Chinese tourists will greatly enhance the trade and economic growth in Australia, according to a new report jointly published by the Australia China Business Council and L.E.K. Consulting.
The number of Chinese visitors to Australia grew 19 percent between 2010 to 2015, with numbers from March 2015 to March 2016 reaching a record-breaking 1 million, a 23 percent increase from 2014.
Over A$8 billion ($6.12 billion) were spent in Australia by Chinese tourists during the same period, and an estimated 2 million annual Chinese tourists are predicted to visit Australia by 2025.
In recent years, economic relations between Australia and China have also expanded and diversified, covering tourism, education, real estate, investment projects and import-export products.
The report shows that Chinese are consuming more Australian products. Australian wines now account for 14 percent of all wines imported to China. Australian beef accounts for 40 percent of all imported beef to China, valuing A$750 million. Chinese students in Australia account for 11.5 percent of the total number of Chinese students studying overseas.
Increased confidence
The percentage of repeat visitors from China to Australia grew from 37 to 46 percent according to the report. Seventy three percent of surveyed Chinese tourists purchased an Australian product prior to visiting the country for the first time; that percentage grows to 97 percent after visiting Australia.
China Southern Airlines and the South Australian Tourism Commission signed a cooperative agreement recently to launch direct flights between Guangzhou and Adelaide starting December of 2016. This will be the first regular airline between the Chinese mainland and Adelaide.
Direct flights are intended to boost the growth of tourism in South Australia, according to Jay Weatherill, the Premier of South Australia. He also expected the flights to bring at least A$23 million in annual tourism revenue to South Australia. More importantly, these flights will help bring more South Australian high-end perishable foods and wines into China.
For investors, the direct flights are expected to increase Chinese confidence in building new projects in the region while also attracting more Chinese students to study in South Australia.
