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Ecotourism as a growing niche market for Sri Lanka

Ecotourism as a growing niche market for Sri Lanka

The Morning: As global demand for sustainable travel grows, research indicates that ecotourism is becoming a major focus for many destinations.
In line with this trend, Sri Lanka is taking steps to advance its ecotourism sector. President Ranil Wickremesinghe recently emphasised Sri Lanka’s commitment to advancing ecotourism by conserving wetlands, while also announcing plans to develop a new tourist attraction covering over 1,000 acres of wetland in Bentota, pledging that Sri Lanka would identify and safeguard key areas essential for ecotourism.
Sri Lanka Tourism Development Authority (SLTDA) records show that in 2023, wildlife parks in Sri Lanka attracted 39.2% of total tourist arrivals. Further, in 2023, forests saw a varied mix of a large number of visitors, both local and international. Statistics reveal that Hurulu Eco Park was the most popular destination for foreign tourists, with the Knuckles and Sinharaja Forests also attracting a significant number of visitors.
Although these sites play a crucial role in promoting sustainable tourism, the key question remains whether Sri Lanka’s current strategy is aligned with global market trends and whether the country can continue to grow its ecotourism sector in a competitive global landscape.
While avoiding plastic and the excessive use of environmentally harmful materials are basic eco-friendly steps, ecotourism goes beyond these measures. It promotes responsible travel focused on visiting natural areas to conserve the environment, respect local cultures, and encourage sustainability. The goal is to minimise the negative impacts of tourism on both the environment and local communities.
The Hotels Association of Sri Lanka (THASL) President M. Shanthikumar told The Sunday Morning Business that ecotourism was considered a priority in Sri Lanka, with the majority of hotels actively working towards ecotourism and sustainability, aligning with global ecotourism trends and best practices.
“THASL is 100% committed to ecotourism. Currently, we are focusing particularly on sustainability. We are focused on addressing concerns regarding single-use plastics and are working on developing solar energy initiatives. The SLTDA is undertaking specific strategies as well.
“Sri Lanka still has a long way to go compared to other countries. There are many plans to develop the sector, but we are waiting for more growth since converting to eco-friendly practices involves high costs. The hotel industry is slowly recovering and starting to implement these changes,” he said.
Speaking to The Sunday Morning Business, Gal Oya Lodge General Manager Heshan Ranaweera stated that Sri Lanka had been increasingly recognising and adopting market trends in ecotourism, with the focus on sustainable travel and tourism growing since 2015.
“Sri Lanka initially focused mainly on popular and larger National Parks such as Yala and Wilpattu, but now lesser-known parks are also being recognised. This is a favourable trend as it taps into a niche market. What used to be solely about wildlife now includes activities such as birdwatching, butterfly watching, sustainable tourism, and responsible travel, indicating significant improvement.
“Community involvement is also gaining popularity, with locals actively engaging in various activities. This represents a valuable economic opportunity, and I believe we are on the right path toward sustainable ecotourism.
“We have a promising future, as ecotourism is a growing trend. Looking at best practices from countries like New Zealand, Vietnam, and Costa Rica can help us promote Sri Lankan ecotourism effectively. With a rising global demand for sustainable travel, we should leverage this competitive advantage.
“While Sri Lanka is known for its beaches and culture, we need to also position ourselves as an ecotourism destination. By doing so, we can drive economic growth, reduce the negative impacts of mass tourism, and attract high-spending, environmentally responsible tourists.
“Linking tourism revenues directly to environmental conservation and implementing strong policies will be crucial. Proper branding, led by the SLTDA, is essential to establishing this identity as well.”

OSL take:
With Sri Lanka’s tourism industry on a steady growth path, tourism authorities are also engaged in exploring and promoting new tourism concepts tourist source markets to attract more foreign visitors to the country. While the tourism industry has become a key revenue generator to Sri Lanka, tourism authorities are focused on expanding several tourism sectors like ecotourism to attract high-spending tourists to the country. This move by the local tourism authorities has created many business/investment opportunities in Sri Lanka’s tourism industry that range from the development of infrastructure and supplementary infrastructure facilities mainly in the leisure and hospitality sectors. Given the growth and business potential in Sri Lanka’s tourism industry, especially in the ecotourism sector, foreign businesses/investors could confidently explore the expanding businesses/investment opportunities in the sector. The interest shown by many international leisure and hospitality brands to explore opportunities and enter into Sri Lanka’s tourism industry is evident of the lucrative nature of the industry and the key sectors under it. Local businesses looking at venturing into ecotourism could also look at forming partnerships or joint ventures with foreign businesses with the aim of further expansion.

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