New Zealand Cruise Association launches first-ever national cruise strategy

New Zealand’s National Cruise Association has launched its first-ever national strategy which aims to grow the sector following a forecast reduction in spend for the 2024/2025 season.

The NZCA’s comprehensive blueprint – ‘Cruise Aotearoa New Zealand 2040’ -has been set up to steer the sector to a sustainable and financially prosperous future.

The NZCA has engaged with industry, regions, ports, cruise lines, government agencies, and other key stakeholders to develop the strategy.

Board members for the industry include Paul Yeo from Tourism New Zealand and Debbie Summers, deputy chair at ID New Zealand.

Currently, the sector has grown organically in New Zealand.

Cruise Lines International Association (CLIA) managing director in Australasia Joel Katz said a whole-of-government approach was welcome.

New Zealand forecasts a reduction in cruise spend 

Despite the cruise sector reporting global growth, New Zealand is forecasting a 15 to 20 per cent reduction for 2024/25 and beyond.

The report claims the decrease is the fault of macro factors such as geopolitical tensions, negative impacts of foreign exchange, rising fuel costs, and the slow return of China to travel, combined with micro factors of increasing costs and regulatory requirements in New Zealand.

In recent years News Zealand has made headlines for its strict biosecurity requirements which have led to a handful of ships being turned away from ports.

Whilst the number is low, they have damaged the reputation of the destination – for example, an Australian couple who had planned to have their wedding in Hobbiton featured on the ABC after they missed out on their dream day when the P&O cruise ship couldn’t stop there.

The forecast is worrying considering cruise tourism in New Zealand boosts regional economies – contributing average expenditure of $614,008 per day and $380 per passenger.

The ‘Cruise Aotearoa New Zealand 2040’ includes plans for the next 15 years leading up to 2040.

The approach to fulfill that vision is based on three key principles (horizons): drive for value, partner to empower, and continuous improvement.

For Horizon 1 (drive for value) five key priorities for action have been identified:

• Unlock data and measurement
• Activate communications
• Build and strengthen partnerships
• Engage government stakeholders
• Integrate national and regional operations

CLIA says blueprint is an opportunity to strengthen NZ tourism

“Cruise tourism is worth many hundreds of millions of dollars a year to the New Zealand economy, so adopting a comprehensive national strategy is vital to support its development in a positive and sustainable way,” Cruise Lines International Association (CLIA) managing director in Australasia Joel Katz said.

“Thousands of New Zealand jobs are supported by cruise tourism, which spreads economic benefits far beyond the major gateways to reach regional destinations right around the country. New Zealand is also one of the world’s most rewarding cruise destinations and consistently rates highly among international visitors.

“By taking a whole-of-government approach and adopting a national strategy to foster cruise tourism, New Zealand has an opportunity to strengthen its tourism economy and create lasting benefits for local businesses and communities.

“Overcoming regulatory complexities and high operating costs are essential if New Zealand is to fully benefit from the potential of cruising. The cohesive approach outlined by the NZCA – involving government, industry, destinations and other stakeholders – is a vital step towards long-term prosperity and positive tourism management in New Zealand.”

“CLIA is pleased to partner with the NZCA to deliver an economic impact analysis for New Zealand later this year, which will support informed decision-making and build awareness of the value of cruise tourism to local employment and the national economy.”