Caribbean tourism ministers have expressed concern regarding the “leakage” within the sector and are trying to formulate strategies to deal with the situation, Antigua and Barbuda’s Tourism, Civil Aviation, Transportation and Investment Minister, Charles “Max” Fernandez, said on Wednesday.
Tourism leakage in the Caribbean is estimated to be at 80 percent of visitor expenditure and as he addressed the 44th edition of the Caribbean Hotel and Tourism Association (CHTA) Marketplace here, Fernandez said that the regional tourism ministers had met on Tuesday for what he described as a “very good meeting.
“ And one of the concerns, the major concern, was leakage. And so what we need to do to see what we can do to curtail the amount of leakage, as we know, the majority of what we consume and use in the Caribbean is imported,” Fernandez told the delegates.
“ So it’s safe to say that we actually import our inflation. But we are trying to see, putting our heads together, to see what we can do in terms of tourism being the main driver of the economy, what we can do to find ways of reducing that leakage that is going out
“I’m sure that you will get an update later today or tomorrow as the outcome of that meeting and the important points that were made,” he said, adding that another issue he is personally quite passionate about is the whole aspect of having ”our people at the top tier of the industry.
“I say all the time that we can’t replace a sugar plantation for a hotel plantation. It’s not going to work. So, of course, we have UWI (University of the West Indies) here. Now that’s got to be a big boost for us.
“But we also want all of our partners in the industry to understand that our people can sell our country better than anybody else,” Fernandez said, adding that “as a result, in each island, I think we need to ensure and push to see that we can keep as many of our people at the top”.
Fernandez in his address thanked the outgoing CHTA president and St. Lucian hotelier, Sanovnik Destang “for the service that he’s provided for all of us over his term in office” adding that he was looking forward to working with the incoming president from Dominica.
Fernandez said that Antigua and Barbuda is reporting an increase in visitor arrivals over last year and “we really look forward to a great 2026”.
He said that a number of properties are due to come on stream this year and that “all the stars seem to have been lining for us”.
But Fernandez noted that with the geopolitical situations, including the price of oil resulting in an increase in the cost of living which “extends out to the employees in the industry who are saying, look, I need a livable wage, not a minimum wage.
“So that is something that I think that we may very well have to face within the industry. Of course, we’re no strangers to hurricanes and storms. We saw what happened to Jamaica recently, and we’re keeping our fingers crossed and saying our prayers diligently night and day, to ensure that we can hopefully keep the Caribbean and, for that matter, the rest of the world safe.
“Then, of course, we face the acidification of the ocean, the warming of the ocean, the loss of coral reefs, which is so important to all of us, and of course, added to that, you have the sargassum seaweed inundated a lot of our beaches.”
Fernandez said several Caribbean countries have been affected which in turn affects the properties staying open.
“But in spite of all of that, we’re still hoping and praying, of course, that we can manage through this difficult or challenging year ahead,” he said, adding that Antigua and Barbuda is seeking to take advantage of the MICE market, with meetings, incentives, conferences, and exhibitions.
On Tuesday, CHTA executives during a closed door session discussed the rapid growth of short-term rentals across the region, unveiling a new framework to help governments regulate the sector.
Destang said short-term rentals have become a permanent feature of Caribbean tourism and should be managed through balanced regulation rather than restrictions.
“Short-term rentals represent both economic opportunity and the need for smart regulation. Our framework recognises that STRs are here to stay and that’s positive for local entrepreneurship, destination diversity and visitor choice.”
CHTA chief executive officer Vanessa Ledesma said destinations adopting transparent registration systems and fair oversight would be better positioned to maximise tourism revenue while protecting visitor safety and long-term sustainability. (CMC)
