TOKYO, Japan- As the Northern Marianas struggles with tourism in a freefall because far fewer Japanese are traveling to Saipan, consider this: Japan wants 10 million inbound tourists in 2010. And Tokyo is sparing no yen to reach the target.
Since its launch four years ago, the national government's Yokoso Japan (visit Japan) campaign has seen its budget nearly double. In 2003, Japan spent Y2 billion, or $17.5 million to lure foreigners to the country. That amount increased to Y3.6 billion, or $31.5 million, last year. Tourism accounts for six percent of Japan's national income.
“Here in Japan, we rely more heavily on industries other than tourism. But we believe inbound tourism has a great potential to revitalize the economy,” says Tetsuro Hirata, senior director of the Japanese government's international tourism division, which is part of the Ministry of Land, Infrastructure and Transport.
Currently, international tourism in Japan lacks balance. In 2005, for instance, the country sent 17.4 million travelers overseas but received only 6.73 million foreign visitors.
The disparity is reflected in travel spending. According to a 2004 study by the ministry, the travel industry generates Y24.4 trillion, or $213.7 billion, a year for the national economy. But only 6.7 percent of the total amount is contributed by foreign tourists. In dollar terms that is $14 billion a year.
The sizeable remainder is spent by the Japanese. This includes Y21.1 trillion, or $184.8 billion, on domestic trips, and Y1.7 trillion, or $14.89 billion, on preparations for trips abroad.
Tourism has a huge economic ripple effect, notes Hirata. In addition to the direct impact of travel spending, tourism creates jobs and production demand.
To increase inbound tourism, the Japan government launched Yokoso Japan-literally, “Welcome to Japan”-campaign in 2003. The goal: to have 10 million foreign tourists visiting Japan in 2010.
The campaign initially targeted five main markets: South Korea, China, the United States, Hong Kong, and Taiwan. The United Kingdom, France, and Germany were added in the second year. Canada, Australia, Singapore, and Thailand followed in the third year.
Hirata said there is no plan to add any more to these so-called “priority markets.” The 12 countries account for 90 percent of total tourist arrivals to Japan.
South Korea is Japan's largest tourism market. Three in 10 foreigners visiting Japan are from its closest neighbor. Taiwan is the second largest, representing 18 percent of tourist arrivals to Japan. China (excluding Hong Kong) and the United States share the third spot with 11 percent each of the market share.
The Yokoso Japan campaign has been a success, says Hirata. International arrivals have hit a new record each year since 2003. The six million mark was reached for the first time in 2004. The following year, the tourism industry set a new benchmark of 6.73 million visitors.
To achieve the target of 10 million inbound travelers in 2010, arrivals must grow by 8.2 percent a year from 2005. The Yokoso Japan campaign is on track to reach this goal. Arrivals increased to 7.3 million in 2006, or by 9.6 percent from the previous year. A period-to-period comparison shows that arrivals have grown 13 percent as of August 2007.
The challenge for Japan now is to reach out to the high spending business traveler, even as it attempts to break from its image as an expensive destination.
“Business travelers, of course, have a greater economic impact-they stay in good hotels, eat good meals.. But the young travelers are potential repeat visitors. Once they start earning their own money, they will come back and spend more,” Hirata says.
Japan has made it a national goal to become Asia's top venue for international conventions. At the same time, the country's tourism board has launched the “Affordable Japan” campaign, offering tips to budget travelers.
(Correction: A photo of Satoshi Kawai, which ran in Thursday's Saipan Tribune, was used courtesy of Pacific Magazine.)
Editor's Note: The writer was a 2007 Sasakawa Pacific Island Journalism Fellow. This story was written while on the fellowship in Japan.
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