The Accommodation Association of Australia said the announcement of the new portfolio by new Prime Minister, Hon Malcolm Turnbull MP will position the industry for further growth.
"The accommodation industry is pleased that Australia has a specific Minister who is responsible for tourism again," said the Association's Chief Executive Officer, Richard Munro.
"It sends a message to our industry that MTurnbull recognises the value of tourism to the economy and we look forward to the contribution of Senator the Hon Richard Colbeck in the new role.
"The accommodation industry has confidence that the Senator will build on the strong foundations that Hon Andrew Robb AO MP has put in place over the past two years."
In relation to having tourism and international education in the same portfolio, the Accommodation Association described it is an excellent strategic move.
"It is important that the Federal Government plays a lead role in promoting Australia as a safe and hospitable destination for international students," Munro said.
"Education is one of our largest and most important sources of international visitors, and is a segment which is set to grow even further with the right public policy settings.
"The new ministerial arrangements will help promote stronger economic returns within the accommodation industry."