.
involve village stays or other accommodation, may Review the Gender Equity program of UNWTO and ensure is is
indeed make a multi day tour. A tour which links the applied and embedded in community benefit initiatives.
various attractions and community based tours, which
provided suitable financial support to the local
communities involved can be a win-win for all parties.

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Sustainable Development
Fiji’s nature, culture, society and economy can and must benefit from tourism.
Sustainable development is the foundation for tourism growth.

© EcoSustainAbility

Tourism is an activity which involves special There is an opportunity for all tourism stakeholders to
relationships between visitors, the industry, the take action in sustainably managing environmental and
environment, local communities and governments. social resources for tourism. Sustainable tourism is not
only beneficial for the conservation of the natural
The “capacity” of Fiji to accommodate growing tourism
environment, but also increases visitor satisfaction,
is discussed in many forums throughout Fiji. A
cultural richness, resource efficiency and local prosperity.
common comment is that annual tourism numbers
should not exceed the population, i.e. the 550,000 Tourism and the Environment
visitors should not exceed the 900,000 population as The natural environment is an integral part of tourism
though Fiji will be overwhelmed. When of course even products and services and the quality of nature plays a
when the managed growth scenario is achieved (1.1 significant role in the success of tourism. This is clearly
million visitors) there will only be about 25,000 visitors the case for Fiji as the country promotes its untouched
in the country on any one day. sun, sand and sea imagery as a major draw card in its
However whilst Fiji will not be “outnumbered”, international branding and marketing efforts. In order
ensuring that the existing tourism industry is to preserve Fiji’s pristine environment and minimise the
ecologically, culturally and socially sustainable is not negative impacts from tourism, it is crucial for the
only desirable, but necessary. Further, the sustainable Government, tourism industry and communities to
development of tourism growth is vital to ensure undertake a collaborative approach. This will allow
irreversible adverse impacts do not occur to Fiji’s quality tourism development within limits of acceptable
relatively pristine natural environment and its authentic change to the ecological, social and cultural
cultural traditions and integrity. environment.
Further to the environmental need for sustainability, Fiji Strategic Environmental Assessment
has the potential to position itself as a sustainable The potential environmental and social effects
tourism destination. This is becoming more important stemming from uncontrolled tourism development are
as potential tourists recognise the significance of well documented in tourism research. In this context,
tourism impacts on destinations and the need for the Strategic Environmental Assessment (SEA) by the
positive environmental and social/cultural outcomes WWF South Pacific Programme, Asian Development
from their visit to an area. It also attracts a competitive Bank and New Zealand AID was conducted to review
destination advantage. the potential social and environmental impacts of the
1998 Plan. The assessment analysed past research
Sustainability as a Priority reports on the Fijian environmental status and the
Tourism is Fiji’s largest and fastest growing industry. negative impact tourism may have caused in Fiji’s
The economic benefit tourism brings to Fiji is well ecosystems and resources – mangroves and forests,
documented in government reports, media and research coral reefs, freshwater, species population, climate
journals. In conjunction with the positive side of change, social impact, land conflict, etc.
tourism the negative effects have also been well
The assessment reports on previous research that
recorded. Nevertheless, tourism is not the only form of
identified the increased environmental and social quality
activity that degrades the environment and the amount
decline furthered by tourism development with specific
of degradation caused by tourism is not easily
cases in the Coral Coast and west Viti Levu.
quantifiable. However, through sustainable tourism the
Furthermore, an analysis of the strategies recommended
physical and social environment and resources can be
by the previous tourism development plan in
sustained with appropriate mechanisms and tools put in
conjunction with the SEA objectives was carried out.
place.

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The assessment emphasised the importance of The EIAs must be reported by an accredited consultant
controlled tourism development all throughout the and the EIA unit within the Department of
regions of Fiji and a lack of implementation of the Environment assess the EIAs of proposed
previous Plan’s sustainable development strategies. developments. The evaluation of the assessments is
carried out in accordance with terms of reference,
Environmental Regulation potential environmental and resource impact, mitigation
The role of Government in setting regulations and measures and any other prescribed matters in
policies to control the negative impact of tourism on the consideration.
natural environment is crucial. They can act as
boundaries for various stakeholders in their activities The EIA terms of reference should not only look at the
that involve environment and raise standards of immediate impact the tourism development may have,
environmental performance. but also the long term potential negative influence it
may bring.
Environment Management Act
The Government of Fiji Islands has taken steps to Ensure environmental impact assessment considers cumulative
support sustainable resource management and impacts of development, including the potential impacts of growing
encourage environmental conservation through the new residential communities or villages supported by the tourism
Environment Management Act (EMA). The Act sets development.
guidelines and policies for environmental impact Consider capacity building of the Ministry of Environment for the
assessments, waste management, pollution control and assessment of larger development proposals.
penalties. Whilst enacted in 2005, regulations have not
yet been promulgated and as at early 2007, little of the The follow up after the EIA process for tourism
Act is being implemented. development needs to be more closely monitored than
under current procedures. Once the EIAs are approved
Under the National Environment Council, the Ministry there is no mechanism in place that ensures the
of Environment, Ministry for Land, Mineral Resources, proposed developments have kept within the scope of
Agriculture, Fisheries and Forests, Ministry of Fijian development proposed when the EIA was prepared,
Affairs, Ministry of Tourism and the Native Land and acted upon commitments made during the EIA and
Trust Board are the responsible government authorities. complied with any conditions.
Within the context of tourism development, the The Environmental Impact Assessment unit should establish a
enactment of the Act through the Department of monitoring system where follow up of conditioned approvals is
Environment is valuable for: conducted.
• controlling and monitoring pollution, waste
management, abatement and reduction; Sustainable Development
• implementing and carrying out the Environmental Guidelines
Impact Assessment process; It is recommended that the following guidelines be
• setting, enforcing and overlooking environmental adopted and form the basis for conditions for approvals
standards; and of new tourism accommodation, attractions, activities
• sustainable management planning and maintenance and facilities:
of natural resources. Water Supply
Regulations to support the implementation of the Environment Tourism developments require significant quantities of
Management Act need to be established, implemented and enforced. potable water. In urban and established areas
throughout Fiji there is reticulated water. There are
Environmental Impact Assessment instances where existing developments have placed
The Environmental Impact Assessment (EIA) added stress on water supplies and their capacity has
component of the Act is vital in the sustainability of been or is being exceeded.
tourism development. Since 1989, all tourism
accommodation development is required to submit an In many other remote locations, resorts must supply
EIA to gain approval for construction from the their own water and use a mix of surface water, ground
Department of Town and Country Planning. water, rainwater collection and seawater desalination.
The initial three of two of the above (surface and
groundwater) can result in tourism using a limited
resource which may be competing with local community
needs and requirements for environmental flows.
Tourism properties should have a sustainable supply of potable
water.
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The amount required must take into account the At present there is a policy of a 30m set back from the
ultimate size of the resort, ancillary businesses (e.g dive high water mark for buildings. There may be some cases
shop) and staff (whether onsite or in local villages). The where a development is not within the zone of coastal
sustainability of the water supply must address the processes closer to high water mark than 30m (e.g. set
consequential impacts on water supplied for the local back somewhat but above a cliff), and other instances
community and minimum environmental flows. Further where a development is still within coastal processes
consideration of sustainability should take into account more than 30 m back from high water mark (e.g. in a
the cumulative impacts of water use from other nearby dune system or lagoon/wetland). Anecdotal reports
resorts, other land uses (e.g. farming) and local suggest that the setback has been relaxed in some
communities (e.g. villages). developments and enforced in others.
Surface Water Without discounting a setback approach entirely it is
Tourism properties should not adversely affect the natural important to adequately consider the effect on coastal
hydrological regime. processes rather than just adopt a linear measure. Even
over water bures on pole structures on a reef flat or in a
In general natural drainage paths on sites should be
coastal lagoon with the main central facilities well back
maintained, buildings and structures designed around
from the nearby beach (and behind the dune system)
and within drainage paths. Drainage on site should be
could have less effect on coastal processes than a slab
adequate to prevent dampness and damage. Building
on ground construction of bures and central facilities on
levels should take into account storm surge.
a hind dune/swale system on the same beach. In both
Erosion and Sediment Control the above examples, the dredging and creating of an
Tourism development should not cause erosion, sedimentation or access channel to a wharf or jetty which caused greater
adversely effect water quality. tidal range in a reef flat/lagoon could more adversely
Design and construction techniques to minimise erosion affect the local marine ecology and coastal processes
and control any sedimentation are well documented and (beach erosion/formation with changed current and
have relatively minor costs. These best practice erosion wave regimes) than the bure location.
and sediment control techniques should be used The assessment of impact on coastal processes should address the
wherever development is near a coast, wetland or totality of the development and its potential to cause change in
watercourse. coastal systems rather than just a set back for buildings.
Wastewater (Sewage) Mangroves and coastal wetlands have a specific role in
Tourism properties sewage disposal should be sustainable. the marine ecology and often provide nursery for fish
A properly designed sewage treatment system should be breeding (a key ecosystem process, but also of key
used and be appropriate to the scale of development to economic concern to maintain fish stocks).
ensure the ultimate disposal of effluent is within the Tourism development should avoid disturbance of mangrove and
ecosystems assimilative capacity (i.e. without adverse other intact littoral habitats as far as possible.
impacts). As a general rule secondary sewage treatment
with effluent reuse (e.g. garden irrigation) should be Marine Protection
considered the minimum level of treatment. Treatment Tourism development should not adversely affect the local marine
any less than this or direct disposal should be ecology.
specifically assessed and only approved in instances The uniqueness and pristine natural marine
where is can be shown that the risk of ecological environment continues to be a principal attraction and
impacts in minimal. draw card to Fiji’s tourists. But this attraction introduces
certain risks to our environment and which could be
Solid Waste Recycling and Disposal
Tourism developments should have mechanisms to ensure recycling managed better. Protection and conservation of the
is maximised and that waste is only disposed of to a sustainably marine environment is therefore crucial to Fiji’s future.
managed landfill. Forest Protection
Hygienic collection and storage facilities should be Tourism development should not adversely affect natural forests
provided at all tourism properties, preferably with and where forest have previously been disturbed should involve
separation for recycling. Resorts in remote areas need to revegetation.
have in place a waste disposal method which is
sustainable.
Coastal Development
Tourism development should not adversely affect coastal processes.

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Natural, old growth forests are rare in Fiji an d wherever Existing developments can work to implement
they occur should be protected as far as possible. Other ecoefficiency measures without detracting from the
previously disturbed forest types should still be guest experience. Experience has shown that substantial
conserved as far as possible, but some further operating saving can be achieved with small capital costs
disturbance is acceptable when combined with which are usually amortised by savings over periods of
revegetation to mitigate the impacts. one to three years.
Wildlife Protection Ecoefficiency benchmarking, such as the Green Globe/
Tourism development should preserve wildlife habitat, not Earthcheck benchmarking process should be implemented.
adversely effect species of conservation concern and should
Information on best practice ecoefficiency measures and equipment
contribute to wildlife conservation.
suitable for Fiji should be implemented.
Tourism in Fiji has a unique opportunity to provide an
example of a sustainable industry having a net bee fit to Tourism Certification and
wildlife conservation. Already some resorts have Accreditation
approaches with conservation and aiding the breeding The previous tourism development plan proposed a
of sea turtles. strict enforcement of EIAs and planning procedures for
Landscape Protection tourism accommodation operators with an introduction
Tourism development should present natural landscapes and of a ‘Green Code’ scheme. The notion of environmental
complement built landscapes. certification and/or accreditation has been at the
forefront of environmentally sensitive tourism research,
Fiji’s natural landscapes are a key component of its industry operation, NGO agendas and concerned
tourism product. government authorities the world over. The benefits of
Scenic Amenity environmental certification and accreditation are to
Buildings should not be sited or of such height, mass or size that conserve and protect the natural and social environment,
they become dominant scenic alterations from areas of public encourage sustainable resource management, raise
(community or tourist) view such as roads, trails and the sea. industry competence, standardise environmental
performance, etc.
Other than in cities, buildings should not be sighted
where they break the skyline or cause a dominant scenic The use of an environmental certification scheme will
alteration, particularly on ridge lines in predominately not only assist in environmental sustainability for the
rural, coastal or natural landscapes. tourism industry in the longer term but also can be used
as a marketing tool. Many environmentally conscious
Ecoefficiency – Energy, water and waste tourism destinations have adopted green certification
Tourism is a major user of resources, yet has the schemes in their tourism attractions, products and
opportunity to implement ecoefficiency measures to services, and accommodation. The success of properly
minimise its use of energy, water and production of managed and monitored tourism environmental
waste. accreditation schemes has been evidenced in Europe,
Tourism development should meet best practice performance the Caribbean and Australia. Fiji with its pristine marine
techniques and benchmarks for energy and water efficiency and and forest resources should adopt appropriate and
minimal waste production. realistic environmental certification and/or accreditation
programs to protect and sustain its tourism resources.
Existing tourism development should benchmark and move
towards best practice ecoefficiency. As an example, as at early 2007, one key competitor,
Bali, has an active process of benchmarking and
Fundamentally the achievement of energy efficiency and certification under the Green Globe scheme. This
water conservation measures saves significantly on scheme is also well established in the Caribbean and is
operating costs. New developments can usually be the key program being implemented by the Caribbean
achieved with a lower capital cost for construction and Alliance for Sustainable Tourism.
significantly lower operating costs of best practice
energy and water conservation measures are Fiji Green Globe
implemented. This does not have to in any way detract The Ministry for Tourism has commenced the
from the guest experience and is still achievable in development of a collaborative approach, recognising
backpacker to exclusive luxury styles of facilities and the unique aspects of Fiji, but seeing the benefit of
hospitality services. linking with a global certification scheme with
recognised branding and best practice. This has led to
the proposal of ‘Fiji Green Globe’.

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Green Globe is an internationally recognised In order to maximise the benefits and minimise the
benchmarking and certification program for the tourism negatives of cultural tourism a collaborative approach
industry. Some of Fiji’s existing resorts are already by government authorities, local communities, artists
Green Globe benchmarked and/or certified. With the and crafts people and the tourism industry to promote
expertise of Green Globe and the Ministry of Tourism’s and protect the identity of Fijian culture is desirable. In
specific local knowledge, the collaboration will better this context, an initiative under the Department of
suit the local tourism industry and meet international Culture and Heritage to protect and develop local
standards. The program will cater for small to medium indigenous artists has led to the creation of the ‘Label of
accommodation, especially backpacker operations, to Authenticity’. The primary objective of this labelling of
decrease environmental tourism impacts and to educate indigenous artists is to raise cultural standards, protect
and encourage environmental sustainability within the genuine work and instil cultural integrity.
local tourism industry.
The Ministry of Tourism should work with the Department of
The proposed environmental auditors for Fiji Green Culture and Heritage to establish cultural tourism standards.
Globe will be locals trained by Green Globe who will
Nevertheless it is noteworthy that accreditation or
meet the international standards of environmental
labelling of cultural authenticity should not be used as a
performance but also understand the unique local
tool to over-expose and exploit the true identity of Fiji.
environments. Fiji can be the first tourism destination
in the South Pacific region to provide internationally Careful planning of the promotion and protection of Fijian culture
recognised, locally managed environmental tourism for tourism is required. Special measures not to over-commercialise
certification. This can be utilised as a strong marketing the Fijian cultural and traditional identity are a must.
advantage.
Protected Areas
Continue to develop the Fiji Green Globe program to create an There are numerous existing and proposed reserves and
internationally recognised but locally administered appropriate marine protected areas in Fiji. This is not surprising
system of environmental certification. Involve tourism industry and given Fiji’s abundance, for its size, in both marine and
conservation stakeholders in the project finalisation and forest resources. Under the Department of Forests,
implementation. there are protected forest, forest reserve and nature
reserve, nature reserves, national heritage parks and
Sustainable Cultures other parks and reserves. There are also Marine
The tourism industry provides local experiences that
Protected Areas that are managed under the
include traditional cultural activities and performance,
Department of Fisheries with other relevant ministries
local handicraft and art for visitors. People travel to
and NGOs.
various destinations to experience culture and customs
different from their own. This unique experience The need to preserve and protect these significant areas
represents a special experience, education and fosters an is necessary for sustainable use of resources,
appreciation for other traditions and customs. Fiji has a environmental management, development and
unique blend of Melanesian and Polynesian cultures that education, and for future generations of Fiji.
are attractive for visitors.
It would be desirable if Fiji had a National Park system for
In liberalised countries where societies are becoming conservation lands and a Marine Park system for larger marine
more modernised, traditional cultures and old ways of conservation areas.
living are being forgotten. Although village life and the The formal declaration of such areas should not stop the
close-kinship of local communities do still exist, Fiji is
collaborative establishment of local marine protected areas
no exception. Promotion of local culture and customs
(including tabu areas).
through tourism can be a tool to prolong and sustain
the Fijian cultural identity for future generations. For World Heritage Sites
example, older generations can teach younger The United Nations Educational, Scientific and Cultural
generations about traditional cuisines, dances and art Organisation (UNESCO) support significant and
that can be utilised in the tourism industry. Nevertheless, valuable heritage and sites all around the world to be
there are cases all over the world where traditional enlisted for protection and preservation.
cultures and customs have been exploited for the
benefits of tourists and the authenticity of traditional
cultures becomes a commoditised product.

