Tourism Inhambane Baseline Survey Presented to Deutsche Gesellschaft für Internattionale Zusammenarbeit GmbH Inhambane, February 2014
Contents ACRONYMS AND ABBREVIATIONS 5 EXECUTIVE SUMMARY 6 1 INTRODUCTION 8 1.1 BACKGROUND 8 1.2 PURPOSE 9 2 BASELINE SURVEY METHODOLOGY 10 3 TOURISM IN INHAMBANE TRENDS 12 3.1 THE MOZAMBICAN TOURISM SECTOR 12 3.2 TOURISM SECTOR INHAMBANE PROVINCE 15 4 KEY FINDINGS OF THE BASELINE SURVEY 16 4.1 PROFILE OF INTERVIEWED TOURISM ENTERPRISES (QUANTITATIVE SURVEY) 16 4.2 INDICATORS OF IMPACT 21 4.2.1 INCREASED PRODUCTION (TURNOVER) 21 4.2.2 COST REDUCTION /UNIT 25 4.2.3 INCREASED INCOME 27 4.2.4 ACCESS TO NEW MARKETS 29 4.2.5 DIVERSIFICATION OF PRODUCTS/SERVICES SUPPLIED 32 4.3 LOCAL ECONOMIC LINKAGES 33 5 SUMMARY OF FINDINGS AND RECOMMENDATIONS 37 6 LIST OF REFERENCES 40 ANNEX I: RESEARCH QUESTIONS MATRIX 42 ANNEX II: SURVEY QUESTIONNAIRES 43 ANNEX III: OFFICIAL CLASSIFICATION OF TOURISM ACTIVITIES 44 List of Figures Figure 3-1 Visitor Export and International Tourist Arrivals 13 Figure 4-1 Sector of main income 16 Figure 4-2 Regional distribution of Members of AHTPI 17 Figure 4-3 Length of business activity 17 Figure 4-4 Ownership structure 18
Contents Figure 4-5 Business registration 18 Figure 4-6 Classification of accommodation 20 Figure 4-7 Combination of business activities 21 Figure 4-8 Turnover 2012 22 Figure 4-9 Comparism of turnover 2012 to 2013 23 Figure 4-10 Occupation Rate 24 Figure 4-11 Operating costs of enterprises 25 Figure 4-12 Composition of costs 26 Figure 4-13 Development of Profitability over 2 years 27 Figure 4-14 Changes to increase profitability of enterprise 27 Figure 4-15 Difficulties in operating business 28 Figure 4-16 Target Markets 29 Figure 4-17 Origin of operating income 29 Figure 4-18 Advertising methods 30 Figure 4-19 Cooperation for marketing and sales 31 List of tables Table 3-1 International Arrivals and Tourism Receipts (2010) 14 Table 4-2 Official MSME Classification 18 Table 4-3 Sample Enterprise Classification 19 Table 4-4 Total Employment generated 19 Table 4-5 Capacity of enterprises 20 Table 4-6 Enterprise activites 20 Table 4-7 Average monthly income 22 Table 4-8 Occupation Rates of Selected African Countries 24 Table 4-10 Total annual turnover based on price per person and occupancy rate per accommodation 25 Perene Consulting pg. 4
Acronyms and Abbreviations Acronyms and Abbreviations AfDB AHTPI BDS DPTURI ESHTI GDP GIZ GoM IFC INE INEFP LPG MITUR OECD PATIs SNV SPDTM TAC UNDP UNECA USAID WTTC African Development Bank Associação de Hotelaria e Turismo da Província de Inhambane Business Development Services Provincial Directorate for Tourism of Inhambane (Direção Provincial de Turismo de Inhambane) Higher School of Hotel Services and Tourism of Inhambane (Escola Superior de Hotelaria e Turismo de Inhambane) Gross Domestic Product German Society for International Cooperation Government of Mozambique International Finance Corporation National Institute of Statistics (Instituto Nacional de Estatísticas) National Institute for Employment and Vocational Training (Instituto Nacional de Emprego e Formação Profissional) Loan Portfolio Guarantees Ministry of Tourism (Ministério de Turismo) Organisation for Economic Co-operation and Development Priority Areas for Tourism Investment Netherlands Development Organisation Strategic Plan for the Development of Tourism in Mozambique Travel Agency Terra Agua Céu United Nations Development Program United Nations Economic Commission for Africa United States Agency for International Development World Travel and Tourism Council Perene Consulting pg. 5
Executive Summary Executive Summary Purpose of Study The tourism baseline study is a descriptive survey that provides quantitative and qualitative information on the current status of selected tourism enterprises in Inhambane Province. The survey includes a systematic collection of data from a sample of tourism enterprises and the presentation of this data hereby clearly describing their economic situation as well as describing the tourism sector in Inhambane Province. The purpose of the tourism baseline study is to deliver grounds for comparisons and judgement at a later point in time about the quality and development results achieved by the ProEcon Programme. The survey was conducted by Perene Consulting, a private consultancy company, and took place throughout the months November 2013 to January 2014. Project Background The ProEcon Program has established a partnership with the Inhambane Province Tourism and Hotel Association (AHTPI). The objective of the partnership is to strengthen AHTPI s capacity to develop and provide sustainable and high quality business development services (BDS) services to the tourist operators, resulting in their increased competitiveness. As a complementary intervention, ProEcon has engaged in a partnership with the inbound operator, the travel Agency Terra Agua Céu (TAC). The partnership aims to increase the international marketing of Inhambane Province as a tourism destination, resulting ultimately in more tourist arrivals and increased business opportunities for the local tourism operators and the local population. Evaluation Design and Methods The survey provides economic information on tourist establishments of the tourism industry, and elaborated on market access and product diversification. In summary, the five main criteria were analysed: Increased turnover Increased income Cost reduction per unit Access to new markets Diversification of production The baseline survey also elaborated on the structure of the tourism supply (e.g. on purchase of consumer goods, beverages, food, etc). The survey methodology was developed in accordance with received Terms of Reference and Perene s research outline. The AHTPI assisted the research with valuable inputs to specific questions and by introducing the survey to its members and in encouraging their participation. The research method included a combination of empirical quantitative and qualitative research techniques and combined information gathered in the field with secondary information. The empirical investigation covered a sample of 58 entrepreneurs in the Municipality of Inhambane (which includes Tofo and Barra), Jangamo, Inharrime, Vilankulo and Inhassoro which were interviewed using a standardized closed-end questionnaire (quantitative survey). The survey was complemented by a qualitative assessment which included ten semi-structured interviews with tourism enterprises selected by purposive sampling. Perene Consulting pg. 6