Is SA Government Red-Tape Threatening the Tourism Industry?

Is SA Government Red-Tape Threatening the Tourism Industry?

by Shannon De Kock August 28, 2018

In 2004, regulatory compliance, also known as red tape, cost South African businesses R79 billion, an amount equal to 6,55% of GDP, according to a study by SBP. One such industry that is being affected is the tourism industry.

According to a recent Daily Maverick article by Ivo Vegter, an industry publication reported that regulatory delays are even forcing tour operators to turn away work.

Examples of problems relating to red-tape are lengthy application forms that do not cater to tourism companies, endless delays in issuing accreditation permits and vehicle operating licences and unnecessary requirements tourism operators must meet.

The South African government is well aware of this issue as mentioned by President Cyril Ramaphosa, in his 2018 State of the Nation Address:

“This year, we will enhance support for destination marketing in key tourism markets and take further measures to reduce regulatory barriers and develop emerging tourism businesses.”

These promising words cause a flicker of hope for one of South Africa's booming sectors.

He also said: “Tourism provides our country with incredible opportunities to, quite literally, shine. Tourism currently sustains 700,000 direct jobs and is performing better than most other growth sectors. There is no reason why it can’t double in size.”

"Improving the regulatory environment will take hard work", says Chris Darroll, Executive director at SBP. "Better information-gathering by both government and the private sector is crucial to this endeavour. However, unlike improvements in education or health, results can be seen relatively quickly."

"What’s more, the socio-political costs of much regulatory reform are low: nobody was ever elected to parliament on a promise to increase red tape. Well-informed, well-designed regulatory reform presents an opportunity to accelerate growth and development that South Africa cannot afford to miss."

Reference of sources:

Counting the cost of red tape for tourism in South Africa 

Daily Maverick article by Ivo Vegter




Shannon De Kock
Shannon De Kock

Author



Leave a comment

Comments will be approved before showing up.


Also in Blog

5 Things You Can Only Do Within South Africa
5 Things You Can Only Do Within South Africa

by Carson eCommerce Collaborator July 26, 2019 1 Comment

Every country in the world seeks to offer tourists something unique. South Africa has so much to offer and this is what makes it a place very often revisited. In South Africa, there is simply not enough time to take in every experience. Among the unique things to do in South Africa are some hidden gems. Here are 5 things you can only do in South Africa!

Read More

Cape Town City's Waste is Ending up in its Fish
Cape Town City's Waste is Ending up in its Fish

by Carson eCommerce Collaborator July 19, 2019

The oceans around Cape Town are heavily polluted with a variety of chemicals and pharmaceuticals that are now being found in the flesh of fish being caught. Fish found in waters off Kalk Bay have been found to contain everything from antibiotics and pain killers to cleaning chemicals and other toxic substances with at least 15 different chemical compounds being found in alarming numbers.

Read More

Turning the Tide on Ivory Poaching in Africa
Turning the Tide on Ivory Poaching in Africa

by Carson eCommerce Collaborator July 12, 2019

It is always good news to hear about declining levels of poaching of any kind. For decades the Niassa Reserve in Mozambique was one of the top spots for illegal elephant ivory poaching. We are elated to report the good news that this once “ivory factory” has not seen a single elephant killed since 2018.

Read More

SIGN UP FOR OUR MONTHLY NEWSLETTER