Role of the State in Lithuania resorts and resort areas

development

President of National resorts association (Lithuania) Antanas S. Zenkevičius2008-04-28

INTRODUCTION

Until the independence recovery in Lithuania there were 5 resorts, 4 of them were of republic meaning and one of local meaning.

The largest part of guests was coming from USSR. After the independence relations with Russia were broken, flows of tourists was reduced, it was hard time for Lithuanian resorts until 2001. They also lost the status of resorts.

In 2001 4 towns recovered the status of resort following the decision approved by the Parliament of the Republic of Lithuania. After that resorts began to revive.

Now resorts have their development strategy and a vision for future. The revival of Lithuanian resorts was technically started from 2002.

Resorts and resort areas of Lithuania (I)

Development of resorts in Lithuania is regulated by:

Tourism law;

Concept of development of Lithuanian resorts, approved by the Government of the Republic of Lithuania;

Implementation of development measures for Lithuanian resorts during 2005-2008, approved by the Government of the Republic of Lithuania.

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Currently, 4 towns have the resort status (Law on theTerritorial Administrative Units and their Boundaries of the Republic of Lithuania, 2001):

Birštonas, Palanga, Druskininkai, NeringaThe Seimas of Republic of Lithuania shall grant and refuse residential areas the resort status upon submission of the Government of the Republic of Lithuania (Resolution No.350 of the Government of the republic of Lithuania as of 12 of April 2006)Resort – the status granted by law to the residential area which can be distinguished by natural healing factors that have been scientifically studied and acknowledged to have a healing effect (mineral water, healing mud, healthy micro-climate, recreational planting, bodies of water) and which has developed a special infrastructure to use these factors for healing, wellness, tourism, and recreational purposes.    (Law on Tourism of the Republic of Lithuania, 2006)

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In 2007, 2 localities were granted the resort territory status by the Government of the Republic of Lithuania:

Territory of the town of Ignalina, Strigailiškis and Palūšė residential areas

Residential area of the town of Anykščiai

Resort territory – status granted by the Government of the Republic of Lithuania to a residential area or its part (residential areas or their parts) which has natural resources with potential healing properties and a special infrastructure to use these resources for wellness, tourism and recreational purposes.

(Law on Tourism of the Republic of Lithuania, 2006)

Resorts and resort areas of Lithuania (II)

Resorts of Lithuania are Birštonas, Druskininkai, Neringa, Palanga.

Following the decision No. 688 dated 4th of July 2007 by the Government of the Republic of Lithuania parts of territory of Ignalina city, villages of Strigailiškis and Palūšė received a status of resort area.

Following the decision No. 727 dated 11th of July 2007 by the Government of the Republic of Lithuania Anykščiai city received a status of resort area.

Municipalities of Biržai district, Kaunas district, Trakai district, Zarasai district are preparing documentation aiming to receive status of resort area.

Resorts and resort areas of Lithuania (III)

Following the program of the Government of the Republic of Lithuania for 2006-2008 Public institution Lithuanian center of health resort research was established;

There is prepared a project of the State health resort research program. Three ministries (Ministry of Economy, ministry of Health care and ministry of Education and science) participated in preparation of the document;

On the 2 of March 2007 National resort association was established, it unites 3 Lithuanian resorts and 2 resort areas.

Program of National tourism development for 2007-2010

In 2007, August 29th , Government of the Republic of Lithuania has adopted the decision, under which the program of National tourism development for 2007-2010 was approved. That was the fourth program of national tourism development.

Aim of the program: to develop public tourism infrastructure which promotes

competitive development of tourism products.

Goals are: to develop public infrastructure of cultural tourism; to develop potential of public tourism infrastructure of resorts

and its operation.

Measures for implementation of program of National tourism development for

2007-2010 (I)

to prepare proposals on changes of legal acts, regulating purpose of land use and territory planning for the determination of confines for resorts areas or for creation of favourable conditions for development of new country side farm steadings and creation of sports fields (like golf's).

To prepare feasibility study for the development of use of coastal geothermal waters for wellness (rehabilitation) and recreation services.

To prepare feasibility study for assessment of resort areas’ development.

To implement marketing of resorts and resort areas in Lithuania and in the market of incoming tourism.

Measures for implementation of program of National tourism development for 2007-2010 (II)

To set beaches under the requirements of “Blue flag” and Lithuanian hygiene standard HN 92:1999, in the tourism centres and places of the highest recreational potential (resorts, resort areas)

To prepare and approve methodical recommendations for SPA (“sanus per aqua”) services classification

To support cultural events of resorts aiming to reduce

the influence of seasonality.

Number of accommodation providing institutions in

Lithuanian resorts

Source: State Statistics Department under the Government of the Republic of

Lithuania

Number of places (beds) in Lithuanian resorts

Source: State Statistics Department under the Government of the Republic of

Lithuania

Guests accommodated in Lithuanian resorts

Source: State Statistics Department under the Government of the Republic of

Lithuania

Number of over nights spent in Lithuanian resorts

Source: State Statistics Department under the Government of the Republic of

Lithuania

Classified accommodation institutions in resorts of Lithuania (I)

-

1

1

-

Campings

4771129Palanga

22768Neringa

19-414Druskininkai

3-12Birštonas

Total: Rest housesGuest houses

Hotels Resorts

Total number of classified accommodation institutions is 349, from which in resorts of Lithuania is 26 percent.