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The previous tourism plan suggested the islands of Marine Protected Areas
Ovalau and Taveuni be listed as World Heritage Sites There are numerous existing and proposed Marine
under the UNESCO managed program. The proposal Protected Areas (MPA) in Fiji. In order for a proposed
of submitting Levuka town as a world heritage site has marine area to become an MPA, there are various
been in scheduled for over ten years and the final organisations the area needs to go through, such as the
submission was to be made in 2006. As mentioned in Ministry of Fisheries, the relevant NGOs, customary
previous sections of this report, the Department of fishing rights, relevant local communities, etc. The role
Culture and Heritage under the Ministry of Fijian of an MPA is to support the sustainable development
Affairs continuously strives for world heritage status of and management of the marine resources for the benefit
Fijian cultural heritage and the conservation of valuable of the community. MPAs also enforce legal marine
sites. resource conservation guidelines for subsistence and
commercial use.
The initial step to put Fiji on the world heritage map
was taken by the Department of National Heritage in There are three MPAs involved in tourism activities.
1987. In 1996 Levuka was put forward to UNESCO as These are Ulunikoro Marine Reserve, Waitabu Marine
a tentative site. Since then the Department has taken Reserve and Wamena Marine reserve. Within these
various steps to achieve world heritage status for Fiji. reserves tourists are allowed to visit and engage in
The Cabinet endorsed the notion of listing Levuka as a recreational activities such as diving and snorkelling.
world heritage site in 2003 when the National World Some of reserves with world class dive sites have
Heritage Committee under the Ministry of Fijian Affairs adopted the user fee system from tourism to maximise
was established. The secretariat for the committee its benefits from tourism. The fund collected from users
includes the Fiji Museum, Department of Culture and goes back into the MPA for conservation, maintenance
Heritage and the National Trust of Fiji. and even scholarships for local village students.
In 2005, a Levuka world heritage officer was appointed Consider the development of major marine reserves such as the
within the Department and a draft proposal was Great Astrolabe Reef and Cakaulevu Reef. Consider more
scheduled for submission by September 2006. The modest marine reserves around key sites in the Yasawas, Yadua
Department is also working with JICA and Kyushu Island etc.
University on a research project in Levuka which
Forest and Nature Reserves
involves 30 architectural buildings and communities. Forest Parks and Nature Reserves are attractions for
The main focus of this research is on conservation and visitors interested in nature-based activities during their
sustainable tourism management plan. The research holidays. The unique ecosystem that exists in Fiji’s
results are scheduled to be presented at the UNESCO protected forest and nature areas are important for
meeting in Paris. tourism product diversification. In addition, the
If Levuka is accepted as a world heritage site under preservation of these areas is required for the
UNESCO, it will be the first within the South Pacific sustainable development and maintenance of biological
Islands region. The status and reputation of a world diversity for future generations.
heritage site will attract visitors from all over the world. There are seven Nature Reserves and ten National
This will put Fiji on the map for nature and heritage Heritage Parks under the Forestry Act that allows
conscious travellers. controlled public access. Additionally, the Ministry of
Additionally several NGOs are looking at the island of Forestry works together with the Ministry of
Taveuni and the Lomaiviti group as containing potential Environment, The Fiji Museum, Native Land an Trust
heritage sites. Board and National Trust of Fiji to establish National
Heritage Parks. These parks include community
Continue to consider the world heritage nomination of key sites
managed Bouma Park, Abaca Park, Waikataka
within Fiji.
Archaeological Park and Tavuni Fort.
Consider the establishment of a formal protected area system and
include key sites such as the Sigatoka sand dunes (it is a Heritage
Park under National Trust), Taveuni etc..

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National Trust of Fiji In particular, consider a local ban, bag limit or size limit
The core objectives of the National Trust are: cultural on crayfish and on some reef fish. Consider banning the
and natural heritage protection; heritage awareness; local catching and eating of parrot fish and other herbivorous
community involvement; capacity building; policy reef fish owing to their role in controlling algal growth
frameworks; financial sustainability; and partnerships. on reefs (the loss of these fish may exacerbate algal
These objectives are supported with a mission to blooms owing to high nutrients from land runoff and
provide benefit and enjoyment to people through poorly treated sewage).
conservation, protection, sustainable management and
Integrated Coastal Management
research of Fiji’s natural and cultural heritage.
The Integrated Coastal Management (ICM) project was
The Trust managed sites include Sigatoka Sand Dunes initiated by the Institute of Applied Science at the
National Park, the Momi Gunsite Historic Park, the University of the South Pacific with the Coral Resource
Gerick Reserve, the Waisali Reserve, the Yaduataba Centre at the University of Rhode Island and is funded
Iguana Sanctuary, the Levuka Community Centre and by the David and Lucille Packard Foundation. The
Borron House. The Kadavu Parrot Awareness Coral Coast area of Nadroga Province is where the
Campaign, the Awareness and Captive Breeding project’s pilot study was undertaken with inputs from
Programmes for the Crested Iguana, coral reef the various Government ministries and departments,
monitoring at Yaduataba, and the nomination of Levuka NGOs, local authorities and the local community.
to the UNESCO World Heritage List are other projects
The previous tourism development plan highlighted an
that are in progress in conjunction with international
urgent need for integrated coastal zone management run
organisations.
by an entity that may set policies and provide
The Trust acknowledges the relationship between well- recommendations on cross-sectoral issues. The project
protected natural resources and the growth of in the Coral Coast is managed by educational
ecotourism. The organisation strongly supports and institutions that are achieving positive results and
encourages sustainable development that promotes realistic measure that are improving the environmental
empowerment of local communities, employment and quality of the coastal zone.
resource development. Future new projects include the
It is strongly recommended that following the ICM pilot project,
establishment of the Muanakaka Bird Sanctuary in
the lessons and issues identified be implemented to other coastal
Kadavu, an awareness program for the Fiji Petrel on the
areas.
island of Gau, and the establishment of Fiji’s National
Heritage Register. In order to continue this positive initiative as a long term process
for other coastal zones the National ICM committee needs to
Marine Conservation work with relevant stakeholders. Funding for this initiative will be
The marine environment of Fiji is an important part of required.
the Fijian life. The previous tourism development plan
reported that more than fifty percent of the population Fiji Locally Managed Marine Areas
reside within 60km of the shoreline and approximately The Fiji Locally Managed Marine Areas (FLMMA) is a
ninety percent of villages are on the coastline. successful program that is managed by local
Traditionally, the livelihood and way of living of locals communities for environmental sustainability. Under
was somewhat dependent on the marine resources for the Ministry of Fisheries, its primary role is to operate
food. Fiji’s industrialisation has led to an increase in community-managed marine resources development
hazardous waste and oil spills into marine environments. and conservation in the districts of Fiji. Among its many
The State of the Environment Report, although responsibilities FLMMA is also involved in the
outdated, provides a comprehensive understanding of development and process of Marine Protected Areas.
the existing and future potential destruction of the Empowering local communities in the conservation and
marine environment. management of their own natural resources is crucial.
Though tourism is the not the sole or even major This bottom-up approach allows local communities to
contributor to the deteriorating state of Fiji’s marine make decisions and approach local government
environment, the environmental impact tourism makes authorities with their knowledge and suggestions to
cannot be ignored. increase advantages for their areas.

In addition to formal and informal marine protected


areas, consideration should be given to sustainable use
of local seafood resources to ensure the take for village
use and local tourism is sustainable.

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Prior to the implementation of FLMMA, careful Clearly these impacts have marked implications for Fiji’s
planning and agreement between local communities and tourism industry including coastal erosion and physical
government authorities are delivered. The unique damage to property by an increase in the frequency and
indigenous hierarchy of mataqali of the areas are height of storm surges, damage to infrastructure,
understood and the structure of FLMMA is applied in interruptions to water availability, interruptions to
agreement with the local communities. Therefore, the supply chain, reduction in the attractiveness of Fiji’s
role and the responsibilities of the managed areas are climate to tourists particularly with respect to increased
not in conflict with their traditional roles within a clan. rainfall, climate related health issues and the control of
The success of FLMMA is due to ensuring dengue fever, coral bleaching, diminished attractiveness
empowerment and involvement of local communities in for investors, increases in insurance premiums or
the protection and development of their marine areas in withdrawal of cover.
a manner which respects traditional hierarchy and
There is the possibility of a climate change and tourism
control.
project (funded by UNEP) to be run concurrently in Fiji
Reduce the existing conflict between local communities that manage and the Maldives as test projects aimed at understanding
marine areas and local government authorities. the impacts of climate change on tourism and the
efficacy of adaptation opportunities. In particular the
More knowledge training and capacity building for broader
Fiji project will focus on ‘building and utilizing the
communities is required.
capacity of Fiji to integrate responses to concerns
Waste Management related to climate variability and change into a broader
Solid and liquid waste management is often a key area of risk management framework, strategy and plan for the
concern in Fiji. Some coastal and island areas have tourism sector’.
experienced noticeable environmental impacts from The project will link in the with Fiji Ministry of
poorly treated sewage effluent contributing to elevated Environment Climate Change Policy which flags awareness
nutrients and algal blooms. raising, capacity building and factoring climatic risks in
Consider a proactive program of ensuring that all tourism resorts to other relevant legislation as its aims. This in turn links
have their sewage effluent treated to at least a secondary standard with the Pacific Islands Forum Pacific Climate Change
and the effluent discharge is sustainable (e.g. disinfected effluent to Framework 2006-2015 which encourages Pacific nations
land disposal). to adopt precautionary adaptation measures based upon
principles of risk management. The Global
Greater emphasis should be placed on ensuring sustainable Environment Facilities funding component for the Fiji
disposal of solid waste (e.g. sanitary landfill). Further, an project stands at US$775 000 and will be seeking
education program of the environmental harm caused by burning additional cash and in-kind contributions from
waste should be implemented. government, bilateral agencies and NGOs.
Land Management Universal concerns on climate change are evident. The
Fiji has many land management issues for conservation impact it can have on the quality of the environment,
of its terrestrial ecology. which is directly linked with quality tourism experiences,
should be understood by the Government, tourism
Encourage proactive conservation management of tourism owned industry and the local communities. Government needs
natural landscapes, including weed control, erosion control, to seek sufficient funding to undertake the climate
reforestation, less harmful fire regimes etc. change project.
Climate Change Limitations of Tourism
According to the United Nations Environment Program One of the notions of sustainable tourism development
(UNEP) climate change project proposal Fiji, like other is growing tourism with an understanding that the
Small Island Developing States (SIDS), is particularly resources being used for tourism should not become
vulnerable to the likely impacts of climate change in over exploited. There are many cases from around the
future years. world of un-controlled tourism development leading to
Possible impacts cited are an increase in extreme irreversible negative impacts on the socio-cultural and
weather conditions, primarily cyclones, droughts and natural environment of destinations. Therefore, limits
floods coupled with a rise in sea level in the order of 23- and boundaries need to set to encourage and establish
43cm by 2050 and up to 1m by 2100. sustainable tourism development.

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Carrying Capacity Ecotourism


In order to control the development of tourism in a The concept of ecotourism as an alternative to mass
more sustainable manner tourism research has discussed tourism is becoming increasingly popular in the world
the concept of carrying capacity. In the context of tourism scene. The internationally accepted principles of
tourism the definition of carrying capacity is understood ecotourism are that it is responsible nature-based travel;
as the maximum number of visitor use an area can contributes to conservation; involves local community;
sustain without deteriorating the quality of the natural and provides environmental education through
environment, local community and visitor experience. interpretation.
The carrying capacity of tourism may be considered in The Fiji government has put forward the ecotourism
terms of ecological, socio-cultural, infrastructural, and village-based tourism proposed policies and
psychological, technological and management capacity. strategies that support the development of ecotourism.
Many practitioners and academics criticise the concept Although the adaptation of the proposed policies has
of carrying capacity due to its un-realistic quantification been somewhat slow, the locally adopted concept of
measures. The external variables that can affect carrying ecotourism (i.e. community managed tourism) and
capacities are complex. Nevertheless, adopting carrying support by government has been fruitful to some extent
capacity in tourism development in certain context can in promoting a sustainable tourism model over recent
be helpful. For example, controlling the number of years.
visitors to a park during a certain timeframe or the
number of accommodation units that can be built Ministry of Tourism
within a certain area are useful tools to control carrying The ecotourism unit under the Ministry of Tourism
capacities. commenced in 2000. It started off as part of the
Integrated Human Resources Development Program
Prior to adopting carrying capacity, in a tourism development area for Employment Promotion under the Fiji Government.
or potential development area, the scope of the specific area in Between 2000 and 2005, the unit assisted approximately
terms of the state of the environmental resources, local community 150 projects (FJD $2million). Heavy concentration is on
dependency on the environment, the contribution of tourism, et developing tourism accommodation and activities for
cetera should be understood thoroughly. indigenous communities in the outer regions of Fiji.
Careful planning, implementation and flexibility is The commitment of the development of ecotourism
required to successfully determine carrying capacities for project is manifested in its Fiji Ecotourism and Village-
certain areas. Based Tourism Policy & Strategy 1998. The ecotourism
Limits of Acceptable Change unit projects are currently focused on developing small
With the recognition of the difficulties in quantifying to medium tourism enterprises to create tourism
carrying capacities, the concept of Limits of Acceptable employment for indigenous people. Future challenges
Change (LAC) is probably a more useful framework. lie in adopting other ecotourism concepts such as
The LAC approach is based on not the actual number environmental education and contributing to
of visitors to an area, but rather the change that patterns conservation. Setting up proper ecotourism projects is
and intensities of visitation causes in an area. Therefore, costly, therefore the unit concentrates on two main
the limits to tourism development should be guided by aspects of the internationally accepted definition of
impact and undesirable changes, a function of not ecotourism – nature based and community involvement.
simply visitor numbers but also visitor behaviour and Projects in the past 6 years have been successful in the
management practices (including measure to prevent or context of providing local employment.
mitigate impacts). Current challenges for the unit exist in the monitoring
In some locations there may be a need to set limits of acceptable and managing of the quality performance of past
change on ultimate development or appropriate styles of projects due to the lack of resources. Other challenges
development in particular regions and areas of Fiji. include streamlining the approval process of ecotourism
projects.
Continue to seek funding to support rural tourism development in
a sustainable manner.
Seek assistance from international organisations (such as
NZAID for Bouma and Koroyanitu) for technical assistance in
developing true ecotourism projects for the community.

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The currently adopted concept of ecotourism under As a result of this project the Ministry of Tourism
Ministry of Tourism projects assists regional recognised the long-term commitment to restore the
employment in the tourism sector rather than status of the coral reef and thus, signed a three-year
operationalising the ideologies of ecotourism (e.g. giving MOU in 2002 which was extended to 2008. The
back to conservation, environmental management and organisation has now shifted focus to Kadavu and the
environmental interpretation). The potential exists, and south coast of Viti Levu including the Coral Coast.
it may already be the case that tourists seeking genuine
Future plans were in place to formalise CCC’s advisory
ecotourism experiences will be disappointed by the
role.
current offerings labelled as ecotourism.
Another NGO that is actively involved in Fiji is the
There are also registered sites of national significance
World Wildlife Fund (WWF) – South Pacific
under the NLTB. These sites may be used for
Programme. The Fiji Country Programme currently
ecotourism cave, dive, waterfall, bushwalk, bird-
works in four thematic areas (i.e. Marine, Forests,
watching tours. With proper guidance and support, Fiji
Climate Change and Species) and is in the process of
has much potential in developing itself as a diversified
developing Freshwater projects. Specific projects on
ecotourism destination that goes beyond the sun, sand
traditional medicinal plants, Kuta restoration and
and sea.
Ulunikoro marine protected area were conducted. Other
Role of NGOs projects in action are marine programs on Tikina Wai in
There are a number of Non-Government Organisations Gau and Great Sea Reef, aquarium trade, climate change
(NGOs) involved in the conservation and sustainable and forestry.
development of the natural and socio-cultural Additionally, the WWF developed the Strategic
environment in Fiji. The role of NGOs in conjunction Environment Assessment (SEA) report on the Fiji’s
with government and industry is crucial for sustainable Tourism Development Plan 1998-2005. This was
tourism development in developing countries such as undertaken in order to assess the environmental and
Fiji. The technical assistance NGOs offer is invaluable sustainable development impacts of the Plan and for the
for planning, implementing, managing and completing Ministry of Tourism and its partners to make future
projects. Detailed examples of NGOs working in plans sustainable. This assessment results recommended
relation to the MoT are illustrated below. a major need for the present policy to be reviewed to
In Fiji, until early 2007, there was the Coral Cay project Fiji’s environment and its people. As a result, an
Conservation (CCC) that commenced a pilot study to advisory group was established comprising of the
determine the status of the coral reefs in the Ministry of Tourism, Ministry of National Planning, Fiji
Mamanucas. This pilot project commenced due to Islands Hotels Tourism Associations, the University of
higher than normal seawater temperatures causing a the South Pacific, tourism consultants, the Fiji Visitors
serious ‘bleaching event’. The CCC provided Bureau and WWF to guide the SEA process.
recommendations involving monitoring, education, Conservation International, Greenpeace and others are
setting up a Mamanucas management group, data base also proactively involved in the improvement of socio-
acquisition to set up a fully-functional GIS, and setting cultural and natural environment quality. Therefore,
up multi-user Marine Protected Areas. involvement of NGOs in sustainable tourism
development needs to be continued with hands-on
involvement of relevant government authorities and
locals for capacity building.

