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Franchising News South Africa

TOMSA levies for exhibition industry

At a recent member presentation hosted by the Exhibition Association of Southern African (EXSA), Adrienne Harris, Projects Manager for the Tourism Business Council of South Africa explained how TOMSA levies relate to the exhibition industry.

Several years ago government and the tourism industry recognised the need for a significant increase in the budget required to market South Africa internationally as a tourism destination.

TOMSA (Tourism Marketing South Africa) was established as a trust by the Tourism Business Council of South Africa (TBCSA), a private-public partnership. Its objective is to raise the necessary funds through the application of levies (known as TOMSA levies) on South African tourism products.

Currently, the payment of TOMSA levies is not legislated and is therefore optional with the service provider being responsible for the collection of levies. TOMSA levies is one of the rating criteria in the Tourism BEE Scorecard.

The contribution of TOMSA levies to SA Tourism would give the exhibition industry and EXSA a stronger voice within the tourism industry. The exhibition industry would experience the positive impact of SA Tourism's increased marketing efforts on business tourism.

EXSA is currently negotiating with the TBCSA on the options available for the introduction of TOMSA levies to the exhibition industry.

Points under consideration include whether levies would be applicable to both exhibition organisers and venues, whether they are to be based on space sold or visitors and whether they would be extended to the suppliers to the industry.

Lynn Chamier, Chairman of EXSA's Organisers Forum, says: "We are pleased that we are in the enviable position of being involved during the initial stages of this decision. We are looking towards an arrangement that serves the interests of our members and those of the greater business tourism industry."

On a broader platform, the South African Meetings Industry Federation (SAMIF) which represents the greater business tourism industry will meet with the TBCSA to discuss the application of TOMSA levies within its industry. EXSA will advise its members of the developments.

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