The local cruise sector is bracing for rough sailing ahead, with cruise ship visits for the upcoming local season set to drop to levels not seen since 2017/18.
This trend is deeply concerning, New Zealand Cruise Association ceo Jacqui Lloyd told those at its conference in Napier yesterday. There was a 20% decline in passenger numbers for the 2024/25 season compared to the record-breaking 2023/24 season. Projected Kiwi ship calls for the local 2025/26 season are more than 40% down on the 2023/24 levels. “This is not a gentle contraction,” states NZCA. “It is a steep and deeply worrying decline that if not reversed quickly threatens to erode the infrastructure, investment, and human capability that underpins cruise in New Zealand.” Lloyd told the conference that her biggest concern is the reduction in passengers this amounts to—which is more than 100,000. “The realisation is coming through now…this is a very concerning number,” she says. “We’ve gone back 10 years.”
. . . Cost Not Demand
The key issue is not weakened demand, cruise is soaring in popularity globally, but rather the fact that New Zealand is no longer seen as a commercially viable, easy-to-operate, or risk-free destination for cruise lines.
. . . The Issues
The barriers, which need to be addressed if New Zealand wants to attract cruise ships, include the current regulations around biofouling that make it impossible for lines to confidently predict a ship will be allowed to enter New Zealand. The uncertainty surrounding new regulations and costs being introduced inside booking windows, add to uncertainty said Lloyd. And of course, there’s the fact that New Zealand is widely known to be among the most expensive places for cruise lines to operate to.
. . . Still Opportunity
However, while the local cruise sector is at ‘tipping point’ it is not without hope. Lloyd says if New Zealand can address key constraints around regulatory settings, cost structures, and seasonal planning timeframes, there is genuine opportunity for growth from the 2027/28 season onward. “It is a bit doom and gloomy absolutely…but there is an opportunity to change for 27/28,” says Lloyd. “That is when cruise lines are currently planning for; we’ve got a window to make some change.”
