THE CARIBBEAN’S SHARE of the world tourism market is falling and its tourism receipts are declining.
And First Citizens Investment Services’ head of research, Vangie Bhagoo-Ramrattan, has urged regional tourism authorities to take the necessary steps to improve tourism’s performance because of the region’s high dependence on the industry.
For example, the economist noted that while tourism contributed only 12 per cent to Barbados’ gross domestic product directly, indirectly it accounted for 44 per cent of the country’s economy, making Barbados one of the most tourism-dependent countries in the world.
Speaking during the Trinidad and Tobago-headquartered group’s market outlook seminar at Hilton Barbados recently, Bhagoo-Ramrattan said the changing composition of visitor arrivals in the region might be responsible for the decline in receipts even though arrivals were increasing in some countries.
“We’re seeing stay-over arrivals coming down or remaining flat and cruise ship arrivals going up significantly,” she explained.
Bhagoo-Ramrattan also noted that the region’s share of the world tourism market was down to two per cent from 2.3 per cent in 2011.
“That is something else we need to work on. Something is not being done right,” she said.
The head of research said Americans were still “unwilling to spend money on glamorous vacations in the region” and this would negatively impact on the Caribbean’s overall tourism performance since the United States accounts for 48 per cent of regional tourism.
And with high unemployment continuing in Europe, she said consumers would be less willing to travel to the region. Europe accounts for 20 per cent of the region’s tourist arrivals.
On a positive note, she said Canadian markets were showing growth in light of increased marketing efforts there. (NB)
