CHATA Curacao Hospitality and Tourism Association

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SAN JUAN, Puerto Rico – (January 12, 2010)
STATEMENT BY ENRIQUE DE MARCHENA KALUCHE,PRESIDENT OF THE CARIBBEAN HOTEL AND TOURISM ASSOCIATION
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The Caribbean Hotel and Tourism Association (CHTA) endorses and supports the renovated efforts of unity among Caribbean governments now being proposed by CTO tourism ministers.  The ministers meeting took place here just prior to the beginning of Caribbean Marketplace 2010.
And while CHTA supports this proposed unity, we strongly assert that it must be “unity for action” in order to have any meaning whatsoever.

 The Caribbean region has been facing an economic crisis as are all other regions of the world and the tourism sector has been hit by this global economic downturn, in particular, because the Caribbean economies are the most dependent on tourism, according to the World Travel & Tourism Council, and there is a trickle-down effect on the rest of the economy, including agricultural, telecommunication, transportation, commerce and banking sectors, among others.  
 As tourism generates the largest amount of revenue for the Caribbean nations, with visitor arrivals decreased the destinations' coffers have been reduced.
 As a result of this loss of revenues from tourism related industries, Governments have reduced budgets which has put pressure on the provision of social services among others including reduced tourism budgets. 

 For the development of the tourism sector within the Caribbean, and the preservation of the social and economic wellbeing of the people of the region, the most important thing right now is the development of a marketing fund for the region, as well as for each and every individual destination.  The governments have so far not been able to agree on how the funds for a Caribbean marketing plan should be generated.
 While the governments of the Caribbean may have recognized the importance of tourism, the need for action now is critical for their economies. 
 CHTA strongly suggests that the CTO revisits the recommendation for a tax on airline passenger tickets to the Caribbean and additionally suggests that we use the precedent that has been set by the Travel Industry Association in the United States which recently instituted a $10 ticket tax to fund its U.S. marketing and promotion efforts worldwide. 

We further suggest that a $10 ticket tax on all airline tickets for incoming passengers could be effectively split to enable individual governments to use $5 of each tax for its own destination marketing while allocating the other $5 to a sustainable marketing fund for the region. 
 Millions of dollars would result from such a ticket tax for each destination to supplement its marketing efforts as well as millions of dollars for a regional marketing campaign.
 Our fear is that many of the Caribbean nations are alienating themselves because of the lack of action. As a result of this inaction, certain destinations will further alienate other destinations. 
 We again urge “unity for action” to assure a sustainable tourism program which would help the economies of the Caribbean nations, including assisting in the alleviation of poverty throughout the region.  

 Unity of the private sector is reflected in the current success of Caribbean Marketplace which has a total of 1,311 delegates in attendance, just slightly down from the 1,521 a year ago.
 There are 391 booths as compared to 410 in 2009 and 306 supplier companies versus 335 last year.  The fact that the number of attendees and booths maintained at similar level to last year's record breaking levels is a reflection on the strong commitment to the market by CHTA members as well as the tour operators and wholesalers that promote and sell the Caribbean.
 In addition, CHTA has received tremendous interest in our upcoming 13th Annual Caribbean Hotel & Tourism Investment Conference taking place May 4-6 in San Juan, Puerto Rico.  This is expected to be a crucial meeting of developers, bankers, tourism officials and hoteliers which always results in expansion and enhancement projects for the Caribbean destinations.

 
 
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