Tourism could start turnaround in 1999

Tourism could start turnaround in 1999

JAKARTA (JP): The Indonesian tourist industry is expected to
see signs of recovery in 1999 after a major setback this year, a
senior official at the Ministry of Tourism, Arts and Culture said
on Wednesday.

Director General of Tourism I Gde Ardhika said that although
the number of foreign tourist arrivals would be around the same
level as this year, signs of recovery would be seen in most of
the country's tourist-related sectors.

"Although it is very hard to predict due to the country's
uncertain condition, we expect no further declines in the number
of foreign tourist arrivals, and we may begin to see positive
growth next year," Ardhika said at the ministry's year-end media
briefing.

"If the situation continues to be favorable next year, and
with effective promotion, we expect that we could see four
million visitors."

Ardhika did not, however, reveal the foreign exchange earnings
target from tourism next year.

He said that foreign tourist arrivals in Indonesia through 11
main ports of entry only totaled 2.9 million during the period of
January to October, while foreign revenues from international
visitors fell to US$2.9 billion during this period, drops of 18.6
percent and 19.5 percent respectively compared to the same period
last year.

Based on these numbers, it is estimated that the number of
foreign tourist arrivals will reach about 3.5 million by the end
of December, a 30 percent drop compared to last year's figure of
5 million visitors.

The government earlier predicted that the number of foreign
tourists visiting the country could reach 4.8 millions for the
year.

The drop in arrivals was attributed to reports of widespread
riots in the country, which peaked in May when hundreds of
shopping centers, banks and other properties were burned. The
deadly riots, which left hundreds of people dead, forced former
president Soeharto to resign after 32 years in power.

Political tensions in the country's major cities following the
May riots also discouraged foreign tourists from visiting
Indonesia.

In 1997, the number of foreign tourist arrivals was 5.04
million, below the targeted 5.3 million. However, this figure
matched 1996's foreign tourist arrivals.

Foreign exchange receipts from the tourist industry in 1997
were $6.62 billion, about $1 billion below the original target.

Ardhika said that the increase in the number of foreign
visitors is expected to come from Indonesia's traditional tourist
markets; Japan, the United Kingdom, Germany, the Netherlands,
France, Australia and the United States.

"We will focus our promotion efforts on these seven
traditional markets, and we hope that Japan is not experiencing a
downturn in its economy," he said.

He said that in the past several years, 60 percent of foreign
tourists visiting Indonesia came from Asian countries, while the
remaining came from Europe, the United States, Canada, Australia
and New Zealand.

"But these Asian markets do not have as much potential anymore
because of the economic crisis in Asia," he said.

However, he said that the stirrings of economic recovery in
several Asian countries would help Indonesia increase its number
of foreign visitors.

Minister of Tourism, Arts and Culture Marzuki Usman said that
his ministry would also try to expand the tourism market into
China and Middle Eastern countries.

"I'm very optimistic about the growth of the tourism industry.
In 1999, the economies of the U.S. and European countries will
continue to grow, while Japan's economy will recover. Also,
Chinese tourists have sharply increased this year, and Middle
Eastern tourists are not afraid of the situation here because
they have become accustomed to tense situations," he said.

Speaking at the media briefing, Marzuki said that his ministry
would also invite tour operators and foreign travel writers to
visit Indonesia in January.

"We will also use TV coverage to counter negative reports by
the foreign media which have severely tarnished the country's
image and prompted many tourists to cancel their trips here," he
said.

He added that the ministry had cooperated with Indonesian
embassies and overseas student organizations to help improve the
image of Indonesia.

Meanwhile, Ardhika predicted that foreign tourist arrivals
would return to the precrisis level of over five million visitors
in 2003. (gis)