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People Power
Human resource development and capacity building is the foundation of a strong
tourism industry. Quality service and quality local jobs starts with quality education
and training.

© EcoSustainAbility

The People Many of these will require sufficient training investment


The next 10 year future of tourism in Fiji is one of to meet international standards – especially in the
international visitor arrival growth, not stagnation or aviation and marine sectors operating across
decrease. There can also be expected the emergence of a international boundaries.
more noticeable domestic tourism market. The majority of positions that will be required to meet
More customers staying in more hotels, motels, resorts, the future growth of Fiji’s tourism sector will be in the
guest houses and on live-aboard boats undertaking non-managerial workforce. They will not need MBAs,
more activities, buying more goods and souvenirs at rather quality vocational and skills training which will
retail shops, going to more restaurants, buying more fuel assist in the reduction of unemployment rates, regional
at service stations, more coffee at coffee shops, using development, poverty alleviation, gender equity and the
more trained tour guides, undertaking new activities, empowerment of women. Throughout the developing
using more internet facilities and so on will demand economies of the world, where women have been given
continuously improving customer services. Service the skills and the chance to succeed through small
quality has been identified is a key issue for Fiji tourism business loans or increased educational opportunities,
sector and a significant challenge to address to meet the families are stronger, economies are stronger, and
future growth of the industry. societies are flourishing.

Fiji is a country that is suffering from both It is clear that education and training remains a vital
unemployment and underemployment. The forecasted support pillar for the tourism and hospitality industries
growth in jobs means that the tourism sector will have in all destinations, including Fiji. Ultimately, the quality
substantial labour requirements that need to be met if of service delivery to Fiji’s future visitors upon which all
Fiji is to meet the industry’s economic potential and tourism related businesses depend will be underpinned
remain a competitive destination. Those jobs will not by the education and training vision and commitment
only be required for the current and expected new by both the public and the private sectors.
accommodation providers, but also for: This was acknowledged in the 1998 Plan which
• the national and local area tourism administrations contained an Education and Training Plan. However, it
with policy and planning skills, destination is clear that many of the recommendations from the
marketers; previous Plan have yet to be addressed. These are
• tour operations and activities managerial and identified as key issues within this Plan.
operational staff; The original role of each of the three government
• travel agency and inbound operator services; supported education providers could be defined as :
• attractions staff and management;
• interpretation, guiding and languages; • Fiji Institute of Technology: To provide entry level
vocational education to secondary school leavers.
• protected area management, land-use planning,
zoning and building code management; • Training and Productivity Authority of Fiji: To
• architectural design, landscaping, builders, offer in-service training courses to those already in
carpenters, plumbers, mechanics; the industry.
• business planning, investment advisors, • University of South Pacific: To offer higher
organizational leadership skills; education courses at a higher and more conceptual
• banking and financial services; level to secondary school leavers.
• aviation services, marine services and so on.

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• Private providers: In-house operations by A Coordinated Approach


industry, professional private company education There are several providers of tourism and hospitality
and training products. training and education in Fiji. Provision ranges from
Currently, there are 21,400 employment positions short-course in-service training through to advanced
directly attributable to tourism activity. Under a degree level qualifications. Unfortunately however, there
managed growth scenario, this will rise to 43,200 by the is a lack of communication and coordination between
year 2014. the various providers, and between providers and
industry. This has resulted in duplication of offerings
Some of the consequences of the historical growth in and concerns that the current provision is not meeting
tourism in Fiji have included: a lack of job-ready industry’s requirements for a skilled labour force now
entrants for the industry; incongruence between what and into the future. Additionally, there is a need for
educational providers are producing and what industry tourism and hospitality education outside the current
is looking for; skill shortages in certain key occupational provision, for example at the secondary level, and in the
areas (such as supervisors); dropping service standards; community. In order to address these issues, a Tourism
and, on-going reliance on expatriate labour. Training Task Force should be established.
A planned and coordinated effort towards human Establish a Tourism Training Task Force on training and
resource development and capacity building needs to be education for the tourism and hospitality industries. The Task
facilitated to ensure the future managed growth of Force should coordinate an annual Tourism Training and
tourism in Fiji through the following strategies. Education Forum, as well as an annual Career and Education
Expo. Additionally, an analysis of educational provision in
Understand the Challenge comparable small island nations should be undertaken.
Currently, there are no empirical data about the existing
skills shortage facing Fiji in the tourism, travel and Invest in Education
hospitality related sectors. Nor is there an assessment of Given the projected growth in Fiji’s tourism industry,
what types of training and education are required to 22,500 new employment positions will be created (Table
fulfil these HRD needs or the educational and career 20). 12,100 of these positions will be in the hotel sector
pathways to do so. In order to address these issues, a (Table 21).
comprehensive assessment of HRD and capacity
building needs should be undertaken. These data should The majority (approximately 93%) of the employment
be applied to the development of an HRD and capacity opportunities industry-wide will be at the sub-
building plan to meet the projected needs of the managerial, sub-supervisory level. Most positions will
industry. Opportunities for up skilling of existing require vocational skills or skills developed through in-
employees should be identified, as should pathways for house training. Taking into consideration the capacity of
articulation between levels of qualifications. both public and private sector providers, there is a lack
of capacity nationally to produce enough trained skilled
Ministry of Tourism in association with the Bureau of Statistics and semi-skilled workers to fill these positions. Major
should conduct a survey of existing hotels and other tourism investment and infrastructural development is required
businesses identifying skills shortages and the potential need for for the public sector providers, FIT and TPAF in
trained recruits in the next twelve months. particular, to meet these vocational level needs.
Undertake an assessment of the scope and scale of the HRD and Additionally, emphasis should be placed on in-service
capacity building needs for sustainable managed growth of the training through TPAF to provide opportunities for up-
tourism workforce. These data should be applied to the skilling for existing employees in industry, thus
development and implementation of an HRD and capacity enhancing career pathways. There is also a need for
building plan for the Fiji tourism industry. The Plan should be more industry specific, and industry focused education
benchmarked against industry employment needs, projected at the degree level. Given the urgent need for large
educational outputs as well as expected turnover loss rate in numbers of employees with vocational skills, degree
industry. level education should remain the focus of USP. USP
should continue to develop a dedicated hotel
management programme.
Identify what should be the strategic focus of the various public
educational providers (TPAF, FIT and USP). Support
institutional strengthening and capacity building for these providers
within their area of strategic focus to maximise scarce resources
and avoid potential duplication of programs.

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FIT tourism program should continue to focus on vocational The following training targets (in terms of delivering
training for school leavers. suitable candidates for new jobs) should be adopted for
tourism training for new job training (note this does not
TPAF’s tourism training program should focus on both entry level
include in-service and up-skilling training that TPAF
training (i.e. those not yet in the tourism workforce) and also on
already undertakes and will need to increase). Note: the
in-service training programs tailors to the needs of employers.
targets are full time equivalent and often in hospitality
USP’s tourism training program should include a specific hotel positions are casual or part-time, as such more actual
management degree and further, other degree programs such as training could be required.
engineering, land management, law and accounting should have
Table 20 sets out the overall new jobs in the tourism
specific links to undergraduate tourism courses such that tourism is
cluster and Table 21 the new jobs specifically in the
a specific “minor” .
Hotel sector.
Tourism Training Targets
The targets for ongoing training are: Vocational training 43%
Low level in-house training 28% Degree level 16%.

Table 21: New Tourism Jobs - Managed Growth


Tourism 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Total
Spending New
Category
Hotels: Existing 11,440 11,440 11,440 11,440 11,440 11,440 11,440 11,440 11,440 11,440 11,440 11,440
1995-2006
Hotels: New 0 0 0 1,514 3,028 4,541 6,055 7,569 9,083 10,596 12,128 12,128
<2006

Restaurant/Café 1,728 1,728 1,728 1,728 1,884 2,053 2,238 2,440 2,659 2,898 3,159 3,457 1,728
Sea/cruise 636 636 636 636 693 756 824 898 979 1067 1163 1272 636
transport
Air transport 1,148 1,148 1,148 1,148 1,251 1,364 1,486 1,620 1,620 1,925 2,098 2,295 1,148
Road transport, 518 518 518 518 565 616 616 732 798 870 948 1,037 518
taxi, public
Transfers/tours 608 608 608 608 663 723 788 859 936 1,020 1,112 1,217 608
Travel agencies, 553 553 553 553 603 657 716 781 851 928 1,011 1,106 553
tour operators
Communications 332 332 332 332 362 394 430 468 511 557 607 664 332
Retail shopping, 1,327 1,327 1,327 1,327 1,447 1,577 1,719 1,874 2,042 2,226 2,426 2,655 1,327
duty free
Finance, 968 968 968 968 968 968 1,065 1,065 1,065 1,623 1,769 1,936 968
business services
Construction 364 364 364 364 467 570 673 776 879 982 1,085 1,190 826
Utilities 180 180 180 180 180 180 198 217 239 239 239 263 83
Cultural/ 1,659 1,659 1,659 1,659 1,808 1,971 2,149 2,342 2,553 2,783 3,033 3,318 1,659
recreational staff
Total 21,461 21,461 21,461 21,461 23,844 26,296 28,882 31,566 34,138 37,638 40,685 43,976 22,515
Additional 0 0 0 2,383 4,835 7,421 10,105 12,677 16,177 19,224 22,515

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Table 22: Breakdown of Hotel Jobs 2016 Managed


Accessible Training and Education Growth Scenario
In a broad sense, the government is funding FIT and
USP for education and training. The industry is largely Staff category % of Potential
staff new jobs
paying for in-service training through the training levy
Supervisory/management 10 1,210
that goes through TPAF. Individuals who are unable to
Cooking 15 1,815
get government funded positions at FIT or USP, have
Waiting 13 1,573
to obtain for-fee places with FIT, TPAF, USP or one of
Housekeeping 11 1,331
the private providers. This is often prohibitively
Electricians, plumbers, 7 847
expensive. Additionally, the relatively low-pay levels for carpenters etc. & general
jobs in the industry mean that getting a return on the maintenance
investment in education can take some time. Alternative Gardeners 4 484
means of financing tourism and hospitality education Front desk 4 484
are imperative to ensure that industry has an adequate F & B cashiers/control 4 484
supply of suitably trained and qualified staff. Accounting 3 363
Increase government funding for additional positions at FIT and Activities/recreation 4 484
USP. Consideration should be given to government supporting the Bar 3 363
in-service training and education initiatives of industry above the Dishwashers/stewards 3 363
current levy through a matching fund scheme. Porters 3 363
Entertainers 3 363
Student loan schemes should be investigated and implemented. The Laundry 1.5 182
PSC loan scheme should be expanded, with greater support for Administrative support 1.5 182
students living allowances. Other 10 1,210
A ‘managed apprenticeship’ or cadetship scheme should be Total 100 12,100
implemented in partnership with industry to support additional in-
service training.

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The Building Blocks


The desired outcome is to have adequate infrastructure to support tourism
growth with the least possible cost to government.

© EcoSustainAbility

Infrastructure Infrastructure Priorities


Expansion of hotel/resort capacity will require Currently recognised priorities for tourism development are:
additional infrastructure capacity in the form of power • upgrading Labasa airstrip for night operations for DASH-8
generation and reticulation, water storage, supply, size aircraft;
treatment and reticulation, sewage treatment roads,
communications and the like, not only for sustainable • urgent safety works re aprons and building intrusions in
natural environments, but also to assure a safe and safety envelopes as required (e.g moving shed terminals back
secure environment for visitors, the workforce and local from runways) at Vunisea, Matei and Savusavu airports;
communities. It is unrealistic to assume that the national • upgrading Nadi airport terminal (e.g. the outbound
government should take on the full responsibility for immigration and security area), then expanding the Nadi
providing the capital for hotel development project terminal as flights grow and the number of aero bridges and
infrastructure. luggage conveyors etc. need increasing ;
Government utilities have the responsibility to maintain • water supply capacity for the Natadola to Vuda area (and in
infrastructure reticulation to properties once they are particular for Denarau for forthcoming developments);
operational and will receive a revenue stream for so • sewage treatment upgrade for Nadi town and new sewage
doing. A formula for structuring the private sector/ treatment for Savusavu;
public sector contribution to the capital development
costs for project infrastructure and environmental • streetscape development for Nadi town and Savusavu;
protection needs to be established. For smaller • Coral Coast-Denarau road bypass of Nadi town;
infrastructure projects such as sewage treatment in
• upgrade of the Labasa to Savusavu road to coincide with
remote areas, accelerated depreciation at attractive rates
airport upgrade;
is recommended to stimulate private sector owners to
provide their own facilities within the precinct of the • VHF marine radio repeater system throughout Fiji waters;
hotel or resort property. A depreciation allowance of • voice and internet communications to all outlying areas of Fiji
150% of capital cost is recommended. (use some form of community service obligation subsidy);
Further, in order to stimulate investment in • wharves and jetties as per the ADB funded rural outer
environmental protection facilities (water and sewage island development proposals;
treatment) in the “worker” villages that develop in the
• electrical power supply and reticulation for Taveuni;
vicinity of resort properties, a depreciation allowance of
125% of the capital cost is recommended. The same • road access to facilities (such as car parks, boardwalks, picnic
applies to the installation of solar power units for facilities and signage) at or on the way to and at key visitor
remote village locations. attractions such as the Nahehe caves and Waibasa Hot
Springs.
Note that the above list is not considered
comprehensive however the above are key strategic
priorities as at early 2007.

