Sustainable Tourism Law

642 SUSTAINABLE TOURISM LAW Annex 1 – Major trends in tourism: the scenario driving the future of the sector European tourism today • Representing a global phenomenon, tourism makes up an important portion of the global economy and is Europe’s largest single industry, involving more than two million companies (almost all SMEs) and employing 7.7 million people. • Europe makes up the biggest global touristic destination, representing around 60% of the worldwide international touristic activity. The flows are predominantly internal – four fifths correspond to leisure tourism – only 13% originates from non-member countries. Concerning the exportation of tourism, 75% of European citizens remain in European territory. Current global circumstances • The security crisis, fear concerning health issues, unemployment and the slow progress of the economy, with companies introducing cuts on business trips, stand out. Tourists turn to the internal market or to short course destinations, causing a significant reduction in the airline capacity. Mid-term and long-term demographic and social change • In developed countries, the percentage of the population who is over 60 years old is going to increase from one-fifth to one-third in the next fifty years, and tourism is going to be one of the activities which will benefit the most from these demographic changes. • On the other hand, it has been verified that this age range spends much more time in the South of Europe on account of the climate and the touristic infrastructure available, doing it during low season. The search for residences, with a more or less permanent nature, occurs in these touristic destinations as well. • Families, now with fewer children, larger incomes and a bigger labour flexibility, increase their short-term vacations and search for services with better quality. Changing political attitude and increasing economic pressures • By expecting that government financial support to tourism decreases, a growing sensibility on environmental matters will lead to a more protective legislation that will affect in particular adventure tourism . • The taxes, charges and prices associated with environmental protection and the increase in costs related to better consumer protection, costs of better accessibility for people with disabilities and the rise of insurance charges will augment the pressure on the private sector “to provide its product at a price that the consumer expects”. • Growth of competition between corporations and destinations in a sector of vertical integration. Changes in the transport sector • The continuing growth of low cost airlines that use regional airports will privilege the destinations in which they operate, benefiting as well the growth of short- term vacations. The emergence of new tariff structures and the electronic market privileging the products created by the consumer, in opposition to the traditional touristic packages, both for short-haul and long haul travelling. • Airlines will adjust their fleet to the capacity that assures the highest income, this way anticipating the reaction to sudden rises and peaks in demand, continuing to face increases in fuel price. • Low probability of maintaining the current growth rate of the individual vehicle in tourism. The success of London regarding the circulation rate to obviate traffic congestion is going to be applied in other cities, limiting the movement of tourism buses and increasing, consequentially, the utilization of public transportation. Source: Communication of the Commission: “Basic orientations for the sustainability of European tourism”.