Sandra McLellan (Cork East, Sinn Fein)

I welcome the opportunity to speak on this Bill. I thank the Minister of State for his help since taking up his position and wish him all the best for the future. The Bill is a necessary step towards facilitating significant investment in our tourism product.

In the current economic climate the importance of tourism cannot be overstated. As an indigenous economic sector, it is unique in that it has an impact on all areas of the economy, rural and urban. The industry is a very significant employer and requires minimal import content to produce its output. The rationale for increased investment in the sector is particularly strong and is to be supported.

The recent performance of Irish tourism is encouraging. However, for tourism to keep making a positive contribution to the Irish economy, it will be necessary to make the right strategic choices over the coming period. It is essential that a measured approach is taken when deciding priorities.

In the 1990s, Ireland experienced unprecedented tourism growth and outperformed the rest of European as a tourist destination. However, since 2001, the sector has become less competitive due to a number of factors as highlighted in numerous Department and industry reports, including the lack of investment in product development, changes in demand and customer needs and more aggressive competition from other destinations. Indeed, on a number of indicators, such as the number of tourist visits and revenue generated, the tourism sector has experienced a period of overall decline in recent years. During the period 2005-10 the number of overseas visitors and holidaymakers to Ireland peaked in 2007 at 7.7 million and then declined year-on-year to 5.8 million in 2010. The number of visitors from each of our three largest markets - Britain, Europe and North America - has declined year on year since 2007, though the number of domestic trips actually increased in the same period. Tourism's contribution to the broader economy in terms of GNP has remained relatively stable at between 3.7% to 4.0%.

The industry's role in balanced regional and rural development is extremely important. From the beaches in Youghal or the Ring of Kerry to Newgrange and the Donegal Gaeltacht, every corner of Ireland has a unique selling point. Naturally, Dublin generates the largest proportion of tourism revenue in Ireland and will most likely continue to do so. The south-west and west regions continue to perform quite well. The Shannon, the east and midlands and the north west in particular need to be included in an inclusive strategy to maximise the potential of areas. This needs to be addressed going forward. The industry continues to be a major employer with the Central Statistics Office and Fáilte Ireland estimating that those working in the tourism and hospitality sector make up somewhere between 7% and 10% of total employment. The level has decreased over the last couple of years.

The Bill before the House on its own is a technicality which facilitates Fáilte Ireland to continue its business. It should, though, form the basis for a response to the tourism product development strategyproduced by Fáilte Ireland, which outlined that competitor destinations in northern Europe are investing substantial sums of public money into tourism. In Norway, for example, public investment in tourism has been running at €43 million annually. In Scotland, the Highlands and Islands Enterprise Agency spends up to €22 million annually on tourism. This investment is additional to the €52 million Government grant support provided by the Visit Scotland agency. Through its funding Visit Scotland is seeking to encourage the Scottish hospitality business to enhance its marketing campaigns. This initiative aims to address capacity utilisation in the industry which is centred on increasing occupancy rather than building more hotels. To this end, the hospitality industry is being encouraged to push off-season offers and use the internet for last minute marketing.

Similar initiatives here will need to address the overcapacity issue, particularly outside Dublin. Capital funding is necessarily supported by appropriate and extensive marketing of our product. This too is becoming increasingly competitive. I call on the Government in advance of its budgetary considerations, and in light of the responsibility on the Executive in the North to reciprocate, to increase funding in Tourism Ireland as an efficient way to maximise the marketing potential of our tourism product abroad.

There are undoubtedly opportunities to enhance further the way we manage our tourism industry here. Sinn Féin is committed to playing a constructive role in that debate on both sides of the Border. This opportunity should be taken to involve the sector, and indeed individual communities, in a real and meaningful way in the development of our tourism product.

Again looking at the Scottish example, Visit Scotland is seeking to encourage the hospitality industry to become involved in cross-selling which aims to involve local businesses in promotion and developing a comprehensive tourism package. Indeed, in Scotland, some local businesses have become involved in establishing destination marketing organisations. These are membership organisations made up of tourism businesses which come together to promote their area and develop the overall quality of the tourism product. Private businesses can promote themselves on the website, appear in literature such as pamphlets, and receive access and information on training and skills to enhance the tourism experience.

