ATEC Deputy Managing Director Gary O’Riordan said the decision to cap the Export Market Development Grant Scheme (EMDGS) reimbursements to exporters is “an extremely disappointing development”.
If the Federal Government doesn’t reverse its decision to cap EMDGS reimbursements to $27,500 for the first portion in 2009/10, Australian inbound tourism businesses may be forced to slash overseas marketing budgets.
O’Riordan said, "Many Australian tourism operators have committed to export-marketing activities with the expectation that the Government would reimburse eligible expenses up to 50% of those expenses."
"However the guarantee for the first tranche is almost half of that from the previous financial year.
“Our members have gone out and conducted their trade-marketing activities in good faith and have budgeted for the reimbursements."We hope the government will reconsider this decision, and that exporters will be reimbursed in full from the second EMDGS tranche," Mr O’Riordan said.
Source = e-Travel Blackboard: C.F