Australia has reopened its borders to tourists, but on a temporary basis. On the other hand, the country’s government is urging people to be “exceedingly cautious” when traveling as the Covid-19 new strain of Omicron spread can be contained.

The Australian government is urging people to be “exceedingly cautious” when traveling to the nation’s attractions due to the Covid-19 spread.

The tourism industry in Australia took a major hit after the pandemic. Between March 2020 and March 2021, international tourists dropped to practically zero. This resulted in 40.7 billion Australian dollars ($29.2b) being lost from the sector. But between November and December 2021, the government lifted restrictions on skilled migrants and international students so that more people could enter Australia.

How much is important Tourism is for Australia?

Tourism is vital for the Australian economy, contributing to 11% of GDP and accounting for more than 2 million jobs. In 2016, it is estimated that international visitors spent $38 billion on retail goods and services in Australia, a 5% increase from 2015. In the year 2016-17, total tourism expenditure was AU$129 billion.

The tourism industry has experienced some tough times as of late. With the downturn in the Australian dollar, there are fewer people coming from overseas to spend money here, and Australians are traveling abroad less often.

Tourism has been declining, and Covid-19 has just crippled the tourism industry of local and international tourists in Australia.

Labor shortages reported in Australia due to border close

“While the reopening of international borders will bring more tourists and migrant workers back to Australia, it will take time for businesses to recruit and train new workers to meet the demand,” said Yang, the Griffith University professor, adding that the issue of labor shortages in regional destinations “will remain a persistent issue for years to come” reported by Aljazeera.

Australia’s tourism has a way to go before it fully recovers to pre-pandemic levels. Tourism companies and marketing organizations in Australia now face a battle, as many other destinations have gained a competitive advantage by opening up their borders earlier. Luckily though, Australia has a strong offering, so it does stand a chance of its tourism industry recovering well reported by Globaldata Travel and Tourism.