Ireland's tourism industry is "in crisis" due to a fall in inbound visitor numbers and a decrease in tourism revenue during 2009, according to the Irish Hotels Federation (IHF).

Speaking at the launch of the federation's annual report for 2009 at its annual conference in Galway, chief executive John Power said hoteliers are finding it increasingly difficult to cope with tough trading conditions. According to the IHF, total tourism revenue for 2009 decreased by 17 per cent, compared with the previous year, while new figures from the Central Statistics Office revealed an 11.6 per cent fall inbound visitor numbers.

Power said: "Throughout the year, our members struggled to deal with decimated revenues caused by the combination of lower prices, excess capacity and low capacity utilisation rates, further intensified by the fact that their costs had not significantly reduced or even adjusted to the economic reality on the ground. "As a vital indigenous industry, it is vital that tourism receives the recognition and support which it merits given its scale and overall contribution to the economy. With the right resources in place, tourism stands ready to assist the country's return to economic recovery."

A survey carried out by the IHF has also reported that the vast majority of Irish hoteliers are concerned about the viability of their businesses going into 2010, with more than two-thirds expecting to reduce staffing levels.