Tertiary Sector in Spain: Tourism, Transport, and Trade

Posted on Nov 11, 2024 in Geography

Item 7. Service Spaces

Outsourcing of the Spanish Economy

The tertiary sector encompasses activities that provide services to society. Its growth is driven by:

Increased Standard of Living: Higher consumption of services.
Industry Influence: The 1960s boosted service growth. Post-1975 crisis, the sector became a refuge for the unemployed. Modern industries utilize technologies that stimulate the tertiary sector.
Tourism Boom: Growth in catering, trade, etc.
Public Service Expansion: Regional administrations and the welfare state stimulated growth in health and education.
Women in the Workforce: Development of services like childcare.

Spatial Heterogeneity and Inequality

The service sector is diverse and can be classified in various ways:

Public and private
Market (for sale) and non-market (free)
Intermediate (e.g., transport)
Stuck-service (workforce reduction without impacting final output)

Shortcomings in Spain’s tertiary sector structure:

Prominent commercial services
Public services: Important role but smaller GVA contribution
Underdeveloped service companies
Growing hospitality sector
Stable transport and communications
Private healthcare growth contrasting with public health and education

Regional imbalances exist despite tertiary sector dominance:

Higher outsourcing in tourism-specialized communities, lower in agricultural ones.
Unequal weight of tertiary sector branches:
- Company services dominate in few provinces.
- Consumption-related services prevalent in tourist areas.
- Low-skilled services (personal, administrative, welfare) predominate elsewhere.

These inequalities may worsen.

Transportation System and Communication

The transport system facilitates movement of people and goods.

Transport and Land Interaction: Transport reflects the uneven distribution of population and economic development. It can also induce territorial changes as a key development factor, leveraging less-developed area networks and easing saturated routes.
Territorial Backbone: Connects locations through people and goods movement.

1. Transport System Features

Unfavorable physical environment (relief, climate)
Radial terrestrial networks
Road dominance in passenger and freight traffic
Regional imbalances in density, intensity, and quality due to focus on main traffic axes, resulting in accessibility differences.
Decentralized transport powers post-state of autonomies
Strategic Infrastructure Plan of Transportation (PEIT) guides policy, aiming to:
- Promote economic development and competitiveness
- Strengthen social cohesion and accessibility
- Correct road dominance, promoting rail and coastal shipping
- Increase safety
- Contribute to sustainable mobility and reduce emissions
Integration with the European network:
- Improved EU links
- European funds for infrastructure
- Environmental impact reduction measures
Environmental impact of transport system

1.1 Road Transport

Road network connects towns, crucial for accessibility and planning.

Radial design centered in Madrid
Powers divided between state, regional, and local levels
Varied road characteristics (state/provincial satisfactory, others poor)
Highest passenger and freight traffic due to lower costs
Regional imbalances:
- Highest density in developed cities
- Higher traffic intensity in cross-corridors with higher urban densities
- Highest accessibility in industrial and tourist zones
PEIT includes:
- High-capacity network for territorial accessibility
- Completion of unfinished axes
Integration with the EU road network

1.2 Rail Transport

Rail was dominant in the late 19th and early 20th centuries, now secondary.

Three networks:
- RENFE (radial, tree-like structure)
- Narrow-gauge railways
- High-speed (AVE)
Contrasting line characteristics
Need for passenger and freight traffic redirection
Regional imbalances in equipment and investment
PEIT prioritizes rail transport
Integration with EU hindered by Pyrenees and wider Spanish gauge

1.3 Shipping

Characterized by:

Port network divided between state and autonomous communities
Contrasting passenger and freight traffic:
- Low passenger traffic
- Cabotage mainly transports petroleum products
- High international cargo traffic (solid and liquid bulk, growing general freight)
Need for technical port improvements
Regional imbalances in equipment and investment
PEIT promotes port specialization as goods hubs
EU Green Paper addresses port funding distortions

1.4 River Transport

Limited to the port of Seville, facing difficulties like the entry bar. Important hinterland in the Guadalquivir valley and Extremadura.

1.5 Air Transport

Rapid development due to income growth, economic spatial organization changes, tourism, and international flights.

Wide, hierarchically organized airport network
Significant differences in passenger and freight traffic:
- Competitive passenger transport
- Low freight traffic
Regional imbalances based on urban, economic, and tourist importance (e.g., Barajas)
PEIT aims to strengthen airports’ economic function
EU liberalization of air services and fares

2. Communications

Distance communication and telecommunications are crucial for economic development and globalization.

