Trip To New Zealand To Become Expensive As Country Levys Hefty Taxes, Increases Tourist Visa Prices

Visiting New Zealand’s lakes, mountains, bike trails, and wineries will now be more costly as the country is set to impose hefty taxes on its international tourists. The island nation is increasing its International Visitor Conservation and Tourism Levy (IVL) from NZ$35 ((Rs 1,825) ) to NZ$100 (Rs 5,214) from October 1. Tourist visa prices have also been increased along with the higher IVL. Higher prices for tourist visas kick in on October 1, going from $131 to $211.

“International tourism also comes with costs to local communities, including additional pressure on regional infrastructure and higher upkeep and maintenance costs across our conservation estate,” Matt Doocey, New Zealand’s Minister for Hospitality and Tourism, said in a statement announcing the news, reported CNN.

According to the CNN report, the IVL was introduced in 2019 to help cover the costs of environmental protection nationwide. According to Doocey, international tourists spent more than $11 billion in New Zealand between March 2023 and March 2024.

However, the hike in the IVL has drawn heavy criticism from the Tourism Industry Aotearoa (TIA), a consortium of travel industry professionals from across the country.

“New Zealand’s tourism recovery is falling behind the rest of the world, and this will further dent our global competitiveness,” the group said in a statement. The group believes that New Zealand will lose tourists to Canada and the UK, where flights are more plentiful and entry fees less prohibitive.

Citizens of 60 countries and territories, including the United States, Canada, Singapore, Japan and Mexico, can enter New Zealand and are eligible for a visa waiver that will allow them to stay up to three months in the country for tourism purposes. Travellers holding these passports are still required to get an e-visa and pay the IVL.

Due to the new rules, the government expects that it will take longer for visas to be processed this year. Immigration New Zealand announced that people hoping to visit during the Christmas holiday period should apply for tourist visas no later than October 15 and those planning to come for Lunar New Year should get their applications in by November 15.

Whether they’re called an IVL, an access fee, or a travel incentive, “tourist taxes” are one of the hottest conversations in the travel industry right now.

Some 60 destinations around the world, from Venice to Bhutan, charge some kind of fee for travelers simply to enter and visit – not including the costs of meals, hotels, or admission tickets. Nearly all of the places with these tourist taxes say that the fee is necessary to offset the congestion, environmental damage and other side effects of overtourism.

And it doesn’t look like these fees are going away any time soon. Edinburgh, Scotland and Zermatt, Switzerland are among the places considering charging fees in the future.

According to a study from Bangor University in Wales, “there is little evidence of tourists being put off from visiting” destinations that have tourist taxes.