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A Coordinated Approach At present, many resorts in remote areas such as in


At present the various arms of government do not have Kadavu and the Yasawas have to buy expensive satellite
a coordinated, big picture strategy nor whole of equipment to have voice and internet communications.
government policy to infrastructure development. At Most outlying villages also do not have effective
present there are a variety of approaches to relationships communications.
with tourism developers. This means that similar It is recommended that a strategy to ensure cost effective voice and
developments within Fiji have vastly different levels of internet communications can be delivered to most Fiji Islands
infrastructure support by government. should be developed. One area for investigation is to require
A Tourism Infrastructure Task Force is suggested which should telecommunications providers to meet a community service
initially prepare an overview of the present commitments to obligation, essentially profitable city/Viti Levu services
providing infrastructure and identify urgent needs. subsidizing the roll out of remote communications infrastructure
for both community and tourism industry benefit.
This Task Force should comprise the major government agencies
and utilities providers to coordinate a response to infrastructure In the interim, consider provision for incentives for
priorities for tourism development. telecommunication services delivered to remote locations supporting
tourism e.g. subsidized (at least tax free) satellite phones.
The Task Force should be facilitated by the Ministry of Tourism
and involve the Tourism Development Unit, indeed the Task Developer Contributions
Force may be a sub-committee of the present Interagency (although Many developed tourism destinations require tourism
all infrastructure/utilities agencies need to be involved for the development to pay some form of infrastructure or
Task Force to be effective). head works charges. In the interest of Fiji remaining a
competitive place for tourism investors a soft
Communications introduction of developer contributions is suggested,
Communications infrastructure is vital to growing a safe with incentives in place for developers to contribute to
and efficient tourism industry. government infrastructure such as roads, water supply
Marine Radio Safety Network and sewage. Remote island resorts etc. must be self
At present there are many small vessel voyages (for sufficient.
tourism, fishing and local community needs) made Overall, the need to facilitate tourism growth, means that to
throughout Fiji without adequate communications links. compete for tourism investment, Fiji cannot yet implement a full
For a relatively small investment a series of VHF developer pays for infrastructure policy. However, it is suggested
repeaters on a same channel (distress frequency) could that Fiji overtly move toward this such that once a critical mass of
be established through out Fiji and monitored by Suva around 1 million visitors annually and 15,000 or more rooms,
Radio. Such a system is provided in New Caledonia and that the competitive position for Fiji as an investment destination
has proven to provide a vital safety net. be reviewed and perhaps Fiji may be able to move towards
“developer pays” for infrastructure contributions.
Small long boats can use handheld radios (although they
do have a reduced power and hence range) and any At some point, once the investment climate is secure,
vessel with a battery can install a fixed VHF radio. foreign currency restrictions are lower than at present
and a critical mass of tourism activity is established it
Given the pricing is in the order of $250-400 it is well would be desirable for Government to adopt a
within the reach of most tourism vessel owners and developer pays policy. This could still be combined with
quite likely most community vessel owners. The tax incentives to “soften the blow”, however this would
repeaters themselves, once installed need only annual reduce government capital cost at the expense of some
maintenance, they are solar powered and can be loss of future tax receipts.
installed on remote mountain tops and island to ensure
adequate coverage. The proposed incentives suggest that developments
where government has not anticipated or does not plan
Install a series of VHF radio repeaters to cover all Fiji waters. to provide infrastructure should not be given incentives.
Voice and Internet As such there will be a significant disincentive for major
The provision of voice and internet services is vital to tourism development projects which disproportionately
tourism businesses. With internet bookings becoming a require government paid infrastructure support.
major part of sales and the need to communicate The suggested strategy for infrastructure support for tourism
efficiently with suppliers and agents/wholesalers etc. it (hotel/resort) development is:
is extremely difficult to run an viable tourism businesses
without good voice communication and broadband • Tourism developments in areas with existing infrastructure
internet. within the capacity to support the development (support with
investment incentive for development);
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• Tourism developments in areas without existing The key advantage is that the construction and long
infrastructure or where it is not within the capacity to support term operating risk can be transferred onto the BOOT
the development (support with investment incentive for provider and there is no up front capital cost. However,
development if developer contributes to local infrastructure or user charges are likely to be slightly higher than
is self sufficient); government funded schemes owing to the need for the
BOOT operator to finance the project (thus include
This should move over the next decade to require all developers in capital and interest recovery) plus a profit component.
infrastructure serviced areas (i.e. not in remote areas where
developments are self sufficient) to pay an infrastructure It is noted that this public/private infrastructure
contribution (in the order of ten percent of capital cost of project). partnership may take many forms and only one model is
BOOT. Importantly these approaches are partnerships
Public Private Partnerships between infrastructure contractors and the government
There is the potential to provide infrastructure support for community infrastructure and very rarely for one
for tourism on the public private partnerships model particular tourism development. For instance a BOOT
which share risks, responsibilities, resources and rewards. model may be appropriate for a an additional water
supply/storage/treatment system for Nadi or for the
The model has been claimed to be effective with one
Savusavu sewage system.
major integrated resort development building the access
road which upon completion is then bought back from Integrated Resorts
developer by the government. In essence this is a build One key aspect of an integrated resort is usually the
and transfer system and really only defers the inclusion of private land sales. This creates a future
government’s capital expenditure for the short period residential community and the future relationship
between commencement of construction and opening between these private owners and the local
of the road/resort. Models for infrastructure government/ infrastructure providers can take many
contributions for larger and integrated resorts are forms. In some instances the integrated resort provides
discussed below. all internal infrastructure and has some form of body
As this is a Tourism Development Plan it is not within corporate style organisation which manages the assets,
the scope to redefine Fiji’s approach to infrastructure. whereas other models have a complete hand over of all
As such this section provides a general summary of infrastructure to the local government who then charge
models for infrastructure, without suggesting policy or normal local rates to amortise the maintenance charges.
specific strategies. It is noted that governments world The models for Denarau, Pacific Harbour, Momi and
wide are increasingly delivering major capital Natadola as the major existing and in construction
expenditure items such as water supplies and sewage integrated resorts are varied. Further there are a variety
treatment/reticulation in some form of public/private of additional proposed integrated resorts including the
partnership. There are various models including Build Vulani proposal on Nadi Bay. There is no consensus
Operate Transfer and Build Own Operate Transfer. internationally on the management of integrated resorts
with a wide variety of legislative and commercial
A BOOT funding model involves a single organisation, approaches used. One model worth evaluating is that of
or consortium (BOOT provider) designing, building, the Australian state, Queensland’s legislation for
funding, owning and operating the scheme for a defined integrated resorts.
period of time and then transferring this ownership
across to an agreed party. BOOT schemes are becoming The ability of government to now implement a new
an increasingly popular means of financing large-scale integrated resort approach will be limited as new
infrastructure development such as roads, bridges and integrated resorts will want equitable consideration to
hydro dams in Australia and developing countries. the existing resorts. However, Government could face
major infrastructure capital commitments and ongoing
The usual approach is that the government or utility maintenance commitments unless it reviews the
provider enters into a long term contracts with the infrastructure aspects of existing and major.
BOOT operator and are then charged accordingly for
the service delivered. The service charge includes capital The Infrastructure Task Force to review the present infrastructure
and operating cost recovery and project profit. aspects of each existing and proposed integrated resort in Fiji.
Initially develop an overview of government commitments and
This is effectively debt financing, with, for instance for a obligations and then develop a potential policy/strategy. If possible
water supply scheme, users pay no upfront capital costs adopt and implement the policy for new integrated resort proposals.
but are committed to regular water charges through a
long term contract. The capital cost is repaid over the Careful consideration needs to be given to supporting any
term of the supply contract. BOOT terms vary between additional integrated resorts before infrastructure needs and
projects but would usually be in the order of 25 years. commitments for Momi, Natadola and Denarau are met.

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Informed Decisions
Tourism is a diverse series of linked services. Understanding it requires active
monitoring and this will be essential for proactive planning for growth.

© Fiji Islands Visitors Bureau

Analysis of this data is undertaken by the Fiji Islands


Tourism Monitoring Visitors Bureau, Department of Tourism, Fiji Islands
Statistical Data Bureau of Statistics and other agencies although these
The strategic tourism environment is becoming more analysis are primarily cross tabulations or strict reporting
complex and competitive. Success in future will be of trends. The analysis conducted therefore do not
based on a detailed knowledge of a tourism market that increase the value of the data available. An example of
is changing faster and in more complex ways. This the increase in value is provided by the creation of a
begins with collection of reliable statistical data about Tourism Satellite Account which takes data and
existing customers but in isolation this is not enough. transforms it into insight about the structure of the
Instead there is a need for people with specialist economy. This allows modelling of various options and
knowledge and skills of specific areas such as statistical therefore policy and planning. Examples of such
analysis, forecasting, market data collection. It requires analyses that could be of great value to Fiji include a
funding for further statistical research and skilled model showing the relationship between growth of
interpretation. This chapter provides a series of areas particular market sectors and job creation. Based on an
for improvements but beyond this is the concept of understanding of the activities undertaken by various
knowledge management. types of visitors, development of a model that allows
Primary data collections include: scenarios for Fiji’s future market mix to be explored.
• the market research data collected by the Fiji Currently there is little interaction between the various
Islands Visitors Bureau; arms of government concerning the collection, analysis
• the operator database collected by the Fiji Islands and dissemination of tourism data and knowledge. One
Visitors Bureau; specific example is the backlog in Overseas Arrivals and
• the operator data collected from the product Departures Statistics, critical statistical data used for
development work of the Department of Tourism; weighting the International Visitor Survey since
• the Overseas Arrivals and Departures Data (OAD); Decmber 2004. A number of specific actions are
provided below.
• the International Visitor Survey (IVS);
• the Hotels and Other Tourist Accommodation Establish a Tourism Knowledge Task Force whose membership
Survey collected by the Fiji Islands Bureau of includes FIRCA, BOS, MOT, FVB and other relevant
Statistics (includes employment and earnings data); Government Departments and key Tourism stakeholders. The
• the airline passenger load data collected by Airports Task forces role should be to improve communication flows, and
Fiji Limited; identify and solve problems concerning tourism knowledge.
• in future, data collected on the Hotel Turnover Tax Maintain a series of tourism arrivals and departure statistics
by Fiji Islands Revenue and Customs Authority; and available two weeks after the end of each month.
• data collected on specific sectors such as
Conduct research to examine the additional data available from
backpackers, cruise ship passengers, and the
the OAD passenger cards.
meetings market, etc.
Establish a Tourism Forecasting Committee (as a small
The overall tourism knowledge strategy is to continue with visitor
subcommittee of the Tourism Knowledge Task Force, perhaps with
arrivals and departures, the international visitor survey, tourism
some additional experts co-opted in) to provide forecasts of visitor
operator data base, accommodation survey, passenger load data,
numbers, nights and expenditure by origin market.
HTT data and specific sector surveys as the foundation of an
overall tourism knowledge system for Fiji. It is suggested that current staff receive additional training in
statistical data collection and analysis techniques.
Address the lack of market data on the early stages of Fiji’s
domestic tourism market.

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Engage at the regional level in the proposed sustainable tourism It is recommended that this is continued and a future programme
research collaboration agreement between USP, SPTO and the of research into market sectors is developed and implemented.
Sustainable Tourism Cooperative Research Centre (Australia)
Knowledge Network Overview
For the Hotel Survey Tourism is an industry that requires knowledge of its
It is strongly recommended that the scope of this survey is reviewed potential and existing customers (demand) as well as the
against FVB, MOTT and other records at least annually. tourism operators and intermediaries who jointly
It is recommended that data is reported monthly. provide the tourism service (supply). In the past, much
of this knowledge was held in the brains of a few key
It is recommended that operators are made aware that completion industry participants. The growing complexity and
of daily origin of guest information is not compulsory. integration of tourism as a dynamic industry requires a
For the IVS more systematic and open approach to the collection,
A stand-alone technical report describing the methodology of the analysis and distribution of knowledge about tourism.
IVS should be produced annually. The term ‘knowledge management’ has been coined to
describe the idea of systematic and integrated
Review how the prepaid component of expenditure data is collected.
management of statistics and knowledge. The concept
Maintain a core set of questions but rotate other questions of knowledge management relies on identification of the
annually to allow other data to be collected. questions that need answering.
Increase the sample size by boosting the numbers from particular Currently the Fiji tourism industry has a disjointed and
target groups and increasing the numbers of interviews completed inadequate ‘knowledge system’. This consists of some
per interviewer shift. individually important and useful components. These
include secondary data collection and analysis:
Review the yachting and cruise ship questionnaires and consider a
separate transit questionnaire. Develop partnerships to build models that create insight into the
future options for the Fiji Tourism Industry.
Resolve definitions of transit passengers who leave the airport.
It is recommended that a statistical liaison committee of agencies
Research
involved in tourism be formed to improve communication flows,
The amount and quality of the Fiji market research
and identify and solve problems concerning tourism knowledge.
conducted is good compared to many other countries
but less than that required for comprehensive Tourism Satellite Accounts
knowledge of Fiji’s competitors, markets, product The Ministry of Tourism is in the process of preparing a
offering and policy choices. Existing research includes set of Tourism Satellite Accounts (TSA) for the broad
segmentation research has recently been conducted in tourism sector cluster. An initial report based on 1995
Australia and good quality market data from overseas year National Accounts data and the Input/Output
offices is available for most origin countries. In addition, tables of that year has been completed. The full set of
the International Visitor Survey (IVS) is a critical source TSA tables has been established and the task of
of information that is used to profile and monitor the evaluating the extent of tourism activity within each of
types of visitors to the Fiji Islands. the sectors has also been completed. The finalisation of
A more comprehensive research program is a set of tourism satellite accounts for a recent year is
underpinned by development of strategic partnerships ongoing.
and is directed towards new markets and products and The Bureau of Statistics (BoS) recently (2006)
future orientated policy. commenced the process of updating the Input/Output
Areas for improvement include: tables that are the basis for assembling TSA accounts.
The Input/Output update is benchmarked on the 2002
Develop partnerships to build models that create insight into the financial year.
future options for the Fiji Tourism Industry.
Ensure that the Tourism Satellite Accounts are completed and
The dissemination of information about current tourism in Fiji then a Ministry of Tourism and Bureau of Statistics Team is
and market conditions overseas is not extensive currently and resourced to continue reporting against the accounts annually.
should be expanded. A web based central destination knowledge
database collecting and cataloguing information from reports and It is recommended that relevant agencies within Fiji fully consider
statistical collections should be developed. incorporation of the Tourism Statistics Basic Concepts and
Methodology as endorsed by the UNWTO and United Nations,
Collection of information on the visitors in origin countries is vital. Recommendations on Tourism Statistics
Regular segmentation studies should be conducted about every 3-5
years in the major origin countries. Have an external, independent expert review the TSA accounts
once they are completed and then every three years.
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Undertake a major review of input/output tables assumptions, Resource Owners


coefficients and base data at least every five years. Engagement and empowerment of local communities in
planning and decision making about the management
Tourism Knowledge Sharing and future development of sustainable tourism in their
At present, despite Fiji having numerous survey and
local area in consultation with other stakeholders is
research processes there is little sharing of this
essential within the Fijian cultural context. Giving
information. Indeed many key stakeholders do not have
people responsibility and control over their own lives is
ready access to key information sources.
a fundamental principle of sustainable development.
A major function of the MoT should be to compile and publish (UNWTO, UNEP).
tourism knowledge as soon as it come to hand. For example:
There is a recognised need to raise tourism industry
• Publish arrivals and departure information on the awareness of the needs and aspirations of resource
website by the 15th of each month for the previous month owners and a commensurate need to raise the awareness
and year to date; of the aspirations and business imperatives of the
tourism industry.
• Publish the quarterly summary report for the IVS on
its website; Policy aspects to consider:

• Publish all other tourism knowledge reports on the • Ensuring appropriate engagement and
website as they are available; empowerment of local communities.

• Produce a monthly tourism knowledge update as an • Improve conditions for effective local decision
email newsletter with a summary of current key vital making.
statistics (a Tourism Activity Monitor). • Address the specific position of indigenous and
Further, MoT should compile and publish a snapshot of tourism traditional communities with respect to local
for the previous year by the end of February of each year. control.
The proposed Roko Tui Saravanua(s) who will be employed as
Development Knowledge part of the ADB Rural and Outer Island Infrastructure project
Presently there is no coordinated knowledge base of
can have the role of raising awareness by resource owners and their
proposed and future tourism development by private
engagement in dialogue with the tourism industry.
sector investors.
It is suggested that FTIB, Ministry of Tourism, Ministry of Community Awareness
Environment, NLTB and the Department of Town and Country The awareness by the local community of the net
Planning collaborate in the implementation of a development benefits well planned and properly managed sustainable
knowledge base. This could be facilitated by the proposed Tourism tourism and its contribution to Fiji’s growth and
Development Unit. development is important to community “ownership”
of tourism and harmonious relations with tourists.
Sustainable tourism can and should be a tool to assist
visitors and local communities maintain or enhance
their authentic cultures, traditions, heritage and
distinctiveness.
Continue a program of community awareness as presently
implemented by the Ministry of Tourism.

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Managing Risk
In a world where change and catastrophe are inevitable, government and
tourism industry preparedness to respond to emergency situations is vital.

© EcoSustainAbility

Risk Understanding the Risk Issues


Tourism is a volatile industry by nature. The Little data exists on the scope and scale of risk
occupational health and safety of tourism employees; associated with tourism. These data need to be collected
tourist health, safety and security issues; and industry and collated to provide an accurate and realistic
response plans to natural disasters or political unrest are ‘snapshot’ of risk in Fiji.
matters that affect the success of a nation’s tourism. The Ministry of Tourism should commence a scoping study with
Therefore, tourism risk and/or crisis management has the Tourist Health Unit to identify and prioritise health issues
become a crucial sector for the world tourism and Fiji is affecting tourism. This should include an assessment of the level of
no exception. comprehensive travel and medical insurance carried by tourists, as
The lack of recommendation made by the previous Plan well as occupational health and safety for workers in the industry
draws attention to increased focus by All DESTinations The Ministry of Tourism work with the Tourist Police Unit to
on this issue in the past few years and for this plan to gather accurate and timely facts and figures about crime involving
address the issues of Fiji tourism risk and crisis tourists so that concerns raised in travel advisories and in the
management and propose plans to administer, monitor, media can be effectively addressed.
manage and recover. Protecting the reputation and
growth of tourism in Fiji through cooperative The Ministry of Tourism should also work with the main tourism
relationships of government agencies and the tourism industry associations to assess and document current industry risk
industry is imperative. management practices in relation to building standards and
security; fire, water and food safety; and appropriate insurance
The United Nations World Tourism Organization cover for business operations.
(UNWTO) takes the view that risks to the health, safety
and security of tourists, host communities and tourism The Ministry of Tourism should undertake an audit of water
employees can originate from four source areas: safety for tourism, including availability of trained lifeguards at
resorts, first aid certification held by staff and general marine
• The human and institutional environment outside safety initiatives currently in place in open water.
the tourism sector;
The Human and Institutional Environment
• The tourism sector and related commercial sectors; Political and social stability, law and order are important
• The individual traveller (personal risks); and for the growth of tourism. The political tensions over
• Physical or environmental risks (natural, climatic, the past decade and the military coups in 1987, 2000
epidemic). and 2006 have undermined global perceptions of Fiji as
The draft Tourism Industry Act provides the legal and a safe and welcoming tourist destination. However, it is
practical mechanisms for developing tourism risk suggested that these past events will largely fade away if
management. However, there are additional means to there are no further serious incidents. Tourism is very
help facilitate initiatives in Fiji, whilst simultaneously reliant on other agencies of government in the area of
supporting the delivery of quality services. political and social stability. Current arrangements see
the National Security Council (NSC), a sub committee
Overall the development of a comprehensive National Risk of Cabinet, having lead responsibility for all security
Management Plan for Tourism is highly desirable. matters. Tourism does not have a seat on the National
The fundamental strategy for risk management for tourism in Fiji Security Council, which is chaired by the Ministry of
is that the Ministry of Tourism take a proactive role in facilitating Home Affairs and Immigration.
a whole of government and industry approach.

