Page 140 - UGU Dstrct Mun IDP Report '21-22

Figure 3.11.7.1 Economic Impact of Tourism
Table 3.11.7.3 and Figure 3.11.7.1 shows that the ‘VFR’ market for international trips contributed between R157.9 and R315.8 million (which is 52% of the economic impact of all trips) to local economy of the South Coast region. Following on from the ‘VFR’ market is the ‘Holiday’ market which contributes between R81.9 and R163.9 million (which is 27% of the economic impact of all trips) to the local economy.
Table 3.11.7.5: Breakdown of Markets, All Trips, 2014
The biggest challenge of the district when it comes to tourism remains the difference between the developed / tourist coastal strip and the underdeveloped/rural hinterland. The other challenges facing the tourism sector in the district are:
• There is a small range of tourism products in the district as the tourism product in the area revolves largely around the
beaches.
• There is a general lack of skill amongst local people especially the rural people as they do not have an understanding of
what kind of tourism businesses could be successful.
• There is poor accessibility to areas outside the coastal strip as the roads leading into the inland section of the district are
very poor and as a consequence, very few tourists venture that way.
3.6.11 Manufacturing (Industrial)
Manufacturing / Industrial can be classified to Light and Agro-industrial areas in the Ugu District Municipal area of jurisdiction.
3.6.11.1 Agro-Industrial Areas
The Ugu Fresh Produce Market provides retailing and limited agro-processing opportunities as well as a link to the Durban and Eastern Cape markets. The Market has a large area of land available for the expansion of agro-processing facilities ranging from fresh food to dry goods packaging. The market acts as a distribution point for fresh produce from all over South Africa. Since
Economic Impact of Tourism: International vs Domestic
No. of Tourists
Percentage (Avg. Est.)
Direct Spend
Multiplier/Indirect Impact
VFR
31 958
52%
R 157 905 269
R 315 810 537
Holiday
16 594
27%
R 81 989 274
R 163 978 548
Business
9 219
15%
R 45 549 597
R 91 099 193
Other
3 687
6%
R 18 219 839
R 36 439 677
Total Int. Trips
61 458
100%
R 303 663 978
R 607 327 956
138 UGU DISCTRICT MUNICIPALITY