WTTC report 2007 - Ada Bojana

ExportsTRAVEL & TOURISM EXPORTS PLAY AN ABSOLUTE AND VITAL ROLEIN MONTENEGRO’S TRAVEL & TOURISM BUSINESS.In 2007, Travel & Tourism services and merchandise exports forMontenegro are expected to total €365.3 mn, or US$486.4 mn(93% by visitors, 7% by exported consumer and capital goods),representing some 56.7% of total Travel & Tourism Demand.Without question, as this category grows and contracts, thehealth and vitality of Montenegro’s Travel & Tourism sectorwill follow the same trend.Over the past ten years, with the exception of 1999, thegains for Travel & Tourism Visitor Exports have been impressiveby any measure. In constant price terms, the country recordedaverage annual gains of 20.0% in the last three years, after abrief pause in the aftermath of 9/11. If considered over a longerperiod, (1995-2006), Montenegro’s Visitor Exports experiencedan impressive three-fold expansion in real terms. Over the nextten years, Montenegro Visitor Exports are expected to growby 11.6% per annum, while Travel & Tourism MerchandiseExports (non-visitor exports) are expected to show more limitedgrowth at 3.8% per annum.Globally and for the European Union, visitor exports areexpected to grow at 4.6 and 3.4% per annum respectively overthe next ten years (2007-2017).Clearly, based on these forecasts, Montenegro’s Travel &Tourism Visitor Exports’ growth is excellent and well ahead ofits regional and global peers.Although long-term expectations for Montenegro’s Travel& Tourism export growth (2007-2017) are positive theseforecasts, like any others, depend on future events and aretherefore not guaranteed. Hurricane Katrina in 2005, forexample, which had a major negative impact on tourism inthe USA, is a perfect example of the uncertainty inherent inforecasting.Examination of the WTTC league tables reveals thatMontenegro is well placed on the basis of its current visitorexports as a percentage of total exports. In the second leaguetable, Montenegro’s visitor exports’ growth illustrates thepositive outlook ahead, since Montenegro is ranked in 2nd place.This would suggest that significant attention should be paid bythe public and private sectors to maintaining international visitorgrowth at current high levels.25020015010050350300250200150100500OtherMONTENEGROTravel & Tourism Exports(2000 Constant US$ mn)Visitor2002 2003 2004 2005 2006 2007MONTENEGROTravel & Tourism Visitor Exports(Cumulative Real Growth, %)01996 2001 2006 2011 2016WTTC LEAGUE TABLE extractTravel & Tourism Visitor Exports(2007, % of Total Exports)12 Albania.................................................... 49.123 Cyprus.................................................... 34.626 Montenegro............................... 31.827 Croatia.................................................... 31.337 Greece.................................................... 26.745 Malta........................................................ 22.861 Bosnia-Herzegovina............................. 17.462 Bulgaria................................................... 17.064 Turkey .................................................... 15.686 Italy.......................................................... 11.493 Slovenia......................................................7.9145 Slovakia......................................................2.950045040035030025020015010070605040302010500OtherEUROPEAN UNIONTravel & Tourism Exports(2000 Constant US$ bn)Visitor2002 2003 2004 2005 2006 2007EUROPEAN UNIONTravel & Tourism Visitor Exports(Cumulative Real Growth, %)01996 2001 2006 2011 2016WTTC LEAGUE TABLE extractTravel & Tourism Exports(10-Year Real Growth, Annualized, %)2 Montenegro............................... 11.611 Croatia.......................................................8.449 Bosnia-Herzegovina................................5.651 Albania.......................................................5.6101 Turkey .......................................................4.4108 Greece.......................................................4.2116 Cyprus.......................................................6.3125 Malta...........................................................3.9130 Bulgaria......................................................3.8158 Slovakia......................................................3.2165 Italy.............................................................2.6167 Slovenia......................................................2.635