Common Standards in the measurement of economic effects by cruise tourism
One of the main differences between cruise tourism and traditional tourism is that factors of production of the cruise industry can be acquired from a range of countries. Generally, a tourist destination capital can be sourced internationally but the other factors inputs are obtained from the tourist destination country. No such limitations apply to cruising. Cruise companies can operate as multinational entities, where resources do not need to be acquired from a specific country1.
The cruise tourism has a significant economic impact, both globally and at regional and local levels. Recently, the cruise ship industry has been the fastest growing segment in the overall tourism worldwide.
Cruise industry contributes substantially to local, regional and national economies. The cruise lines also boost global economy supporting around 940 thousand jobs and paying around $40 billion in wages worldwide. Handling around 22 million passengers, cruise industry contributed nearly $129 billion to global economy in 20142. In Europe the cruise industry supported nearly 350 thousand jobs, paying €10.75 billion in wages in 2014. Cruise lines spend substantial amount of money every year purchasing supplies and services from numerous businesses, including food services, agriculture, textiles, airlines, hotels, etc. By 2020 the cruise industry will invest over $25 billion in its fleet development, driving job creation and purchases of goods and materials that support local economies worldwide3.
1 Cruise tourism: economic, socio-cultural and environmental impacts,(2014)
2 Travel & Tourism. Global economic impact& issues 2017. World Travel and tourism Council
3 Fact Sheet. The cruise industry’s economic impact. Cruiseforward.org
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