GRIEVANCE DEBATE
Ms BERRY (Whitlam) (12:40): I rise today to talk about the importance of the visitor economy across my electorate of Whitlam. This is particularly important for the Southern Highlands part of my electorate. I would like to thank the tourism and hospitality businesses, producers and community leaders who make the Southern Highlands region one of Australia's most distinctive destinations.
The Southern Highlands has always offered something special. It sits within easy reach of Sydney, Canberra and the Illawarra and offers visitors something unique: authentic regional experiences, beautiful landscapes, thriving villages with historical charm, world class food and wine, a renowned equine sector and a strong sense of community. I want to talk briefly about why the future of Australia's visitor economy is increasingly a regional story and why the Southern Highlands is uniquely placed to benefit.
Australia's visitor economy continues to show its appeal and resilience. The government's THRIVE 2030 strategy is in place to help grow visitor expenditure to $230 billion by 2030, with some $95 billion to be spent in regional Australia. Last year, Australia's visitor economy continued to show strong momentum.
Total visitor spending reached over $190 billion, up 6.5 per cent from 2024. This was driven by solid domestic travel activity and, encouragingly, a rising international spend. While domestic overnight trips remained relatively stable at 113 million, domestic day trips grew strongly and were a major contributor to tourism in 2025.
This highlights the ongoing desire of Australians to travel, with a preference for lower cost and shorter length travel options at the current time. Many Australians continue to travel to regional Australia, where nearly half of the domestic overnight spend occurred in 2025. In addition, international arrivals increased to nearly nine million people in 2025.
There was strong growth in arrivals from many international markets, with particularly strong growth from the United Kingdom and China. International visitors to Australia last year typically stayed for longer and spent more than in previous years. This resulted in a record $39 billion international visitor spend in Australia in 2025.
Travel to Australia for holiday purposes, major events, education and to visit friends or relatives all contributed to growth. On the supply side, industry capability also grew. Accommodation room numbers, flight route connectivity, tourism employment and tourism business numbers all increased last year.
Investment in tourism infrastructure also grew, signalling confidence to invest in the sector's long-term growth. Key milestones facilitating growth include the opening of the new Western Sydney International Airport, increased aviation capacity through key ports, specifically from the Asia-Pacific, and investment in hotels and accommodation. Forecasts point to a positive outlook in growth of international arrivals and visitor spend over the period to 2030.
Importantly, regional tourism has outperformed expectations. That matters for communities like the Southern Highlands because regional tourism is so important for our local economy. Our visitor economy supports local jobs, creates new businesses, drives investment and keeps young people building their careers here in our local community.
This year in the Southern Highlands, annual visitor numbers are expected to be close to two million, which is an extraordinary number. To put this in perspective, this is the same number of people that visit Byron Bay each year. Australians are increasingly choosing shorter trips, destinations closer to home and experiences that offer value and quality.
That trend is particularly encouraging for the Southern Highlands. The proximity of the Southern Highlands to Sydney, Canberra and the New South Wales South Coast places this part of my electorate in the sweet spot: close enough for day visitors, yet diverse enough to encourage overnight stays and extended weekend escapes. With the new airport in Western Sydney, the Southern Highlands is well positioned to receive more arrivals from this nearby major transit point.
The Southern Highlands Destination Strategy identifies tourism, in addition to agribusiness and the equine industry, as priority growth sectors capable of creating jobs, attracting investment and strengthening regional prosperity. Visitors may arrive for business, family gatherings or an equestrian event, but they leave having also visited a cellar door or enjoyed a local brewery, purchased regional produce and spent time exploring local villages and attractions.
That interconnected visitor journey is where the greatest economic value lies for regional economies like the Southern Highlands. Visitors increasingly want experiences, not transactions. The region's wineries are a great example.
Visitors want to meet winemakers, see where the produce is grown, participate in tastings, attend seasonal festivals and understand the story behind the product. The farm, vineyard, brewery and paddock are increasingly part of the visitor experience itself. The wine industry delivers significant benefits across the Southern Highlands, strengthening tourism, supporting businesses and creating local jobs.
It's an important part of what makes our region so attractive. The Southern Highlands has built a reputation that many regions would envy. We're recognised for producing elegant, cool climate wines with real character.
Our altitude, our climate and our unique growing conditions give us a point of difference that can't be replicated elsewhere. The vineyards of the Southern Highlands benefit greatly from the region's cool climate, allowing production of unique wines that are appreciated across the country and across the world. I was pleased to attend a Southern Highlands wine industry roundtable at Bendooley Estate recently, where a range of stakeholders and local winemakers came together to discuss the future of this growing sector.
It was incredibly valuable to hear firsthand some of the challenges being experienced by our local winemakers, as well as where the opportunities for this important part of our tourism sector may lie. Collaboration between businesses and stakeholders is an important factor, which will continue to ensure the ongoing success of our local visitor economy. Local businesses and stakeholders in the Southern Highlands place a high value on the local natural environment.
Environmental protection is not simply a conservation issue; it's an economic issue. Visitors come to places like the Southern Highlands precisely because of our local natural environment. We also know that many travellers look for sustainability options.
In Southern Highlands businesses, sustainability is already being embraced as a competitive advantage. This is part of building a destination reputation that stands out, and there are so many ecologically grounded examples here to mention, whether that's riding and bushwalking trails, wellness retreats and farm stays, or picking and tasting produce straight from its natural source.
These sustainably minded offerings are also meeting a real interest in immersive experiences. The key challenges are scale, collaboration and innovation. These can be and are being met by building partnerships across sectors—for example, wineries working with accommodation providers, equine businesses partnering with restaurants and transport providers, and producers collaborating with event organisers and entrepreneurs packaging experiences that encourage visitors to stay an extra night and spend a little more overall by coordinating the message and knowledge about what each business offers.
The visitor economy presents an enormous opportunity across my electorate. It's important to me to continue to support the growth of the visitor economy because it creates jobs, supports local enterprise, protects our environment and strengthens the unique character of our remarkable region. The Southern Highlands attracts visitors throughout the year with our beautiful countryside, historic villages, gardens, wineries, restaurants, galleries, markets and unique local experiences.
Destinations such as Bowral, Berrima, Mittagong, Moss Vale and Robertson offer visitors a diverse range of attractions and help make the region a popular weekend and short break destination. Accommodation providers, cafes, restaurants, wineries, retail businesses, tour operators and local producers all share in the benefits. This supports employment and helps sustain small and family owned businesses.
Importantly, tourism activity creates opportunities for young people to work and live in their local community. Tourism also strengthens the broader community by encouraging investment in local infrastructure, events and attractions. By valuing the Southern Highlands' natural beauty, heritage and food and wine culture, the region can continue to attract visitors, support local jobs and ensure tourism remains an important pillar of the Southern Highlands economy.