Travel and Tourism in New Caledonia

Political battle for independence

New Caledonia is a special overseas territory of France whose Congress may call for an independence referendum following its Congressional elections in 2014. With pro-independence sentiment growing amongst local citizens, trade sources indicate that a referendum is inevitable before the “right to call” deadline in 2018. However, anti-independence groups have demonstrated strong resistance to this move. The political struggle between the two groups and the instability created in national governance could negatively impact travel and tourism over the forecast period.

Revised National Tourism Strategy

The National Tourism Office of New Caledonia continues to market New Caledonia as the “Pacific Heart” to differentiate itself from other mainstream Pacific Island destinations such as Fiji and Vanuatu. In order to move away from mass tourism, the National Tourism Office has adopted an alternative strategy of providing unique experience-type holidays for high-income Australian and New Zealand tourists. The core of the strategy involves promoting different gastronomy and adventure activities available on the island to supplement traditional relaxation packages.

Resurgence in French arrivals

As a French overseas territory, New Caledonia has always been a popular destination for tourists from France, but the number of arrivals in terms of trips has registered year-on-year declines in the wake of the global financial crisis of 2008 and again during the European financial crisis in 2011. In 2013, the number of trips in arrivals increased slightly, signalling recovery from both financial downturns. It is expected that the number of trips from French tourists over the forecast period will continue to rise as the economy in European nations strengthens.

Opportunity from Asian tourism

Despite a decline in the number of visitors from Japan in 2013, strong growth was observed in other Asian countries such as China and South Korea. With the boom of the Asian economy there is a growing class of wealthy tourists who are venturing to Pacific Islands for holidays. The new wave of Asian tourists is not attracted by wedding and honeymoon packages. In contrast, these tourists prefer well-planned tour and travel packages which include accommodation, food options and personal guides. Affluent Asian tourists are also particularly attracted to French luxury brands and seek this French connection through countries such as New Caledonia. There is significant opportunity to drive travel retail value sales through targeting such consumers.

New Caledonia more attractive for tourists

Despite growing competition from other Pacific destinations such as Fiji, New Caledonia will be increasingly attractive to international visitors, with strong growth forecast for Australian, New Zealander, and Japanese arrivals.

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