AECONews & EventsNewsIceland Tourism Week: Shifting Focus to Sustainability and New Opportunities
Iceland Tourism Week: Shifting Focus to Sustainability and New Opportunities
Posted: 22 January. 2025
Gyda Gudmundsdóttir, AECO’s head of Community Engagement and point of contact for Iceland, recently participated in Iceland Tourism Week, with the perspective on how the tourism industry can collaborate to strenghen sustainability and community engagement.
Iceland’s tourism industry is currently facing challenges, including slower growth and a tarnished image due to recent volcanic eruptions. However, Iceland Tourism Week revealed a renewed focus on sustainability, with discussions shifting from pessimism to optimism. AECO’s Gyda Gudmundsdóttir observed a collective ambition among participants to transform Iceland’s tourism industry into a more mature and responsible sector.
“The week started with a cautious tone, focusing on decreased interest and lack of funding,” Gudmundsdóttir reflected. “But by the final day, the mood had shifted. There was real hope for Iceland becoming a leading destination in sustainability.”
Iceland’s Tourism Minister Highlights Continuity and Sustainability
Hanna Katrín Friðriksson, Iceland’s new Minister of Industries, which now includes Tourism, opened the event with a message of continuity in Iceland’s tourism strategies. She emphasized the importance of building upon existing tourism strategies rather than reinventing them. The Minister also introduced new measures aimed at preserving Iceland’s natural wonders, such as “komugjöld” (arrival fees) and resource-based taxes, ensuring that tourism revenue is reinvested into the preservation of the country’s unique resources.
Hanna Katrín Friðriksson, Iceland’s new Minister of Industries and Arnar Már Ólafsson Director General of the Icelandic Tourist Board, Photo: AECO
Cruise Passengers Essential to Icelandic Museums
A highlight of the week was a seminar hosted by the Icelandic Saga & Heritage Association, which underscored the critical role cruise passengers play in supporting Icelandic museums. Cruise tourism accounts for 50-60% of annual visitors to many museums, particularly in smaller communities, making it an essential part of the country’s cultural sector. This highlights the importance of sustainable tourism, not only in protecting Iceland’s natural beauty but also in preserving its cultural heritage.
“The seminar demonstrated how deeply museums depend on cruise tourism,” says Gudmundsdóttir. “It reinforces the need for cruise operations to be not only sustainable but also supportive of local cultural sectors.”
Effects of the Infrastructure Fee
A key issue raised during the week was the new infrastructure fee on cruise ships. This fee, which came into effect at the beginning of the year, has led several cruise operators to cancel bookings for Icelandic ports, impacting the number of cruise calls. This issue was hotly discussed during the week, with many concerned about its potential to reduce revenue for both the ports and the municipalities that rely on this income.
Key Takeaways
Tourism Growth: Iceland’s tourism is expected to grow by only 3% in 2025, with competition from other destinations like Northern Norway affecting Iceland’s visitor numbers.
Image Challenges: Recent volcanic eruptions have hurt Iceland’s reputation as a safe destination for travelers.
Cultural Impact: Cruise passengers account for 50-60% of annual museum visitors in Iceland, particularly in smaller communities, highlighting the connection between sustainable tourism and cultural preservation.
Infrastructure Fee: The introduction of an infrastructure fee has led to cancellations by several operators, affecting port revenues and local economies.
New Government Measures: The Minister of Industries introduced arrival fees and resource-based taxes to balance tourism growth with sustainability, ensuring that tourism revenue is reinvested into preserving Iceland’s natural resources.
Iceland Tourism Week
Iceland Tourism Week, organized by the Icelandic Tourist Board and key industry groups, is an annual event for tourism professionals, community leaders, and policymakers to discuss the challenges and opportunities in the sector. The 2025 program focused on responsible tourism, community collaboration, and integrating cultural heritage into tourism.