The main tourism development obstacles

Seasonality

Insubstantial attention from responsible institutions for spa treatment and for the use of curative factors

Insubstantial spread of tourism information and marketing

Insubstantial development of infrastructure

Insubstantial diversity of leisure and entertainment activities

State tourism department under the ministry of Economy provided support to resorts for reduction of

seasonality during 2006 - 2007

For implementation of Cultural events assigned 600 000 LTL per year during 2006 and 2007

BIRŠTONAS - 90 000 LTL. DRUSKININKAI - 210 000 LTL. NERINGA - 90 000 LTL. PALANGA - 210 000 LTL.

Cultural events during 2007 in resorts

Birštonas – 3 cultural events, 2 of which took place during non seasonal period (September, December)

Druskininkai – 5 cultural events, 3 of which took place during non seasonal period (May, September, December)

Neringa – 5 cultural events, 3 of which took place during non seasonal period (May, September, November, December)

Palanga – 4 cultural events, 3 of which took place during non seasonal period (September, November, December)

Organization of cultural events

Organization of cultural events makes positive influence on development of resorts.

Also help to reduce seasonality.

In 2006, 66% of means for cultural events were used during non seasonal period.

Financial support for cultural events during 2008

For Lithuanian resorts: Birštonas Druskininkai Neringa PalangaFor resort areas: Anykščiai city resort area Ignalina city, villages of Strigailiškis and

Palūšė resort areas

During 2007 publications by Lithuanian resorts (I)

Birštonas TIC published:

Booklet „Birštonas“ (in 6 languages) – 15 000 units. Map of town and surroundings „Birštonas“ (in 6 languages) – 10 000

units. Map „Following Birštonas water routes“ (in 2 languages) – 2 500 units. Edition „Following the steps of artist Nikodemas Silvanavičius“ – 3 000

units. CD project „Birštonas“ (in 2 languages) – 500 units.

Nida KTIC "Agila" published:

"Routes in Neringa (in 4 languages) – 37 000 units. "Neringa. Kuršių Nerija"(in 11 languages) – 38 000 units.

During 2007 publications by Lithuanian resorts (II)

Palanga TIC published: Catalogue of Palanga accomodation institutions „Be our

guest in Palanga“ – 7000 units. „Amber Palanga“ – 27 000 units. Event calendar for 2007 – 12 000 units.

Under publication process: „Palanga – spring of health“ – 4000 units. „Let's meet in Palanga“ – 4000 units. Maps of Palanga and Šventoji – 15 000 units.

Lithuanian resorts' participation in tourism fairs and business missions during 2007

Birštonas TIC participated in 5 tourism fairs abroad and 2 business missions

Druskininkai TVIC – participated in 7 tourism fairs abroad

Nida KTIC – participated in 6 tourism fairs abroad

Palanga TIC – participated in 9 tourism fairs abroad and 1 business mission.

Representatives of Lithuanian resorts' Tourism information centres (TIC)

abroad

Palanga established representative TIC in Riga (Latvia), Tallinn (Estonia), Minsk (Belarussia), Sankt Petersburg (Russia).

Druskininkai Tourism and business info centre established representative office in Riga (Latvia) and Minsk (Belarussia).

Ongoing and implemented projects by Tourism Department (for promotion of public tourism

infrastructure development)

PHARE project “Pilot infrastructure development of Nemunas tourism route”. Quays built in Birštonas and Druskininkai.

PHARE project “Development of cycling circle in Western Lithuania”, under which coastal cycling route was set

Project of National auto tourism routes special plan. Covers all resorts and resort areas.

Project of National water tourism routes special plan. Covers area of Birštonas, Druskininkai, Neringa, Ignalina, Anykščiai.

National tourism routes

Support for tourism activities

Support from EU Cohesion fund during the period of 2007-2013 for the development of tourism activities is assigned ~912 mln. LTL (~264 mln. Euro).

One of the eligible activities is creation and reconstruction of public infrastructure for sanatoriums situated in resorts and resort areas, rehabilitation centers, SPA and other health betterment (improvement) services.

Authorities' support for resort activities (I)

Resorts of Lithuania has a sufficiently formed legal base. There are many decisions of Government and Parliament on the issues of resorts' development, ensurement of the status of resort and its cancellation, etc.

There is determined a vision and development trends of each resort, by the conception approved by the Government.

Resorts receive an additional funding for infrastructure improvement (for the needs of local residents and tourists).

Authorities' support for resort activities (II)

The budgets of resorts and other cities are formed following the same methodology, but there is a special coefficient used for resorts (this evaluates additional needs of resorts);

Funding also is increased after the assessment of last year's overnights number per resort (the bigger the number the more possibility to receive larger funds for streets and roads improvement works).

State tourism department under the ministry of Economy every year provides additional means for cultural events.

Authorities' support for resort activities (III)

During recent years resorts also receive support from EU Structural funds.

The ministry of Economy assigns sufficient part of funds for health resort scientific researches, prepares programs of national health resort scientific researches.

I believe that all resorts should cooperate more closely because there is something to learn from each other.

That is what I would like to wish to all of us.

Thank you for kind invitation and

your attention