This model should be further developed here to include the local community, including community and voluntary sectors, as well as local businesses and in a collective effort to develop and improve their tourism product.

For example, I would support the people of Kells in their call to have the Book of Kells returned to the town, in the context of a broader plan to open up the tourist potential of the area which includes the Boyne Valley, Lough Crew and the Hill of Uisneach, subject, of course, to the appropriate facilities being in place.

The Department and its agencies need to look at how such big ticket items can provide the nucleus of an improved product. There is huge potential in every corner of the country for product development. In this regard, I think of my own area, with its beaches, the heritage town of Youghal, the harbour at Cobh and Fota island. Product development, marketing, innovation and co-ordination can transform the economic landscape and change people's lives for the better.

Competitor countries are providing for substantial public investment in tourism product innovation. Examples include the Guggenheim in Bilbao and the Eden Project near Bristol. Such investments by municipalities and other public authorities in iconic attractions offer compelling reasons which motivate visitors to choose to visit a destination. In a similar vein, individual major events with a significant tourism impact have also received public investment in competitor countries. The Edinburgh International Festival receives €5 million of public funds annually and plays an important role in attracting visitors.

For Ireland, cultural tourism continues to hold huge potential. It embraces the full range of experiences visitors can have to learn what makes a destination distinctive, including its lifestyle, heritage, the arts and its people. We have a rich cultural heritage, including megalithic tombs, Norman castles and Viking cities. The period during which the country declared its independence at the start of the last century also holds significance. No debate on tourism could pass without mentioning the potential to create a cultural and historical "Northern Quarter" in Dublin, including Moore Street, Moore Lane and O'Rahilly Parade, with the GPO at its heart. This area is rich in history and would act as a major national monument and a fantastic attraction for visitors from home and abroad. People who have visited cities such as Prague, Budapest and Berlin will be familiar with how such attractions add to the overall cultural experience and bring a nation's history to life. These are the strategic decisions which would make a real difference and similar projects need to be prioritised here.

The Ulster Canal project holds enormous potential to open up the central Border region which has experienced economic disadvantage for many years owing to its location. Harnessing the potential positive impact on all towns and villages in the canal corridor would lead to significant regeneration and benefits through increased tourism, business development and prosperity, not to mention the many construction and ancillary jobs that would be created. Sinn Féin will continue to call on the Government to live up to its responsibilities in this regard.

The role of the film industry in promoting tourism is recognised in many countries, including Britain where it is estimated that one in five of the nation's international tourists are inspired to visit by images in movies or on television programmes. The castle used as the location for Hogwarts in the Harry Potter films saw a 120% rise in visitor numbers following the release of the first film in the series. Ireland has had some experience of this through films such as "Braveheart", "Saving Private Ryan" and "The Quiet Man", benefiting counties Meath, Wexford and Mayo. I welcome the news that a Bollywood blockbuster is to be made at Trinity College this year and encourage the Minister to work with his colleagues in the Department of Arts, Heritage and the Gaeltacht to maximise the tourism potential of such projects. This has been done in other areas by conducting national screen tourism campaigns based around specific films or television programmes; identifying specific countries for screen tourism marketing campaigns; undertaking promotions such as behind the scenes programmes, DVD extras and celebrity promotions; and creating a map showing the locations of films and television programmes shot in Ireland. North Wales Tourism has already done this and aims to exploit the interest in the movie and television industries by attracting an extra 30,000 visitors to the region each year.

I want to mention the potential appeal of Ireland as an outdoor activity destination. With a reasonably small investment, the waterways, walkways and cycle paths could be developed, enhanced and improved. The Minister will be familiar with the potential of such tourism. Fáilte Ireland's current product development strategy identifies gaps in a number of tourism market segments. An audit of the Irish tourism product found that it needed to catch up with its EU competitors in a number of areas, including cycling tourism. It identifies the very limited cycle-route network, the lack of bike hire services and bicycle-friendly trains as impediments. The Great Western Greenway along the west coast is a project with which the Minister will be very familiar. It is one that should be replicated right across the country to cater for cyclists, walkers, trekkers, surfers, anglers and the vast number of outdoor enthusiasts who come here from near and far.

The Bill removes the impending straitjacket. What we need now is swift intervention to maximise the full potential of the tourism industry. I commend the Bill to the House.

See this speech in context