Document Sample
                                                         B&H TOURISM CLUSTER NEWSLETTER
                                                                                                                       Quarterly Newsletter
                                                                                                                       VOLUME 2
                                                                                                                       June 2006

Transforming potential into a competitive B&H tourism product

      &H has great potential for tourism development, which can      promotion. Where better developed, the tourism promotion leader
      become a strong contributor to overall economic growth         is a national or state tourism organization, a budget -financed
      of the country. However, B&H does not have a concept           institution very often including financing through partnership
for development of sustainable tourism with clearly defined           relations between the public and private sectors. The intricate B&H
objectives, priorities and actions.                                  political structure places tourism under the entities’ authority. A
The first issue to be tackled by the strategy is defining the B&H      national tourism ministry does not exist. The FBiH Tourism Board
tourism product. It is an undisputable fact that B&H abounds         and the RS Ministry of Trade and Tourism established the B&H
with cultural and historical monuments and heritage, natural         Tourism Association to present B&H at international markets.
beauties, mountains, well-known spas, ski centers, national parks,   However, this Association does not have conventional sources of
sea, and places of worship for religious tourism. However, good      finance, and lacks adequate regular staff to adequately promote
potential does not necessarily mean a tourism product. Tourism       tourism. B&H tourism development strategy needs a State-level
development strategy should frame assessment and valuation           Ministry of Tourism as a regulatory agency, and needs to properly
of those potentials that can be turned into tourism products         fund a national tourism organization as a promotional body.
with competitive advantages compared with other destinations.        Finally, the absence of the Law on Tourism at the State level
Subsequently, it is necessary to find the most effective way           contributes to the disarray in the sector. Tourism Development
of presenting the B&H tourism product to the global tourism          Strategy should address these issues to create the conditions for
market.                                                              B&H tourism contribute its potential for the country’s economic
Many countries face the issue of fragmentation in tourism            development and job growth. = Milena Pavlović

                                                                      Presentation of BiH Tourism
 BiH Tourism Promotional Logo                                         Promotional Logo

     he new tourism and promotional           time after the war, introducing new and         representatives of art, film, history,
     logo of Bosnia and Herzegovina was       better colors in the picture of our country,    marketing, and architecture, including
     introduced on May 24th, 2006. “The       “stated Adnan Terzic, President of the          two foreign journalists, and a CCA
country’s image is one of the key factors     B&H Council of Ministers, at the tourism        communications specialist, evaluated
in attracting foreign investments. This       logo promotion press conference.                the offered designs. The selected logo
leads to creating new jobs. This is very      The USAID Cluster Competitiveness               was designed by the Fabrika Marketing
important for B&H and for development         Project (CCA) supported its partners in         Agency from Sarajevo. CCA expects that
of all tourism potential; furthermore,        the process of logo development in which        the new logo, as the first step in creating
according to current assessments, B&H         the most prominent B&H marketing                unique and specific brand of B&H, will
would be able to earn KM two billion          agencies participated. Options that             be adopted by the state bodies so as to
in tourism before 2015. The tourism           were offered were designed by domestic           make its application obligatory for all
promotional logo will give B&H a visual       companies following world trends. A             institutions. CCA continues to support
identity outside the country for the first     twelve-member panel, consisting of              the B&H branding process. =
                                           CLUSTER DEVELOPMENT ACTIVITIES

                                            SARAJEVO REGION                                                                   B&H GETS FIRST
                                           TOURISM CLUSTER                                                                   RAFTING SKIPPERS
                                           ACTIVITIES                                                                        Development of rafting quality on B&H Rivers

                                           Development of cultural and historical heritage offer
                                           of Sarajevo with the aim to attract foreign tourists

                                                   ith the Conference “One Million Visitors” held in March
Competitiveness is created not inherited

                                                   2006, Sarajevo Region Tourism Cluster was established
                                                   to help enable better positioning of Sarajevo on the
                                           world market and increase the number of tourists coming to
                                           the city. Over 100 participants, including representatives of the
                                           private and public sectors, various associations, and international
                                           donors participated the Conference in Sarajevo. The Conference
                                           was officially opened by Denis Zvizdić, Sarajevo Canton Prime
                                           Minister, and Howard Sumka, USAID Mission Director.
                                           Dr. Sumka stressed that international community has been
                                           paying a lot of attention to tourism development in B&H and
                                           added: “B&H cultural heritage is unique in Europe. The mixture of
                                           cultures should be recognized as a great national heritage.                        Skipper Training on Vrbas River

