Hotel chains will be lured to N.Z.—Labour

Press, 28 June 1983, Page 3

Hotel chains will be lured to N.Z. —Labour

PA Wellington Attractive opportunities for overseas hotel chains to invest in New Zealand would occur under a Labour government, said the Leader of the Opposition, Mr Lange, yesterday. But overseas chains should come to this country on New Zealand’s terms, said Mr Lange, in an address to the Motel Federation in Hastings. There was little doubt that New Zealand would benefit through more tourists if there were more overseas hotel chains in the country, if only because those chains would need to produce high occupancy rates to stay profitable, he

said. “But it is not the intention that a Labour government provide promotional assistance for New Zealand tourism so that overseas hotel chains can reap the benefits,” he said. “I would prefer a situation where there was a partnership of management and investment of overseas and New Zealand operators. “Overseas hotel chains should come here on our terms, and be prepared to work with us in furthering the tourist sector plan. I am sure they will do this. This country will not be a haven for the speculator. But there will be attractive opportunities, provided the main

benefit from investment is to New Zealand and its people.” Mr Lange committed a Labour government to some form of partnership with the tourist industry to promote tourism. Tourism had suffered for too long from haphazard development and the lack of an over-all direction and plan, he said. “Government and private enterprise must work hand in hand, although I emphasise that once in place the sector must be relatively independent in carrying out its objectives.” A Labour government would be able to assist in market definition, levels of investment, transport planning, and assessment of the objectives. Mr Lange said it would need to be a leader in providing initial investment in these undertakings, ironing out some of the risktaking, but the private sector would be expected to follow in a more specific way.