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Tourism Industry of Sri Lanka

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Tourism Industry of Sri Lanka
1. SRI LANKA A DESTINATION FOR TRAVEL AND TOURISM

1.1Tourist arrivals through the years

Over the years Sri Lanka has been a tourist attraction. The tourism industry in Sri Lanka has gone through an up and down road mostly due to the instability of the country. The graph below shows these fluctuations.

Source: Annual Statistical Report of Sri Lanka Tourism-2007 & Sri Lanka Tourism Development Authority.
The above graph shows how much Sri Lanka’s tourism industry has declined considering that the world tourism rate has gone up considerably.
The growth of world tourism in the year 2007 is 7% and in 2008 it was 2% comparatively the growth rate of Sri Lankan tourism in the year 2007 is -11.7% and in 2008 it was -11.2%. 1.2 A detailed view of tourists in the years 2006, 2007 and 2008 in a monthly basis.

Source: Annual Statistical Report of Sri Lanka Tourism-2007 & Sri Lanka Tourism Development Authority.
As you can see the tourist arrivals has declined clearly during the years 2006, 2007and 2008 in a monthly basis as well. The earlier months of the year 2009 shows the same pattern of decline [January and February] 1.3The Average duration of a visit to Sri Lanka in years 2006, 2007 and 2008.

Year
Duration (Nights per visit)
2006
10.4
2007
10
2008
9.5

With the above figures it is clear that the duration spend by tourists on a visit to Sri Lanka has declined over the concerning years.

1.4The Top Ten markets of tourist arrivals
The top markets that we have, for the past few years hasn't changed much. India remains as the best tourist generating country for Sri Lankan tourism for the past years. The table below shows the top ten markets in 2006, 2007 and 2008
2006
2007
2008
Market
Total arrivals
Percentage share %
Market
Total arrivals
Percentage share %
Market
Total arrivals
Percentage share %
India
128370
22.9
India
106067
21.4
India
85238
19.4
U.K
88306
15.8
U.K
94060
19
U.K
81331
18.5
Germany
47402
8.5
Germany
35042
7
Maldives
31564
7.2
Maldives
24831
4.4
Maldives
29539
5.8
Germany
30625
6.9
France
22693
4.1
Australia
20241
4
Australia
19536
4.4
Australia
21849
3.9
Netherlands
17526
3.5

Russia
15797
3.6
U.S.A
20700
3.7
U.S.A
16486
3.3
U.S.A
14053
3.2
Netherlands
19360
3.5
Japan
14274
2.8
Netherlands
13030
2.9
China
16274
2.9
Russia
13621
2.7
France
10594
2.4
Japan
16182
2.9
China
11949
2.4
Canada
10258
2.3
Total
405974
72.6
Total
358805
71.9
Total
312026
70.8
Source: Annual Statistical Report of Sri Lanka Tourism-2007 & Sri Lanka Tourism Development Authority. 1.5Foreign Exchange earnings generated through tourism industry in Sri Lanka.
Tourism has been one of the main industries in Sri Lanka, holds the 4th position with Rs 42,519 million in the foreign exchange (FE) earnings in the year 2007.
In the year 2008 the FE earnings dropped to Rs37, 094 million making tourist industry the 6th largest FE earner.
FE receipts per tourist per day for the years of 2006, 2007 and 2008 are respectively US$ 83.4, 79.1, and 76.7. 1.6 Sri Lanka comparatively
World (millions)
Asia & Pacific (millions)
South Asia (millions)
Sri Lanka (millions)
924
188
11.3
0.44
Tourist arrivals as a percentage in the year 2008

World Asia & Pacific 100% 20%

Asia & Pacific South Asia
100% 6.1%

South Asia Sri Lanka 100% 3.8%

2. SWOT 2.1SWOT Listing
Strengths
Beaches
Wild life
Natural resources
Different cultures
Different climates
Eco tourism
Hospitality
Health tourism

Weaknesses
Poor infrastructure
Political situation
War situation
Poor security
Integral marketing is poor
Economic situation the country faces
Tendency to overcharge tourists

Opportunities
Newly rich countries been travel oriented
Economic recession
Northern part of Sri Lanka been untapped
Monotonous destinations around the world eco tourism destinations
Health issues in some of the countries
Make partnerships with countries
Threats
Environmental threats
Bad perception about the country
Other growing Asian countries capturing the market
Misleading news around the world about the war situation

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