Tourism minister in talks with trade on post-jobkeeper help bundle | Enterprise

The Morrison government is considering offering targeted financial support to the tourism industry as international travel is likely to be restricted for up to a year, the sector minister has signaled.

Dan Tehan, whose portfolio includes both trade and tourism, said Australia was “very unlikely to have international tourism in the next nine to 12 months,” which is the part of the sector that depends on overseas arrivals , “remains in a state in which it is very difficult for them to be economically successful”.

“I have done a lot of research in the tourism industry to hear their concerns and to get thoughts, ideas and feedback on how the government can possibly support them while we wait for international tourism to come back online. Tehan told Guardian Australia and other media outlets in a group interview.

The approach to tourism contrasts with Treasurer Josh Frydenberg’s comments that the government is not considering expanding the hospitality wage subsidy.

In the comprehensive interview, which also addressed his attempts to contact China’s new trade minister for a dialogue on resolving trade tensions, Tehan confirmed that he was discussing the form of a potential tourism support package.

The extent of such support remains unclear, but the discussions take place in the middle Fears among tourism companies about the planned end of the wage subsidy for workers at the end of March and the prospect of expanded border closings. Labor has also called for targeted support to continue to support the hardest hit sectors.

Tehan said that while he heard from the industry that it was a busy summer for domestic tourism, it remained “a very challenging time” for international tourism.

He said all decisions would be “driven by economic data that continues to address the economic impact of the pandemic on our tourism sector”.

“I will continue these discussions and look into the sector and see if there is any specific or targeted support that could be provided or needed,” he said.

According to Tehan, one of the main problems was the targeted support of parts of the sector that were particularly exposed to international tourism.

He had asked the sector to come up with suggestions “how to somehow separate this from the relatively strong growth we have seen in terms of domestic tourism”.

When asked this week about further support to the tourism sector beyond March, Scott Morrison did not rule it out but said it was “too early to make these calls”. The prime minister on Thursday expressed a general view that “taxpayers’ money cannot be used indefinitely in running the Australian economy”.

On Friday, Frydenberg reportedly turned down calls by the Association of Gastronomy to extend hospitality workers wage subsidies when the rest of the program expires on March 31.

First in a letter reported in the AustralianFrydenberg said the government has “recognized the challenges facing the hospitality and catering industry”.

“However, with unprecedented support from the Commonwealth and state and territorial governments, I believe that the existing political framework will continue to support a strong economic recovery and we are not currently considering a ‘hospokeeper’ package.”

Tehan said there is hope for travel bubbles with New Zealand, the Pacific countries and Singapore “if they can continue to successfully cope with the pandemic,” but “the most likely scenario is that we are probably nine to 12 months away from international tourism,” as we know it, restart ”.

He said the government would seek advice from its medical experts on whether a successful introduction of vaccines around the world could allow the border to open earlier to international tourists, especially those who had been vaccinated.

Tehan, who joined the trade, tourism and investment portfolio in late December, said he wrote to his Chinese counterpart Wang Wentao last week to start a discussion on the ongoing trade tensions.

Wang, a former governor of the agricultural producing province of Heilongjiang, was also appointed to the Chinese Ministry of Commerce last month.

Tehan said he would be “patient” and play the “long game” to resolve tensions with Australia’s largest trading partner. The Australian ministers said last year that they could not secure phone calls with their Chinese counterparts Dozens of ships with Australian coal remain stranded on board off the coast of China.

“I hope that with the appointment of a new minister in China at the same time as my appointment, we will be able to … have a dialogue on the relationship that is taking place again,” Tehan said.

“And I have reaffirmed Australia’s commitment to our trade and economic ties with China.”