Message by H.E. Deputy Prime Minister of Malaysia

Bismillahirrahmanirrahim,

Assalamualaikum warahmatullahi wabarakatuh, and a very good morning.

H.E. Mr. Francesco Frangialli, Secretary-General of UN World Tourism Organization

Hon. Datuk Seri Tengku Adnan Tengku Mansor, Minister of Tourism Malaysia

Excellencies

Visiting Ministers of Tourism, (From Afghanistan, Brunei, Cameroon, Gabon, Kenya, Lao PDR, Lesotho, Maldives, Mozambique, Myanmar, Nepal, Papua new Guinea, Solomon Islands, Sudan, Thailand, Uzbekistan, Vanuatu, Yemen)

Excellencies Ambassadors and High Commissioners,

Distinguished guests and Speakers,

Ladies and Gentlemen,

1. Let me begin by expressing my gratitude to the Ministry of Tourism Malaysia for inviting me to be a part of this prestigious international event. I am indeed delighted to be here to mark the opening of this conference which I regard as extremely important given the enormous contribution of the tourism industry to the global economy and the various challenges the industry has had to face in recent times.

2. On behalf of the government of Malaysia, let me also express our thanks to the United Nations World Tourism Organization (UNWTO) for choosing Malaysia as the host for this global meeting of policy makers, practitioners, experts and enthusiasts of the tourism industry. In particular, I thank Mr. Francesco Frangialli, the Secretary General of UNWTO, for joining us here in Kuala Lumpur, as his presence indeed adds great value and significance to this international conference. I also wish to especially acknowledge Their Excellencies the Ministers of Tourism who have taken the time to be here for this conference, further underscoring the importance of his meeting of minds. Ladies and gentlemen,

3. Tourism has become one of the most important global industries of today. With the increasing ease of travel and fluidity of movement across borders, the tourism industry now stand’s as the world’s biggest export earner and for many countries across the continents it is a key industry that generates enormous foreign exchange earnings and employment. On top of this, tourism has become a catalyst of growth for many nations as it brings in substantial revenues for governments whilst stimulating greater investments in infrastructure which ultimately contributes to overall improved living conditions for the peoples of those countries.

4. It therefore goes without saying that it is in the interest of the entire world to see continuous growth and development in this industry. But tourism, being almost entirely consumer driven, is extremely vulnerable to crises and calamities both natural and man-made, and it is particularly susceptible to the vagaries of the global geo-political environment. It is greatly unfortunate that since the dawn of this new Millennium, we, the people of the world, have become witnesses to some of the worst disasters and life-altering events in recent history.

5. We will always remember and have in the back of our minds dark historical moments like the outbreak of SARS and Avian Influenza, the Asian Tsunami, the war in Afghanistan and Iraq, and of course the terrifying terror attacks like that of the infamous 9/11 in the United States, the Bali bombings in Indonesia, the Madrid train bombing in Spain and the London bombing of 2005. In fact since 9/11 the face of international travel and tourism has changed significantly and drastically.

6. As far as travel and tourism is concerned, many would attest that we are still recovering from those dark moments and their permanent effects are manifest, especially in terms of heightened security at all national entry points and stricter immigration controls in most countries. Geo-political developments and conflicts after those events have also led to a surge in fuel and energy prices which have also adversely affected global travel and tourism.

7. Today, the tourism industry is still seeking workable answers to the questions they began to ask after those adverse events unfolded: How do we move forward, and how do we sustain the growth in tourism in light of such challenges? These are not questions that have simple answers, but what is certain is that tourism players need to keep on trying to find them –perhaps through conferences such as this- in order to be better prepared for future eventualities.

8. It is heartening to note that in spite of the jittery nature of consumers, the tourism industry continues to show resilience as evidenced by its steady upward trajectory. The cumulative number of global tourist arrivals has risen to 842 million in 2006, which translates to an average growth of about 7% per annum over the past five decades. The UNWTO estimates that by 2010, more than 1 billion tourist arrivals will be recorded globally, with the main center of activity being in the Asia Pacific region.

