While working on a Safari for 2024, my South African Travel Partner, Nikki Thaver of Southern Africa 360, informed me that South Africa 2024 rates would be going up between 10%-15%. In my opinion, East Africa will follow suit.
These increases are not random “money grabs.” Rather, they are in response to immense outside factors. Increasing prices is vital for Sustainable Tourism, Wildlife Conservation, and Supporting Local Communities.
Below is an email I recently received from Joe Cloete, Shamwari CEO. Joe’s email is the most thorough and transparent discussion, I have seen, of what is happening in the Safari industry. With permission, I am sharing this information. I am honored to work in an industry with such examples of honesty and integrity.
Thank you Shamwari!
Zebras South Africa©Flyga Twiga™ LLC
Dear Travel Partner
I thought it would be prudent to inform you about the challenges that the hospitality sector and, in particular, private game reserves are facing due to the current economic climate and some of the hard decisions we’re having to make as a result.
Having emerged from three years during which the Covid-19 pandemic devastated the sector and affected many people’s lives and livelihoods, intense cost pressures are now causing further serious headwinds.
It is apparent that we will face at least four to six stages of load shedding [rolling blackouts] and possibly worse throughout 2023/24. This means our back-up generators will have to run for between six and 12 hours a day.
Eskom [South Africa's state-owned electricty utility] has announced that when electricity is available it will be at a higher price. Tariffs will increase by 34% over the next two years. In addition, the price of fuel has increased by 52% year-on-year.
Given this we are investing in hybrid solar-energy solutions across the reserve during 2023/24. Unfortunately, while a judicious investment under the circumstances, the capital cost runs into millions of rands.
Other costs that are beyond our control are food-price inflation, which is at its highest in 14 years and a 9.6% increase in the national minimum wage from April 2023.
All these rising costs are putting incredible pressure on our business.
Shamwari has always prided itself on running a successful conservation project that is sustainable and self-funding. We get no help from Government, despite the considerable contribution private game reserves make to conservation. For example, a recent University of Stellenbosch study found that private reserves support the largest number of white rhino on the continent.
To continue this work and secure our future we only have two options: to increase revenue or to reduce costs.
Our revenue model is already finely tuned and there’s very little we can realistically do to grow income and offset the considerable and rising costs we now have to bear.
We have, however, reviewed our current seasonal rate structures. As of April 2024, we will offer two rate seasons i.e. Winter (April to September) and Summer (October to March). The winter rate will be the extension of April 2024 rate, which is already contracted with you. The Summer rate increases by 10% from October 2024.
The existing conservation levy of R150 per person daily is being increased to R650 per adult / R300 each for children between the ages of four and 11 years old. The levy is used to support local community projects, our considerable anti-poaching efforts and our Wildlife Rehabilitation Centre. This has already been implemented with our direct bookings as of 01 March 2023.
Please note the new conservation levy applies to all bookings, direct or otherwise.
Our 2024/2025 rates are now available. To request Shamwari Private Game Reserve rates please fill out the form below.
I hope you will understand the unprecedented circumstances that have forced us to make such a difficult decision. I acknowledge and greatly appreciate your support, which has contributed to making Shamwari a 30-year conservation success story. I trust that we can rely on you to continue this legacy.
Best Regards
Joe Cloete
CEO
Shamwari, meaning "my friend" in Shona is the pinnacle of private game reserves and home to the coveted Big 5. Stretching over a vast, malaria free landscape, it offers an award-winning nature experience and is one of the largest private conservation initiatives in Southern Africa. Shamwari incorporates six lodges and an explorer camp: each unique in its own essence.
Video Credit: Shamwari Private Game Reserve.