Martin Cullen (Waterford, Fianna Fail)

I propose to take Questions No. 46 ,49, 56, 187 to 189, inclusive, and 190 together.

Latest figures from the Central Statistics Office show a reduction of 6.3% in the number of overseas visitors to Ireland for the four months of 2009 compared with the corresponding period of 2008. Overseas visitor numbers for 2008 as a whole were down by just over 2% on the record 2007 performance, although the figure of almost 8 million was the second highest ever.

While any reduction in the number of overseas visitors is disappointing, it must be seen in context. Ireland enjoyed several years of successive growth in visitor numbers, reaching a record of just over 8 million in 2007. Tourism worldwide saw a significant downturn in the second half of 2008 due to the global economic slowdown and loss of consumer confidence. Great Britain, as a source market, was particularly affected with the euro-sterling exchange rate making it extremely challenging to attract visitors to eurozone destinations. However, so far in 2009, we are performing relatively better than many of our European competitors, including Great Britain. For example, figures show a fall of 13% in overseas visitor numbers to the United Kingdom in the first quarter, compared to the reduction of just over 9% in Ireland.

There is no doubt that 2009 will be a very difficult year for tourism globally. Nevertheless, it is important to remember that, despite the downturn, millions of people across the world will still take holidays this year. The industry and the tourism agencies are fighting hard for every bit of this business.

To assist the tourism sector through this current difficult period, an extensive range of marketing, product development, festival and sporting events, training and business supports are being rolled out by the tourism State agencies under the tourism services budget of the Department. For example, despite cutbacks in public expenditure, the core overseas marketing spend has been maintained in 2009 at over €47 million, in recognition of the key contribution which tourism makes to the Irish economy. Tourism Ireland is telling customers in key markets that Ireland is easily accessible and offers great value for money at present, as well as rolling out its new destination campaign, "Go Where Ireland Takes You". I am assured that Tourism Ireland is keeping all of its marketing programmes for 2009 under review to ensure they maintain the flexibility and responsiveness that is required.

On the domestic front, Fáilte Ireland has committed to its largest ever campaign to promote home holidays in 2009, on foot of research indicating that more Irish people will consider swapping their overseas trips for breaks in Ireland. Fáilte Ireland is also working closely with tourism businesses all over Ireland, supporting enterprises and helping them to achieve real cost savings and efficiencies.

While our businesses and tourism agencies are responding positively to current challenges, it is just as important that the strategic framework for tourism development responds to the changing environment. Accordingly, I established the tourism renewal group, which has been tasked with reviewing and, where appropriate, renewing the current tourism strategy to ensure that it is focused for the short term and, looking further ahead, that the tourist industry is well placed to benefit from the upturn when it comes. I expect the group to report back to me in the near future with recommendations in the form of a framework for action for the period to 2013. I believe the group spoke to the two Deputies as well, if I am correct. Members of the group told me they wanted to do that and I encouraged them to do so.

One of my priorities as Minister is to ensure that the importance of tourism is reflected more widely in relevant policies and programmes. This is recognised and reflected in the Government's policy document, Building Ireland's Smart Economy: A Framework for Sustainable Economic Renewal, which makes specific reference to the work of the tourism renewal group and the potential of the tourism sector.

The industry deserves great credit for its commitment to quality in responding to the current challenging economic conditions through more flexible pricing and offering special value offers and packages. I am confident that with the support of the agencies, the tourism sector here has the capacity to manage the current cyclical slowdown and that, looking further ahead, the renewal group's review will help the sector to return to sustainable growth in the medium term.

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