What Role Does the WTO Play in the Tourism Industry?

By Michael Ferguson

The World Trade Organization (WTO) is a global organization that aims to promote free trade and reduce trade barriers between member countries. The tourism industry is one of the many industries that the WTO has an impact on. In this article, we will explore the role of the WTO in the tourism industry.

What is the WTO?

The WTO was established in 1995 and is headquartered in Geneva, Switzerland. It currently has 164 member countries, which account for over 98% of global trade. The organization’s main objective is to help businesses conduct trade smoothly and predictably, by providing a framework of rules and regulations that govern international trade.

The Role of the WTO in Tourism

Tourism is a significant contributor to many national economies worldwide, and as such, it’s an essential industry for many countries. The WTO plays a crucial role in facilitating international tourism by working with its member countries to create policies that promote sustainable tourism growth.

Trade Facilitation

One way that the WTO supports tourism growth is through trade facilitation. This involves reducing barriers to travel by simplifying customs procedures, improving infrastructure such as airports and roads, and reducing visa requirements.

Example: In 2016, Indonesia reduced its visa requirements for tourists from 169 countries as part of its efforts to increase foreign tourist arrivals. This move was welcomed by the WTO as it would help facilitate international travel and increase tourist arrivals.

Promoting Sustainable Tourism

The WTO also plays an important role in promoting sustainable tourism practices. This involves creating policies that ensure tourism development does not harm local communities or damage natural resources.

Example: The government of Costa Rica has implemented policies aimed at promoting sustainable tourism practices such as eco-tourism. This has helped attract tourists interested in environmentally friendly travel while also helping preserve Costa Rica’s natural resources.

Providing Tourism Statistics

Another way that the WTO supports the tourism industry is by providing statistics on tourism trends. This information helps member countries make informed decisions on tourism policies and investment.

Example: The WTO publishes an annual report on international tourism that provides data on tourist arrivals, revenue generated by the industry, and other relevant tourism statistics. This information is used by governments and businesses to make informed decisions about their tourism activities.

Conclusion

In conclusion, the WTO plays a significant role in supporting the growth of international tourism. Through its policies, the organization helps reduce trade barriers to travel, promotes sustainable tourism practices, and provides relevant statistics to its member countries. As a result, the WTO is a vital player in ensuring that international travel remains accessible and sustainable for everyone involved.