1. Tourism Export Council New Zealand
Chinese Language in New Zealand Secondary Schools
13 October 2015

2. Tourism Export Council who are we, what do we do?
Founded 1971 – Private sector
50 Inbound tour operator members (ITOs)
1300 Allied member ‘product suppliers’
Commercially focused – Business 2 Business
Promotes & sells your product outside NZ TECNZ “buys” your product in NZ
TNZ
Promotes New Zealand
RTO’s
Promotes your region in New Zealand and internationally
TIANZ
Shares information
Advocacy 
Business tools
Qualmark
A business assessment system & mark of quality
TEC is a strong organisation representing inbound tour operators who purchased tourism product up and down the country. The other organisations are integral to assist the industry with promotion, advocacy and quality standards . Mention name change from ITOC to TEC

3. Why is tourism considered an export industry?
Tourism, like agriculture is an export sector industry but works slightly differently:
The product is still developed in New Zealand (just like the apple)
It is sold offshore (like the apple)
It is purchased by a consumer in an offshore market (again like the apple)
BUT it is experienced in New Zealand and therein lies the difference
IRDs definition of ‘export’ is a non-resident who purchases a product or service from New Zealand
Mention ‘Fonterra of tourism’ analogy:
Fonterra as the private sector promote and sell NZ dairy products offhshore. They buy from the farmers and co-ops onshore. Then the package up and deliver products specific to different markets.
Inbound tour operators do the same. As the private sector the promote and sell NZ offshore shore (with TNZ as the public sector) and then buy all the airline seats, bus & coach, accommodation, attractions and activities onshore in NZ. They package up different NZ touring products to suit the different international markets.

4. NZ Top Export Sectors
Tourism predicted to take over dairying for last year. Is New Zealand’s largest service sector for employment. Number of tourism businesses approx. 20,00 plus (Service IQ sheet)
POCKET TOURISM STATS FOR BOARD MEMBERS: (TSA)
Total tourism expenditure $23.8 billion for YE March 2014
International $10.3 billion – Domestic 13.4 billion
International tourist expenditure 15.3% of total exports of goods & services *Dairy 2014 had export receipts of $15.9 billion and 23.7% total exports
Tourism contributes $8.3 billion and 4.0% directly GDP
Indirect tourism contributes $6.5 billion and 3.1% GDP
1:9 NZ’s employed in tourism FTE’s - 94,100 FTEs
Tourists generated $1.8 billion in GST revenue
85% of tourism business are SME’s with less 5 staff
Source: Tourism Satellite Account 2014
Note: Up until 2009, Tourism was the number 1 export sector for New Zealand

5. NZ Market Trends August 2015
Country YE Arrivals % change % Holiday Hol LOS – Length of stay
Australia 1,294, % 3.9%
China , % 33.9%
USA , % 13.8%
UK , % %
Japan , % 13.3%
Germany , % %
South Korea , % 21.4%
Canada , % %
India , % 23.4%
Singapore , % 11.2%
Malaysia , % 10.1%
Outbound travelling Chinese 100 million end 2014
70% outbound are within geographical region of Asia – top 9 destinations all within Asia. Hong Kong, South Korean, Thailand, Taiwan
France (620k), USA (550k) & Italy (500k) next and then back to Vietnam (440,000)
Source: Statistics NZ, Tourism NZ, YE August 2015 International Visitor Arrivals

6. China Infographics
320,000
8.3
Expected to be 570,00 by 2020 if not sooner
Holiday visit rate increasing faster than general visitor rate. General visitor includes business, education etc
285,000

7. Expected 570,000 by 2020 if not sooner
Visitor numbers
Expected 570,000 by 2020 if not sooner
2015
320,000
Total
285,00
holiday

8. China activities
Chinese visitors love visiting and experiencing the outdoors in NZ. But not too risky although they are growing in confidence.

9. Why do we need to teach Mandarin in schools?
Chinese visitors are more confident to travel
More are coming and we need to deliver a quality experience – language basics and understanding of their culture very important
The industry is struggling to get Mandarin speaking staff in key frontline roles
NZ Primary schools 25,000 learning mandarin. Secondary schools 4,200. Japanese 17,000
Dropped from 71,000 learning languages in 2009 in to 14,000 in 2015.
1 billion speak – it is the official government of China language and spoken in Mainland China, Taiwan and Singapore except for Hong Kong & Macau (Guangdon province) which speak Cantonese. Cantonese is a dialect of Mandarin.
40 million Chinese who live around the world
Early 1990s there was big push to learn Japanese with the increase in visitors numbers. Primary, secondary and industry all had upskilling and language courses. Partially driven by the fact that the government owned the THC hotel chain or properties and they wanted to deliver a quality service etc.

10. Most important languages
Mandarin is spoken by more people than any other language on Earth – 1 billion plus 40 million mandarin speakers sprinkled around the world. With the Chinese economy set to become number 1 by 2020, learning Mandarin could help you earn a lot of money in the future.
Spanish is the official language in over 20 countries and spoken by over 400 million people. It is also the second language of the United States. According to the U.S. Census Bureau, Spanish is the primary language spoken at home by 38.3 million people aged five or older in the U.S. This is more than double what it was in 1990 and is projected to continue to grow quickly.
Arabic is the official language of over 20 countries and is spoken by over 200m people. You’ll find this language spoken from Southwest Asia to Northwest Africa. If you work in the energy or defense sectors, or if you plan to work in international diplomacy, Arabic is a crucial language for you to learn.

11. China visa applications
Highlights for September 2015:
Continued strong growth in the volume of General Visitor (GV) with ADS visa
volumes having returned to September 2013 levels. 
YOY 35% increase in number of approved GVV/ADS visitor visa pax. This
suggests that the rapid growth seen in the number of Chinese visitor arrivals
during recent months is set to continue.
2013 %
2014
2015
% change 14 vs 15
General Visitor Visa (GVV)
5,803
33%
7,820
46%
11,345
49%
+45%
ADS
11,822
67%
9,340
54%
11,874
51%
+27%
TOTAL
17,625
17,160
23,219
+35%
GVV is individual visa application – takes longer and more expensive
ADS is a group visa – quicker application and cheaper

12. Immigration information
Employee visas
Special Chinese work visa for tour guides
China WHV (working holiday visa) extended 3 months – 6 months
China WHV proposal to change from 1000 – 5000 like Australia
Challenges re changes to FTA re time delays
Queenstown employee exemption from LMC – Labour Market Check
Visitor visas
Aug International student visas online.
Tourism General Visitor Visas (GVV) online will follow student online
Student cross border visa like CWC
Chinese version of online mid 2015 but have to answer in English
Multiple 24 month re-entry visa for Chinese visitors
E visa will replace paper visa in next 18 months
ADS and GVV visa applications continue to grow
In last 5 years 150% more visitors to NZ. 300% more visa applications. Manpower maxed out. In first 5 months of this year, INZ China offices received more GVV than for the whole of 2011/2012. Now has 40 new INZ staff to keep up with demand

13. Tourism as a valued career
NZ Chinese do not want to work in tourism as seen as low paid, not a valued career (same issue as NZ’s)
Government says increase in migrant visas are taking ‘kiwi jobs’
MBIE and industry looking at strategies to promote ‘tourism as a valued career’
Short term migrant visa approval but we have been warned
Medium – long term we need to upskill NZ students to learn Mandarin and be more employable in T & H roles
Secondary schools should promote learning Mandarin and look at tourism as a valued career path for students