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The Ministry of Business, Innovation and Employment commissioned Market Economics Limited to conduct research on the economic, environmental and social impacts of cruise in New Zealand.
The research identifies factors influencing the cruise sector and assesses potential economic, social, and environmental benefits and costs associated with cruise tourism in New Zealand over the next 30 years.
The global cruise industry is substantial, with approximately 32 million people cruising by 2023. The global sector is recovering well with passenger numbers continuing to rise past pre-Covid levels and the growth outlook is positive.
The New Zealand cruise market is lagging the international recovery, and the outlook is not as positive. After a strong 2023/24 season, the New Zealand cruise market is showing signs of contracting with anticipated short-term port visits and passenger numbers down.
This study aims to build on existing knowledge of the New Zealand cruise sector to better understand its wider (net) value. The research applies various tools to look at the cruise sector’s wider values, including the economic, environmental, social and cultural dimensions.
Key findings and features of the report include:
- The cruise sector is an important foreign exchange earner, attracting spending to New Zealand.
- The cruise sector generates a range of effects on the environment, which contribute to New Zealand’s carbon-equivalent emissions.
- While social and cultural impacts could not be quantified in monetary terms, congestion and additional pressure on local infrastructure from visitors create the most visible social and cultural impacts in New Zealand. The research provides commentary and a sense of the scale of some of these pressures.
- The outlook for the sector, and therefore the different impacts, is uncertain. There are tensions between the economic, social and environmental effects, which the report explores using a scenario approach.
- Available data restricted the ability to measure and quantify all effects.
“We welcome MBIEs Cruise research, says New Zealand Cruise Association CEO Jacqui Lloyd.
“It is the most comprehensive and independent assessment of New Zealand’s cruise sector confirms what the industry has long known, that cruise delivers strong regional and national value, and it is imperative that it is included in New Zealand’s plans for the future.
“The report shows that even under conservative assumptions, cruise tourism is net-positive for New Zealand — supporting jobs, boosting regional economies, and bringing high-value international visitors to our shores.
“But the sector is at a crossroads. While cruise is booming globally, New Zealand risks losing market share, ships, and economic benefit due to rising costs and regulatory uncertainty.
“Cruise can be a flagship for sustainable tourism — but only if we act now. We need smart infrastructure investment, a coordinated strategy, and clear signals that New Zealand is open for cruise.Cruise is part of New Zealand’s tourism future – not a footnote.”
The full report is available on the MBIE website.
