"It's going to make us more competitive with Australia because they have a very efficient process and we've been a little bit behind them in the past and what this will do is put us right up there," he said.
"Given that many Chinese visitors actually decide quite late that they're going to be travelling, knowing that they can get that visa more easily ... will be really critical."
Chinese visitor numbers were up 25.2 per cent for the year ended June at 132,000, with spending up 12.4 per cent at $410 million, the Ministry of Economic Development said.
INZ had recognised the importance of the market, Wallace said.
"It's all very well having new air services like China Southern but it's no good if we haven't got the visa system to support that," he said.
The Tourism Industry Association was developing a manifesto - Tourism Future Statement 2011-14 - which would be released at the end of August and include a section on the changing market mix and improving the visitor experience.
"If we do that and if we follow through on that we will start to get some more value out of those markets," Wallace said.
Auckland Airport chief executive Simon Moutter said the Government's latest improvements to visa processing in China helped remove a key barrier to visitor growth from the key market.
"The changes will make it easier for Chinese visitors to decide to fly here direct and to spend more time in New Zealand on holiday or on business," Moutter said.
It could help double Chinese annual visitor spend during the next half-decade or so, he said.
Asian countries, and in particular China, were driving much of the growth in global travel demand.
"If New Zealand could attract just a fraction more of the phenomenal travel growth in these markets, it would have a game-changing impact on our national visitor industry and will help drive business and trade initiatives."
