7 Aug 2013

Tourism industry watching Fonterra fallout

9:12 pm on 7 August 2013

Potential damage to the New Zealand tourism industry is being monitored closely as the fallout from the Fonterra scandal continues.

The Xinhua state news agency in China has condemned New Zealand's 100% pure branding campaign, which has formed the backbone of the tourism industry for more than a decade.

Prime Minister John Key said tourists will not confuse the campaign with the Fonterra issue.

However, some tourism groups say he's missing the point.

Destination Queenstown chief executive Graham Budd said the pure campaign has gone beyond what it was intended to do and now represents almost everything about New Zealand in the eyes of foreigners.

Tourism New Zealand said it is monitoring the situation closely.

Because of the time lag between bookings and holidays, many in the industry are hoping the Fonterra scare will not seriously affect the tourist trade.