Cruising boosts Australian economy by AUS$5 billion annually

CLIA Australasia and ACA report shows ports in major cities and smaller towns are benefiting   

Cruising boosts Australian economy by AUS$5 billion annually

By Rebecca Gibson |


Cruise tourism generates nearly AUS$5 billion (US$3.6 billion) for Australian economy annually, according to a new study commissioned by Cruise Lines International Association (CLIA) Australasia and the Australian Cruise Association (ACA).

According to the Australian Economic Impact Assessment report, Australian ports handled a total of 1,236 ship calls during 3.5 million passenger and crew days in the 2017-2018 financial year. This contributed AUS$2.3 billion in direct economic output and AUS$2.5 billion in indirect and induced output.

Cruise passengers who embarked or disembarked cruise ships spent almost US$1.2 billion in port cities, while transit passengers contributed US$171 million in the ports they visited. Meanwhile, crew members spent AUS$37 million. Close to 78% (AUS$900 million) of crew and passenger purchases included food and beverages, shore excursions, transport and pre- or post-cruise accommodation. The remaining 11.3% was spent on goods from retailers.

The report also highlighted that 92% of the cruise industry’s economic contribution was concentrated in four states. Just under AUS$2.8 billion came from New South Wales, while Queensland, Victoria and Western Australian contributed AUS$1 billion, AUS$$317 million and AUS$276 million respectively.

“The new economic assessment found that the cruise industry continues to make significant contributions to Australia’s economy and will continue to have a positive economic benefit if the industry is able to achieve sustainable growth in the coming years,” said Joel Katz, managing director of CLIA Australasia. “Each year more Australians are choosing a cruise holiday and we’re also seeing more cruise passengers opting to sail in local waters which means they’re spending more time ashore visiting regional ports. This all translates into significant economic benefits for businesses and communities far beyond our ships and ports.”

Smaller Australian ports also benefited from cruise tourism in the 2017-2018 financial year.

“As the global cruise industry continues to grow and expand into new destinations, Australia remains a vibrant hub for cruising,” said Jill Abel, CEO of the ACA. “We are now seeing this benefit our country’s major gateway cities, as well as fast-growing regional ports such as Broome, Cairns and Eden, which are benefiting from infrastructure and destination development.”

To ensure continued growth, CLIA Australia and the ACA are collaborating to find new solutions to overcome capacity issues at Australia’s key ports.

“With the nation’s cruise gateways at crisis point, we need to find solutions to capacity constraints to ensure strong economic growth into the future,” said Katz. “Australia is one of the world’s most appealing cruise destinations and more Australians cruise than anywhere else in the world. For Australia to cash in on this appeal, we need to make room for more ships. If key ports are full, cruise lines will be discouraged from sending their ships to our shores.”

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