Businessman Tony Fung has recently received a license to operate his billion-dollar casino resort on the Great Barrier Reef. While it is an exciting opportunity to bring more tourism into Cairns, some residents remain dubious about whether or not Aquis Great Barrier Reef Resort will benefit the local economy.
Kate O'Callaghan of The Aim Network has recently voiced her doubts and concerns about the project. In addition to being concerned that the operator has seemingly bypassed the usually stringent application process, she has also noted that this particular casino may not have the longevity to bring in a stable income.
O'Callaghan notes that the casino’s success depends on Asian tourists, as Fung’s business model aims to appeal to wealthy gamblers from China. While this seems to be a popular strategy among Australian casino operators, it is quite flawed. There is the potential for this demographic to shift their focus away from Australian venues – especially with Macau becoming a huge gambling hub.
Another issue is that there will be significant competition from other operators in the country that have the same business plan. The new Crown Sydney also aims to focus on high roller gamblers, so there are concerns that Aquis may not be able to compete. “Most people realise that the Cairns economy is too reliant on tourism and needs to diversify in order grow sustainably,” she writes.
“Diversification ensures that the local economy survives through the tourist low season, as well as any global economic downturns which may reduce overseas visitors dramatically”. In addition to suggesting that Cairns tourism should be based on the area’s local wonders, O'Callaghan also believes that it is important to diversify. The area’s economy should be able to thrive without tourism.
As such, businesspeople and politicians should look inwards for ways to generate more revenue for Cairns.
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