IVIS Country Analysis – Belgium

BELGIUM

151,069 Arrivals in the United States

Loss of 7,983 over 2002, -5%

19.0% of all Belgian Long-Haul Travel

-5.3% over 2002

SUMMARY

The total number of outbound travelers from Belgium was nearly flat in 2003 (0.9%) reaching just 16.6 million. Long-haul travel from the country in 2003 was also flat year-over-year. Belgian arrivals to the United States in 2003 declined five percent over 2003. As a result, the 2003 U.S. market share (MSI) declined by 5.3 percent over the year before. At only 19 percent, the U.S. market share of long-haul travel from Belgium is at its lowest level in more than a decade.

The Belgian economy grew very slowly in 2003. Real GDP was up only one percent year-over-year. Growth in real private consumption was also lackluster, increasing just 1.3 percent year-over-year. The Belgian unemployment rate increased in 2003 to 8 percent. Consumer prices increased only 1.6 percent, well below the European Union target of 2.5 percent.

The Belgian currency is now the euro. (To maintain a ten-year trend, the MSI online database shows the value of each eurozone country's currency in terms of the country's former local currency. The rate of change, however, is based on the euro after 1998, the year local currencies pegged to the euro.) After appreciating 5.5 percent against the dollar in 2002, the average exchange rate for the euro in 2003 showed appreciation of 19.5 percent over 2002. Typically, a stronger currency helps to attract travelers to the U.S., but Belgium was an exception in 2003.

The United States received nearly one-fifth (19.0%) of all long-haul travelers from Belgium in 2003, making it the most popular long-haul country destination for this market. Tunisia was the second most popular long-haul country destination for Belgian travelers (18.1%), followed by Morocco (11.1%) and Canada (4.4%), South Africa (4.9%) and Cuba (2.9%). Among these countries, the U.S. and Canada were the only ones to lose market share of Belgian long-haul travel in 2003.

Source: Global Insight

In 2003, the United States (19.0%) was well behind Africa in popularity with Belgian long-haul travelers. With 42 percent of this market, Africa remained the most popular regional destination for Belgian long-haul travelers. Asia (11.0%) and South/Central America (7.1) were also popular regional destinations for Belgian long-haul travel in 2003.

Source: Global Insight