January 24, 2026 — 5:00am
The Australian cruise industry, a significant contributor to the nation’s economy, has seen a notable shift in its financial landscape. According to the latest figures from the Australian Cruise Association (ACA), the 2024-25 summer season generated $7.32 billion in total economic output, supporting 22,720 jobs. However, despite the substantial economic activity, the returns are dwindling, marking a 13.2% decrease from the previous year’s record-breaking figures.
The decline in economic output can be attributed to fewer and smaller cruise ships visiting Australian shores. The 2024-25 season saw 68 ships compared to 75 the previous year, with a reduction in overall cabin capacity by 8,174 passengers. Additionally, the number of port days decreased to 1,700, although more ports than ever—56 in total—welcomed cruise ships.
Economic Impact and Regional Differences
Hotels and other accommodations emerged as the biggest beneficiaries of cruise-related spending, capturing a third of all passenger expenditures. Transportation services accounted for nearly 12% of spending, highlighting the significant costs associated with pre- and post-cruise stays.
New South Wales reaped the most benefits from the cruise industry, followed closely by Queensland, which recorded more ship visit days. However, Victoria experienced a sharp decline in cruise output, plummeting by 33.3%. Other states also reported decreases, with New South Wales down 10.7% and Queensland down 15.7%. In contrast, the Northern Territory managed to buck the trend with an increase in cruise-related economic activity.
Spending Habits of Cruise Passengers
The ACA reports that cruise passengers spend an average of $440 per day while on shore, covering expenses such as flights, hotels, dining, entertainment, shopping, and tours. This figure rises to $504 in turnaround or home ports and peaks at $650 for international passengers. Crew members contribute to the economy as well, with an average daily spend of $134 per person.
As for the cruise lines themselves, 39.9% of their expenditure goes towards fuel and operating expenses, 22% on administration and marketing, 22.1% on port and government fees, and 12.8% on food and drink purchases.
Trends and Challenges in the Cruise Industry
The majority of Australian cruisers—81.5%—opted for destinations within Australia, New Zealand, and the South Pacific during the 2024-25 season, a slight increase from previous years. Notably, more Australians are choosing cruises wholly within the country, surpassing 10% of total cruise passengers. This trend suggests a shift towards shorter, more affordable cruises, possibly driven by economic constraints.
Demographically, the cruise market is attracting younger passengers, with 32% of Australian cruisers now under the age of 40, and the average age standing at 48.4 years. Despite the evident enthusiasm for cruising, the industry faces challenges such as rising operating costs, planning uncertainties, regulatory hurdles, and increased competition from more profitable destinations.
“Australians clearly still have an appetite for cruising but fewer ships are sailing here,” notes the ACA, indicating potential rough seas ahead for the industry.
As the cruise sector navigates these complexities, stakeholders are keenly observing how these dynamics will shape future seasons. The industry’s ability to adapt to these challenges will be crucial in maintaining its economic contributions and appeal to travelers.
