The travel industry finally may see a light at the end of the tunnel that is not an oncoming train.
The U.S. Senate voted last week to approve the Travel Promotion Act, which sets up a nonprofit funded by a $10 fee on certain foreign travelers and private contributions to promote travel to the United States. President Obama signed the act.
Travel to the U.S. has taken a pounding since the attacks on the World Trade Center and the Wall Street crash of 2008. One explanation is that foreign travel to the U.S. has been down due to the perception that measures taken to prevent terrorism attacks have made it exceedingly difficult for visitors to enter the country. At the same time, tourism in the rest of the world has been up significantly.
The U.S. Travel Association estimates that 2.4 million fewer visitors came to the U.S. in 2009 than in the year 2000, though the U.S. Department of Commerce estimates the number at 633,00 fewer visitors.
Oxford Economics, a consulting firm, estimates that better promotion of U.S. travel will generate 1.6 million new foreign visitors and $4 billion in new spending. In turn, that would generate an estimated $321 million in new tax revenue.
The beleaguered Sun Valley area could benefit. More visitors to the West will increase the likelihood that more foreign visitors will discover this vacation spot.
The Travel Promotion Act will help one of the nation's largest job-producing industries recover, put it on a more even footing with nations that are spending far more money on travel promotion, and do it with no cost to taxpayers.
That's a smart investment.
