GMS

1. GMS Poverty Reduction trough Inclusive Tourism Presented by Fabrice Leclercq, ITC-EPRP Lao PDR GMS Sub Regional Pro-Poor Tourism Workshop - Lao PDR - Oct 2008

2. Outline • Export-led Poverty Reduction Programme (EPRP) • Inclusive Tourism (IT) • EPRP approach to IT • Questions & comments

3. Export-led Poverty Reduction Programme (EPRP) • Launched by ITC in July 2002 • Facilitates the participation of poor community producers in global markets • Creates jobs and increases incomes • Helping more than 31,000 poor individuals (66% women) since 2002 • Currently manages 20 projects worldwide • Africa, Asia, & Latin America

4. Global Tourism • One of the fastest growing segments of the world economy • Largest export sector in 1/3 of developing countries • Great potential to integrate poor communities into tourism value chains • Agriculture, hand-crafted products, services, etc. • Great potential for market-based poverty reduction • Benefits tourism operators and local economies

5. Inclusive Tourism Opens up new opportunities to source products and services locally And improve human capital • Inclusive Tourism Aims to increase the income of poor women and men Improve their livelihoods through active participation in tourism value chains A major portion of tourism-generated benefits remains in the local economy • Partnership for Development Find additional hotels partners to support the integration of local communities into tourism value chains Opportunities in agriculture, culture and human resource development will be targeted

6. Our role:Investing in Tourism EPRP will create TPRP (Tourism-led Poverty Reduction Programme) The objective is to improve the livelihoods of communities by involving them in the tourism value chains of tourism destinations ITC works with disadvantaged communities, including: • Groups of informal manufacturers and women entrepreneurs • Farmers • Cultural Groups

7. Our role: Investing in Tourism ITC can provide the International Tourism Community with: • Trade intelligence & technical informationTo better understand what is feasible in GMS countries in relation to the needs of International Hotel Chains Technical supportOn adaptation of agricultural and manufactured products in communities and groups of informal and SME entrepreneurs On the development of services to support the hotel industry Public informationOn the benefits of this initiative, to encourage greater participation of partners to demonstrate how tourism can be more inclusive globally

8. EPRP Approach to IT • Core objectives • Basic principles • Success factors • Stakeholders • Triangle of sustainability • Process flow • Different forms • Comprehensive impact

9. IT Success Factors • Ensure participation & committment • Build on what is already existing • Use a business-like approach • Organize the communities • Forge international & local partnership • Include environment, social and economic factors • Respect local legislations & manage risks

10. IT Stakeholders Community • Group formation & organization • Production and delivery • Local capacity building Tourism Operators • Formal market linkages with community • Product development • Marketing Tourism Support Institutions (TSI) • Training and services • Replication • Networking • Policy advocacy EPRP • Project design • Coordination • Technical support • CBT material

11. Golden rules for an Inclusive Tourism Create links & interactions between Public sector Private sector (multinational & local) NGOs Communities Tourists Enhancing the well being of communities Improving working conditions and access to the industry to locals Improving access to the industry to women Offerinf education & training of local communities Increasing employment: direct and indirect Including local community in the tourism supply chain Improving standards of products and services to meet industry needs Stimulate local economy by Communication & preservation Make a positive contribution to preserve local heritage (culture & enviroment) Involve communities in decisions that concern their lives

12. Hotels’ involvement in Inclusive Tourism Community development • New Job opportunities • At hotels through preferential hiring policy for community members • Tourists guides • Sewing shop • Jobs at waste processing plant • Participation of local communities in managing eco-tourism areas and beaches • Greater gender equality and women’s empowerment: Hotel accessories, uniforms or lamps designed by women • More Education • Development of hotel schools (Sala Baï hotel school in Cambodia) • Trained in basic hygiene and environmental management • Languages courses provide by hotels • Fight against sexual tourism: hotels’ internal policy

13. Innovation • Agricultural and organisational techniques more efficient • Access to different facilities • Provide mentoring and technical support to local entrepreneurs • Improved infrastructures (storage), road constructions, boat transport

14. Economic • New Markets • Construction of artisans shops • Local producers supply hand-crafted products, fruits, vegetables… • The Accor purchasing manager for GMS countries aims to buy products in the country where an Accor hotel is located, then within that region, then on the Asian continent and finally from Europe • Licensing and regulation • Development of by-products Finance • Financial help for opening Khmer historical and cultural sites • Payment for ecosystem services • SME financing  • Investment incentives • Training in financial management

15. Opportunities for the tourism operators & tourists The Tourism industry will benefit from: • Cheaper local products • Technical information Materials/capacities available in the GMS countries To develop and to introduce a GMS-wide visa which would facilitated the tourists flow To develop Mekong waterway tourist attraction • Integrated communications plans To target human resource and product development To decrease poverty, insecurity and crime To work with local travel agent • Support Partnerships between hotels and responsible tourism operators Build management support within the hotel and with other hotels of the same chain • A better tourism management in protected areas By setting up transborder planning and administration arrangements The Tourists will benefit from: Broader range of exotic products offered to the tourists Unique cultural experiences

16. What is Accor doing? Preserving environment • Promote the use of renewable energy sources • “A Tree for a Child”: fighting poverty and protecting the environment • OPEN: environment management system which measures the Group’s environmental performance Preserving cultural ressources • Accor & UNESCO partnership: The Bat Chum temple in Angkor, Cambodia Eco-Certifications • Audubon Green Leaf Certification: provide an audit for verifying an hotel’s eco-efficiency • Novotel undertook a project to obtain Green Globe certification Waste Management • ISO 14 001 certification process • Reduce consumption of water and energy in ownedand leased hotels by 10% • Recyclingrates rose considerably in 2007: 8% for paper and cardboard, 7%for glass, 5% for plastic, 7% for metal and 23% for batteries. By 2010,paper, cardboard and glass will be recycled in 60% of owned and leased hotels.