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One of the strategies raised in the 1998 Plan was the In Fiji, the Health and Safety at Work Act 1996 s. 9(1)
establishment of a Tourist Police Unit for Fiji. In 2003, provides that ‘every employer shall ensure the health
Cabinet endorsed the recommendation by the Ministry and safety at work of all his or her workers’. Under the
of Home Affairs to the NSC. The Ministry of Tourism Act, in small workplaces (less than 20 workers) a health
needs to take a further step and utilise mechanisms by and safety representative may be appointed by the staff
which tourism may receive security briefings and threat s.16(1) and where there are 20 or more workers the
assessments. These can be done through the National employer must establish a workplace health and safety
Tourism Council (NTC) and the Tourism Combined committee s.18(1). Regulations under the Act
Law Agency Group (TCLAG). specifically require that all accidents, incidents or disease
that occur at a workplace are recorded and reported to
The Ministry of Tourism establish a permanent, high-level
the relevant authorities.
working relationship with security services through the Ministry of
Home Affairs. This working relationship will provide the Information about workplace health and safety incidents
Ministry of Tourism with a more active role in monitoring and is very important for risk management, not only for
responding to crime and security issues that directly and indirectly planning prevention and response initiatives but also for
affect the tourism industry. improving the general safety environment for both
workers and guests.
Tourism Related Sectors
This is the area where tourism has the most control The Ministry of Tourism work with tourism operators and the
over its own risk management practices. However, in Tourist Health Unit to determine current occupational health and
common with other tourist destinations there does not safety opportunities within the Fijian tourism industry. This
appear to be any standardised monitoring and reporting would include an audit of first aid and other health services that
of incidents involving tourists in Fiji that could be used benefit both workers and guests.
to guide policy and best practice initiatives.
Individual Travellers
Similarly, there appears to be no standardised checklist While individual travellers should be expected to take
to guide tourism businesses in their current some personal responsibility for their own behaviour,
responsibilities under various pieces of legislation (for experience shows that some incidents will always occur
example, building regulations, public health, fair trading due to visitors being in an unfamiliar environment and
and other aspects of commercial activity). The Tourism participating in unfamiliar activities. Injuries and ill-
Industry Act 2006 will address many of these issues health may have legal and insurance implications for
under new licensing requirements, but in advance of the tourism operators, and generate negative publicity. No
legislation some guidance on risk management practices, reports or data on tourist injuries, excluding the crime
especially for smaller operators, would be timely. material from the Tourist Police Unit exist.
One area that is often overlooked within this UNWTO The Ministry of Tourism work with tourism operators,
category is that of business continuity, during and after a lawyers and insurance providers to audit and assess the
crisis. Sufficient financial reserves, appropriate and current risk management practices in place to protect
comprehensive insurance policies, and flexible individual travellers. In particular, water and road safety
employment arrangements are all critical risk should be examined. For water safety it is recommended
management issues for tourism businesses. As events that resorts consider employing ocean lifeguards trained
like SARS and the 2004 Tsunami have shown, it is also and accredited at an international standard.
necessary to have some form of government safety net
The issue of a cap on public liability is being discussed
in place for business continuity, by way of short-term
with under s.32 (1) of the Draft Tourism Industry Act
interest free loans, tax relief or employment support.
2006. The draft Act also provides for authorised
An assessment of business continuity needs and current standards and rating systems to be applied to the
arrangements in the event of a crisis or disaster situation impacting tourism industry, and under s.28(3)(c) all standards shall
on tourism should be conducted. be consistent with the World Tourism Organization’s
Global Code of Ethics for Tourism. In relation to risk
management for tourism in Fiji, the Code at Article 5
(2) provides for the obligations of stakeholders.
The Draft Tourism Industry Act 2006 provides the legal
and practical mechanisms for developing tourism risk
management initiatives in Fiji, and simultaneously
supporting the delivery of quality services.

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Following UNWTO recommendations, the Ministry of Tourism Since the Severe Acute Respiratory Syndrome (SARS)
establish a high-level ministerial advisory committee specifically in crisis in 2003 the importance of partnerships with health
the area of tourism health, safety and security under the new authorities has been constantly highlighted for the
Tourism Industry Act 2006. Section 8(1) of the Act provides for tourism industry. The Ministry of Health of Fiji has an
the creation of such a committee. The committee would be excellent Disaster Management Plan in place which
operational in its brief, drawing core membership from the existing covers all health activities related to mitigation,
CLAG but also including key stakeholders from other areas. preparedness, emergency response, relief and
rehabilitation. The Health Plan is integrated into Fiji
Physical and Environmental Risks
National Disaster Risk Management Plan 2006.
Fiji involves physical and environmental risks,
particularly in relation to the country’s location in a Tourism is not directly represented as a member of the
seismic area and exposure to natural disasters such as National Health Disaster Management Council, though
earthquakes, cyclones, tsunamis, tropical storms and visitors to Fiji are equally likely to be affected by the
floods. Also included in this risk area is health, range of natural and human generated disasters
particularly mosquito-borne disease such as dengue identified by the Ministry of Health. The recently
fever and a broad recognition that there are limited created Tourist Health Unit is a unique opportunity for
health services for tourists away from the main tourism to work more closely with the Ministry of
population centres. Again, these threats to tourism lie Health.
outside the direct control of the industry and therefore
The Ministry of Tourism include the Tourist Health Unit in the
tourism is reliant on other agencies for assistance.
planning and development of a National Tourism Health, Safety
The Fiji National Disaster Risk Management Plan 2006 and Security Plan.
contains detailed arrangements for risk reduction and
The Ministry of Tourism include the South Pacific Applied
management of natural and human-caused hazards.
Geosciences Commission (SOPAC) in the planning and
The National Disaster Risk Management Council has
development of a National Tourism Health, Safety and Security
the lead responsibility for this area. Tourism is
Plan.
represented on this policy level council by the
Permanent Secretary for Tourism. There is no Be Prepared
representation for tourism on the three operational A detailed first response plan that ensures emergency
committees of Risk Management, Training and procedures are in place to assist the tourism industry in
Preparedness, and Emergency. Under the current times of crisis will need to be developed by members of
arrangements hotels and resorts, other accommodation the proposed Ministerial Advisory Committee on
providers and tourism operators would be involved with Tourist Health, Safety and Security. Currently, tourism
disaster risk management councils at the provincial, has a varied and mostly limited role in the response
district and village/settlement levels. However, there is plans of other government agencies. This needs to be
currently no mechanism in place to guide this process or addressed so that tourism makes a greater contribution.
to ensure that tourism interests are engaged. At the At the same time, active membership by key agencies on
national level, hotels and resorts are only indirectly the Ministerial Advisory Committee will ensure that
represented by the CEO for Tourism and Transport, tourism has operational access to expertise and
though the Ministry. resources in times of need.
The Ministry of Tourism establish a permanent, high-level No comprehensive risk management of crisis response
working relationship with the National Disaster Risk plan currently exists. One of the first steps in
Management Council and seek a position on the Council’s Risk developing a first response plan is to understand the
Management Committee. resources and capacity that currently exist within the
The Ministry of Tourism undertake a detailed audit of all tourism industry, and to link these resources to other
tourism operations in the country to determine their readiness for government agency plans. The communication of
the range of hazards identified in the Fiji National Disaster Risk warnings to various industry operators, especially in
Management Plan 2006. This audit would include the remote locations and out at sea, given the restrictions on
availability of crisis management plans, staff training and commercial communications carriers that may exist
awareness, resources, communication systems and operational during natural disasters. The growing importance of
integration with government agency plans. yacht tourism to Fiji is also appreciated in ability to
issues warnings in a timely and effective manner.
Capacity to use VHF marine radio, SSB and Ham radio,
land telephone, facsimile and mobile phones all need to
be factored into a comprehensive First Response Plan.

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The other critical element of a First Response Plan, as


well as the content, is having a permanent person or Communication is Key
team responsible for all aspects of tourist health, safety As noted by the UNWTO, no matter what kind of crisis
and security. This is not a part-time job, or an additional occurs, the techniques for dealing with it effectively are
set of duties to an existing job. The Ministerial Advisory quite similar. Good internal industry and community
Committee will require a dedicated officer. It is and external to the marketplace communications based
recommended that this person be either attached to the on the principles of honesty and transparency is the key
Fiji Visitors Bureau or work from the Ministry of to successful crisis management.
Tourism. The position should be senior enough that An emergency communications and warning systems for tourism
cooperation will automatically be extended by other should be established.
government agencies and the private sector.
A network of good voice (and preferably data) wireless
The Ministry of Tourism develop a First Response Plan through communication is urgently required for the remote island areas of
the Ministerial Advisory Committee on Tourist Health, Safety Fiji Tourism.
and Security. As part of this program consideration is given to the
appointment of a permanent staff member to coordinate all health, For marine safety a network of VHF marine radio repeaters
safety and security measures on behalf of the Ministerial (similar to that used in New Caledonia, New Zealand and
Committee. Australia) should be established and the carrying on board of at
Note, Fiji could use the resourcees of the APEC least handheld marine VHF radios mandatory for tourism
Tourism Working Group to assist destinations plan and vessels.
respond to crisis. Various guides and training resources External communications with key international tourism
are available. organisations such as UNWTO, PATA and others in
reputation management are important mechanisms to
speedily activate when an event or incident creates
messages about destination Fiji that image on the core
positive attributes of Brand Fiji.

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Facilitating Tourism Growth -


Legislation
Provide an efficient compliance and governance framework which enables a growing
sustainable tourism industry.

© Fiji Islands Visitors Bureau

Facilitating Investment and Development


Tourism Legislation Product development is primarily a private sector driven
Tourism policies and legislation are the most explicit activity. Government, however, assists the process
indication of the government’s approach to tourism through the provision of incentives under the Hotels Aid
development. They are also indicative of the roles that Act. Government must not only promote product
all stakeholders in the industry must play. Fiji has a development, but also have the means to control it by
range of legislation that addresses the needs of the determining the relevance to the areas where these
tourism industry. A key issue is the implementation, products are introduced.
monitoring and enforcement of the existing legislation,
as well as the need for clear policy guidelines. This falls The Hotels Aid Act investment incentives need to be :(1) under
outside the roles and responsibilities of the Ministry of the directive of the Ministry of Tourism, remaining under the
Tourism, but it is an issue that is critical for the on- auspices of the Hotels Aid Act; (2) aligned to the tourism
going support and sustainability of the tourism industry. product; and, (3) used as a tool for strategically targeted product
planning and development. Criteria to link product development
Consideration of legislation also includes the processes and tourism development areas must be established. Proposed
by which legislation is developed and implemented. developments should be subject to the final approval of the
The implementation of legislation should be supported by a range Ministry prior to incentives being granted.
of principles that support the development and management of The Tourism Industry Act
sustainable tourism through a legislative framework that Without clear legislative support, the tourism industry
establishes standards for: resource use in tourism; tourism facilities will remain fragmented and ad hoc in its development. At
and infrastructure; management; and, investment. These principles the moment, hotel licensing is under the Attorney-
should include: General's Office. Other tourism businesses acquire
commercial licenses from local authorities without the
• Streamlining of regulations and regulatory structures to increase
linking of the licenses to any industry standards. This
transparency and eliminate inconsistencies.
lack of coordination leads to confusion, inconsistent
• Strengthening of institutional arrangements for enforcement of interpretation and application, and fails to meet the
legislation to improve its effectiveness. needs of the tourism industry.
• Flexibility for legislation to meet the needs of the Fijian context, The Tourism Industry Bill needs to be implemented with a clear
whilst at the same time, maintain consistency with overall role for the Ministry of Tourism in relation to policy development
national and regional objectives. and implementation (as per the Public Service Act 1999).

• Ensuring compliance with standards and targets for sustainable This role needs to be clearly differentiated from that of the Fiji
tourism through the provision of incentives, monitoring Islands Visitors Bureau.
compliance and enforcement. A Tourism Development Unit should be established to facilitate
product development.
• Applying a systems approach to the development,
implementation and enforcement of tourism related legislation so Hotel licensing needs to be undertaken on annual basis, with
introduction of new legislation is done in a timely fashion, incentives provided for Green Fiji certification. Three year licenses
minimising potential impacts. The notification and for environmental certification (Green Globe Fiji) and standards
implementation process must be consistent with industry certification (once established) should be considered.
management practices.

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Roles and responsibilities of related Ministries need to be identified, Protect the Resources that Support Tourism
and the responsibility for their implementation and enforcement The Environmental Management Act was enacted in 2005.
needs to rest clearly with those Ministries and not the Ministry of This Act provides the legislative infrastructure for the
Tourism. management and protection of Fiji’s primary tourism
asset – the environment. As yet there are no regulations
The FVB Act
for the Act. It is critical that this Act is applied to the
The Fiji Visitors Bureau Act was enacted in 2004. The Act
industry and the standards enforced.
defines the roles and functions of the FVB, particularly
in relation to the roles and functions of the Ministry of Establish and enforce regulations under the Environmental
Tourism. However, the roles and functions of the FVB Management Act.
can be further defined so they can take a more proactive
The Liquor Act
and aggressive approach to the marketing of the Fiji
A new Liquor Act was enacted in 2006. The Act is the
tourism product.
result of a holistic review of the laws and practice
Review the FVB Act with a view to enabling the Bureau to relating to the sale and supply of liquor. The 2006 Act
engage in e-commerce. repeals and replaces the previous Liquor Act 1962.
Resources to Support Tourism The Act proposes improvements to the systems and
The tourism industry has been subjected to various procedures for processing and granting of new liquor
related taxation schemes, specifically the Airport licences, renewals, variations and suspensions of
Departure Tax and the Hotel Turnover Tax. The licences. It proposes the abolition of granting up to 18
industry is also subject to VAT and Customs duties. separate types of liquor licences, and replacing them
Presently, this revenue accrues as part of the with a single liquor licence with conditions to reflect the
consolidated fund and is not specifically re-directed into use to which the licence will be put. It also establishes
tourism. the legal drinking age in Fiji as 21.
Consider clearer funding links between tourism tax revenue and The Tourism Industry Act, discussed above, proposes
expenditure for tourism marketing. that the Tourism Industry Licensing Committee should
be empowered to receive applications for hotel liquor
Grow New Areas
licenses, which is a function currently held by the
The further development of marine based tourism,
Central Liquor Board under the Liquor Act 2006. This
specifically cruise ships, yacht charters and “super-
would enable the granting of extended sales hours for
yachts” needs to be supported. These areas are currently
licensed hotels.
under exploited in the Fiji Islands, yet represent
significant tourism growth potential. The Fiji Islands Some concern has been expressed, particularly from the
Marine Safety Authority (FIMSA), through the Marine backpacker operators, who cater to a primarily youth
Act 2005 and the Sea Ports Management Act 2005, market, that the increase in the drinking age to 21 could
provides a regulatory role, involving services which have an impact on Fiji’s attractiveness to their market
include working in partnership with the Ministry of segment, as alcohol is part of the destination
Tourism, and other agencies to achieve the objectives of attributes/activities for these tourists.
the Fiji National Transport Sector Plan (FNTSP). As
Through the ratification of the Tourism Industry Act, empower
part of this, three approvals relating to investment come
the Tourism industry Licensing Committee to receive and endorse
under the responsibility of FIMSA. These are approvals
hotel liquor licenses.
for coastal trading license (CTL), Vessel Survey
Certificate and Vessels Registration. As part of this, Establish a means for the granting of endorsements for tourism
consideration needs to be given to: hotels to serve liquor to international tourism over 18 but under
the age of 21.
Provision for all tourism vessels for a coastal trading license.
Sun, Sea, Sand, Tourism and the Qoliqoli Bill
An amendment to allow for yacht charters and super-yachts to
Fiji is a destination built on ‘sun, sea, sand’ attributes. It
enter Fiji waters for 5 years, VAT free, under a specific limited
is fair to say that the access to these resources comprises
license.
the main tourist experience and forms the main
motivation for most travelers to the country. Fiji’s
traditional society and resource ownership is
fundamental to its character and society. Tourism can
and should provide benefits to and become partners
with prosperous communities. One of the critical issues
facing the industry in this area is the proposed bill for
proprietary rights of the foreshore – Qoliqoli.

