h Cruise Industry Expected To Reach $5b

Cruise Industry Expected To Reach $5b

Cruise Industry Expected To Reach $5b

Article #75

The cruise industry is one of the most rapidly growing industries in Australia with it an expectation of a $5 billion value by the end of the 2016 financial year.

A continued growth in passenger numbers and daily domestic port visits had allowed the industry to reach $4.58b in the previous financial year.

In 2016, the cruise industry reached over 1 million passengers, with over 150,000 inbound international tourists. According to the CLIA the industry over the last 13 years has grown sixfold, making Australia the largest country by market penetration in the world, and the 4th largest source.

The $5 billion dollar expectation has been the speculated product of recent deals by cruise liners P&O, Princess Cruises and Carnival Cruise Line, who have been continually growing purchase amounts of Australian fresh produce.

Carnival Australia's local fresh produce purchases alone total $100m in value. Similarly P&O's local purchases have grown 30% in the previous financial year with its additions of the Pacific Aria and the Pacific Eden.

P&O's annual purchases are over 92,000 kilograms of Australian lamb, which is expected to continue with the renewal of their long-term contract with lamb supplier Fletcher International Exports.

After the addition of Eden and Aria, passenger visit days increased 55%, which has allowed domestic spending of passengers to rise, on average, 23% per financial year.

The rise in value of the industry is expected to add 2,000 direct jobs to the sector.

Source: CLIA