17. What is Accor doing? Social Supports • In Thailand, Accor is supporting eight severely damaged schools • Accor provides social security coverage: health andsafety protection • Tickets restaurant Intensified training initiatives • Training sessions in ways to combat sexual exploitation children • Film production “Together, Ever More Responsible” Involving suppliers • Sustainable development purchasing charter • Policy of purchasing fair trade, eco-label and other sustainable development product • The Sofitel buys coffee bearing this label for its hotel The Earth Guest program by Accor • Local development • Health • Elimination of sexual tourism involving children. • Management of energy use • Conservation of water resources • Effective waste management • Biodiversity

18. What is Accor doing? Helping local partners get a start • In Senegal Provide useful services to Dakar hotels and create jobs Create greenhouses to provide fruit throughout the year and job opportunities for unemployed locals as guides or in other tourism-related occupations. • In Cambodia Accor and Agrisud support family-run truck farms in the Siem Reap region 10% of the fruit and vegetable produced for tourists purchased by the Sofitel Royal Angkor • Indonesia Protecting biodiversity: Forest management project Increase the local community’s involvement in the management of national forests Provide farmers with access to land Boost income for the local population

19. Partnership Advantages to get partners: Partnership with public sector & governments • Provide subventions and exonerations to reward responsible practices • Limit the risk of conflict or problems • Increase protection of employees • Provide sustainable economic development expertise • Provide in companies training sessions (national ministry of education) Partnership with NGOs • Help to the communities in terms of education, health, infrastructures, protection of the biodiversity • Protect youth from prostitution, drugs, crime Partnership with local producers • Reduce operational costs • Increase customers’ satisfaction when consuming local products or services

20. Partnership Improve public relations, image & communication • Different supports from local communities, government, NGOS… • Supports from media • Receive environment & social awards • Strengthen image & reputation, add value to the destination • Partners with air lines companies to promote the destination Improve product quality • USP: “inclusive tourism” creates authentic experiences • Companies and communities standards lifted from transfer of technology and knowledge • Private sector: improve productivity Improve staff motivation and satisfaction • Reduce turnover & increase the corporate spirit • Reinforce relationship between locals and expatriated employees • Promote hiring, apprenticeship, internships… Increase revenue thanks to the acquisition of new tourists How to optimize these contracts: • TQM certification • Storage management • Training for services providers

21. Partnerships which would help to the quality management Partnership with EcoCert for example • Guiding principles: cultural respect & creation of local employment through certification control • Share knowledge in management system for the environment and quality • Representative in GMS countries • Partnership with NGOs for environment and social issues Partnership with Sustainable Travel International: Sustainable Tourism Eco-Certification Program(STEP) • Enhances Quality: increase the average expenditures per tourist • Focuses on impact management: more attractive environments and better products • Provides access to quality standards • Lowers costs through resource productivity and waste reduction while positively contributing to environmental conservation and the well being of local people • Helps to safeguard the livelihood of local and indigenous people • STEP’s logos demonstrate commitment and performance to environmental and socio-economic issues

22. Main Partners • Asian Development Bank • FAO • ASEAN Tourism Association • The Asia Foundation • GMS Ministries of Tourism • Ministries of Environment of each country • Foreign affairs ministries • SME Promotion and Development Office in Vientnam • Ministry of Education in Cambodia • Tour operators association • Local NGOs

23. Main Partners • Humanitarian organisations • Hotel School management Sala Baï in Cambodia created by “Agir pour le Cambodge” • LAO Hotel and restaurant Association Supported by the Lao National Chamber of Commerce and Industry Support training and provide a range of training resource material for operational and administrative • LAO Trade Promotion Center Exportations promotion under the ministry of industry and commerce • LAO Handicraft Association • Stung Treng Women's Development Centre & Mekong blue

24. Hotel Chainsin GMS countries Accor Four seasons • Corporate values: Building Communities & Supporting Sustainability Ritz Carlton • Community Footprints programme IHG Intercontinental Hotels Group • Community partnerships - Review structure and process • Supporting local economies - Supplier diversity - Workforce development Marriott • Social responsibility and community involvement

25. Tourism expenditures in the local economy

26. Inclusive Tourism projects Currents projects Brazil Colombia India Mozambique Senegal (2, inc.Accor proj.) The Philippines

27. Thank You For more information please contact: Fabrice Leclercq Senior Trade Promotion Adviser International Trade Centre (ITC) Palais des Nations CH-1211 Geneva 10 Tel.: +41 22 730 0417 Fax.: +41 22 733 4439 E-mail: eprp@intracen.org Web: www.intracen.org/eprp