                                           Tourism is one of the most important sources of economic
                                           growth of the country but insufficiently used,” concluded the                             osnia and Herzegovina becomes more and more popular
                                           USAID Director.                                                                         for its clean rivers and unique canyons. The number of
                                           During the one-day Conference, Sarajevo and the wider regional                          agencies and clubs offering their guests rafting services
                                           potential for cultural and historical development were presented                  and descending down the rivers is increasing every day. Since
                                           and their current state was compared with the contemporary                        rafting is a rather new activity in our country, there were no
                                           world trends.                                                                     suitable training programs for professional skippers.
                                            The cluster competitiveness approach to tourism development                      Therefore, the rafting clubs and agencies Kanjon from Banja
                                           was presented, with the aim to interlink all stakeholders in                      Luka, Encijan from Foča, Europe from Konjic and Una-Kiro-
                                           tourism industry, from private companies, educational, and                        Rafting from Bihać, initiated the first professional training for
                                           financial institutions to the relevant authorities. The special                    skippers, who are the professionals responsible for guiding
                                           advantage of cluster activities lies in common understanding of                   rafts down the river and for the safety of the guests.
                                           the importance of joint action to transform potential into real                   With financial support of USAID CCA, the training for skippers
                                           tourism products and develop linkages with world markets.                         was organized and included 27 candidates from clubs and
                                           With the support of USAID CCA, acting as the B&H Tourism Cluster                  agencies operating on the Una, Vrbas, Neretva and Tara Rivers.
                                           Secretariat, conference participants continued their work through                 The training took place in Banja Luka and Bihać from April 6 to
                                           newly established working groups on development of concrete                       12, 2006.
                                           projects according to the identified priorities. Implementation of
                                                                                                                             The training was conducted by highly-ranked instructors of
                                           several pilot projects is planned for this summer. =
                                                                                                                             the International Rafting Federation (IRF): Robert Kazik, Matej
                                            EVENT CALENDAR                                                                   Zapletal and Petr Novotni. Candidates passed the training in
                                                                                                                             all possible situations they can face on the river, from leading
                                           June 04, 2006           Business Reporters Seminar, Neum                          and communication within the “crew,” fast reaction, first aid
                                           June 09, 2006           Triathlon Cup Foča                                        assistance, and lifesaving on white waters.
                                           June 15, 2006           Italian SKY TV crew shoots a reportage on Fly Fishing     “I have been offering rafting services on Tara River for 7 to 8
                                                                   in the organization of Zepter Passport                    years and I have spent close to 15 years on the river. This is a
                                                                                                                             complete training,” said Vjekoslav Calousun, owner of the
                                           June 30 & July 01, 2006 Opening of mountain trails at Kozara and
                                                                                                                             Encijan Agency from Foča.
                                                                   presentation of Eco Village                               Eleven candidates were awarded certificates which allow
                                           July 25, 2006           Opening of trails at Klekovača                            them to operate on B&H rivers. They all significantly improved
                                           August 28, 2006         Opening of trails at Manjača                              their knowledge and skills necessary for safe descending of
                                           September 07-10, 2006 V International Fair EKOBIS 2006, Bihać                     the rivers. =

                                           Mostar Airport in Tourism Offer of                                              Foreign Journalists Visit B&H
                                                                                                                                 ourism Association of Bosnia and Herzegovina with the
                                                                                                                                 support of USAID CCA conducted the first organized visit

                                                 he Association of Transportation Engineers and Workers in                       of foreign journalists to B&H rivers. Four journalists from
                                                 B&H (Prometing) organized the first International Expert Con-              Holland, Belgium and Czech Republic specialized in covering
                                                 ference “Transport in the Function of Tourism” in Mostar, in              adventure tourism visited B&H rivers Una, Vrbas, Neretva and
                                           April 2006. For the first time, domestic and international experts in            Tara from May 20 to 28, 2006.
                                           tourism and transportation exchanged their views on the topic of                The aim of the visit was to introduce rafting offer as well as other
                                           linking Mostar airport with the current road infrastructure for stra-           tourism attractions of B&H. As a part of the visit, journalists
                                           tegic development of tourism in Herzegovina. USAID CCA provided                 visited Bihać, Banja Luka, Mostar, National Park Sutjeska, and
                                           support to the conference that attracted great public interest. =               Sarajevo. =

Tito’s Cave reconstructed
                                                                         Representatives of B&H Parliamentary Assembly also addressed
                                                                         the audience.
                                                                         Dr. Sumka reminded the attendees of other USAID projects in
                                                                         the Drvar area, including electrification and reconstruction of the
                                                                         refugees’ resource center whose aim was to support creation of
                                                                         better living conditions for citizens: “Now we wish to, through our
                                                                         projects in agriculture and tourism, continue supporting Drvar
                                                                         and I hope to see an active beginning of economy revival in this
                                                                         city,” stated the USAID Mission Director.
                                                                         Several thousand visitors from all counties of former Yugoslavia
                                                                         and from all parts of B&H visited Drvar on this day. Over 30 media
                                                                         from B&H, Serbia & Montenegro, Croatia, and Slovenia reported
                                                                         the reconstruction process and the opening of this tourism