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There has been much debate about how Qoliqoli should Managing the Legal Framework with Industry
be statutorily recognised and the rights and obligations Tourism in Fiji does not work in isolation or in a
of both owners and users codified. mutually exclusive fashion – it is part of a world-wide
distribution system. As part of this international
A simple framework is required to support transparent and
distribution system, contracts for supply are established
equitable mechanisms for tourism operators to contribute for their
12 to 18 months in advance. Changes to legislation
use of the qoliqoli. This framework should account for both fixed
(such as the introduction of the Hotel Turnover Tax)
tourism operators (those with established relationships with
can have a deleterious impact on these arrangements if
mataqali), and those that access multiple destinations (e.g., cruise
they are not introduced in a timely and strategic fashion.
ships, yacht charters and dive operators). The framework must
provide security of access and use such that investment decisions. Any legislative changes that impact upon cost structures should be
established at least 12 months prior to implementation.

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Team Fiji – Making it Happen


Tourism is delivered by a series of private and public sector enterprises, and involves
many activities regulated by government. Only through proactive collaboration can
tourism growth be efficiently realised.

© Fiji Islands Visitors Bureau

Creating Team Fiji Reporting and Review


This chapter sets out the implementation approach for Fundamental to the implementation of the Tourism
Fiji’s Tourism Development Plan 2007-2016. Development Plan is reporting and review against the
Fundamental to the approach is the creation of tourism progress of implementing the Action Plan.
Team Fiji, based on a partnership of industry, Principle
government and the community to ensure the overall
The overall principle for the partnership approach upon
vision of growing tourism for Fiji’s benefit is achieved.
which Team Fiji is based is:
In order to create the coordinated implementation
An agreed new and more effective partnership based institutional
approach there are three (3) key aspects:
framework and organisational structure for tourism development
• The adoption of the partnership model, the at the national level.
organisational relationships for tourism; Successful tourism sectors emerge when there are open,
• The agreement on the tasks, actions and policies honest and successful partnerships established between
(the strategies) that must be implemented; and, all the players. The United Nations World Tourism
Organisation conclude that the role of national
• The fulfilment of each organisations role in the governments in tourism should be to: “Improve the
partnership in the interest of the overall vision. management and development of tourism by ensuring
coordination and cooperation between the different
Institutional Arrangements agencies, authorities and organisations concerned at all
This chapter summarises the institutional arrangements levels, and that their jurisdiction and responses are
to create tourism “Team Fiji”. It provides an analysis of clearly defined and complement each other.” Fiji’s
government approaches to tourism and the role of Government has given recognition to the tourism
government. It considers the roles of the Ministry of industry with the continuation of a Ministry for Tourism,
Tourism and Fiji Visitors Bureau and proposes specific which can, through this plan, “improve the management
institutional structures and roles. of tourism….”.
In addition to the roles of the Ministry of Tourism and A Tourism Partnership
Fiji Visitors Bureau, a new short term agency, the For all destinations, tourism takes place within dynamic
“Tourism Development Unit” is proposed. social, cultural, environmental, economic and political
The Action Plan then addresses the key roles and contexts. It is a highly integrated economic activity
partnership aspects of each major stakeholder in which has significant impacts on global and regional
tourism development in Fiji. trade of goods and services. The sector consists of
various complex interactions between Government,
Action Plan 2007-2009 industry and other bodies which ultimately enables the
A separate Action Plan for 2007 to 2009 is has been tourism industry to provide a coordinated tourism
developed which sets out the strategies from this product involving services from countless agencies and
Tourism Development Plan and the detailed actions businesses.
required by various organisations to see that these are
achieved.
Implementation
It will be the responsibility of the Ministry of Tourism
to facilitate and coordinate the implementation of the
Action Plan.

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Figure 10: Team Fiji

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Tourism services include accommodation, • Facilitation and Operation - Efficient and Effective
transportation, tours, activities, events, authentic Industry: Efficiency and effectiveness are key
experiences, amenities and so on. To create, deliver and components of tourism development and long term
support those who provide the tourism service directly success. Fiji’s capability to facilitate and operate as a
to the visitor, numerous Government agencies need to unified tourism destination will drive the on-going
provide infrastructure, facilities and services including viability of the overall tourism sector. The
airports, seaports, roads, education & training Facilitation and Operation tier addresses the
institutions, regulatory mechanisms, protected area grassroots tourism and support operations.
management, environmental quality and performance
standards, financial and regulatory systems, customs & Role of Government
immigration facilities, information technology, and so Facilitating Tourism
on. Therefore, the complexity and diversity of the The role of government in facilitating the tourism
tourism sector requires Government agencies and industry has been extensively studies by agencies such as
relevant stakeholder bodies to work in partnership with the UNWTO and can include:
agreed directions. Coordination: Within and between different levels of
Implementation of the Tourism Development Plan (and Government to avoid duplication of resources between
realisation of the potential “make it happen” growth various government tourism bodies and the private
scenario and consequent benefits to Fiji) will take place sector.
if the appropriate capabilities are in place for
Planning: Particularly where destinations are using
Government Ministries and Departments, Government tourism as a response to economic development and/or
Commercial Companies, tourism related organisations, restructuring. One of the major problems for public
private sector, NGOs and local communities to work tourism planning is the extent to which tourism specific
together in partnership. agencies which usually have a very limited legislative
A Tiered Approach base of responsibility, have the authority to direct other
A three tiered approach is adopted to analyse the government organizations to meet specific policy goals
institutional arrangements of relevant Government
Legislation & Regulation Tourism policy needs to be
agencies, tourism related organisations, NGOs and local
integrated with other policy areas of government (e.g.
communities. The approach is as follows.
environment, economic policy, security & safety, border
• Global Environment and National Policy: Tourism is a protection and management, education & training,
complex industry that is interwoven with and telecommunications policies, roads and transport, water
affected by both the international and national and sewage etc). General regulatory measures such as
environment. How Fiji is perceived from the industry regulation, town and country planning,
outside world and how compliant Fiji is as an environmental protection, foreign investment controls
internationally acceptable destination affects the & taxation policy will influence the growth of tourism in
business of tourism. The Global Environment and a destination.
National Policy tier encompasses responsibility for Government as Entrepreneur: Some governments
monitoring and responding to the global influences have or continue to own and operate hotels, travel
on the tourism sector in Fiji and for the companies, airlines, land and sea transport companies,
development of policies for the sector in Fiji. rail networks, visitor information services etc.
• National Development and Tourism Infrastructure: A Tourism Marketing and Promotion: Generating tourism
nation’s tourism infrastructure influences the demand via destination marketing and promotion
potential to grow itself as a tourism destination. The activities.
recognition of tourism as a major economic Stimulation of Tourism Investment: Financial incentives such
contributor by Fiji’s Government will facilitate the as low-interest loans, tax holidays or a depreciation
provision of sufficient tourism infrastructure. The allowance on capital.
National Development tier includes both
Government and private infrastructure Capacity Builder: Providing educational and vocational
development; training to ensure people with the right capacities are
available to staff tourism enterprises.
Supporting Research, Disseminating Knowledge: For the
general benefit for the tourism industry rather than for
specific individual organizations and associations.

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Government as Public Interest Protector: Tourism policy • Facilitate the changes in policy including
needs can be subsumed beneath a broader range of consultations with key stakeholders.
government economic, social, welfare and • Facilitate the dissemination and delivery of tourism
environmental policies. There is always an ongoing issue policies.
of the degree to which tourism planning and policy • Change and/or modify tourism policy in line with
decisions are open to public scrutiny and debate. The new products and changing circumstances.
notions of public good or public interest are central to
• Monitor and maintain the Fiji Tourism
ideas of sustainability and tourism planning.
Development Plan with annual updates.
Government as a Protector: Government has a key role in • Represent the Fiji Government in various multi-
providing policing, security and health services to lateral and bi-lateral tourism organisations and
tourists and those working in the tourism industry. Its arrangements including UNWTO, PATA, SPTO
also provides business security, security of investment etc
and commercial transactions, a fair trading regime, a
secure land title regime and a surety of access to Research and Information Dissemination
resources of the “commons” such as beaches, coasts, • Macro research and monitoring (e.g. global trends,
rivers, forests, coral reefs, national and marine parks etc. Fiji positioning).
• Work with the Bureau of Statistics and Fiji Visitors
Government as an Advocate: Government has a key role in Bureau.
providing policing, security and health services to
• International Visitors Survey.
tourists and those working in the tourism industry.
• Tourism Satellite Accounts.
Tourism is a somewhat unique industry, in that • Work with key implementers (i.e. FTIB, FVB,
government generally provides a significant portion of FIRCA).
the destination marketing and promotion for what is • Ecological impacts of tourism and promoting best
largely a private sector investment dominated industry. practice sustainable tourism.
As such a fundamental aspect from the above is the role
government’s have in destination marketing and • Social and cultural impacts of and maximising
promotion as a coordinated catalyst for stimulating and benefits of tourism.
maintaining demand for the tourism product. Regulatory
Ministry of Tourism for Fiji is a ‘nodal agency’ as defined by the • Implement and influence the regulations.
United Nations World Tourism Organisation. It is an NTO • Hotel Aid Act.
with the role of coordinating the development of the tourism policy • Tourism Industry Bill.
setting. While it is responsible for sourcing funding from A number of Ministries and Departments (e.g. Health,
Government for Fiji’s tourism promotion, it channels those funds Environment, Labour, Police) have a regulatory role in
through to the Fiji Visitors Bureau (FVB) for management and respect to tourism establishments The role of the
implementation. The Fiji Visitors Bureau, with its own Ministry of Tourism is to facilitate and coordinate these
legislation and Board reporting to the Minister, is responsible for Ministries and Departments with respect to tourism
the delivery of the nation’s destination marketing and promotion. activities.
Ministry of Tourism (MoT) Tourism Development
The core responsibility of the Ministry of Tourism is to
“devise policies and coordinate the tourism • Promotion and marketing through the FVB (in
development in Fiji”. The Ministry of Tourism drives accordance with the FVB Act).
the Fiji tourism sector by working in partnership with • Product development through consultations with
other Government agencies, research institutions, Government agencies (e.g. FVB, FTIB, Ministry of
NGOs and the industry. Additionally, the Fiji Visitors Commerce and Development), private sectors and
Bureau with its own legislation is an integral component local communities.
of the Ministry of Tourism. These roles fit into the
Global Environment and Policy tier. It is proposed that a Tourism Development Unit be
established as an adjunct to the Ministry of Tourism to
Key Roles and Responsibilities provide a facilitating function for tourism development.
The Ministry of Tourism has the following key roles and This is further outlined below.
responsibilities.
Interfacing with Government agencies and Industry
Tourism Policy for Fiji (core business)
• Influence and cooperate with National Planning to
ensure Fiji maximises the overall benefits of tourism.

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• The Ministry of Tourism is involved in a number of • Sustainable tourism community awareness;


committees and task groups including: Tourism • Ecotourism;
Security CLAG (Combined Law Agency Group); • Other program delivery.
National Tourism Council; Interagency Committee; Consultation should be addressed by the Ministry of Tourism and
Industry Segment Taskforces; Tourism Police profiles of fair and equitable representation developed for different
(Public relations/presence); and Ministry of Health stakeholders (government, industry, community, ethnic groups and
(Tourist Health). geographic locations).
• The major industry associations include: Fiji Islands Redesign/enhance Ministry of Tourism’s structure with focus on
Hotels & Tourism Association (FIHTA); Society of capability and core business through:
Fiji Travel Associations (SOFTA); Fiji Ecotourism • Defining the roles in competency terms;
Association; Fiji Timeshare Association; Tourism • Introduce a performance management system; and.
Resource Owners Association (TROA); and Fiji
• Providing training or capacity building of existing staff
Rental Car Association.
and/or recruiting against defined roles and performance
Recommendations expectations.
A Tourism Development Unit concept is recommended where
Undertake a review of the proposed Tourism Industry Bill to
tourism development is managed in an integrated way with a
ensure it supports and facilitates the development of the tourism
Secretariat provided by the Ministry of Tourism.
industry in the light of the:
The core destination marketing functions would continue to be
provided by the Fiji Visitors Bureau under its own Act. • Fiji Tourism Development Plan;

The Ministry of Tourism must provide the primary strategic • Proposed Institutional Arrangements (i.e. Team Fiji).
directions for Government policy in relation to the tourism sector, The formation of a Tourism Development Unit.
as well as a facilitation and coordination role within the national
Government for the industry. To achieve this, the primary roles Establish the auditing procedures in accordance with Ministry of
must include: Tourism’s own legislation and in conjunction with other primary
Government stakeholders ( e.g. Ministry of Environment,
1. Tourism Policy (core business); Ministry of Health).
• Maintain the Tourism Development Plan and
performance against the objectives; Facilitating Partnerships - Consultation
A key to the partnership is the ability of Government
• Legislation and policy development, monitoring and
agencies to consult with the tourism industry in a
amendment;
meaningful way. The Ministry of Tourism has three
• Public Relations and awareness (i.e. UNWTO); major consultation mechanisms. These are the:
• International multi-lateral and bi-lateral representation
of the Government (e.g. where international treaties or • National Tourism Council (NTC);
other agreements and national Government obligations
• Interagency Committee (Interagency); and the
impact on tourism – e.g. UN agencies including
UNWTO, International Finance Institutions such as • Tourism Resource Owners Conference.
World Bank, Asian Development Bank, various
It is recommended that the NTC continue to meet at least three
environmental and cultural protection organisations etc
times per year. It is recommended that membership by the industry
2. Research and Information;
be made up of specific office holders of tourism industry
• Coordination of sector information collection and organisations and then also specific tourism industry “opinion
dissemination; leaders”and major stakeholders also be invited.
• Statistical (with Bureau of Statistics);
• Economic; The Ministry should seek Cabinet level support for the formal role
of NTC and seek key Permanent Secretary and Director level
• Social and Cultural;
attendance from key agencies.
• Environmental;
3. Tourism Development Facilitation; The Ministry should ensure progress on issues is tracked and
• Product development (Tourism Development Unit); reported back to the NTC. Members should be asked to submit
• Marketing (FVB delivery with an independent FVB aspects for the agenda, thus enabling industry to raise matters and
Act); have relevant agencies report/advise on aspects of concern.
4. Regulatory; and It is recommended that the Interagency be continued as the
• Licensing and audit (e.g. Hotels and Guest Houses Act, government’s key process for interagency coordination.
Tourism Industry Bill);
5. Operational and awareness programs;
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It is recommended that there be ongoing reporting against the Ongoing support for the Tourism Resource Owners Association
overall achievement of this Action Plan and the Tourism and the Ecotourism Association should be reviewed against the
Development Plan at both the NTC and Interagency. Further it level of support for and membership of the organisation and the
is recommended that the key strategies and tasks of the Action relevance and vibrancy of their programs.
Plan form the basis for the strategic aspects of consideration at
As appropriate the Ministry should continue to provide support to
these forum (including revision of the policies/strategies as
the Tourism Resource Owners, and further provide a more specific
appropriate, particularly later in the life of the Tourism
mechanism for this to enable dialogue between key tourism
Development Plan as events demand).
industry officer bearers and opinion leaders and the resources
It is recommended that key Task Forces for sectors and regions be owners.
formally created and meet at least twice annually. Membership of
It is suggested that the Ministry attempt to coordinate these events
each task force should include key tourism industry folk and
to a quarterly program of “Team Fiji” Tourism workshops, with
further should be extended to key stakeholders (e.g. community
open invitation to tourism stakeholders. Given the National
groups, Tikina Councils etc.). Each Task Force should have
Tourism Forum (NTF), this should be one of the quarterly events,
specific terms of reference (and perhaps a set “life”) and an
and as such three such events should be established other than the
industry co-chair should be appointed. The industry co-chair of
NTF.
each Task Force should be appointed to the NTC.
Capacity Building for the Ministry of Tourism
Task forces for the following sectors/regions should be formally
The Ministry of Tourism has a wide variety of
established:
responsibilities in order to facilitate development of
• Dive, Cruise, Ferry and Yachting; tourism which is sustainable and provides direct
• Backpackers, Ecotourism and Community economic and social benefits.
(Village/mataqali) enterprises;
• Cultural Tourism The overall capability framework for capacity building
priorities for the Ministry of Tourism are:
• Tourism Developers, Approvals and Investment Facilitation
• Tourism Activity Measurement (Statistics);
• Shopping, Retail and Restaurants
• Tourism Economic Measurement
• Tourism Training (Economic/TSA);
• Tourism Knowledge Management • Tourism Knowledge Management;
• Ra Region • Internet Information Management;
• Yasawas Region • Tourism Development Policy;
• Nadi Corridor Region • Tourism Planning (National and Regional);
• Vanua Levu/ Taveuni • Community Based Tourism Development;
Other task forces can be developed and constituted as required, • Ecotourism Product and Destination
task forces should have specific goals/ desired outcomes and their Development;
continued need/success be reviewed by the Minister for Tourism • Best Practice Sustainable Tourism and
each two years. Sustainable Development;
Community and tourism industry stakeholders who are • Tourism Risk Management;
not members of the NTC and task forces have • Regulatory Process
expressed some frustration at the lack of wider industry • International Tourism Context (Trends)
involvement. • International Tourism Context (Policy)
All members of the NTC and task forces should be asked (upon
their appointment) to communicate with their agency/organisation Tourism Development Unit
sector. Further the agenda for forthcoming meetings, agenda papers A Tourism Development Unit is proposed as an initial
and reports and minutes of each NTC and task force should be short term (five year) agency to coordinate
places on the Ministry of Tourism’s website so that all tourism government’s facilitation of the development of Fiji’s
stakeholders can review the roles and outcomes of these forums. tourism product. It is proposed that the Unit be
established by the Ministry of Tourism, but be seen as a
The Ministry of Tourism has in past years played a key separate unit from the regulatory and policy
role in supporting and facilitating the Fiji Ecotourism development functions of the core Ministry.
Association and the Tourism Resource Owners
Association. The Unit should be overseen by the Permanent
Secretary Tourism and Director Tourism, but be able to
report directly to the Minister.