Significant growth in Spain’s telecommunications network, especially telephone. Hierarchical distribution of telephone flows, centered around major metropolitan areas, with Madrid as the main hub.

Tourist Areas

1. Factors of Spanish Tourism Development

Since the 1960s, Spain has become a major tourist destination.

The 1960s boom was driven by:

External Factors:

European economic growth and increased middle-class travel
Transport advancements

Internal Factors:

Proximity to European markets
Climate and landscape
Cultural appeal
Low cost (peseta devaluation)
State support
Growth of hotels and travel agencies

Current relevant factors:

Strengthening demand
Supply quality
Product diversification
Qualified human resources
Improved transport infrastructure
Political instability in other countries

2. Traditional Accommodation Type

The post-1960s model features abundant supply, mass tourism, dependence on tour operators, and significant spending outside Spain.

2.1 The Tourism Offer

Extensive accommodation focused on the Mediterranean coast and islands
Third largest hotel capacity globally
Numerous other accommodation establishments
Cafes, bars, and restaurants
Sports facilities, recreational parks, water parks, etc.

2.2 The Tourist Demand

Initially dominated by foreign tourists, now domestic demand is significant.

International demand growth since the late 1950s, boosted by EU entry in 1986, mainly from Western Europe.
Domestic demand growth since the 1960s, from industrialized areas, less polarized, focused on coastal destinations.
Excessive seasonality (August peak) causes overuse of infrastructure, congestion, quality loss, and environmental problems.

3. The Crisis of the Traditional Model and Alternative Tourism

3.1 The Causes of the Crisis

Dominance of low-mid range tourism
Rising prices
Dependence on international tour operators
Environmental degradation and landscape alterations

3.2 Alternative Tourism and New Tourism Policy

Renewal based on land use planning at regional and local levels.

Policy objectives:

Enhance tourism quality
Improve supply by encouraging new forms of tourism (senior, sports, rural, ecotourism, urban)
Reduce external dependence by creating national tour operators
Environmentally sustainable tourism development

4. Tourism Areas and Types

Tourist areas experience high influx of tourists. Alongside these, isolated spots exist (e.g., ski resorts).

Classification based on use: seasonal, above average seasonal, and stabilized (long stays or occasional visits).

4.1 Sun and Sand Tourist Areas

Balearic and Canary Islands, and peninsular Mediterranean coast. High tourist influx, but differ in:

Accessibility
Spatial occupation model
Accommodation type, quality, and clientele

4.2 Other Tourist Areas

Post-1990s spatial spread of tourism due to:

Increased tourism outreach
Inland rural areas seeking economic diversification through tourism
Coastal area restructuring incorporating tourism
Demand for quality and new attractions

Examples:

Madrid: Cultural, conference, and convention tourism
Galician and Cantabrian coasts: Unsaturated coastal and rural landscapes
Rural tourism centers
Ski resorts
Historic cities: Cultural tourism

5. Spatial Impact of Tourism

Significant territorial impacts, especially in coastal areas.

5.1 Demographic Impact

Coastal areas: Increased population, including young workers, retirees, and foreigners
Rural areas: Reduced depopulation, revival of handicrafts, mitigated emigration

5.2 Impact on Settlement

Coastal areas: New settlement structures
Rural and urban areas: Rehabilitation of built heritage

5.3 Economic Impact

Job creation
Multiplier effect on other activities
Contributes ~11.4% of GDP (2003)
Offsets trade balance and external debt
Influences transport policy

5.4 Political, Cultural, and Sociological Implications

Promotes intercultural contact and political understanding
Impacts local livelihoods (positive and negative)
Affects quality of life due to overcrowding and service saturation

5.5 Impact on Land Use

Tourist areas: Transformation into recreational or service areas, leading to:
- Environmental and landscape changes
- Economic transformations
- Conflicts over land use and resources
Historic centers: Specialization in tourist services, second homes, and hotels
Rural tourism: Conflicts with other activities, potential abandonment of farming

5.6 Environmental Impacts

Rapid development caused uncontrolled urbanization, pollution, and environmental degradation, requiring protection and rehabilitation policies.

Internal and External Trade

Trade offers surplus goods and services to consumers, domestically and internationally.

1. Domestic Trade