The minister did, however, acknowledge infrastructure is "creaking under a combination of population growth and high visitor numbers".
Leading tourism specialists converged on Queenstown on Thursday for a two-day summit, organised by the University of Otago's Department of Tourism.
It coincided with the announcement the Queenstown Lakes District Council will hold a non-binding public referendum on a localised visitor levy.
The topic may have been raised in the Q&A session, however, media were not allowed to attend the second day of the summit, and Mr Davis declined to be interviewed.
Housing and Urban Development Minister Phil Twyford is leading the Government response on the levy referendum. He commented on Wednesday, saying if there is clear support the Government "will consider any necessary legislation".
In his opening speech to the policy school, published on the Beehive website, Mr Davis said: "International visitor arrivals have grown by over 40% in the last five years, with an estimated, 3.8million visitors arriving annually and, forecast projections show this number increasing in the next five years.
"This growth is not simply a local trend, but a global phenomenon, driven by globalisation and a rising middle class.
"This growth brings into question the sustainability of the tourism sector as a whole.
"As a result of such growth, strains are beginning to show in our communities.
"Local infrastructure is creaking under a combination of population growth and high visitor numbers.
"The positives of tourism growth have also not been felt evenly across the country.
"Instead, we have seen it concentrated at our tourist hotspots.
"It is these types of issues which highlight why the Government is committed to a value over volume approach."
The "value over volume approach" echoed a speech by Queenstown Lakes District Mayor Jim Boult on Thursday.
Mr Davis said this is a "pivotal time for tourism in Aotearoa", an industry which contributes $39billion to the economy annually and employs more than 200,000 people.
He went on to highlight the Responsible Camping Working Group, Tourism Infrastructure Fund, draft Tourism Strategy and the International Visitor Conservation and Tourism Levy, which is separate from the local levy proposal going to a referendum.
"The IVL will be rolling out this year, and the revenue collected from our international visitors will be directly contributing to maintaining and preserving the beautiful natural environment they come to New Zealand to enjoy."
