Fiji Hotel and Tourism Association, 01 May 2025 – In tourism, optimism is second nature. It’s stitched into the fabric of who we are.
We are all about sharing happiness through connections with our people, our cultures, our natural environment and the sunshine that reinforces this happiness in all we do.
But as with our mighty rugby warriors falling short of our high expectations — and we all know how much that hurts — we allow ourselves to feel the sting of disappointment, wallowing in frustration, debating the reasons; but before long, we’re already looking ahead to the next game, the next tournament, the next chance to do better and shine the way we know we can.
That’s just how we are in Fiji. No matter how dark today may seem, we always keep one eye on a brighter tomorrow. That’s our sega sa leqa mentality.
Tourism is no different. Optimism fuels everything we do in this industry.
But if you’ve spent any time in tourism at all, you’ll know that optimism is always paired with a healthy dose of caution.
Every year — and sometimes every few months — something unexpected challenges the momentum we work so hard to build.
Whether it’s global economic uncertainty, extreme weather events, or sudden policy shifts in key markets, we’ve learnt that disruption is inevitable, and if you’re agile enough to absorb, deflect or avoid what’s coming through careful back-up planning, you could potentially ride out many a storm.
Which is why there is a constant need for planning, reviewing those plans and triple checking any preparations – constantly focused on moving forward, always cautiously optimistic, hoping for the best and planning for the worst.
Tourism plays an outsized role in Fiji’s economy, providing jobs, foreign exchange earnings, and opportunities for countless businesses. Its reach extends far beyond hotels and resorts—it fuels agriculture, transportation, retail, construction, and even creative industries like arts and entertainment. Without meticulous planning, this interconnected system could face inefficiencies that hinder growth.
It is also a high-consumption industry, requiring vast amounts of power, water, transportation, and infrastructure to sustain operations and maintain world-class visitor experiences. The demand for these resources makes long-term sustainability and resource efficiency critical.
Resorts, hotels, and transport systems rely on a stable energy supply, making investments in renewable energy solutions key to maintaining cost efficiency and environmental responsibility – an area that has been explored, adopted and consistently evaluated for new ways to recycle, reuse and save long before it became “fashionable” to do so.
If you are off the grid, isolated and hours away from the closest urban area, it simply makes economic and operational sense for you to do so.
From hospitality services to adventure tourism, fresh or potable water is a vital asset.
So, along with a high demand for water, efficient water management strategies like desalination, rainwater harvesting and recycling wastewater ensure resilience in the face of climate challenges.
Then there is the impact tourism has on the demand for infrastructure development: airports, marinas, road networks, and digital connectivity must consistently evolve to meet the expectations of international travellers and business investors.
As the demand for these services is met, supply chain businesses build up, because the industry is deeply intertwined with domestic suppliers—farmers, fisheries, craftsmen, manufacturers, and distributors all play vital roles. A strong local supply network helps Fiji retain revenue within the economy, reducing reliance on imports and enhancing the authenticity of visitor experiences.
As often as possible, supporting homegrown businesses reinforces economic resilience and community prosperity – those same communities that many of our staff call home.
Long-term success and resilience require balancing growth with sustainability. Which is why we have been consistently pushing for proactive policies and support that integrate green infrastructure, waste management innovations, and responsible tourism principles that will safeguard Fiji’s appeal as a world-class destination without compromising natural beauty or local well-being.
This is an industry that is often watching the horizon for dark clouds or an ill wind and will be the first to pull up anchor to make for a safe port, batten down the hatches or hunker down to wait out a passing storm.
This proactive approach is how we stay resilient, even when headwinds are strong.
And it’s why we continue to move forward.
The latest economic update perfectly sums up the reality we live with – tourism demand is still expected to hold, but not without challenges. And that while visitor arrivals are still above pre-pandemic levels, these might be signs of softening.
Softening that industry stakeholders saw coming and prepared for by using the time to refurbish, renew and review its product and service offerings, with the time also being used to tap into emerging markets, realign relationships with old markets and shake the trees to see where else we can drum up business.
As it did in the early months of 2024 and 2023.
March saw notable drops from our two biggest markets — Australian arrivals fell by 17.4%, and New Zealand by 16.3%. Of course, there are bright spots too, with US arrivals increasing, perhaps boosted by the new direct flights to Dallas, while transit passengers through Fiji increased by 8.6% in the first quarter of 2025 compared to last year.
But the overarching theme remains – there’s always uncertainty.
Whether it’s the threat of a global economic slowdown, the tariff merry-go-rounds, or broader market volatility, these external factors play into our tourism performance, often in ways we cannot predict or mitigate with precision.
Hence, the need to plan meticulously and stay ready to adjust our strategies at a moment’s notice.
One of the critical lessons we’ve learnt is that while global events are beyond our influence, domestic issues are often easier to read.
If we can ensure that Fiji offers a world-class visitor experience — consistently, safely, and sustainably — we give ourselves a competitive advantage that few can match.
DPM Kamikamica recently emphasised at our recent Tourism Leaders Breakfast how central tourism is to Fiji’s national development agenda, while Government continues with its economic diversification plans.
Last year, we welcomed nearly one million visitor arrivals and more than 80,000 cruise passengers. To put that into perspective, consider that New Zealand has not regained its 2019 arrivals yet, PNG pulled in a little over 100,000 visitors last year, and New Caledonia visitor numbers declined by 53% (air) and by 44% (cruise ship) over the previous year.
Our numbers represent jobs enhanced or created, businesses supported, and communities uplifted, much like a high tide lifts all boats.
Maintaining this momentum, however, requires serious investment in infrastructure and seeing some of the planned investments in digitising regulatory agencies to improve efficiencies come through.
Looking ahead, confidence remains high with forward bookings looking strong and the expected positive impacts of intense marketing efforts paying off.
The challenge now is to ensure that when the peak season arrives in July, we are more than ready to deliver unforgettable experiences, while the pipeline of new tourism developments is allowed to be completed on time.
One looming concern is the increase in departure tax to $200 scheduled for August 1 this year. While we understand the rationale behind this policy move, especially as Government seeks new revenue streams from extremely limited avenues to fund essential services, we have maintained our concern that if you must increase it, at least use the bulk of it to enhance the infrastructure areas we need more critically.
Westpac’s economic report suggests that Government might consider delaying the full reinstatement of the departure tax as a relief to the industry is a sensible suggestion.
The industry is rightfully wary of emerging risks. Climate change, geopolitical instability, new health threats — these aren’t abstract concepts for us.
They have very real impacts on how and where people choose to travel.
Being resilient doesn’t mean avoiding these challenges.
It means being ready for them and acting decisively when they arise.
And in a world where uncertainty is the only certainty, preparation is our greatest advantage.
Fantasha Lockington – CEO, FHTA (Published in the Fiji Times on 01 May 2025)
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