Flu no bar to tourist growth

Tourism New Zealand is predicting only a slight short-term fall in international visitor numbers because of the deadly flu-like Sars virus and war in Iraq and says forward bookings are generally strong.

Overall visitor numbers are expected to be down about 2 per cent in the three months ended June compared with the same period a year earlier, with the biggest decline forecast in visitors from Asia.

The national tourism organisation estimated that visitor numbers from Singapore, Taiwan, and Hong Kong would slide between 10-25 per cent in the three months to the end of June.

"Sars appears to be impacting on consumer confidence to undertake advance bookings for international travel, especially from Asian travellers," chief executive George Hickton said.

But arrivals from Australia, which contributes the largest number of visitors to New Zealand, were predicted to rise between 5 and 10 per cent in the same period.

Tourists from the next two biggest markets, Britain and North America, were tipped to fall 5-10 per cent.

"Fortunately these events have impacted on the industry during our low season and, while the number of visitors is expected to drop, it is from a relatively low base. Forward bookings for the high season next summer are looking very positive," Hickton said.

Just over two million short-term visitors arrived in New Zealand in 2002 with tourism estimated to contribute - directly and indirectly - close to 14 per cent of gross domestic product.

- REUTERS