eu membership and implications for tourism sector

EU Membership and implications for Tourism sector

Georgios DrakopoulosGeneral Manager

4 December 2003, The Ritz Carlton Hotel, Istanbul

To get the climate...

• EU money

• EU funds

• Community Support Frameworks

• sector specific investment

Characteristics of CSF

• Administration BBBBureaucracyyyy

• Nationwide/Provinces

• general infrastructure

Characteristics of CSF

Total Investment (100%) =

Public Funds (20%) + EU Funds (30%)

+ Private Investment (50%)

Procedure: you pay first, then wait...

Easy going tips

• Decrease level of bureaucracy

• insure transparancy (avoid extra controls in future CSF)

• participate in committees/ influence decisions

• general infrastructure

• prepare plans for sector specific investment

Greek Tourism in CSF

1st CSF (1989 - 1993)

• Tourism 86.5 mi ecu 1,6%

• Primary Sector 619.0 mi ecu 11,4%

• Industry 412.0 mi ecu 7,6%

Greek Tourism in CSF

2nd CSF (1994-1999)

• Tourism 184,3 mi ecu <1%

• Primary Sector 2.0 bi ecu 9.9%

• Industry 1188,0 mi ecu 5,6%

Greek Tourism in CSF

3rd CSF (2000-2006)

800 mi Euro 0,7% of total

ATTENTION!

no balance transfer to future CSF!

EU full membership - Implications for Tourism

PROS

• no currency exchange commission

• price comparison

• easy movements

EU full membership - Implications for Tourism

CONS

• no use of exchange rate mechanism

• strong Euro - less intra EU travel

• no subsidies

• harmonization of taxation policies

general increase of prices!!!

Stories & myths for transition period

• Pricing

• accounting

• equipment - IT systems

• special training

• consumer behaviour

• suppliers chain

• personnel training

SETE

strongly supports Turkey’s

european perspective

and full membership, asap