Chairperson, I must say I was very tempted to engage in a political debate, specifically with the MEC of the Northern Cape, regarding the reasons why the ANC lost so much support, specifically in the province. [Interjections.] But after she spoke so passionately about the Northern Cape and so on, I will continue to do the same.
South Africa was named an outstanding tourism destination at the annual World Travel Awards for Africa in July 2010, as well as Africa, Indian Ocean and Gulf States Golf Destination of the Year 2011 by the International Association of Golf Tour Operators.
Moreover, the success of Fifa has provided us with a sound basis to boost Tourism South Africa locally and abroad. The department has come a long way, but much more needs to be done to ensure that all South Africans enjoy the benefits of tourism.
The aim of this department is to create positive conditions for sustainable tourism growth and development for the benefit of all South Africans. A budget of R1,2 billion for 2011-12 has been allocated, of which the Department of Tourism has to contribute R180 billion to the country's gross domestic product by 2015.
Along with this challenge, the department also faces a number of internal challenges. Firstly, in 2010-11 the department only managed to achieve 60% of its target with regard to skills development. Secondly, we have also experienced a decline in domestic trips taken, as well as in the cost per trip.
Thirdly, one of the biggest challenges facing this department is the fact that only 48% of South Africans participate in domestic tourism. Therefore stimulating domestic travel, as indicated by various speakers, will be the single biggest contributor to establishing sustainable businesses and jobs in the industry.
Fourthly, in order to create favourable conditions for domestic tourism growth we need to start at the root. Tourism features very low on the priority outputs of local municipalities because of the other top priority needs, such as water, infrastructure and electricity.
Furthermore, the lack of specific budget allocations for the development of tourism at local government level is problematic and results in unsustainable initiatives. These issues further contribute to the existing problem of poor planning and co-ordination at ground level.
DG Kingsley Makhubela has questioned whether the billions that are spent on the three spheres of government in marketing the country constitute good value for money. I agree with him. It is therefore vital to synergise policies and to ensure that all spheres of government streamline their work when marketing the country.
The DG also pointed out that South Africa's hotels and travel levies have become too expensive, thereby inhibiting domestic travel. One of the ways to address the issue of expensive domestic travel is the one that the hon MEC of the province referred to. We must open the air space of the rural areas.
Instead of Johannesburg operating as the hub for internal flights, cities such as Cape Town and Durban should also be considered. This will ensure cheaper flights to a variety of areas in South Africa. To this end, Springbok, Upington and even Beaufort West should be explored as possible options.
Finally, the Department of Tourism has the potential to change the lives of ordinary South Africans. In order to achieve this, though, specific emphasis should be placed on job creation, industry and skills development. I thank you.