                                                                                                                                                     Collaborate to be competitive
                                                                         location, demonstrating that Drvar has its place in the tourism
 Howard Sumka and Velimir Kunić,
                                                                         offer of Bosnia and Herzegovina. The reconstruction of “Tito’s
 Ribbon Cutting Ceremony                                                 Cave”, co-sponsored by Drvar Municipality and USAID CCA, was
                                                                         initiated by the Drvar Cornel Association, aiming to establish

     he reconstructed “Tito’s Cave”, one of the best known tourism       sustainable development of this region and create new jobs.
     destinations in B&H before the war, was opened on May 25,           “Our intention is to revive historical tourism which will be
     2006 in Drvar. During the pre-war period up to 300,000 local        connected with other activities, including the processing of the
and foreign tourists visited the Cave annually.                          authentic product of Drvar – the cornel berry,” stated Zoran
Howard Sumka, Director of USAID Mission, and Velimir Kunić,              Pećanac, President of the Association.
Chairman of the Municipal Council, opened this monument for              The reconstruction of “Tito’s Cave” is just one of the activities that
new tourist visits with the ribbon cutting. Apart from Mr. Sumka         the Drvar Cornel Association, together with other institutions
and Mr. Kunić, Šemsudin Džeko, Director of the B&H Tourism               and organizations, is undertaking in transforming the tourism
Association, and Nikola Špirić, Vice Chairman of the House of            potential of Drvar in to real revenue. =

New tourism product                                                       OTHER TOURISM EVENTS

Fly fishing in Bosnia and Herzegovina                                    May 25 - end of August, 2006 Banja Luka Summer Festival

                                       ased on information about         May 06 - September 06, 2006 Theatre Fest, Banja Luka
                                       fly fishing activities, which       June 16 - September 10, 2006 Bihać Summer, Bihać
                                       has an increasing number of       June 17-July 10, 2006        1st International Zetra Festival
                                 followers throughout the world,
                                 Zepter Passport Agency developed
                                                                         June 22-24, 2006             Neofest, Banja Luka
                                 a related tourism product in Bosnia     July 01-31, 2006             Baščaršija Nights, Sarajevo
                                 and Herzegovina.        Considering     July 10-11, 2006             Boatmen Race on Una River, Bosanska Krupa
                                 that B&H has virgin, pure, drinkable    July 17-23, 2006             European Junior Kayaking Championship, Bihać
                                 mountain rivers and springs and
                                                                         July 18-23, 2006             International Folklore Festival, Sarajevo
                                 waterfalls, investment in the
                                 development of fishing tourism           July 27-31, 2006             Una Regatta, Bihać
                                 can produce extremely important         July 29 or 30, 2006          Old Bridge Jumps, Mostar
                                 effects. ” Introduction of fly fishing     August 18-26, 2006           Sarajevo Film Festival
  River Sanica -                 enriches the tourism offer of Bosnia
 Grayling 50cm                                                           August 19, 2006              Ethno Fest, Mostar
                                 and Herzegovina, and thus we
join the world trends, since it is known that nature and outdoor
activities are becoming increasingly popular and demanded
tourism products,” says Milena Pavlović, Director of the Agency.         Mountain Hiking and Cycling Trails
Bosnia and Herzegovina is an exquisite destination for all true lovers
of this royal sport. On the territory of Bosnia and Herzegovina,
which covers only 51,129 km2, there are over 3,000 km of river flows
                                                                         Maps Promoted

populated with salamonid, which is a prerequisite for fly fishing.               wo mountaineering clubs – KES Limit and PAOK – promot-
The Zepter Passport Agency included the Pliva, Una, Unac, Ribnik,              ed the first tourism maps for hiking and cycling trails on
and Sanica rivers in its offer. All of these rivers are abundant with           five mountains of northwest B&H in Bihać and Banja Luka
authentic and wild river trout and grayling, and some of them with       on May 3-4, 2006. The clubs also announced the next phase of
Californian trout as well. Listed rivers are of the first degree of
                                                                         the project – the clearing and marking of 200 km of trails on
water quality and all fishing intended sites are under the regime
of “fly only” or “catch and release” and represent a true challenge       Plješevica, Osječenica, Manjača, Klekovača and Kozara moun-
for all fly fishing lovers. The program length varies, thus giving the     tains, to be finalized by the end of the summer this year. Such
opportunity for combining fishing grounds. Programs include               trails will lead to the increased number of visitors in this part of
transfers, accommodation, fishing licenses and professional               B&H as well as to raising awareness of the domestic public on
guides on the field. =                                                    the importance of B&H natural resources. =
                   INDUSTRY DEVELOPMENTS