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The proposed Tourism Development Unit should have the prime • Campaign partnerships;
role of an independent unit to facilitate tourism developments. Its • Coordinating the National Tourism Forum;
roles should include the following: • Involvement in BFTE and TAG; and
• Management of incentives to ensure they are aggressive, • Attendance at CEO level at the NTC and Interagency.
yet only for preferred development; In order to bring in and involve regional tourism stakeholders and
• Facilitation of new tourism products new source markets sectors FVB should be involved (at least at a desk officer level) in
and new aviation linkages; each of the regional task forces facilitated by MoT and further,
should attempt new forms of engagement with regions such as
• Promotion of local business opportunities to maximise Kadavu.
retention;
Ministry of Finance and National
• Diversification Coordination of Infrastructure Priorities;
and Planning
Ministry of Tourism must have an advisory and influencing role
• Promotion of Fijian Character in all tourism. with National Planning.
It should have links to government, industry, investors/financiers, National Planning Office’s role in Team Fiji is to recognise the
airlines, tourism data collators. It should have a hybrid team with importance of tourism for the Fiji economy and include necessary
skills in the above areas and fundamentally have a “make it national level policy to foster tourism development.
happen” culture. The leader should report directly to the Minister
for Tourism, with a direct liaison relationship with the Director Accept and incorporate the Tourism Development Plan into the
Tourism. National Economic Plan. This is an important aspect
demonstrating a commitment that survives terms of Government.
Fiji Islands Visitors Bureau (FVB) Ministry of Finance’s role in Team Fiji is to ensure fiscal policy
The Fiji Islands Visitors Bureau is the promotion and and national budgets policy provide government revenue benefits
marketing face of Fiji and operates under the Fiji Island from tourism, creating an attractive tourism investment
Visitors Bureau Act. The objective of the Bureau is to environment (through incentives) and to ensure infrastructure
“ensure that the Fiji islands is promoted and marketed required for tourism growth and community support is delivered..
as a tourist destination for the purpose of maximizing
sustainable and long-term benefits to the Fiji Islands.” Fiji Islands Revenue and Customs Authority
The FVB has the major role to play in the Facilitation (FIRCA)
and Operation tier i.e. promoting an Effective and FIRCA’s role in Team Fiji is to collect tax from the tourism
Efficient Industry. industry and be an accurate information source on government’s
taxation revenues from Tourism MoT . Further, with Customs
With the introduction of the Fiji Tourism Development Plan the role as the first point of contact at border control gates at the
FVB will need to review the target emerging and sector markets airports, FIRCA starts the Team Fiji approach as it conveys the
and provide the resources to support the field representatives. ‘first image of Fiji’ to all visitors. A professional, efficient and
The Fiji Visitors Bureau structure lacks a research, information helpful attitude is necessary.
analysis and modelling division. This role would report preferably The role of FIRCA with respect to policy setting on taxation
to the CEO but at a manager level. This role would be needs clarification.
responsible for the monitoring of information and performance of
the FVB. The role would oversee the surveys and information It is proposed that MoT retain its role of approving tourism
gathered by each regional office and would also collect competitor investment incentives under the Hotels Aid Act or any
market data, develop models and predict trends. replacement legislation.
The current structure of the Fiji Visitors Bureau is considered Customs should be accountable for the frontline immigration
adequate and with the consolidation of the existing performance processing and responsible for the efficiency of the processing i.e.
measures, as stated in the Act, the efficiency will be better wait time for processing.
measured. Processing and border protection information must be collected
The current FVB Act has adequate provision for accountability more efficiently and made available on a shared basis for statistical
and reporting but these provisions need to be more formalised. and informed decision making purposes.

The FVB will have a role in delivery of the Tourism Development Bureau of Statistics
Unit’s outcomes (e.g. advise on market demand for new products). Bureau of Statistics has a prime role in Team Fiji in coordinating
the data collation and undertaking the analysis and reporting of
Facilitating Partnerships – Consultation tourism statistics. BoS has a network of partnerships with a
It is recommended that FVB continue its ongoing liaison with variety of sources (e.g. reserve bank, immigration, tour operators
industry with its: and airport operators to create relevant tourism statistics.
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It is recommended that the Bureau of Statistics take a more Give consideration to a portion of the departure tax being used for
proactive role in dissemination of relevant tourism information and the promotion of Fiji.
contribute to the Tourism Knowledge task force.
Maintain regional airport capacity through Airports Fiji Limited.
Ministry of Commerce and Airports Fiji Limited (AFL)
Industry AFL’s role in Team Fiji is to continuously upgrade and maintain
The overall responsibility of the Ministry of Commerce airports and to provide efficient operation. AFL needs to work
and Industry, Investment and Communications is to closely with the MoT to liaise on the projected traffic from tourism.
devise and implement policies that promote and support AFL’s infrastructure development plans for the capacity of the
the domestic market. The Ministry has two statutory Nadi International terminal to reach the 1.1 million arrivals by
bodies which are the Fiji Islands Trade and Investment 2015 be maintained. AFL’s role in upgrading regional airports
Bureau (FTIB) and the Consumer Council of Fiji is critical to the achievement of the regional prosperity aspects of the
(CCOF) that look after the investment, commerce, Tourism Development Plan.
small business development, consumer protection and
fair trading. Strategic Air Services Limited (SASL) is a private organisation
contracted to the AFL to provide air traffic management services.
The Ministry of Tourism’s relationship with the The differences / inappropriate relationships in Air Traffic
Ministry of Commerce is in the context of facilitating Management must be addressed as a matter of urgency
investment in tourism, tourist consumer protection and
fair trading in tourism. The Ministry of Commerce Fiji Islands Maritime Safety Authority (FIMSA)
published a national export strategy in 2006 which has a FIMSA’s role in Team Fiji is to ensure vessels used for tourism
tourism component. meet safety standards. It is essential that all vessels conveying
passengers comply with the IMO guidelines.
The Ministry of Commerce and Industry’s role in Team Fiji is to
devise suitable policies for tourism development (e.g. investment, While Fiji has met the immediate standards for Ports security,
communication and technology). there needs to be an ongoing upgrade.

Fiji Trade and Investment Board (FTIB) Facilities for port users (international cruise liners in both Suva
FTIB’s role in Team Fiji is to promote tourism investment and and Lautoka) is below accepted standards and needs improvement.
efficient issue of Foreign Investment Certificates for appropriate These include:
tourism projects. • Cruise ship berth standards, safety and security; and
• Passenger disembarking / embarking facilities.
Maintain a close relationship with MoT in the context of
providing information on upcoming tourism investors. Cruise ship island facilities are generally inadequate for safe
berthing although funds have been made available but not used.
FTIB will be a core partner of the Tourism Development Unit,
essentially FTIB attracts, then approves foreign investment, the Ministry of Fijian Affairs
TDU assists both local and foreign investors realise projects. This Fijian Affairs Board (FAB)
will require close collaboration. The Roko Tui Saravanua(s) (Tourism) is intended to be a Fijian
Develop and implement an information system where applications Affairs Board resource and work within the current Provincial
can be submitted, including online payments. Council structure as a shared ‘expert’ resource utilising the current
14 Provincial Councils and also providing a service to the
Provide appropriate access through an information system to Rotuman Council.
facilitate the streamlining of the process e.g. Companies Office,
Developers etc. FAB’s role in Team Fiji is to work closely with the MoT to
create sustainable tourism in awareness programs in the rural
Update the Fiji Tourism Investment Guide produced in areas.
November 1998 in line with The Fiji Tourism Development
Plan and in conjunction with the Ministry of Tourism. FAB’s Roko Tui Saravanua(s) need to work closely with the
MoT. The Roko Tui Provincial Council and Roko Tui
Ministry of Transport Saravanua(s) should act as virtual extensions of MoT in the rural
Civil Aviation Authority of Fiji Islands (CAAFI) areas of Fiji. Further they should work very closely with the
Civil Aviation and CAAFI’s role in Team Fiji is to liaise on Tourism Development Unit in regard to proposed projects on
new ASA’s. native land and the aspirations of land holders (mataqali) Tikina
and Provincial Councils for the development of tourism.
Air service agreements – continue liaison with the tourism
industry to establish new markets. A closer, more productive and formalised link between the
Ministry of Tourism and Fijian Administration for the
Maintain the ICAO standards. Establish independent funding in
facilitation of both development and sector operations, in particular
accordance with ICAO requirements.
with:
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• Native Land and Trust Board; Town/City Councils


• Ministry of Fijian Affairs and Regional Development; Town and City Councils have a key role in tourism Team Fiji as
• Fijian Affairs Board and Provincial Council (BLV); they administer planning and building approvals in their area.
Given the levels of tourism related hotels, retail and food and
• Landowners and Fijian representatives; and
beverage premises in Nadi and Suva these councils are critical
• Culture and heritage. players in the Team.
Native Land Trust Board
The NLTB has a prime role of administering most lands used for Ministry of Health
tourism development. This is vital to team Fiji, the NLTB and The Ministry of Health’s role in Team Fiji is to ensure and
MoT should work closely together on policy development for monitor occupational health and safety of workplaces.
tourism on native lands and the NLTB and TDU should work The Ministry needs to clarify the roles of the staff related to
closely together in ensuring investor certainty and landholder tourism and work in partnership with MoT.
benefits with new tourism developments on native land.
Rural Local Authorities
Ministry of Environment RLA’s role in Team Fiji is to provide appropriately skilled and
Currently the Ministry does not have adequate resources efficient staff as health inspectors.
to assess the EIA’s that are submitted. There is clearly a Requires professionally trained resources to cater for the planning,
need for additional staff including staff with specialist knowledge approval and development of tourism infrastructure. Currently
dedicated to the tourism sector. The availability of certified there is an imbalance between the professional resources available
independent laboratories for sample testing (for any enforcement of to the developers as compared to what is available in RLA and
pollution compliance) will also be essential. the Ministry (of Health).
It is suggested that the Ministry of Environment take a lead role Information sharing and systems to facilitate the development
in setting best practice environmental management standards and consent and approval.
“cooperatively coerce” the tourism industry toward sustainability,
rather than just being an enforcer. The Department of Review the operations of the RLA to determine where expertise
Environment and Ministry of Tourism should work closely can be shared across areas and/or development committees. For
together on setting best practice environmental standards such as example, a structural specialist located in Sigatoka to service both
Fiji Green Globe. the Coral Coast and through to Lautoka.
Ministry of Environment’s role in Team Fiji is to work Develop the capacity (competence, tools and equipment) of the
proactively with government, industry and the community to ensure RLA staff to improve the quality of the on-going inspections e.g.
tourism in Fiji is ecologically sustainable. public health, food services, pollution, licence renewals etc.
Develop the Act and regulations in an outcome-based and quality Ministry of Home Affairs
assurance format for more effective implementation and monitoring. Police and Emergency Services
The Ministry of Home Affairs’ role in Team Fiji is to develop
Ministry of Local Government and maintain readiness for an efficient risk management response
Department of Town and Country Planning in the case of an emergency. This needs to be formulated and
There is a need for a tourism specialist in Town and Country sustained by tourism related bodies.
Planning to provide the assessment of developments as well as
preparation of guidelines (e.g. for integrated resort development). Further the Police have an ongoing role in law and order. The
specialist Tourist Police unit needs to locate more staff in tourism
Town and Country Planning’s role in Team Fiji is to provide the concentrated areas rather than on a number of resorts.
land use planning framework and an efficient approvals/consent
service for tourism development. Public Works Department (PWD)
Requires dedicated and specialised resources to cater for the PWD’s role in Team Fiji is to provide quality road, water and
planning and approval processes relating to tourism developments. sewage infrastructure for tourism. This role is critical to tourism
development and must involve:
Information sharing and systems to facilitate the development • Upgrading and maintaining roads for tourist coaches and
consent. rental cars.
Provide specialist planning services to the Ministry of Tourism e.g. • Address the deferred maintenance in water, sewerage and
integrated resorts. roads infrastructure.
• Provide water supply (storage, treatment and reticulation) to
provide for managed growth of tourism.
• Provide sewage treatment in priority areas (particularly
Savusavu).

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• Involvement in the private sector in funding of infrastructure south-pacific.travel (SPTO)


