ACTIONS taken now will determine which way the tourism industry will go in 2011, hoteliers warned yesterday.
Speaking at the annual general meeting of the Cyprus Hotels Association (PASYXE), its chairman Haris Loizides said that even though prospects had been bleak at the beginning of 2010, the year had ended with a 1.5 per cent increase in arrivals and a 4.0 per cent rise in revenue.
“This indicates that cooperation between the competent bodies, and timely measures to support the tourism industry, a negative climate can be stopped,” said Loizides.
However, he said, 2011started with a decrease of 3.0 per cent in arrivals and only a marginal increase in revenue of 0.4 per cent.
“So it is out actions now that will determine whether things will stay positive way or whether we
return to the bleak landscape of the past,” Loizides added.
The PASYXE chairman said the biggest challenge this year would be the crisis in the Arab world and the domino effect it might have on the eastern Mediterranean region. It could also create an opportunity for Cyprus, he said if the industry here mobilised in time to attract the tourists here.
“Already Spain, and particularly the Canary Islands have benefitted during the first quarter of 2011 by attracting an additional 300.000 tourists.
Loizides said if Cyprus was to benefit in this way, it would have to move quickly an decisively.
“We unfortunately have not yet managed to move with any speed, and overall optimism for increased arrivals has been marked by the termination of support measures and drastic cuts in the budget of the CTO culminating in a reduction of €14 million in advertising and promotion funding, instead of them being increased. Is this what’s called practical support for a
vital industry?” he said.
“The moment we have been given a new and powerful impetus to exploit new opportunities, we choose to walk the other way.”
Loizides said the tourism industry needed support now more than ever, saying that unemployment in the industry was reaching “alarming proportions”
He said the Cyprus tourism industry had remained stagnant for a number of years both because of the decline in the industry over the past decade coupled with the current economic crisis.
‘We believe we can recover but it needs to be understood that tourism is not just about hoteliers or other businessmen in the industry. It’s about all of us,” he concluded.
Addressing yesterday’s conference, Tourism Minister Antonis Paschalides said 2010 had been a challenging year. He cited the global downturn, the volcanic ash and the closure of Eurocypria airlines.
“For 2011, the fact is that things are still pretty rough,” Paschalides said. “Competition, and the economic crisis, continue to exert great pressure on the tourism sector.”
He said however things looked as if they would pick up this year unless there were more unforeseen developments. Paschalides said the British market, Germany and the Nordic countries looked promising, as did Russia, which increased dramatically last year.
