An analysis of the benefits of the growth in tourism to the local communities in the Panorama region, Mpumalanga Province

Abstract

In recent decades tourism has asserted its importance as the biggest employer and foreign exchange earner in both the developing and developed countries. Consequently, there has been increasing attention to tourism development as a strategy to stimulate economic growth, local economic development and poverty alleviation, especially in the developing countries. This study was undertaken with the objective of determining the direct benefits of the growth in tourism to the local communities in the vicinity of protected areas in South Africa's Mpumalanga Province. The tourism sector is strategically located within the economic mainstream as it links easily with other sectors of the economy such as agriculture, hospitality, transport and entertainment. It has added advantages, including the fact that the tourist product is consumed at the destination. This offers local communities opportunities in job creation, skills development, economic empowerment and social development. The study found that meaningful involvement of local communities in the tourism industry through ownership of tourism-related enterprises was almost non-existent. There were no meaningful linkages between the industry and the local communities other than the communities' supply of unskilled labour. There were also no programmes aimed at harnessing the phenomenal growth in South Africa's tourism for the economic empowerment of local communities. The economic empowerment of local communities need not be achieved through the ownership of tourism-related enterprises only, but may also include shareholding, outsourcing, affirmative procurement and social responsibility programmes by the industry.The continued marginalisation of the local communities by the tourism industry was attributed to unsatisfactory progress with the industry's transformation. The launch of the Tourism Black Economic Empowerment Charter and Scorecard in 2005 provided impetus for the transformation of South Africa's tourism industry. However, more work still needs to be done in the identified areas of ownership and control of tourism-related businesses, distribution of tourism benefits and the development of tourism-related skills and entrepreneurial culture in local communities. The role of the private sector in stimulating community involvement in tourism is particularly important. The private sector is singled out because of government policy that tourism development would be regulated by government and be private-sector driven. Furthermore, the private sector has the capacity and the resources to mobilise, not only to improve the attractiveness and marketing of a destination and the overall management of the tourism industry, but also to build thriving local communities.