development and BOOT or BOT projects. The SPTO’s role in Team Fiji is to continue its regional tourism
development program in the context of Fiji’s planned tourism
PWD need to work with MoT to plan for the future capacity development, its role is supportive.
based on the Tourism Development Plan and to address the likely
major demands on infrastructure from integrated resort Industry Bodies
developments. Fiji Islands Hotel and Tourism Association
FIHTA’s role in Team Fiji is to provide a coordinated industry
Fiji Electricity Authority (FEA) response to Government and assist in ongoing planning,
FEA’s role in Team Fiji is to provide reliable, cost competitive coordination and implementation of relevant tourism development
electricity supplies to tourism (within existing and planned strategies.
reticulation areas).
FIHTA has many liaison mechanisms with key tourism
Continue on the renewable energy program to reduce the reliability stakeholders, primarily it should continue to attend the National
on fossil fuels. Introduce Independent Power Producers (IPPs) Tourism Council and have executive members (and chapter
particularly projects involving the indigenous land owners. IPPs to members) involved in relevant task forces.
include buy back facilities from establishments that generate excess
power. Society of Fiji Travel Associates
SOFTA’s role in Team Fiji is to provide a coordinated industry
FEA need to work with MoT to plan for the future demand response to Government and assist in ongoing planning,
based on the Fiji Tourism Development Plan. coordination and implementation of relevant tourism development
Maintain the dispensation for tourism developers to establish their strategies.
own power generation (and to allow for the sale of excess power Fiji Ecotourism Association
generated back to the grid). The Ecotourism Association’s role in Team Fiji is to provide a
coordinated ecotourism industry response to Government and assist
Telecommunications/ in ongoing planning, coordination and implementation of relevant
Communications in Fiji tourism development strategies.
The role of telecommunications/communications in Team Fiji is to
provide reliable and affordable to communications in the context of Fiji Timeshare Association
Bula Fiji Tourism Exchange
international phone calls, Internet (broadband) and mobile phone
The Bula Fiji Tourism Exchange is a not for profit trust
facilities in tourism areas.
overseen by a group of trustees and managed by a
Work in conjunction with MoT to identify the proposed tourism voluntary committee comprising key sponsors and
development in Fiji. Continuation of move to a more competitive tourism leaders. The trust runs one major event a year,
market. the Bula Fiji Tourism Exchange. The Exchange is the
prime avenue for showcasing Fiji tourism product to
Other Government Agencies
There are other Government agencies that are relevant overseas wholesalers (buyers).
to the facilitation and operation of the Fiji tourism Tourism Action Group
development. These are the Ministry of Education, It is hoped that the need for TAG as a recovery program reduces
Department of Culture and Heritage, Department of during 2007 as Fiji return to normalcy and tourism numbers
Agriculture and Ministry of Labour. return. However the unique, instant and cooperative response with
a single voice for the industry could be harnessed as an essential
International Bodies Team Fiji member in the event of any future event (such as a
United Nations World Tourism Organisation major cyclone or other calamity) to aid a prompt recovery program.
(UNWTO)
Fiji has been a member of UNWTO since 1997. The Tourism Resource Owners Association
UNWTO is the leading inter governmental organization The Fiji Tourism Resource Owners Association
in the field of tourism. It serves as a global forum for (TROA) was established by the Ministry of Tourism and
tourism policy issues and practical source of tourism Transport, Native Land and Trust Board and the
know-how. Ministry of Fijian Affairs in response to industry
concerns.
The UNWTO’s role in Team Fiji is as an information, capacity
building and support role to the MoT for the development of Fiji The Tourism Resource Owners Association has two key roles as a
Tourism. Facilitation of training and information sharing are member of Team Fiji, representing resource owners aspirations to
crucial for the MoT in the global context. a wide variety of tourism forums and processes (particularly the
NTC) and providing knowledge and extension to resource owners
of the tourism industry generally and current events, strategies and
directions of tourism.
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Other Industry Bodies TPAF should be a key member and driver of the Tourism
Other industry bodies include the Fiji Islands Training Task Force.
Backpackers Association, Car Rental Association,
Other Educational and Research Institutions
Retailers Association, Timeshare Association, Fijia
There are the Femmus School of Hospitality, New
Islands Backpackers Association Tikina Nacula Tourism
Zealand Pacific Training Centre and the University of
Association, Yasawas Backpackers Association, Coral
Southern Queensland that also provide educational and
Coast Tourism Association, Nadi Hotel Association,
training courses relevant to tourism industry.
Mamanuca’s Tourism Association, Pacific Harbour
Tourism Association, Savusavu Tourism Association, Non Government Organisations
Teveuni Tourism Association, Levuka Tourism
Association, Kadavu Tourism Association, and (NGOs)
Destination Suva. Coral Cay Conservation
Unfortunately CCC closed its operations in early 2007. It is
These smaller targeted industry bodies have a role in the Team desirable that CCC operations recommence and if they do CCC’s
Fiji in representing their industry/ region. role in Team Fiji would be continue the scientific understanding of
the needs for marine conservation in Fiji.
Educational and Research
Fiji Locally Managed Marine Areas
Institutions Integrated Coastal Management
The University of South Pacific (USP) It is strongly recommended that following the ICM pilot project,
USP has a key role in Team Fiji and should work closely with the lessons and issues identified be implemented to other coastal
other training institutions and the Ministry of Tourism to ensure a areas that need ICM attention.
coordinated training system to deliver capacity for tourism
development. In order to continue this positive initiative as a long term process
for other coastal zones the National ICM committee needs to
USP should be a key member and driver of the Tourism Training work hard with relevant stakeholders to acquire funding and
Task Force. commitment.
USP’s research and educational programs that relate to tourism On the above basis the ICM could have a key role in Team Fiji
and sustainable development should be implemented in close in providing understanding and guidance for the sustainable use of
collaboration with the MoT, FVB, the tourism industry and coastal areas by tourism.
relevant agencies (e.g. USP’s economic research liaising with the
Reserve Bank, FTIB, Ministry of Finance and National WWF
Planning, etc). WWF has a key role in Team Fiji in developing support for and
understanding the conservation management needs of the natural
Fiji Institute of Technology (FIT) and cultural landscape that are the foundation of Fiji’s tourism
FIT has a key role in Team Fiji and should work closely with industry.
other training institutions and the Ministry of Tourism to ensure a
coordinated training system to deliver capacity for tourism Mamanuca Environment Society
development. MES has a key role in Team Fiji in developing support for and
understanding the conservation management needs of the natural
FIT should be a key member of the Tourism Training Task and cultural landscape of the Mamanucas that is the foundation of
Force. that area’s tourism industry.
Training and Productivity Authority of Fiji
TPAF has a key role in Team Fiji and should work closely with
other training institutions and the Ministry of Tourism to ensure a
coordinated training system to deliver capacity for tourism
development.

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Appendix One – Consultation


A Collaborative Approach
The STDC project members and the principal and Constructive criticism and support was expressed
senior tourism staff from the Ministry of Tourism during the second meeting. A final steering committee is
(MoT) engaged in numerous consultations and scheduled to receive feedback on the draft final tourism
workshops with various stakeholders. The staff of the development plan.
MoT worked closely with the project team acting as
Stakeholder Consultation
counterparts in each consultation undertaken for the
To gain a thorough understanding of the current status,
tourism development plan. The Ministry staff’s
concerns and potential of Fiji tourism, the project team
understanding of Fiji’s tourism status, benefits,
and MoT engaged in numerous consultations with
possibilities, opportunities, limitations, concerns and
government, tourism industry and community
issues were invaluable for the project team. In
representatives. In total, project consultants engaged in:
conjunction with the project team’s expertise in tourism
over 20 formal meetings with the staff of MoT; 16
statistics, research, economics, marketing, strategic
consultations with stakeholders; 9 conference and
planning, transportation linkages, risk management,
forum presentations; and 14 stakeholder workshops.
human resource development, sustainable development,
Consultation workshops were conducted specifically for
institutional arrangements and international advisories,
the tourism development plan. The consulting team can
the review of the previous tourism development plan
state with confidence that a comprehensive consultation
and the formation of a new plan were collaboratively
process with tourism stakeholders was undertaken.
devised.
During workshops and conferences the project team
National Steering Committee
delivered presentations explaining the tourism
The first step of the consultation was involving relevant
development plan and its strategic directions. A project
tourism stakeholders in setting up a national steering
information brochure with contact details was
committee for the Fiji tourism development plan. This
distributed to all attendees to encourage comment and
process was established with the Director for Tourism.
feedback about the project. The project team has since
Chaired by the Minister for Tourism, this steering
received many valuable comments and opinions on Fiji
committee comprised of representatives from: Ministry
tourism which have been taken into account into the
of Fijian Affairs; Ministry of Environment; Ministry of
final draft tourism development plan. In addition,
Commerce; Department of National Planning; Fiji
resolutions derived from the National Tourism Council
Visitors Bureau; Central Health Board; National
and National Tourism Forums have also been
Consumer Council; Airports Fiji Limited; Fiji Ports; Air
considered in the planning.
Pacific; Tourism Resource Owners Association; Fiji
Ecotourism Association; Fiji Islands Hotels and Throughout the consultation process it has been
Tourism Association; Fiji Bed Bank; Society of Fiji continuously commented that the government, tourism
Travel Associates; Fiji Islands Backpackers Association industry and local communities need to collaborate and
and the Institute of Applied Science – University of the progress as a team for successful tourism development.
South Pacific. The purpose of the steering committee
The relevant government authorities need to
was to discuss the current and future status of Fiji
acknowledge tourism as a key driver of the nation’s
tourism, and to guide the project team and the MoT in
economy and prioritise accordingly. A co-operative
the strategic directions for the national tourism
approach between government departments and
development plan.
agencies with a goal of realising the scenarios set out by
The first national steering committee was held one the tourism development plan can be achieved through
month after the project commencement. This meeting realistic policy responses and implementation of the
was to discuss with the national steering committee the proposed strategies. Tourism is a complex entity that
various strategic issues facing Fiji tourism. The includes many different environments such as natural,
comments and opinions were collated into the Fiji socio-cultural, legal, political, technological and physical.
Tourism Development Plan: Strategic Directions Therefore, the ministries, departments and bureaus
document which acted as a guide towards the final directly and indirectly involved in tourism are numerous.
tourism development plan. A second steering Government needs to set goals, undertake initiatives
committee meeting took place after the strategic and fully commit to sustainable tourism development.
directions document was circulated to committee
members.

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Particularly in recent times political unrest, perceived Approximately 90 participants in government, tourism
and actual, and the international media is compromising operations and resource owner representatives
the current status and future growth of Fiji tourism. A completed the survey. The participants had a choice to
more professional relationship between government and choose the level of importance of each statement in the
media is necessary. Consultation with government questionnaire between ‘unimportant’ (score 1), ‘low’
representatives highlighted a number of issues that were (score 2), ‘neutral’ (score 3), ‘high’ (score 4) and ‘very
of particular concern, specifically: high’ (score 5), and for performance between ‘very
• economic leakage of tourism; poor’ (score 1), ‘poor’ (score 2), ‘reasonable’ (score 3),
• employment of locals in managerial positions; ‘good’ (score 4) and ‘very good’ (score 5). The
• un-licensed tourism operators; questionnaire included contents in: need for tourism
development; incentives; tourism monitoring; risk
• involvement of local resource owners in
management; institutional arrangements; infrastructure;
tourism development.
standards; community awareness; training; product
The role the tourism industry plays is a key determining development; aviation; resource owners; legislation and
factor in successful tourism development. The tourism regulation; marketing and promotion; regional
industry strives for dynamic marketing, innovative development; and additional comments.
products, quality assurance and return visits. The
The highest importance identified was the need for Fiji’s
tourism industry has many associations that represent its
tourism industry to be environmentally sustainable
different segments. A unified voice and cooperative
(score 4.82), and the need for additional investment by
approach for the betterment of Fiji tourism is shared by
Government in infrastructure to support existing and
industry operators. The main areas of concern voiced by
future tourism development (score 4.82). These
tourism industry stakeholders were:
statements were either ‘very highly’ or ‘highly’ important
• more support from government for tourism for all participants in government, tourism industry and
development; resource owners. The importance on: the need for a
• limited number of high-skilled staff and training coordinated development plan for tourism development
programs; in Fiji; transport infrastructure to support existing and
• raising quality standards amongst the industry future development of tourism; and the overall
players; adequacy of marketing for Fiji by the Fiji Visitors
• close relationships with resource owners; and Bureau were also categorised as either ‘very high’ or
others. ‘high’ between all stakeholders (score 4.80).
Consultation with tourism resource owners for future Of highest importance for the tourism industry
tourism development were an important factor that operators were the tourism industry’s role in managing
guided the strategic directions of the plan. Tourism is an tourism and fostering development, and the need for
industry that provides benefits not just to the Fiji’s tourism industry to be environmentally sustainable
government and industry but also for the well-being of (score 4.90).
indigenous Fijians and the Fijian community as a whole.
Government representatives placed the highest
Through consultation with tourism resource owners and
importance on: the need for a coordinated development
certain Tikina representatives it was revealed that they
plan for tourism development in Fiji; the need to
wanted:
provide additional incentives for appropriate tourism
• more information guides for locals to develop development in particular regions; transport
their own tourism businesses; infrastructure to support existing and future
• closer relationships between resource owners development of tourism; the need for additional
and tourism operators; investment by Government in infrastructure to support
• government to support village youth to be existing and future tourism development; the need for
trained various skills required for tourism; Fiji’s tourism industry to be environmentally sustainable;
• sustainable low-key tourism development in the need for setting or adopting environmental
other parts of Fiji, not just the West; and others. sustainability standards for tourism in Fiji; and the need
for detailed regional development strategies for areas
Importance Performance Survey
such as the Yasawas, Vanua Levu or Ra (score 5.00).
Since the commencement of the project, the
stakeholders present in conferences, individual
consultations and workshops with the project team were
asked to complete the importance performance survey.

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The tourism resource owners mentioned the highest National Tourism Forum Survey
importance in: the need for a coordinated development The Fiji tourism industry holds annual National
plan for tourism development in Fiji; the need for Tourism Forums to share and discuss knowledge, issues,
additional incentives for specific initiatives such as potential and resolutions. The project team had the
environmental protection of mataqali involvement in valuable opportunity to present during the 2006 forum
tourism developments; emergency communications and to provide information on project progress and to
warning systems for tourism; and all comments under collect tourism stakeholders’ opinions on the strategic
infrastructure, sustainable development, community directions of the project.
awareness and training (score 5.00).
During the forum, the project team distributed a short
It is noteworthy that sample sizes from government (7) questionnaire to tourism stakeholders to hear their
and resource owners (3) are limited. The lowest score agreement or disagreement on the broad topics of the
for importance amongst participants was the need to strategic directions. Out of the 300 attendees,
protect Fiji’s national carrier (score 3.89). This approximately 30 people participated. The scores were
demonstrates tourism stakeholders’ importance on from ‘strongly agree’ (score 5), ‘agree’ (score 4),
increasing new air routes and markets. This statement ‘undecided’ (score 3), ‘disagree’ (score 2) and ‘strongly
was the one that was in the average score 3. Therefore, disagree’ (score 1). The comments that the participants
it is reasonable to state that the importance of most ‘agreed’ with were on the need for a Tourism
comments made in the survey is considered to be, on Development Plan for Fiji and that Fiji should plan for
average, ‘highly’ important. tourism growth (score 4.86). Other statements that were
on the higher category of ‘agree’ were ‘ensuring Fiji’s
Compared to the importance statements, none of the
tourism product has a Fijian character is vital to
performance category scored more than 3.5 on average.
achieving the proposed growth in tourism’ (score 4.70),
The highest performance score was on the need to
and ‘vocational training by FIT and TPAF is essential
focus on existing proven markets for Fiji (score 3.48)
for tourism growth’ (score 4.61). Despite the fact that
amongst stakeholders. The lowest performance was the
the comment had the lowest score it still sits within the
emergency communications and warning systems for
‘agree’ category. However, the generalisation of the
tourism (score 1.98) despite its ‘high’ importance (score
survey is difficult to make as it only represent 10% of
4.71). While the highest performance score by tourism
the tourism stakeholders that attended the forum.
operators align with the overall average score, the
Nevertheless, the project team is confident that the 46
government participants recorded tax and investment
consultations and workshops conducted during the
for foreign investment in large tourism projects in Fiji,
course of the project adequately captured the views of
and the overall adequacy of marketing for Fiji by the Fiji
Fiji’s tourism stakeholders to the greatest benefit for the
Visitors Bureau as the highest (score 3.43). Tourism
Fiji tourism development plan.
resource owners identified the performance of tourism
industry’s role in managing tourism and fostering Regional Strategy Consultation
development, and tax and investment incentives for During the development of the four regional strategies
foreign investment in refurbishment, upgrading or specific workshops were held in each region. In late
expansion of tourism projects in Fiji as ‘reasonable’ 2006 and at the commencement of each regional
(score 3.67). This is interesting to note as all other planning project a meeting was held with a Task Force
stakeholders on average recorded these performance as or steering committee group comprising key tourism
‘poor’. stakeholders (industry, resource owners, government
etc.). In early 2007 a series of workshops was
Additional comments were made on: incentives for the
undertaken by Ministry or Tourism and team members
administration and review of the Hotel Aid Act;
with key resource owner groups in each region.
provision of incentives for non-accommodation tourism
operators such as cruise ships; training and education Once draft regional strategies had been prepared a
needs to up-skill human resources; increase in the locals’ further workshop was held with each task force for the
awareness of the importance of tourism; create more regions.
dynamic tourism products; focus on the unique Whilst the focus of all this consultation was focused on
characteristics of Fiji; and et cetera. the regional planning, the overall Tourism Development
The results of the questionnaire acted as a tool in Plan was certainly discussed and much valuable input
understanding what the tourism stakeholders of Fiji was provided at the national and regional level.
believed as important. A number of the proposed
strategies in the draft final plan have taken into account
the questionnaire results in relevance to its importance
and performance.
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Comments on the Draft Plan Comments were supportive overall of the Plan with
The draft Plan was widely circulated to industry via specific comments on a variety of areas including the
broadcast email advising it was available for download importance of tax incentives being of a long duration,
via the FVB website. The draft was presented to the concern with tax incentives being restricted to preferred
Steering Committee. development and of a Fiji Character, the need for
additional market research, the need to further embody
Comments on the draft were received from Gary Cross
sustainability in growth of tourism, potential tax
(Taveuni Tourism Association), Tony Everitt (south-
incentives for the MICE industry, the tourism product
pacific.travel), Philip Felstead (Bedarra Beach Inn), Paul
at Pacific Harbour, the importance of the timeshare
Stevens (Sofitel Fiji Resort and Spa), Aaron McGrath
industry, the potential of the Vuda point area and the
and Dixon Seeto (Fiji Islands hotel and Tourism
challenge of air linkages to the North (Savusavu).
Association), Jim Sherlock (Pacific Harbour Tourism
Association and Fiji Timeshare Association), Geoff All comments were constructive and considered and
Hyde and Villiame Koyamaibole (Sustainable Tourism appropriate amendments were made to the Plan.
International), Lorna Eden (Savusavu Tourism
Association), Robin Erwin (Savusavu Marina Village)
and Jim Dunn (First Landing Resort), John Campbell
(Air Pacific)

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