1. Tourism Satellite Account - Basic Data Infrastructure Regional Tourism Satellite Account Implementation Initiative Jamaica, September 3-5, 2014 Presenter: Annette McKenzie Consultant September 5, 2014 1

2. METHODOLOGICAL ISSUES AND BASIC DATA INFRASTRUCTURE Compilation of TSA

3. Overview Review Framework for TSA Compilation Issues with specific reference to tables 5 and 6  Supply and Use tables  Data Sources Moving Forward As/when the TSA programme is developed 3

4. Review TSA compilation undertaken within the supply and use table framework Tables 1-4, 5 and 6 represent the Minimum TSA; tables 1-7 and table 10 are viewed as the first stage in TSA compilation. Tables 1 to 4 - Expenditure and Consumption of Tourists Tables 5 to 6 – Supply and Demand from which tourism contribution to GDP is derived 4

5. Framework for TSA Concepts and Definitions - based on UNSNA 1993; 2008 Classification System defined  Industrial Classification of Economic Activities  Classification of Tourism Characteristic Products (Goods and Services) Issues for Decisions/ Considerations – Inclusion or Exclusion of  Domestic tourism expenditure – ( also outbound tourism expenditure)  Tourism Consumption – ( Computation of Imputed Consumption and adjustments) Important factor in establishing framework – Consider stakeholders needs 5

6. The ten TSA tables Tables 1-4 expenditure and consumption Inbound tourism expenditure by products and classes of visitors Domestic tourism expenditure by products and classes of visitors Outbound tourism expenditure by products and classes of visitors Internal tourism consumption Data Source - Conduct of Household Surveys 6

7. The ten TSA tables Tables 5 &6 supply and demand to derive tourism contribution to GDP Production account of tourism industries and other industries Total domestic supply and internal tourism 7

8. Tables 5 & 6 - Compilation Tables 5 & 6 - supply and demand to derive tourism contribution to GDP Table 5 presents the production accounts of tourism and other industries (at basic prices) output is broken down by product, is valued at basic prices (see SNA 2008, para. 6.51 (a)) ;  Its Framework and Main data source: Supply and Use Table 8

9. The Supply table 9 Output by product and by type of supplier (domestic industries and imports) Transformation from basic prices to purchasers’ prices Domestic Output (basic prices) Imports Products Industries Margins Net taxes Supply at purchaser’s prices

10. The Use table 10 Three sections: intermediate use, final use, value added Intermediate Use Value Added Final Use Products Value added components Industries Final Consumption, Gross capital formation, Exports Supply Output CIF-FOB adj.

11. SUPPLY AND USE TABLE Supply and use table 2000 - Barbados See excel file Copy of Table 5 6 SUT2014-09-04.xlsCopy of Table 5 6 SUT2014-09-04.xls 11

12. Tables 5 & 6 – Other Data Sources Tables 5 & 6 - supply and demand to derive tourism contribution to GDP  Other Data sources  National Accounts Survey – provided data to compile the production accounts  Other Statistical data: Merchandise trade statistics, Production statistics - source of data for gross output and intermediate inputs by products  Administrative Data e.g. VAT, Financial returns of establishments, National Insurance Scheme, data collected by regulatory bodies  Ad hoc Studies/ inquiries - From direct information coming from producers and suppliers, producers’ associations (information on their categories of customers and their corresponding market share) 12

13. Table 6 Table 6 - presents the domestic supply and internal tourism consumption, by products (at purchasers’ prices) is the core of the TSA - it is where the confrontation and reconciliation between domestic supply and internal tourism consumption take place. Total supply of goods and services in the economy by products - includes domestic production (production by resident transactors) and imports- is compared to tourism consumption, (including valuation adjustments) Conclusions can be derived regarding the gross value added attributable to tourism for each of the industries that serve visitors. It provides the basic information that is necessary for the computation of TDGVA and TDGDP and their components. 13

14. Compiling Tourism Share in table 6 The values of tourism share should be expressed in value levels and can be established in the following way: From direct information coming from producers and suppliers, producers’ association (information on their categories of customers and their corresponding market share); From visitors themselves (sample surveys of expenditure by product and indication of providers); From opinions of experts in the field of tourism behaviour provided these opinions can be validated through best practices (judgemental procedure) 14

15. Deriving tourism Share at Basic Prices Purchasers’ prices minus VAT not deductible by the purchaser minus Separately invoiced transport charges minus Wholesalers’ and retailers’ margins = Producers’ prices + Subsidies on products minus Taxes on products excluding invoiced VAT = Basic prices 15

16. The Valuation tables 16 Necessary bridge to compare total supply and total use Products Industries Final Consumption, Gross capital formation, Exports Trade margins Transport margins Taxes on products Subsidies on products Intermediate Use Final Use Trade margins Transport margins Taxes on products Subsidies on prod. Totals from the Supply table

17. Table 6 See excel file Copy of Table 5 6 SUT2014-09-04.xlsCopy of Table 5 6 SUT2014-09-04.xls 17

18. Moving Forward As/ When TSA Developed TSA Implementation implies Expansion of national accounts system and the need for Integration of the TSA with current statistical systems in the CSO and in particular with the programme of compilation of national accounts  Ensuring concepts and definitions are in line with the rest of the statistical systems  Merge TSA classification with classifications within the CSO and national accounts system  Improve / expand regular national accounts system to incorporate compilation of tourism industries 18

19. THANK YOU 19