Conferences and expos

Record year for Cape Convention Centre

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20 October 2011

The Cape Town International Convention Centre (CTICC) contributed R2.7-billion to South Africa's gross domestic product (GDP) in 2010/11 – a 16% year-on-year increase – and helped create over 7 800 jobs, underlining the growth and impact of business tourism in the country.

Announcing the centre's annual results at a press conference on Wednesday, CTICC CEO Rashid Toefy said that, despite the aftershocks of the 2008-09 global recession, the centre had "continued to deliver and exceed all expectations in terms of its contribution to the economy of South Africa and the Western Cape."

Toefy said the CTICC had generated over R143-million in revenue and contributed to the creation of over 7 800 direct and indirect jobs, while generating 1 243 910 delegate, visitor and tourist days in Cape Town, the highest in its eight-year history

"Of these visitor and tourist days, 437 500 (35%) were comprised of international visitors and delegates," Toefy said.

A study by economist Barry Standish and economic modeller Antony Boting had quantified the centre's economic performance in real terms, showing that the CTICC had contributed R2.7-billion to South Africa's GDP in 2010/11, an increase of over 16% compared to 2009/10.

Inflation aside, the primary factor in the increased contribution to GDP was "induced tourism", or tourism resulting from visitors to the centre who returned to the city at a later stage, as a result of which international tourists spent nearly 422 000 days in South Africa in 2010/11.

Economic, environmental and social performance

"CTICC is not merely an events and meetings venue, but a key driver of jobs and opportunity creation," Toefy said, noting that 58% of CTICC procurement spend in 2010/11 was with black economic empowerment (BEE) businesses and suppliers.

The CTICC awarded over 32 tenders worth over R53-million in the course of the financial year.

"Enabling the development and growth of small, medium and micro enterprises (SMMEs) is a core strategic imperative for the CTICC, and effective BEE supply chain procurement practice has always formed part of the centre' key performance indicators."

Toefy said the CTICC had, in the space of eight years, contributed R16.8-billion to the national economy, and was expected to contribute another R18.1-billion over the next five years, bringing it closer to achieving its vision of being the best long-haul international convention centre by 2020.

SAinfo reporter