9. To my mind, these numbers indicate that whilst the overall volume of travelers has not substantially declined, there is a clear signal of a shift in demand in the sense that whilst some destinations have seen a reduction in their tourism market share due to consumer concerns, others have seen a marked increase. In other words, geo-political and other factors have triggered massive destination changes among global tourists. As I mentioned earlier, all indications point to the Asia Pacific region as the new focal point for global tourism. Countries in this region, including Malaysia, must take advantage of this emerging trend and maximize their potential as the new mecca of global tourism.

10. Having said that, I must quickly add that this region –South East Asia− is no newcomer to this industry. I’m certain that everyone here is well aware of the great success stories that we have seen in this part of the world, where high profile destinations have been drawing millions of tourists from across the continents for decades.

11. It is in this context that we must learn from each other and leverage from the experiences of one another to enhance our respective tourism sectors. Countries having had greater success must be ready to assist those still developing their industry. This where tourism success stories can help us nurture new shooting stars. It is a competitive business of course. But that’s not to say that we cannot work together to enhance regional growth and to promote global tourism as a whole, the success of which would be beneficial to all.

12. We must be able to work together to identify trends, to understand consumer demands and to share our collective experiences so that we can implement suitable strategies and action plans to enhance tourism. The ASEAN model for the promotion of regional tourism is a good example of this, as can be seen in the ‘Visit ASEAN’ campaign. Indeed, It may well be likely that joint efforts to promote the diversity of the region whilst highlighting the uniqueness of each destination will result in higher numbers of multi-destination travelers within the same region which would represent a win-win situation for all.

13. The challenge for all of us here is not only to obtain a bigger share of the expanding international tourist market but, more importantly, to obtain better returns in terms of tourism revenue for our service providers, without compromising on product quality and service standards for our consumers. This, I believe, is the main area where the convergence of viewpoints and the exchange of ideas are most important to generate new thoughts on how we can collectively improve. Ladies and gentlemen,

14. With regard to Malaysia, I am pleased to share with you that our tourism sector has maintained its position as the second largest foreign exchange earner after manufacturing since the year 2000. In that year we received 10.2 million international arrivals with tourism receipts of USD5.1 billion (RM17.3 billion). Since then the industry has grown substantially and Last year, Malaysia managed to achieve its target of 17.55 million international tourists, with tourism receipts totaling USD10.67 billion (RM36.27 billion). 2006 saw a 6.8% growth rate in tourist arrivals with a13.5% increase in receipts. In terms of employment, it is estimated that this industry accounts for a remarkable 1,344,000 jobs of which 492,320 are direct employment.

15. This year , being Visit Malaysia Year, and the 50th Anniversary of our Nationhood, we hope to do even better. We have set a target of 20.1 million tourist arrivals with expected tourism revenue of USD11.9 billion (RM40.5 billion). It is indeed quite a challenge but I believe that it is a target we would be able to achieve.

16. Hopefully from this conference Malaysia will have the opportunity not only to share our experience but also to learn from others in our quest to meet our goals. As I understand it this three day conference will cover four key areas of tourism namely, sustainable growth, marketing, product development and private-public sector partnerships. I believe this exchange of information, ideas and experiences will further enhance our understanding of the issues and challenges that we must face and the actions to be undertaken in order to achieve the success that we want for our people. Ladies and gentlemen,

17. With quality input from participants from more than 50 countries, I believe this conference will produce the recommendations and conclusions that would be most insightful and enlightening towards enhancing our collective tourism objectives.

18. I believe that there is much to learn from each other and much to gain by working together. I am most hopeful that this conference will pave the way for greater progress and development in this industry and to that end I wish every participant all the very best in your deliberations.

To our foreign guests, I hope you make the most of your visit here and experience the many wonders of Malaysia.

Malaysia welcomes the world and I extend to you a very warm ‘Selamat Datang’.

On that note, it is with great pleasure that I now declare open the World Tourism Conference 2007 in Kuala Lumpur.

Thank you.