                       HOW OTHERS SEE US
                   Necessity of change of image and development of high quality tourism products

                   Rafting on Vrbas River                             Old Bridge in Mostar, 16th Century                  Sarajevo Cathedral, 19th Century

                         lobal tourism activity is setting new records globally                 − There is a very low level of knowledge about the tourism offer
                         but what is really amazing is how smaller, developing                  and potential of B&H, its status, and its and security situation;
                         countries like Montenegro, Romania, Namibia and Brunei                 − B&H image among European tour operators is heavily
                   are using Travel & Tourism as catalysts for broader economic                 burdened with war events;
                   development,” said Jean-Claude Baumgarten, President of the                  − B&H potential and capacities are considered insufficiently
                   World Tourism and Travel Council (WTTC). “If you want to be in               developed, disorganized and of insufficient quality in reference
Tourism Enriches

                   Vienna and Istanbul at the same time, come to Sarajevo,” said                to accommodation;
                   Mark Tungateii, CNN Traveller.                                               − Countries of the wider region (Czech republic, Hungary, Poland)
                   As a tourism destination, Bosnia and Herzegovina has                         have somewhat better knowledge of B&H in comparison with
                   experienced a 5-6% annually increase in number foreign tourist               tour operators from developed Western countries;
                   arrivals over the past three years. This is considerably less than           − There is a strong interest in regional programs and products,
                   earlier forecasts by UNWTO and WTTC (10.6%), based on their                  especially in remote markets such as Canada and the USA;
                   assessments of the country’s tourism potential.                              − International market still has not received a coordinated
                   Preliminary analyses indicate that this situation is mainly                  message from B&H on positive steps forward and the
                   the consequence of inadequately developed products and                       development of tourism potential and programs;
                   supporting tourism services. Furthermore, B&H has a negative                 − There is a lack of critical mass in terms of offer and programs
                   international image, as a country about which little is known or             intended for target markets.
                   which evokes memories of war conflict.                                        These results clearly indicate needed direction of activities in
                   In March 2006, USAID CCA, serving as the Institute for                       key tourism development areas. Especially significant are the
                   Collaboration of the B&H Tourism Cluster, performed a survey                 identification of addressable tourism market opportunities, the
                   among European tour operators on the opportunities and                       development and packaging of well-targeted tourism products,
                   interest to include B&H, Sarajevo and Mostar in their permanent              and the improvement of connections for marketing and sale and
                   offer. The survey included 56 tour operators from 9 European                  of these products to the global tourism market. This includes
                   countries, Croatia, the USA, and Canada, as a representative                 ongoing communication with international and specialized
                   sample of typical generating markets.                                        media and establishment of direct contacts with important tour
                   Among other things, results of the survey showed that:                       operators and experts. =

                   LIST OF REPORTS           • RECOMMENDATIONS FOR IMPROVEMENT OF B&H TOURISM STATISTICS                                All listed reports are available at
                                             • B&H TOURISM SECTOR SURVEY REPORT                                                         USAID CCA web page:
                                             • TOUR OPERATORS SURVEY REPORT                                                   

                   USAID Cluster Competitiveness Activity

                   [ TOUR BIH, the B&H Tourism cluster’s newsletter, is supported by the USAID Cluster Competitiveness Activity (CCA). TOUR BIH editorial board:
                   Thierry Joubert of Green Visions, Milena Pavlovic of Zepter Passport Agency, Slobodan Vulesevic of Center for Development of Herzegovina
                   and CCA staff.

                   CCA is a four-year project funded by USAID to support economic growth in B&H by advancing the business success of the country’s important wood
                   and tourism sectors. CCA functions as the “Institute for Collaboration” (IFC) of the B&H Tourism cluster. It has taken the initiative to bring together
                   stakeholders from the cluster in three regions of B&H – Herzegovina, Krajina, and Sarajevo – and has facilitated the formation of working groups to
                   deal with key competitiveness challenges in tourism. As the cluster’s IFC, CCA provides support to many joint action initiatives that improve B&H
                   tourism products and expand markets. All of CCA’s activities are on behalf of the cluster. Eventually, will CCA pass its responsibilities on to a local
                   institution that will become the B&H Tourism cluster’s permanent IFC. The project’s headquarters is in Sarajevo with offices in Banja Luka and Mostar.

                   Please contact us at: +387-33-205-590 or go to our website at ]

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